Pet shops in Chile’s capital doubled in 5 years: What does this say about the country’s market?

According to real estate consultancy Colliers, in just 5 years, the number of pet shops in Chile’s capital has more than doubled, rising from 530 in 2020 to 1,159 in 2025.

The stores are booming, especially in areas with high population density and concentration of young families, notably millennials, José Ignacio Arteaga, Business Intelligence Manager of Colliers Chile, tells GlobalPETS. 

According to data intelligence company Xbrein, the number of pet shops and related services across the country has increased by 35% over the past 4 years, rising from 2,500 to almost 3,400 establishments. This sustained growth has surpassed socioeconomic differences. 

What the Chilean streets reveal is the booming pet market in the South American country, whose pet food industry, according to Nestlé Purina, is projected to grow by 37% over the next 5 years.  

The giant pet food producer concluded in July that it would expand its distribution center in the province of Teno. With an investment of SFr 24 million (US$30.1 million), the company aims to increase the capacity of its logistics network in Chile by 60%, transforming the country into the largest distribution center for Purina in Latin America.

What drives the pet market

In 2022, the Chilean government released its first study on the country’s pet population, reporting a total of more than 12.4 million dogs and cats.

This is the only official figure released by the country, the government tells GlobalPETS, but analysts say pet ownership has been growing. They linked this growth to the country’s declining birth rate, which, according to the National Institute of Statistics, reached its lowest level in history in 2023.

To Daniel Encina, CEO and founder of Xbrein, this represents a redistribution of purchases amongst Chilean society. “In certain age groups, resources that were previously intended for children’s products and services are now being redirected to pets,” he says. 

The tendency of pet humanization, observed especially among young families, has expanded spending in products and services “beyond food,” Arteaga says, “including clothing, accessories and medicine.” 

Additionally, there is a spending capacity factor, as the country has one of the highest GDP per capita in South America, Juan Pablo Martínez, CEO of distributor Ludipek, tells GlobalPETS. “In Chile, per capita spending on pets exceeds $80 (€68.28) annually, much higher than Brazil or Mexico,” he says. 

According to Arteaga, the increasing curve tends to expand as demand continues to be high, but at a more moderate pace. Over the last 4 years, there has been a yearly compound growth rate of 25%. 

“In the medium-term, we project maturation and consolidation, when the true depth of the market and the ability of brands to sustain their growth will be tested, especially in an environment with greater competition and consumer sophistication,” he explains.

To Xbrein, the big concentration in the metropolitan area also shows an opportunity for market growth in other regions. But macroeconomic factors, such as unemployment and slow economic growth, will pose a challenge for 2026, the analysts say. 

Impact on the industry

Other market agents felt the impact of the increase in stores. According to Martínez, it “requires a much more capillary and segmented distribution”. Ludipek has adjusted its operations by “expanding its logistics coverage, professionalizing inventory management (through more technology), and, above all, working more closely with retailers,” he adds.

The CEO also highlights a growing focus on omnichannel strategy, driven by consumers’ high level of connectivity, a broader range of integrated services within the same store (such as clinics, grooming and hospitality) and the consolidation of exclusive brands shaping the pet market in the country.