ConsumerInsights

Gen Z’s Pet Obsession Fuels $150 Billion Pet Care Boom, Report

The US pet industry, now valued at $150.6 billion, is undergoing a radical transformation as retailers adapt to the demands of modern pet parents who view

Gen Z's Pet Obsession Fuels $150 Billion Retail Pet Care Boom
ConsumerInsights

Gen Z’s Pet Obsession Fuels $150 Billion Pet Care Boom, Report

The US pet industry, now valued at $150.6 billion, is undergoing a radical transformation as retailers adapt to the demands of modern pet parents who view their animals as family. According to a 2025 Colliers report, 66% of American households—86.9 million homes—own at least one pet, driving unprecedented spending on premium care, tech-enabled products, and hybrid shopping experiences.

The Humanization of Pets Fuels Premiumization

Pet owners are prioritizing health and wellness like never before. Veterinary care accounts for the largest share of pet budgets, with 37% of owners going into debt to cover costs. Insurers are capitalizing on this trend: the U.S. pet insurance market is projected to reach $15.71 billion by 2030. Meanwhile, demand for organic, human-grade food and luxury accessories—think $500 orthopedic dog beds and giraffe-shaped cat condos—is surging, even if pets ignore these indulgences.

Retailers are responding by blending in-store and online experiences. While big-box chains like…

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