Sales for all pet products and services totaled US$103.5 billion globally in 2016, surpassing the US$100 billion mark for the first time, writes Debbie Phillips-Donaldson. This 4.7 percent growth rate stands out among other consumer packaged goods industries, according to analyst Jared Koerten.
Source: Petfood Industry, February 7, 2017.
Focusing on the US, by far the largest pet care market globally and still increasing about 4 percent a year, Koerten said the average US household spends US$355 annually on pet care – a stark contrast to the global average of US$50. Yet the US’ dominance comes with a caveat, especially where pet food is concerned: all the growth is in value sales, not volume sales, which are actually declining.
INSIGHTS: For animal health pros, the brief mention of premiumization and trends to smaller dogs is worth discussion when serving pet clients. Knowing how to differentiate a premium diet from one that looks similar is important and is a place representatives can help.