In just two years, 70 new pet-care companies emerged in India, with the market set to hit $1,932.6 million by 2030. What lies ahead?
Since ages, humans have shared a special bond with animals. This is because pets make great companions and assist us in various ways. You have probably met many people who adore their pets and treat them like family members. Well, this love for pets is leading to a rapidly emerging industry called the pet care market. This industry is booming due to changes in people’s income levels and lifestyles.
In this article, we will explore the reasons behind the growth of the pet care market in India.
India is home to about 32 million pets, and this furry family is growing by 11% each year. This pet-loving trend has led to the birth of 70 new pet care companies in just the past two years, as reported by Decipher.
People are spending lavishly for their pets, splurging on products and services to keep their dear pets happy and healthy.
Investors have also taken notice of this emerging sector. According to a Venture Intelligence report, The industry attracted investment of $77 million between 2021 and 2022.
Notably, L Catterton, a global player in pet food investments, made a substantial $60 million investment in Drools, marking its entry into the Indian pet food market.
The pet food sector is the star player among all the pet-related businesses, raking in two-thirds of the industry’s revenue. Following closely behind are pet accessories, grooming, and healthcare services.
Factors Driving the Pet Care Market
Remember that challenging period when people were confined to their homes during the COVID-19 lockdown? Many people, especially from the upper class, decided to adopt pets during this time. Interestingly, even middle-class families are gradually joining the trend, realising the importance of caring for their dear pets.
Another significant shift is happening in our society as urban population is growing. The traditional joint family system is giving way to more nuclear families. In this changing landscape, pets are no longer just animals; they are becoming integral parts of families.
The pet industry is also evolving to cater to these new needs. There is now a wide variety of pet food available, and in major cities, you can even find restaurants that welcome pet dogs. The concept of animal health insurance is also catching on.
According to Decipher, India is quickly becoming one of the world’s fastest-growing pet care markets.
To put it in perspective, in the United States, 66% of households have pets. In contrast, only 10% of Indian households have pets. This stark difference suggests a vast opportunity for further growth in the pet care industry.
The chart represents the percentage of households having pets in different countries. It highlights the potential for the pet care industry to flourish even further.
As per a report by Decipher, the pet-care market in India was worth $569.4 million in 2022, and it is projected to soar to $1,932.6 million by 2030, riding a robust growth rate of 16.5%.
Adding to this, a report from Bonafide Research predicts that the Indian pet care industry will surge to Rs 5,474 crore by 2025, a substantial Compound Annual Growth Rate (CAGR) of over 19%. This meteoric rise indicates that India is swiftly transforming into a significant market for pet care enterprises.
That’s it for today. We hope you’ve found this article informative. Remember to spread the word among your friends. Until we meet again, stay curious!
*The article is for information purposes only. This is not an investment advice.