Summary of BusinessWeekOnline’s article, “The Pet Economy“, August 6, 2007.

Dogs and cats, once family pets for kids, are now popular among empty nesters, singles, and couples without kids. This shift in pet owners is important because, without kids in the household, they have money to spare.

Pet Trends

  • 63% of American households (71 million homes) have at least one pet.
  • Americans now spend $41 billion/year on their pets (double that of a decade ago).
  • After electronics, pet care is the fastest growing retail sector (6% per year).
  • Annual compound growth rate for core vet services over the last ten years is 10%.
  • 42% of dogs now sleep in the same bed as their owners (34% in 1998)
  • Half of all dog owners consider their pets comfort when purchasing a vehicle.
  • A third of all dog owners purchase a birthday gift for their pets.

Specialized Services

  • Doggy day care centers
  • Doggie hotels instead of kennels
  • Organic pet food and catered gourmet meals
  • Braces, cosmetic surgery and artificial balls for neutered pets
  • Specialized clothing for pets
  • Pet Psychotherapy
  • Pet cremation & funeral services