According to a recent study from market research firm Global Market Insights, the animal healthcare market is set to grow from its current market value of more than $129.9 billion to over $172.5 billion by 2025, gaining remarkable traction over the 2020 to 2025 period.
The animal healthcare market expansion will be driven by the increased awareness among pet owners regarding animal health issues. Numerous government initiatives to support pet healthcare will further drive the market growth. The increasing livestock production and growing expenditure on pet health would create a significant demand for animal healthcare solutions. As per the American Pet Products Association, people in the U.S. spent nearly US$72.56 billion in 2019 on their pets. As per the Federal Trade Commission, about US$10 billion of these investments were made on prescription drugs for animals.
Considering the type of animal, companion animals are expected to capture more than 60 percent revenue share of animal healthcare market by 2025. The past few years have witnessed a notable uptick in pet ownership trends. With growing focus on pet healthcare, the availability of effective companion animal medications and treatment options, pets have started to live longer.
Animal healthcare solutions can be availed via online platforms, pharmacies, or through distributors. In terms of the distribution channel, distributors segment was valued at US$57 billion in 2018. Factors such as availability of a wide portfolio of products and services and an extensive geographical network make distributors a preferred option for supply of animal healthcare products.
The product segment of the animal healthcare industry is categorised into veterinary services, pharmaceuticals, and medical devices. The pharmaceuticals segment accounted for a market value of US$29 billion in 2018 and is anticipated to experience significant growth in the forthcoming years.
Europe animal healthcare market is projected to witness a healthy CAGR of 4 percent through 2025, driven by the rising burden of disease outbreaks among livestock animals. The European government has undertaken several strategic initiatives to address animal health issues and create awareness towards the importance of animal healthcare. Growing investments in animal healthcare and the presence of major animal health companies will certainly complement the regional outlook.
Several programs and initiatives are underway to promote education and awareness pertaining to animal health and well-being among people. Some of the the leading firms in the global animal healthcare industry include Neogen, Zoetis, Merck, Boehringer Ingelheim, Elanco, Dechra Pharmaceuticals, IDEXX Laboratories, B. Braun Vet Care, and Medtronic, among others.
