As the number of households keeping pets increases, the demand for pet products industry is increasing year by year. Among them, pets are dominated by dogs and cats, and the demand for supplies for cats and dogs occupy a major share of the market. The main products in the market include pet food and dog collars, dog leashes, dog harnesses, pet bowls and smart pet supplies. To help understand the general situation of the pet supplies market under COVID-19, QQPETS will provide an overview of the pet products industry in 2020 based on the 2020 industry status report issued by APPA (American Pet Products Association), and then analyze the market opportunities and challenges based on the report.
Table of Contents:
l 2020 pet products industry overview
l Existing opportunities
l The challenge
2020 pet products industry overview
Driven by policy, economic, social and technological factors, as well as more potential pet owners and emotional consumption brought about by the epidemic, the pet owners are expected to continue to grow steadily in the next three years.
The pet industry reached a milestone in 2020, with total sales of $103.6 billion, a historic high, according to the American Pet Products Association (APPA) State of the Industry Report released last week. That marks an increase of 6.7% over 2019 retail sales of $97.1 billion. "We have reached a critical milestone, generating $103.6 billion in sales," said Steve King, president and CEO of APPA. For 2021, it estimated that $109.6 billion will be spent on our pets in the U.S.
Also in 2020, Banfield reported seeing 9.2% more juvenile dogs & 12.4%. The continuous growth of pets means that pet supplies will also grow.
Sales of pet food and supplies skyrocketed in the COVID panic buying period from March to May last year, leading to supply chain disruptions and reports of shortages and out-of-stocks. Demand continued to be high for the remainder of 2020, but panic buying subsided and supply normalized. With people spending more time at home with pets, sales of accessories and treats remained strong.
In other findings from the APPA report:
• 47% of pet owners reported they increased the number of times they purchased products online.
• Pet specialty and independent retailers experienced solid growth.
• 30% of pet owners spent more on their pet/pet supplies in the past year with only 10% saying they spent less.
• More Pets Today than Pre-COVID
Due to the impact of Covid-19, transportation costs have risen. In the face of rising demand for pet products, it is necessary for pet product retailers to maintain a stable supply chain and control costs. And it pointed out "Demand is real and not abating" in the APPA report.
Therefore, how to find stable and reliable suppliers in the current environment will also become a challenge in the pet products business in recent years.
This article combines APPA's 2020 pet supplies industry report to help you understand the general situation of the pet supplies industry under Covid-19. In general, the development of the pet products industry in the next few years is expected to continue to rise. If the transportation costs and supply chain issues can be handled well, this will be a good opportunity for the pet products business.
If you are looking for a reliable and stable supplier of pet supplies, QQPETS will be your ideal choice. We provide a variety of pet supplies, including dog collars, dog leashes, dog harnesses, dog water bottles, and retractable dog leashes. We welcome you to visit our website or contact us for more information!