The pet industry produces a plethora of products to meet a seemingly insatiable demand from pet owners. The vast product range include, but is not limited to: pet and animal food, health and hygiene items, toys, furnishings, collars, bowls, and feeders. The demand for pet supplies has significantly increased during the pandemic, as many customers now have more time at home to spend with their pets. In addition, the work-from-home trend has also seen a significant uptick in online shopping. This has produced a simplified shopping experience for pet supplies, with a growing number of retailers opening up online stores as a result.
According to Grand View Research, the global pet e-commerce market size is expected to grow at a compound annual growth rate (CAGR) of 11.3% from 2020 to 2027. [1] With online retail channels being the fastest-growing segment for pet product sales in the United States, how should you focus your sourcing strategy for pet supplies in 2024?
In a recent interview with the Alibaba.com LinkedIn team, Kean Zhou, Pet Category Specialist at Alibaba.com, describes the sourcing trends pet supply retailers should look out for in 2022. With insights and data collected from Alibaba.com, Zhou also discusses four factors buyers should consider when choosing a supplier on Alibaba.com. "Consumers have much higher expectations for pet supplies nowadays, and solely offering a great product variety and products with high market relevance isn't enough," Zhou says. "Buyers must also look into the innovation behind these products and the sustainable standpoint these products take."
Read more about the pet supply trends that will help you strategize your sourcing plan in 2024.
Millennials are the leading generation of pet ownership
According to the Washington Post, millennials are less likely to get married and have kids than the generations before them. A childless lifestyle with flexible working arrangements has become much more common within the millennial group, translating to higher rates of pet ownership. [2]
"Pets are treated as part of the family, especially when more and more people choose not to have children anymore," says Zhou. "When sourcing for pet products, think about the audiences you are selling to and the value they place on specific products and brands could bring them in addition to product quality and price. Furthermore, millennials also leverage channels of social media when shopping for pet supplies. This should be taken into consideration when expanding sales channels beyond the traditional 'digital' storefront. This has a direct effect on brands’ ability to reach more target audiences."
Smart pet products are rising in market demand
Like all other industries, the pet supply industry is also integrating the latest technologies into products. This is especially true with millennials holding the most significant purchasing power. Smart pet toys and devices such as those with built-in cameras and those with interactive features are trending especially high on Alibaba.com. These products allow owners to monitor their pets and keep them occupied, even when owners are not home. Buyers should also look into sourcing other smart pet items, like drying machines and litter boxes. "Finding a supplier with strong R&D capability is essential if you are looking to design your own smart pet products," Zhou says. "On Alibaba.com, many manufacturers have special technologies with patents and certifications that can produce new and exciting products."
Humans aren’t the only ones to receive holiday gifts these days
"One of the trends we see on Alibaba.com is that holiday and event-themed pet products are performing particularly well," says Zhou. "The humanization of pets not only leads to people paying more attention and care to their furry friends, but also lead to the increasing sales of holiday/themed gifts for pets as they are considered part of the family as well." The 2021-2022 APPA National Pet Owners Survey indicated that up to 80% of pet owners stated they purchase gifts for their pets, with Christmas being the most common occasion for gift shopping.[3]
Pet products are going green
Sustainability serves as another important index for pet product shopping, especially for U.S. manufacturers and consumers. From food ingredients to packaging materials, sustainability is on the forefront of customers minds, and gradually becoming the new normal for all industries. “Many of our pet product suppliers are working hard to reduce the heavy environmental footprints caused by old-fashioned pet supplies, such as plastic toys and packaging,” Zhou says. “For example, one of the trending pet supplies on Alibaba.com is pets’ poop bags made from environmental-friendly materials that are renewable and biodegradable. Suppliers on Alibaba.com are also making sustainable efforts for a better planet.”
Traditional pet necessities still ranking high in searches
Through analyzing the statistics from one of Alibaba.com’s biggest online trade shows (the March Expo), it is also shown that traditional pet products and necessities still rank high in searches and sales performance. This includes: cages and carriers, collars and leashes, and stainless-steel pet food bowls. “With a stable high market demand, these pet necessities continue to hold exceptional growth opportunities,” says Zhou.
The importance of the pet industry for E-Commerce
The pet industry has skyrocketed over the last few years and will continue to rise as the love and respect for pets grows in more countries and regions. It is important to understand that buyers who strategize their sourcing plans based on comprehensive knowledge of the market, the audience, and industry trends will stand out in today’s competitive landscape.
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