Exciting trends in the US pet industry

Two-thirds of homes have pets

The American Pet Products Association (APPA) reports a steady incline of pet ownership over the past 30 years, with pets now in 67% of American households. Recent APPA figures put total US pet industry expenditures for 2019 at $95.7 billion (€85.7 billion), with an estimated projection of $99 billion (€88 billion) for 2020.

Health benefits of pet ownership

The benefits of having a pet are unquestionable. We strive to make their lives better because they improve ours too. With the stresses of today’s uncertain world, there is no better mood elevator than our pets. APPA’s National Pet Owners Survey reports that 76% of current pet owners say happiness and emotional support are health benefits of having a pet; 63% say stress relief and 52% say less anxiety and depression.

From humanisation to premiumisation

The humanisation of pets continues to drive premiumisation, particularly in food and treats. Moving from mainstream to premium gives brands growth opportunities and customers added value. Today’s knowledgeable consumers see value as a combination of quality, price, and their experience of the product, its packaging and its overall appeal. Some drivers in this category are sustainability, increased quality, human-grade ingredients and alternative proteins.

Generationally speaking

The boomers and millennials are primarily responsible for fuelling industry growth. Boomers spend more than millennials on many product categories, plus vet care and grooming. Millennials are willing to spend more money to buy their pet, and are more likely to purchase food from their vet and to try categories like specialised food and treats, calming products and holistic remedies. Brand name remains important to them.

Online purchasing

Online spending among US pet owners continues to escalate. 72% of them purchase online, with 39% of those purchases subscription-based. It is no surprise that millennials do the most online shopping. In food alone, over one-quarter of their online food purchases is subscription-based.

Nearly 30% of pet owners say their online shopping frequency has increased in the past year. More millennials and Gen Z have increased online shopping (39% and 37% respectively) than older generations.

Make room for the roost

Opportunities are everywhere, even in new and unusual places. For the first time, APPA studied backyard chicken ownership and found that roughly 10 million US households keep chickens and three-quarters consider them to be pets. Especially popular among younger generations, pet chickens join the ranks of beloved pets, a trend that is here to stay.

Source: APPA