Functional Pet Treat Market By Pet (Dog, Cat, Others), By Application (Bone Health, Brain Health, Obesity, Skin Diseases, Others), By Distribution Channel (Pet Stores, Pharmacies, Veterinary Clinics, Online Stores, Others): Global Opportunity Analysis and Industry Forecast, 2022-2031
The global functional pet treat market was valued at $291 million in 2021, and is projected to reach $722.8 million by 2031, growing at a CAGR of 9.2% from 2022 to 2031.Functional pet treats are specialty feed formulations enriched with natural ingredients that are aimed to provide a wide range of health benefits to pets. Weight management, dental health, digestive health, and immune system boosting are key functional areas of interest among pet owners. Functional pet treats aid in disease prevention & treatment among dogs & cats. They are popular alternatives to traditional pet treat and are given to pets that maintain their overall health.
Shift from pet ownership to parenting has been a crucial & defining trend in the pet care market, especially in developed countries. One-third of the households in developed countries own a pet. Traditionally, pet owners fed leftovers & scraps from family meals to their pets. However, pet owners are becoming aware of pet treat & functional pet treat, which are manufactured with the focus to improve health of these animals. In addition, there has been rise in adoption of pets owing to various benefits associated with them, including improving mental health and decline in stress. A study conducted by American Veterinary Medical Foundation (AVMF) shows that nine out of ten Americans, who own pets, consider them as a part of their families. According to the 2018 National Pet Owners Survey conducted by the American Pet Products Association (APPA), 68% of households in the U.S. owned a pet. The expenditure on pets in the country increased from 41.2% in 2007 to 69.4% in 2018, out of which, the money spent on pet treat occupied over 40% to 45%. Collectively, it shows that increase in pet humanization is expected to raise the demand for functional pet treat during the forecast period.
Functional pet treat is a new & innovative product segment in the pet treat industry, which not only requires advertisement for its awareness but also a wide distribution network. Rapid increase in number of large retail stores, including supermarkets and hypermarkets in developing economies has enabled easier availability of functional pet treat, as these stores help increase sales of organic & conventional functional pet treat products. Supermarkets and convenience stores have served as better distribution points for various pet supplements. In addition, growth in urbanization is expected to boost growth of the retail sector, which, in turn, generates demand for functional pet treat.
The concept of pet ownership is not just limited to developed countries, such as U.S., the UK, and Australia, but is also escalating in developing nations such as India, China, and Brazil. With rapid increase in personal disposable income, people in such nations are able to own a pet and provide the best quality of life to them. Mexico alone owned around 18 million pets that resulted in around 8% of increased pet treat sales in 2015. In addition, the Asia-Pacific functional pet treat industry is growing tremendously, owing to increase in pet population. For instance, India’s pet population has witnessed growth from 7 million in 2006 to more than 10 million pets in 2011. Improvement in consumer lifestyles and increase in incomes in developing countries resulted in increased acceptance for pets among all income groups.
Rise in regulatory constraints in pet treat, pet functional treat, and pet supplement industry are expected to negatively affect the functional pet treat market during the forecast period. For instance, in the U.S., pet treat is highly regulated by the U.S. FDA to meet both federal and state requirements. The U.S. FDA has imposed laws on both finished pet supplements and their application. Any ingredient cannot be used in pet treat supplement until it has been accepted by the FDA and Association of American Feed Control Officials (AAFCO). These organizations develop model bills & legislations for pet supplements.
Under the Food Safety Modernization Act (FSMA) 2010, guidelines for pet supplement manufacturers in the U.S. were issued related to certification, sterilization, hygiene, and labeling of food. In addition, owing to lack of a universal regulatory structure, global trading becomes difficult. Huge investments are made in manufacturing functional pet treats additives and different regulations & guidelines lead to severe losses for manufacturers. Therefore, it becomes expensive to frequently update manufacturing raw material and facilities in accordance with changing guidelines. The aforementioned factors are expected to hinder the growth of the market during the forecast period.
The functional pet treat market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. In 2021, North America dominated the functional pet treat market, and is expected to sustain its dominance during the forecast period. This is majorly attributed to rise in adoption of pets and increase in spending on pet care products, including healthcare & grooming products. Furthermore, growth in innovation in pet treat & supplement packaging is expected to escalate the demand for functional pet treat in North America. Furthermore, rise in research to find natural & organic pet ingredient, which can be used in functional pet treat creates potential opportunities for growth of the market. Moreover, pet owners look for premium & super premium functional pet treat, owing to growth in concerns regarding health of their pets & animal welfare in North America. Canada and Mexico are lucrative markets for pet supplements, growing at a CAGR of 9.6% and 9.3%, respectively, during the forecast period.
For the purpose of analysis, the global functional pet treat market scope covers segmentation based on pet, application, distribution channel, and region. The report provides information on various pets such as dog, cat, and others. In addition, it outlines the details about different applications, including bone health, brain health, obesity, skin diseases, and others. Furthermore, the key distribution channels covered in the study include pet stores, pharmacies, veterinary clinics, online stores, and others. Moreover, it analyzes the current market trends of functional pet treat across different regions such as North America, Europe, Asia-Pacific, and LAMEA.
Further, the report covers strategies adopted by key market players to sustain the competitive environment and increase their market share. Archer-Daniels-Midland Company, Bacterfield, DAR PRO Ingredients, IsoNova Technologies LLC, Kerry Group, Nestlé Purina PetCare Company, PDM Group (Prosper De Mulder Ltd.), Petcurean Pet Nutrition USA Inc., Roquette Frères, and The Scoular Company are some of the major players discussed in the report, which cater to the functional pet treat market.
Key Benefits For StakeholdersThis report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the functional pet treat market analysis from 2021 to 2031 to identify the prevailing functional pet treat market opportunities.
The market research is offered along with information related to key drivers, restraints, and opportunities.
Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
In-depth analysis of the functional pet treat market segmentation assists to determine the prevailing market opportunities.
Major countries in each region are mapped according to their revenue contribution to the global market.
Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
The report includes the analysis of the regional as well as global functional pet treat market trends, key players, market segments, application areas, and market growth strategies.
Key Market SegmentsBy ApplicationBone Health
Brain Health
Obesity
Skin Diseases
Others
By PetDog
Cat
Others
By Distribution ChannelPet Stores
Pharmacies
Veterinary Clinics
Online Stores
Others
By RegionNorth America
U.S.
Canada
Mexico
Europe
UK
France
Germany
Russia
Spain
Italy
Rest of Europe
Asia-Pacific
China
Japan
India
Australia
Rest of Asia-Pacific
LAMEA
Brazil
Argentina
Saudi Arabia
South Africa
Rest of LAMEA
Key Market Players
Sunshine Mills Inc.
The J.M. Smucker Co.
Plato Pet Treats
Mars, Incorporated
Real Pet Food Company Pty. Ltd.
General Mills Inc.
Thai Union Group PCL.
Wellness Pet Company, Inc.
Natural Balance Pet Foods, Inc.
Colgate-Palmolive Company
Nestle S.A.
Nulo Pet Food
Pure Treats Inc.
Charoen Pokphand Foods PLC.
Better Choice Company Inc.
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