5 Influential Pet Industry Trends to Watch in 2022

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1. Pandemic Pet Adoption and Acquisition

During the pandemic, pet ownership soared as homebound consumers sought companionship and worked to mitigate stress and boredom. Packaged Facts estimates that the number of pet dogs rose to 96 million in 2020, up by over 10 million from 2019, and the number of pet cats increased to 32 million, up by nearly 2 million from 2019.

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1. Pandemic Pet Adoption and Acquisition

Although not as dramatic as 2020, pet adoption and acquisition trends remained positive in 2021 Even after the pandemic recedes, “most households will continue to cherish these pets, such that continued market growth is projected in the coming years,” according to Packaged Facts.

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2. A Boom in the Market for “Other” Pets

The pandemic not only led to a surge in dog and cat ownership, but also to a rise in fish, small mammals, and reptiles and amphibians. According to recent Packaged Facts research, 12.2% of all U.S. households own one (or more) type of pet other than dogs and cats, up from 10.8% five years ago.

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2. A Boom in the Market for “Other” Pets

Consumers relied on these pets as a source of comfort and enjoyment while stuck at home, but the rise in “other” pets was also a boon for pet industry players. Sales in the retail market for fish, small mammal, reptile/amphibian, and bird products shot up 18.5% in 2020.

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2. A Boom in the Market for “Other” Pets

To capitalize on the growing market for "other" pets, marketers should consider expanding their product ranges and emphasize both fun and function.

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3. A Reinvigorated Pet Food Market

New data from Packaged Facts underscores the extent to which the pet food market has flourished during the pandemic. U.S. retail sales of pet food (for dogs and cats) reached $37.1 billion in 2021, a 6.4% increase compared to 2020. 

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3. A Reinvigorated Pet Food Market

Over the coming years, the pet food market is projected to move at full throttle, with sales hitting $47.9 billion in 2025, growing at a 6.6% compound annual growth rate.

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3. A Reinvigorated Pet Food Market

Packaged Facts Research Director David Sprinkle identified several key pet food trends including the rise of superpremium pet foods such as natural formulations and science-based foods, the growing popularity of pet foods with ethically sourced ingredients and eco-friendly packaging, and pet foods in non-traditional forms such as fresh and meatless. 

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3. A Reinvigorated Pet Food Market

Sprinkle also cited the increasing role of e-commerce, including curbside pick-up and same-day delivery. 

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4. A Rebound for Pet Services

Discretionary pet services—such as pet grooming, pet boarding, pet sitting, pet walking, and pet training—all took a hit during the pandemic due to the impact of social distancing, a decrease in travel, and the rise in remote work. Pet boarding plunged 45%, and pet sitting/walking fell 35% in 2020, according to the report Pet Services in the U.S..

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4. A Rebound for Pet Services

However, sales are expected to grow. A mix of factors will drive momentum, including: • The pets-as-family consumer mindset • An emphasis on services within brick-and-mortar retailers to better compete with the Internet • Strong pet care spending by millennials and upper-income households

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5. A Thriving Pet Medications Market

With 13% sales growth in 2020, the pet medication market posted its largest single-year growth rate in the past decade, according to a recent report by Packaged Facts.  The market is expected to continue a growth trajectory into the future.

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5. A Thriving Pet Medications Market

“The market is being spurred by the recently expanded population of pet dogs and cats, a deepening pet parent focus on pet wellness, and increasing brick-and-mortar and online options for pet health care services and products,” Sprinkle explained. Packaged Facts survey data show that 41% of owners are paying closer attention to their pets health and wellness because of COVID-19.

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