According to new reports from Packaged Facts, main factors propelling the pet market include the burgeoning pet parenting phenomenon, and the increase in pet ownership by family-oriented and demographically potent Hispanics. Higher-income households are also simultaneously a crucial component of the pet market, with households earning $70K or more annually accounting for over half of overall pet industry expenditure.
U.S. pet industry sales reached $56.67 billion in 2011, up from $54.56 billion in 2010. Natural, organic, and eco-friendly products continue to advance, as do pet health products and services including medications, supplements, and insurance. The U.S. pet industry is poised for continued growth as more pet owners consider their pets to be “part of the family.”
According to Mintel, the pet industry is expected to maintain a steady pace of growth, increasing by 33% over the next five years. Research shows that 76% of dog or cat owners consider their 4-legged companions to be part of the family. This closeness creates marketing and sales opportunities that go far beyond basics such as food to include apparel, toys, treats, vet care and grooming, just to name a few.
Despite the relative sluggishness of 2010, the U.S. pet market remains healthy due to numerous strong underpinnings, which will continue to support steady market growth for the foreseeable future, according to a new report from market research publisher Packaged Facts. Reinforcing a health focus is the fact that health-oriented product areas showed growth in 2010, including cat and dog treats (particularly those with a functional health benefit), refrigerated/frozen raw foods and cat and dog supplements and nutraceutical treats. Success of these products in the midst of product sales doldrums elsewhere suggests that pet owners are willing to spend more on products that are linked to pet health.