US pet market exceeds $100 billion for the first time
The yearly report of American Pet Products Association (APPA), ‘2020 State of the Industry’, shows that annual sales have reached an all-time high of $103.6 billion.
Steve King, President and CEO of APPA, shares: “We are bullish for the coming year, projecting growth of 5.8% – well above the historical average of 3 to 4%. This past year presented a host of challenges that resulted in consumers across the country turning to their pets for comfort and companionship. Interestingly, the product trends we are seeing in the pet care community mirror those of consumers – a desire for a healthier lifestyle, increased focus on fitness, turning to supplements for improved well-being, and technology playing a larger role in everyday life.”
Some noteworthy figures from the report:
- Pet food and treats sales increased with a 9.7%, to $42 billion
- Supplies, live animals and OTC meds: $22.1 billion (15.1% increase)
- Vet care and product sales: $31.4 billion (7.2% increase)
- Other services (grooming, dog walking, boarding) declined by 21,4% to $8.1 billion
From a retail perspective, every channel showed an increase, especially e-commerce, which is consistent with consumer shopping trends overall:
- Total retail sales increased by 6.7% from 2019 to 2020.
- 47% of pet owners reported they increased the number of times they purchased online.
- Pet specialty and independent retailers experienced solid growth.
- 30% of pet owners spent more on their pet/pet supplies in the past year with only 10% saying they spent less.