From “Feeding” to “Pampering”: Insights into China’s Pet Consumption Upgrade and Four Major Trends

　　1. Overview of the Pet Industry

　　Pets generally refer to animals kept in households as companions, including dogs, cats, aquarium species, rodents, birds, and reptiles. From the perspective of breeding preferences, dogs and cats dominate, accounting for 57.0% and 64.3% respectively of pet-keeping types in Chinese urban areas in 2024, while aquarium species, reptiles, rodents, and birds account for 13.4%, 11.3%, 7.8%, and 6.8%, respectively.

　　The pet industry encompasses a wide range of sectors, including pet food, veterinary care, pet supplies, insurance, grooming, training, boarding, bathing and grooming services, photography, and funeral services. Although the domestic pet industry started relatively late, it is now experiencing rapid growth driven by rising living standards. Increasing demand for a high-quality lifestyle, coupled with factors such as an aging population and work-related stress, has turned pets into emotional companions, thereby fueling the booming pet economy.

　　2. Market Analysis of Industry Sub-Segments

　　From the perspective of sub-sectors within the pet industry, China’s pet market exhibits distinct structural characteristics. Pet food, as a category driven by essential demand, commands the largest share of the market, accounting for 52.8% in 2024, with complete pet diets, treats, and nutritional supplements representing 35.7%, 13.5%, and 3.6%, respectively. Pet healthcare ranks as the second-largest segment, capturing 28.0% of the market, reflecting pet owners’ strong emphasis on their pets’ health and quality of life. Pet supplies hold the third-largest share at 12.4%; this segment encompasses a broad range of products, including toys, apparel, and bedding. Meanwhile, pet services account for 6.8% of the market. Although currently a relatively small segment, pet services cover multiple areas such as bathing and grooming, training, boarding, and insurance, suggesting significant growth potential in the future.

　　Pet retail is one of the core segments of the pet industry, with traditional retailers selling pet products through offline channels such as pet stores and veterinary clinics, as well as online platforms. As the industry has evolved, modern pet retail outlets have transformed into comprehensive service centers, offering a range of services including product sales, grooming, boarding, social interaction, and health management. According to data, 83.0% of pet owners prefer to shop offline, while 68.1% opt for online purchases; the latter is favored for its convenience, extensive product selection, and competitive pricing, whereas the former excels in immediacy, experiential appeal, and professional service. With intensifying online competition and rising demands for brand strength and financial resources, the integrated development of online and offline channels has become the prevailing trend in pet retail.

　　3. Market Size Analysis of the Pet Industry

　　(1) Global Market

　　Data show that the global retail market for pet products was approximately US$207 billion in 2024 and is projected to grow to US$285 billion by 2030, representing a compound annual growth rate of 5.5%, underscoring the robust momentum of the pet economy. Pet food, as a core, essential need for pet ownership, constitutes a key sub-segment within the pet industry.

　　The global pet food market was valued at USD 151.11 billion in 2024 and is projected to exceed USD 200 billion by 2030, representing a compound annual growth rate of 5.5%.

　　(2) Domestic Market

　　In recent years, China’s pet industry has entered a period of rapid growth, with the market size expanding steadily and a clear trend toward consumption upgrading. Driven by the rise of the “loneliness economy” and the “companion economy,” the pet industry has become a key growth driver in the consumer market. From 2020 to 2024, the number of pets in China increased from 310 million to 430 million, representing a compound annual growth rate of 8.2%. By 2030, the pet population is projected to reach 570 million, with a compound annual growth rate of 5.8%.

　　The large pet population and the ongoing trend of pet growth will drive substantial market demand in the years ahead. Data show that from 2018 to 2024, China’s pet consumption market has experienced steady expansion. In 2018, the market was valued at RMB 170.8 billion; by 2024, it had grown to RMB 300.2 billion, representing a 75.76% increase over 2018 and a compound annual growth rate of 9.86%. The market is projected to surpass RMB 530 billion by 2030, underscoring the rapid rise of the “pet economy.”

　　4. Trends in the Pet Industry

　　(1) Trends in the Impact of the 15th Five-Year Plan for National Economic and Social Development on the Pet Industry

　　The 15th Five-Year Plan for National Economic and Social Development (“15th Five-Year Plan”) provides a powerful policy impetus and clear macro guidance for the upgrading and development of the pet industry. First, the plan’s emphasis on “expanding domestic demand” and “consumption upgrading” has directly catalyzed the boom in the pet economy. As household incomes rise and emotional needs grow, pets are shifting from being mere watchdogs to cherished family companions, and consumption patterns are evolving from meeting the basic need of “feeding” to embracing emotionally driven “pampering” as a form of experiential spending. This shift is driving the pet consumption structure toward higher quality and greater diversification, with high-value-added sectors such as pet healthcare, services, and insurance poised for explosive growth. Second, the plan’s advocacy of “high-quality development” and “green development” will spur industrial upgrading. The pet food sector will place greater emphasis on raw-material safety, nutritional science, and sustainable production, while pet products will increasingly prioritize environmental friendliness and durability. At the same time, the plan’s focus on “improving people’s livelihoods” and building a “harmonious society” will accelerate the development of a “pet-friendly society.” More cities will incorporate pet-friendly zones into public spaces and community planning, and commercial venues such as shopping malls and restaurants will become more welcoming to pets, thereby creating both physical and institutional foundations for harmonious coexistence between humans and pets and further unlocking the consumption potential of offline settings. Finally, the plan’s requirement to “improve the market regulatory system” signals that the pet industry will gradually adopt stricter regulations in areas such as food safety, medical standards, and service norms, guiding the sector away from unregulated, cutthroat competition and onto a path of standardized, orderly, and sustainable development. In sum, the 15th Five-Year Plan will exert concerted efforts across the demand side, the supply side, and the social environment, ushering in a golden era of sustained expansion in scale, continuous structural optimization, and more sustainable development for the pet industry.

　　(2) The Impact of Artificial Intelligence (AI) on Trends in the Pet Industry

　　Artificial intelligence (AI) is emerging as a core driving force, profoundly reshaping the operational models and user experience of the pet industry at the foundational level and facilitating the comprehensive implementation of the “science-based pet care” paradigm. Its most significant impact is evident in the field of veterinary medicine. AI-powered image recognition technologies assist clinicians in interpreting X-rays and ultrasound scans, substantially enhancing diagnostic accuracy and efficiency; meanwhile, smart health-monitoring devices integrated with big data analytics can continuously track pets’ behavioral and physiological metrics, enabling early disease detection and personalized health management, thereby making preventive healthcare a reality. In the pet food and retail sectors, AI leverages data on a pet’s breed, age, health status, and owner preferences to generate tailored nutritional formulas and deliver precise feeding through intelligent feeders. On the retail side, AI-driven recommendation algorithms enable highly targeted product matching for consumers, optimize inventory and logistics, and—through innovations such as unmanned stores and virtual try-on features—enhance shopping convenience and engagement. The AI revolution is also transforming the pet services and supplies industry: smart toys, powered by computer vision and voice interaction, engage pets in adaptive, dynamic play; AI-based behavior-analysis models provide customized training programs. Furthermore, smart wearables and environmental sensors work in tandem to create an intelligent, home-based pet-care ecosystem, allowing owners to remotely monitor and manage their pets’ well-being comprehensively. In sum, the pervasive integration of AI is elevating the pet industry from a labor-intensive, traditional service sector into a high-tech service domain characterized by data-driven operations and intelligent decision-making. This transformation not only boosts operational efficiency and enhances the customer experience but also unlocks new avenues for value creation—such as intelligent health management and personalized services—thereby establishing the core competitive advantage for businesses moving forward.

　　(3) The pet food market is upgrading toward greater sophistication and higher quality.

　　With the growth of the pet economy, pet food consumption is shifting from a “basic necessity” to an “emotional purchase,” as pet owners place greater emphasis on their pets’ health and nutrition. According to the 2025 China Pet Industry White Paper, nutritional balance, ingredient composition, and brand recognition are the key factors driving pet owners’ choices of staple pet food. Currently, extruded kibble dominates the market, but emerging categories such as baked kibble, fresh food, and air-dried treats are steadily gaining popularity. Looking ahead, pet food will increasingly rely on higher-quality ingredients and advanced manufacturing processes, reflecting a trend toward greater refinement and premium quality.

　　(4) The intelligent upgrade of pet products is gradually becoming the mainstream trend.

　　As pet owners place greater emphasis on their pets’ quality of life, “scientific pet care” and “precision pet care” have become the mainstream. Smart pet products, with their advantages of convenience, efficiency, health benefits, and intelligent functionality, are increasingly favored by pet owners. In 2023, the smart pet market was valued at approximately US$2.8 billion and is projected to grow to US$3.6 billion by 2029. In 2024, sales of smart pet products on Tmall and JD.com surged significantly. Data show that smart water fountains, feeders, and cameras are the primary purchase categories, while consumer preference for smart health-monitoring devices rose from 9.4% in 2023 to 12.5%.

　　(5) The pet retail industry is shifting toward personalization and diversification.

　　China’s pet retail industry started relatively late, with early operations primarily focused on selling single product categories in simple, minimalist stores to meet basic pet needs. As living standards have risen, consumer demand has shifted toward personalization and higher quality, prompting retailers to transform their stores into more personalized, comprehensive, and large-scale formats. New-generation stores emphasize artistic “check-in” elements and upscale design, not only showcasing products but also delivering emotional value. At the same time, integrated pet retail complexes are increasingly emerging, combining merchandise, veterinary services, and ancillary offerings to create one-stop platforms that cater to consumers’ growing demand for personalized experiences.

　　(6) Urban development is prioritizing the creation of pet-friendly spaces, with offline venues helping to monetize foot traffic.

　　As the pet industry continues to grow, more cities are promoting the development of “pet-friendly spaces,” and pet owners are increasingly willing to spend on related services. According to the 2025 China Pet Industry White Paper, 71.6% of pet owners are familiar with the concept of pet-friendliness, and 59.3% believe that pet-friendly amenities should be expanded in public areas. Pet-friendly parks, shopping malls, cafés, and other venues have become popular打卡spots, attracting large numbers of pet owners. Platforms such as Douyin and Xiaohongshu facilitate the frequent dissemination of pet-related content, boosting brand visibility, strengthening consumer engagement, and generating greater commercial opportunities and traffic value.

　　5. Industry Competitive Landscape and Major Companies

　　China’s pet industry has now established a relatively robust competitive market structure, with overall industry profit margins remaining stable. However, given the large number of niche segments and market categories, profitability varies across different application areas and regions. In general, profit levels in the pet industry are closely tied to factors such as company size, operational efficiency, sales channels, and brand recognition. Typically, smaller firms with limited sales channels and a relatively mid-to-low-end market positioning face fiercer competition and lower profit margins; by contrast, larger companies that boast high-quality customer bases and strong market acceptance tend to achieve higher profit levels.

　　In the pet retail sector, pet retailers operate at the downstream end of the industry value chain and are positioned to offer consumers one-stop, comprehensive pet-related services, including the sale of pet food and supplies, pet adoption and sales, grooming and bathing, boarding and training, and veterinary care—all designed to meet the diverse needs of pet owners across various scenarios. Major international pet retail players include PetSmart, Petco, and Chewy. Overseas pet retail markets are relatively mature, with high market concentration among leading firms. According to a report by Business Wire, Chewy has captured more than 50% of the U.S. online pet-commerce market. In contrast, China’s pet retail landscape is characterized by a large number of brands, predominantly small independent stores, while chain-based brands are still in the early stages of development, resulting in relatively low market concentration.