Pet Technology is Changing the Pet Market

The Shift in Pet Ownership and Spending by the Younger Generation

In the United States, the pet ownership rate among the younger generation (Millennials and Gen Z) is now comparable to that of older generations. Moreover, Gen Z’s priority for pet spending has significantly increased.

Pet Ownership Rates

According to the American Pet Products Association (APPA) 2023-2024 National Pet Owner Survey:

• 86.9 million U.S. households have at least one pet, accounting for 66% of all U.S. households.
• Pet ownership among Millennials and Gen Z now mirrors that of Gen X and Baby Boomers.
• CoBank’s report highlights that U.S. birth rates have declined from 15.65 in 1988 to 12.02 in 2023, while pet ownership has risen from 56% in 1988 to 66% in 2023. This indicates that many young people are delaying or forgoing having children, directing their emotional investment toward pets instead.

Additionally, data from 2018 to 2024 reveals that Millennials continue to be the largest pet-owning group, but Gen Z is growing the fastest, increasing from about 11% to 16%.

These trends show that the younger generation is becoming the main force in the pet industry, with their attitudes shaping future industry trends.

Health-Driven Trends Leading to Higher Pet Owner Investment

1. Growth in Fresh Pet Food

The younger generation of pet owners in the U.S. is driving a shift toward health-conscious pet products, especially fresh pet food. According to CoBank data, fresh pet food is one of the fastest-growing segments in the pet food market, driven by its health benefits:

• Significant Sales Growth: Since 2021, fresh dog food sales have increased by 86.5%, and fresh cat food sales have grown by 53.8%. In 2023, fresh dog food sales grew by 19.2% year-on-year, while fresh cat food saw a 6.4% growth.
• Market Potential: By 2030, fresh and refrigerated/frozen products are expected to make up 11% of the pet food market.

Mintel research shows that demand for fresh pet food is rapidly growing:

• 51% of consumers believe freshly prepared foods are healthier.
• 79% are willing to pay a premium for healthier food options.

2. Growth in the Pet House Category

In addition to pet food, the demand for pet houses focused on health and comfort is also increasing, particularly among younger pet owners. While precise statistics are limited, market trends indicate that more Millennials are purchasing or planning to purchase high-tech, multifunctional pet houses to balance both technology and comfort.

Millennial pet owners, with an average annual spending power of $200, are willing to spend up to $1,500 annually on basic pet care and additional services. This generation not only demands organic and eco-friendly pet food but is also increasingly opting for smart pet houses and automated pet care devices, fueling growth in the pet house category.

Popular pet house products currently on the market include:

• PAWD Pet House: Focuses on portability and minimalist design, equipped with basic air filtration and heating functions.

• Tuft + Paw Pet Furniture Series: Blends modern aesthetics with sustainable materials, catering to both pets’ and owners’ needs.

• SPH（Smart Pets Home） Smart Pet House: Integrates smart technology, featuring HCAF air conditioning, automatic door control, air purification, and humidity regulation. It allows remote operation and real-time monitoring, meeting modern pets’ needs for comfort and wellness.

3. SPH Smart Pet House Innovation

SPH’s latest product developments represent a significant leap forward in functionality and smart integration. By working seamlessly with the SPH Smart Collar, the pet house can automatically adjust indoor temperature, humidity, and air quality, while tracking pet behavior data. This ensures a healthier and more comfortable living environment for pets. The design not only meets the basic needs of pets but also enhances the tech-savvy experiences for pet owners.

4. Core Drivers Behind Younger Generations’ Focus on Health Products

• Pets as Family Members
  Younger generations view pets as integral family members, and this mindset extends to their purchasing habits. Reports show that young pet owners favor products with clear labeling and ingredients beneficial to pets’ health, such as probiotics and antioxidants.
• Concerns Over Pet Obesity
  According to the Association for Pet Obesity Prevention (APOP), approximately 59% of dogs and 61% of cats are overweight or obese. This issue is of particular concern among young pet owners:
  • 41% of pet owners aged 16-34 believe their pets need to lose weight.
  • A growing number of young pet owners are opting for weight-management foods or treats to help pets maintain a healthy weight.
• Environmental and Ethical Consumption
  Environmental consciousness is a significant factor in purchasing decisions. MarketWatch data reveals:
  • Around 50% of young pet owners are willing to pay a premium for American-made, BPA-free, and environmentally sourced pet products.

Future Opportunities in Health-Oriented Consumption

This health-driven consumption trend is not only pushing innovation in fresh pet food but also creating new opportunities for smart brands like SPH to enter the market. As technology continues to advance and consumer demand for high-tech pet care products grows, brands like SPH are positioned to meet the needs of modern pet owners, further driving market growth.

SPH Smart Pet House: Enhancing Human-Pet Interaction and Addressing Humanized Pet Needs

As the bond between pets and humans becomes closer, pet owners have higher expectations for pet products. Not only do these products need to be functional, but they must also enhance interaction and emotional connection. SPH’s Smart Pet House meets this trend through innovative design and intelligent modules.

Enhancing Human-Pet Interaction

SPH’s Smart Pet House enhances interaction between pet owners and their pets in several ways:

• Real-Time Monitoring and Feedback: Pet owners can view their pets’ activities and health data anytime through the smart app.
• Automated Interaction System: Smart door and collar integration allows pets to come and go freely, while the “Welcome Mode” triggers when the pet senses the owner’s proximity.
• Sound and Light Prompts: Built-in sound and light interaction modules help pet owners soothe their pets remotely during work hours.

Amplifying Humanized Pet Needs

SPH’s Smart Pet House emphasizes respecting and meeting the needs of pets as family members:

• Environmental Simulation: The temperature and humidity inside the pet house are adjusted to mimic pets’ natural habitats.
• Health Protection: The negative ion deodorization system and air filtration modules keep the environment fresh and reduce the risk of diseases.
• Emotional Connection: Through the app, pet owners can stay emotionally connected with their pets even when they are away.

Through these innovations, SPH has transformed the pet house from a simple living tool into an emotional bond, further enhancing the quality of life for both pets and pet owners.

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Cindy

Verified Buyer

5/20/24

Our two cats started using it right away and we all love it! No more smells and it is always clean and ready for the next visit. Super quiet clean cycle and much less litter tracked onto the floor. Definitely a 5 star product!

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Cindy

Verified Buyer

5/20/24

Our two cats started using it right away and we all love it! No more smells and it is always clean and ready for the next visit. Super quiet clean cycle and much less litter tracked onto the floor. Definitely a 5 star product!

Was this review helpful?

2

1

Cindy

Verified Buyer

5/20/24

Our two cats started using it right away and we all love it! No more smells and it is always clean and ready for the next visit. Super quiet clean cycle and much less litter tracked onto the floor. Definitely a 5 star product!

Was this review helpful?

2

1