Pet owners are buying more than bare necessities when it comes to their pets. In fact, according to the industry’s leading trade association’s spending figures, they are willing to pay almost any price when it comes to caring for their pets.
The American Pet Products Association (APPA) just released the annual comprehensive review of spending data and reports, which shows overall spending in the pet industry (including food, supplies/OTC medications, veterinary care, live animal purchases and other services such as grooming, boarding, and pet sitting) grew by 6.2% from $45.53 billion in 2009 to a little over $48 billion in 2010, with only sales of live animals declining slightly from 2009.
The pet industry continues to show resilience despite the economic crisis and APPA is even projecting a 5.1% increase in spending to exceed $50 billion dollars in the coming year.
Health-care related pet spending continues to show the greatest growth within the pet industry with spending on veterinary care growing by 8.1% growth from 2009. Pet owners are becoming even more aware of their pet’s health, often being proactive with regard to veterinarian care and using specialty formula foods, supplements, as well as advanced, and at times, costly treatment options to ensure their pet remains healthy. Of all categories, veterinary care has the largest anticipated growth at 8.5% that would result in an estimated $14.11 billion in spending in 2011.
Pet services is another category that has experienced sustained and diversified growth in response to the increasing demands pet owners face in their every day lives. High-end grooming, luxury pet hotels and specialized daycare centers are fueling new growth in the high-end demographic of pet owners. Pet owners are choosing to take their pets with them whenever possible, but if they have to leave their pet behind, they want to pamper and spoil them. The service category has more than doubled in the past decade and accounted for $3.51 billion spent in 2010.