The World Pet Markets Trend explained by professional Forex trading experts the “ForexSQ” FX trading team.
The World Pet Markets Trend
World pet markets are growing at a dramatic rate, with a number of countries witnessing higher than ever pet ownership and spending.
While the U.S. (where pet spending totaled $55.72 billion for 2013) and U.K. have long been the leaders of the world pet market, a number of other countries are emerging as global pet forces with which to be reckoned. In fact, worldwide sales of pet-related products and services reached $81 billion in 2010, despite the global recession.
Worldwide London-based market research firm Euromonitor International has been monitoring world pet markets with growing interest. The firm reports that the trend has increased exponentially since the early 2000’s and it is projected to continue on this path.
Industry insiders attribute the growing world pet market to the global humanization of pets. This means that more and more cultures now regard companion animals as beloved family members.
Below are some of the hot, up-and-coming world pet markets.
According to news and pet industry reports, China’s pet industry began to take off since the late 2000’s. Not only is the trend attributable to the country’s ongoing economic development – affording the average citizen greater disposable income – the Chinese have joined the pet lovers of the world in regarding their critters as beloved family members.
Fun Fact: China made international headlines in March 2011 thanks to Big Splash, the red Tibetan Mastiff whose unnamed coal baron owner paid a record-breaking $1.5 million for him.
The Chinese pet market continues to grow at rapid rates, in part due to these factors:
- China’s pet legislation was updated and dog licensing fees were lowered from $285 (USD) per year to $42 (USD).
- China has a low birth rate, and a growing number of middle-class adults are choosing to spend money their pets.
- Some reports indicate that the highest increase of pet ownership is with the elderly Chinese population.
- Fish and other aquatic animals have long been revered in the Chinese culture.
China is also becoming a pet trade show force. Pet Fair Asia, a pet trade show held each year in Shanghai, has grown steadily since its 1998 debut. It boasts over 700 vendors from 27 different countries selling and promoting their pet wares.
India is another booming pet market in the world where mom and pop pet retail operations rule. Research reports indicate that Indian consumers have been slow to embrace commercial pet foods, opting to feed their pets homemade fare.
But the commercial pet food market is growing, slowly but surely, due to increasingly hectic lifestyles and two-income families. Thus, this is a wide-open industry on the world pet stage that is just waiting to be tapped.
Meanwhile, Euromonitor reports that this relative newcomer to the world pet market arena is expected to grow at a 10-15% annual rate in the coming years. It is projected to eventually become a leading supplier of pet products around the world. Among the growing pet-related products and services in India are:
- Pet grooming, along with fancy pet spa services
- Pet behaviorists
- Yoga for dogs
- Pet magazines
Dog-friendly restaurants, where pet parents can treat their pooches to gourmet meals, also are a growing trend in India.
Another up-and-coming world pet market is found in Russia, which has witnessed dramatic growth in the realm of pet food.
- Nestle in summer 2011 announced that it was investing $48 million into its pet food factory in the town of Vorsino. The goal was to double production of the company’s wet pet food within the following three years.
- Mars, meanwhile, reported that net profits for its Royal Canin Russian subsidiary JSC Roskan increased by a mind-boggling 33 percent in 2010.
In 2011, Russia joined the world pet trade show industry with the ParkZoo show. It takes place in the fall of each year and has opened up the Russian market to the modern pet industry.
However, as is common in world markets, economic turbulence in 2014 and 2015 within Russia slowed the industry’s growth. Though it’s not likely to lose much steam, pet owners in these circumstances do not have as much money to spend.
Other Up-and-Coming World Pet Markets
Other growing markets in the world pet scene are:
- Japan – Extravagant pet spending on luxuries continues to increase with more of a preference toward cats.
- Brazil – The country has one of the largest pet populations in the world and sales increase 12-17% each ear.
- Vietnam – This is, in part, due to its friendly business climate, an abundance of natural resources and economy.
Meanwhile, herptiles are hotter than ever across the globe. More people than ever (especially in crowded urban meccas) now boasting snakes, lizards, tortoises and other herps as pets.
This is just the tip of the iceberg for world pet markets, which are expected to continue to evolve and increase dramatically in the coming years.
The World Pet Markets Trend Conclusion
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