As the Asia-Pacific region experiences profound demographic and economic shifts, the pet economy is emerging as a vibrant and rapidly growing sector. Moreover, the region’s pet care market is poised to outpace North America and Western Europe in terms of growth over the next five years.

Asia-Pacific’s pet care market (including food and products) is projected to reach $29 billion in 2024, making it the third-biggest market globally, per Euromonitor. It is expected to grow at a compound annual growth rate (CAGR) of 4% between 2024 and 2029, outpacing North America (2.5%), Western Europe (2.1%), and the global rate (3%).

As more people remain single and family sizes shrink—most notably in East Asia—they are increasingly turning to pets, particularly dogs and cats, for companionship. Pets are increasingly seen as family members, driving higher spending.

Spending is skyrocketing in China

In 2023, dog and cat ownership in China reached over 120 million, with household pet ownership at 22%—compared with 70% in the US and 46% in Europe, according to iiMedia Research.

Spending on pets and related products is expected to surge from RMB 592.8 billion ($83.80 billion) in 2023 to RMB 811.4 billion ($114.70 billion) in 2025, according to iiMedia. The pet food market will have a CAGR of 8% between 2024 and 2030, when it will reach $12 billion, according to a Goldman Sachs report cited by CNBC.

The most popular channels for pet food-related information are traditional ecommerce platforms such as Tmall and JD.com (64.7%), short video ads (58.5%), and pet shop ads (41.9%).