The global pet food market is projected to reach USD 153.8 billion in 2027, according to a recent report published by Mordor Intelligence. The pet food industry has shown remarkable growth over the pandemic years of 2020 and 2021, and increasing pet humanization is expected to drive sustained growth over the next five years.
Learn more about the key trends impacting the market based on insights from the report.
1. Considerable Increase in Pet Adoption during the Pandemic
The years 2020 and 2021 saw a massive spike in the adoption of pets worldwide. More than 23 million households in the United States acquired pets during this period, according to data from the American Society for Prevention of Cruelty to Animals (ASPCA). This increased spending on pet food and pet care products over the period.
In addition to the increased pet population leading to an increase in demand, pet parents have, on average, increased their spending on pet food, going for premium products. Pet parents are increasingly looking for high-value, premium, and safer ingredients in pet food. According to the report, the organic pet food category is projected to register a CAGR of 5.8% over the forecast period.
2. Sales Growth in Specialized Pet Shops and E-commerce Channels
Specialized pet shops emerged as the fastest-growing distribution channel for pet food, followed by the e-commerce channel. New pet parents have been exposed to an entire pet care ecosystem through specialized pet shops, offering a bouquet of services such as pet food, pet care, veterinary services, and boarding, among other services. Specialized pet shops also offer personalization as an added benefit to pet parents wanting the best for their pets. This channel offers added benefits to pet food companies to penetrate newer markets.
Sales of pet food through online channels showed consistent growth over the last five years. Pet supplies occupy the pole position among various consumer products sold online. Apart from online merchandise retailers, the pet food category saw the emergence and expansion of specialized online pet stores over the last five years.
3. Sourcing High-Quality Ingredients Remains a Challenge
With pet parents increasing the focus on using high-quality ingredients for pet food, sourcing high-quality ingredients and developing dedicated suppliers for these ingredients remained a challenge for pet food companies. The booming market necessitated increasing capacity expansions, with companies such as Mars Petcare focusing on adding capacity in the key markets of Spain, Russia, and India in 2021.
The need for high-quality raw materials has forced companies to increase the vertical integration of suppliers and take up more stringent audits at the supplier level across the world.
4. Top Pet Companies Focused on Product Innovation
According to the report, the major players active in the global pet food market include Mars Petcare, Nestle Purina Pet Care, The JM Smucker Company, Nutriara Alimentos, Hill’s Pet Nutrition, and Blue Buffalo Company, among others. The major players in the market are focused on product innovations to expand their market share. The market saw 31 new product launches over the last five years.
Interested to Learn More?
Mordor Intelligence publishes a wide range of reports on this market. To access valuable data and analysis, check out these recent titles:
- Pet Food Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022-2027)
- Europe Pet Food Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022-2027)
- Asia-Pacific Pet Food Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022-2027)
- North America Pet Food Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022-2027)
- South America Pet Food Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022-2027)
To explore additional research, click on the publisher page for Mordor Intelligence on MarketResearch.com to view its most recent reports. Select the "refine your search" button to browse specific keywords or titles.
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