The Pampered Pet

Spoiling furry, feathered and scaly family members has become almost a pastime for pet lovers today, especially when it comes to the products they’ll buy for the animals they adore.

And while pet food is reaping the biggest benefits in terms of sales, the current “pets as people” trend is having a positive impact on the pet supplies category, too.

According to the Greenwich, Conn.-based American Pet Products Association (APPA), supplies and OTC medications ranked third of all categories for amount spent in 2014 ($13.75 billion), growing 4.6 percent from 2013 to 2014. The supplies category can include anything from dog and cat beds, bowls, and collars to fish tanks, terrariums and bird toys.

“Increases in spending are being led by both ends of the pet-owning spectrum — aging Baby Boomers paying more to provide care for their pets, and younger Gen Y owners who prefer the conveniences of high-tech and pampering products and services,” says Bob Vetere, APPA president and CEO.

A Bright Future for Supplies

With an uptick in the number of new and younger pet owners, the pet product industry is well positioned for growth, especially given the demographics of the people who are becoming pet parents.

In its 2015–16 National Pet Owners Survey, the APPA found that more than 10 percent of current pet owners are new pet owners — that’s almost 8 million new pet owners within the past year — most of whom are members of Gens X and Y.

“This is really exciting, as the industry as a whole has been trying to engage Gen Y in pet ownership,” says Vetere. “A Gen Y dog or cat owner spends more to purchase their pet; takes them to the vet more often; buys more toys, gifts and care items; and utilizes more services than Gen X, Baby Boomers and Builders.”

Gen Y also likes high-tech gadgets (think pet cams and electronic health-monitoring collars), as well as convenience products that make it easier to take their pets with them or to care for them while they’re gone. “This opens the door for innovation in products and services as well,” Vetere adds.

It also enables retailers to capture a bigger share of the pet product market by adding supplies to what’s typically a lineup dominated by, and often confined to, pet food and litter.

“Grocery retailers can easily merchandise accessories that complement pet food — [they can display them] on the shelf, or [with] a clip strip,” says Dan Nagy, who handles marketing for Loving Pets, based in Cranbury, N.J. “Loving Pets believes that adding innovative, affordable and space-efficient products in the pet aisle will increase sales in this category.”