Industry Reports

US Pet Spending 2025: $158B and Climbing

US pet spending hit $158B in 2025 (+3.7%), with APPA forecasting $165B for 2026. See category splits and the drivers behind the growth.

By Scott Zhu August 25, 2026 6 min read
US Pet Spending 2025: $158B and Climbing

TL;DR: Total US pet spending reached $158 billion in 2025, up +3.7% year over year, according to the American Pet Products Association (APPA,). APPA forecasts spending to reach $165 billion in 2026.

us pet spending: key facts

The United States remains the single largest pet market on earth, and 2025 confirms the country’s lead. Per the American Pet Products Association’s expenditure tracking cited on LinkedIn, Americans spent $158 billion on their pets in 2025, a +3.7% lift over 2024, with a projected $165 billion for 2026. This article dissects where those dollars go, which generations are writing the checks, and what the numbers signal for brands and investors.

How Much Did the US Spend on Pets in 2025?

The headline figure is $158 billion in total US pet expenditure for 2025, a +3.7% increase versus the prior year. APPA’s forward estimate puts 2026 at $165 billion, implying steady—if moderating—growth as the post-pandemic adoption wave matures.

For scale, the US alone represents a large share of the ~$207 billion global pet market size we track in our global pet market 2025 report. In pet food specifically, North America holds an estimated 42.5% of the worldwide market (IMARC,), underscoring how concentrated value remains in the US.

What Are the Biggest US Pet Spending Categories?

APPA’s expenditure survey traditionally splits spending into food, supplies/vitamins/OTC medicine, vet care, live-animal purchases, and services (grooming, boarding, training, insurance). The dominant buckets:

Pet food and treats

Food is consistently the largest line item, typically ~40% of total US spend. The shift toward premium, fresh, and specialized diets (grain-free, limited-ingredient, veterinary) keeps this category’s value rising even as volume flattens. Refrigerated/frozen dog food grew +13.4% in the latest NielsenIQ read while total dog food slipped −0.2%, a sign owners are trading up within the food basket.

Veterinary care and products

The second pillar. Vet care is under structural pressure: AVMA/USDA named a record 243 veterinary shortage areas in 2025, and Provet Cloud pegs industry stress at 6.6/10 with 78% citing insufficient mental-health resources. Those shortages push prices up and, per Synchrony (via Encore Vet/LinkedIn), >50% of owners deferred needed vet care in the past year on cost—a drag on realized spend.

Supplies, supplements, and services

Non-food categories are small but fast. Pet supplements reached $2.8 billion globally (8.1% CAGR, USD Analytics); functional soft-chews are now 42% of the supplement format (NIQ,). Services—grooming, boarding, daycare—rebounded as owners returned to travel and office life.

Insurance and digital health

Pet insurance hit $14.2 billion globally in 2025 (12.8% CAGR to $46.8B by 2035, Global Market Insights). In the US, Trupanion turned profitable at $1.44 billion revenue (LinkedIn Insurance Business Mag), and Spot Pet Insurance posted a striking +1,656% three-year growth (Inc. 5000 2025,).

Which Generations Drive US Pet Spending?

Demographics explain a lot of the 2025 momentum.

  • Millennials remain the largest pet-owning cohort, ~30% of pet households per APPA data cited on LinkedIn, and they shop digitally and value-driven.
  • Gen Z is the fastest-growing owner group, with pet ownership up +43.5% (APPA/Templer Tang). Gen Z over-indexes on fresh, natural, and Instagrammable brands and discovers products on social rather than legacy TV.
  • Gen X and Boomers still carry the highest absolute spend per household, often on premium veterinary care and insurance for aging pets.

The net effect: a broad, multi-generational base where younger owners add volume and older owners add premium dollars.

Is US Pet Spending Slowing?

Growth of +3.7% is healthy but below the double-digit peaks of the early 2020s. Two counterforces are at work:

Supportive: Humanization deepens—43.6% of owners prioritize pet food health over their own (Pride and Groom,). Subscription models (Chewy Autoship = 83.3% of revenue, LinkedIn Chewy IR) smooth volatility.

Constraining: Inflation in vet care and a normalization of pandemic-adopted pet counts. The +3.7% figure suggests the market is maturing into a steady, premium-led compounder rather than a spike.

How Does the US Compare Globally?

Against peers, the US dwarfs other national markets:

  • China urban dog+cat spend: ¥312.6 billion (~$43B at 2025 exchange, +4.1%), per China Pet White Paper.
  • APAC total: $42.16 billion (2024, 6.01% CAGR), per Market Data Forecast.
  • Global: ~$207 billion (2025), per Euromonitor.

The US thus accounts for a large minority of global spend, with far higher per-pet expenditure than emerging markets where commercial-food penetration is still low (India: 3–4%, Petfood Forum Asia).

What Should Brands and Investors Watch?

  1. Premiumization over volume. Flat pet counts + rising per-pet dollars = win the basket, not the household.
  2. Fresh and functional. Fresh dog food (+13.4%) and functional treats (42% soft-chew) are where velocity concentrates.
  3. Vet-capacity squeeze. Shortages and deferred care create openings for telehealth ($20.5B in 2025, 25.1% CAGR to $52.2B by 2029, Global Market Insights) and retail clinics (Chewy opened 18 clinics).
  4. Gen Z acquisition. Brands that win the youngest owners build a decade-long LTV.

How Do Channels and Subscriptions Shape US Spend?

The $158B total is increasingly a recurring-revenue number, not a one-time basket.

What share of US pet sales is e-commerce?

Chewy alone recorded $12.6 billion in 2025 net sales, with Autoship subscription driving 83.3% of revenue (LinkedIn Chewy IR). Amazon and PetSmart/Petco omnichannel add to a channel where subscription food, litter, and meds smooth volatility for both retailers and brands. Recurring revenue is why US spend stays “sticky” even as pet counts normalize.

How do services and vet care split the total?

Veterinary care is the second-largest bucket after food, but it is capacity-constrained: a record 243 veterinary shortage areas (AVMA/USDA) and >50% of owners deferring care on cost (Synchrony) cap realized spend. Services—grooming, boarding, daycare, training—rebounded post-pandemic as owners returned to travel and offices, and now form a stable mid-single-digit slice.

Is US pet population still growing?

Ownership keeps broadening: Gen Z pet ownership rose +43.5% (APPA/Templer Tang) and Millennials are ~30% of pet homes. Even with flatter dog counts, the household base and multi-pet ownership support continued dollar growth.

What Role Does Premiumization Play in US Spend?

Premiumization—not more pets—is the 2025 growth engine. Owners trade kibble for fresh (refrigerated/frozen dog food +13.4% vs total −0.2%, NielsenIQ), ordinary diets for veterinary, and generic for branded. The result: flat volume, rising value. This is why APPA’s +3.7% still delivers meaningful absolute dollar gains on a $158B base.

Related reading

FAQ

How much did the US spend on pets in 2025?
$158 billion, up +3.7% year over year, per the American Pet Products Association (APPA,, 2025).

What is US pet spending forecast for 2026?
APPA forecasts $165 billion for 2026, indicating continued steady growth.

Which category is the largest in US pet spend?
Pet food and treats, typically around 40% of total expenditure, remain the biggest line item.

Is US pet spending slowing down?
Growth moderated to +3.7% from earlier double-digit peaks, but premiumization and subscriptions keep it a steady compounder.

Which generation spends most on pets in the US?
Millennials are the largest owning cohort; Gen Z is the fastest-growing (+43.5%); older cohorts carry the highest per-household spend.

Sources

  • APPA (2025) —; US pet expenditure $158B (+3.7%); 2026 forecast $165B.
  • Euromonitor / Quora (2025) —; global pet market size ~$207B.
  • IMARC (2025) —; North America 42.5% of global pet food market.
  • NielsenIQ (2025) —; refrigerated/frozen dog food +13.4% vs total −0.2%.
  • AVMA / USDA (2025) —; 243 veterinary shortage areas (record).
  • Provet Cloud (2025) —; vet industry stress 6.6/10, 78% cite insufficient mental-health resources.
  • Synchrony / Encore Vet (2025) —; >50% of owners deferred vet care on cost.
  • Global Market Insights (2025) —; pet insurance $14.2B; vet telehealth $20.5B$52.2B.
  • Trupanion / Insurance Business Mag (2025) —; $1.44B revenue, profitable.
  • Spot Pet Insurance (2025) —; +1,656% three-year growth (Inc. 5000).
  • APPA / Templer Tang (2025) —; Gen Z ownership +43.5%, Millennials ~30% of pet homes.
  • Pride and Groom (2025) —; 43.6% prioritize pet food health over own.
  • Chewy IR (2025) —; Autoship 83.3% of revenue; 18 clinics opened.
  • USD Analytics / NIQ (2025) —; supplements $2.8B (8.1% CAGR); soft-chew 42%.
  • China Pet White Paper (2025) —; China urban ¥312.6B.
  • Market Data Forecast (2025) —; APAC $42.16B (2024, 6.01% CAGR).
  • Petfood Forum Asia (2025) —; India commercial-food penetration 3–4%.

Scott Zhu
Scott Zhu

Senior researcher at GlobalPetIndex, tracking pet business strategy, M&A and brand intelligence.

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