Fur flying as pet players compete for market share

Chinese industry is overwhelmingly female-led.Dogs that are more popular than cats

When the clock rings at midnight on November 11, Beijing-based owner Liu Yang, the owner of two cats and one dog, hastily rushed to fill the Taobao discount and fill the virtual shopping cart in minutes. Did.

“Because the deal took place within the first two hours of November 11th (Singles’ Day), we were given an additional discount on cat litter box orders. The first 5,000 dog food orders. If you could also enjoy a free sample of litter box. A few days ago I looked for coupons and tips to get the best price. It was complicated but worth the money saved. There was, “says Liu.

Liu has begun preparing a shopping checklist containing 6 bags of Orijen’s Six Fish weighing 5.4 kilograms. This is a 20 cans of cat food product featuring a protein-rich diet of about 550 yuan ($ 83) per bag after discount. In addition to canned cat food totaling about 200 yuan, nutrition bars, hairball treatment products, toys, pest control products, and dog products in several categories. According to Liu, Liu has set back about 7,000 yuan, which represents her monthly salary.

“I bought half a year of food and products for dogs and cats and waited another six months to supply until June 18th (another online shopping gala known for big discounts). How to keep a pet It costs a lot, but it’s sometimes sad to live alone, about 400 kilometers away from my parents, and working alone in such a big city. The relationship between cats and dogs is very Comfortable. I don’t see them as my pets. They are my furry family. “

The increase in pet owners like Liu is an important driving force for Singles’ Day sales of pet products.

In the first 30 minutes of November 11, sales growth for both pet food and daily necessities exceeded 100% year-on-year at Tmall. According to a report from ixiupet.com, sales of smart pet products such as automatic feeders reached about 1,000% year-on-year.

Another e-commerce giant, JD, said pet product trading value increased 110% year-on-year from November 1st to November 11th. In the first five hours of November 11, traded value of imported pet food, pest repellents, canned pet food and sanitary products increased 7-fold, 9-fold, 35-fold and 15-fold, respectively, year-on-year. The top three brands in terms of product sales are Origin and Go! And Royal Canin.

This explosive increase in personal consumption of pet products also occurred during the sale of Singles’ Day last year, when pet product trading increased by almost 130% year-on-year at Tmall. Overall, sales of cat snacks surged nearly 700% year-on-year, while sales of dog snacks surged more than 1,400% year-on-year. Sales of pet healthcare products increased 165% year-on-year.

“In today’s fast-paced society, dating with animals such as cats and dogs is becoming increasingly important for some people, especially young adults living alone in big cities. Willing to spend more to provide a better life for furry families. In the future, the market may see a wider variety of products to meet the different needs of pet owners. “Maybe,” said Kongjin, a consultant at the China Pet Products Association.

According to a report released by pet fair Asia and pet owner website goumin.com, the total number of pet dogs and cats in urban areas throughout China reached 99.15 million, and the pet consumer market will reach 200 billion yuan in 2019. Exceeded.

The multi-billion dollar market remains booming, according to a report by global consultancy PwC in October. The report estimates that over the next five years, the market will expand even more rapidly, reaching 320 billion yuan, stimulated by increased pet ownership and consumption upgrades.

Pet food spending remained stable, even during the COVID-19 pandemic, where some consumers cut spending. Consumers have also shown growing interest in luxury brands, according to the report.

Highly educated young adults living alone, especially women, are the driving force behind this booming market. According to the report, about 88% of pet owners are women, about half of pet owners were born in the 1990s or are millennials, and about 50% of pet owners are single. Approximately 57% have a college degree or higher education (less than 10% of China’s total population has a college degree or higher education).