In recent years, the pet food industry has surged from a niche market to a major sector, driven by rising incomes, evolving consumer tastes, and a focus on pet health and wellness. It is believed that as pet owners increasingly treat their pets like family members, there’s a growing demand for premium and specialised pet foods that cater to this new standard of care. “Pet adoption is on the rise in India with a number of pets growing at 10% every year. Major drivers include rising disposable incomes coupled with a preference for nuclear families and delayed childbearing among working couples. Booming quick commerce is another factor driving sales of pet foods through online channels and e-commerce is helping pet food companies extend their reach to smaller towns broadening the market,” Anand Ramanathan, partner and consumer products and Retail sector Leader, Deloitte India, told BrandWagon Online.
Experts believe that though commercial pet food consumption is on the rise, 85-90% of pet households still feed their pets with home-cooked meals. Thus, low awareness of the nutritional benefits of manufactured pet foods and the resultant high cost of acquisition will be a challenge, especially in smaller towns. Along with this, ambiguity in regulations and quality standards, the government’s focus on livestock and animal feed (cattle feed) and higher taxation on pet food continue to be the other challenges for growth. “The pet food market is, both strangely and not so strangely, affection-centric. The more one loves their pet, the more one spends on branded items, whether it’s water, flavoured gourmet fish and meat, or fancy utensils and pet accessories. Interestingly, the prices of these items can be irrational, much like the case with children’s products,” Harish Bijoor, business and brand strategy specialist and founder, Harish Bijoor Consults Inc, said.
As per market research firm Statista, revenue in the pet food market reached $0.64 billion in 2024, with an anticipated annual growth rate of 12.24% from 2024 to 2029. In 2022, Mars Inc. dominated the Indian pet food market, capturing approximately 52% of the market share. Despite this, the emergence of new competitors has led to a 1.2% decrease in the CAGR (compound annual growth rate) of Pedigree from 2016 to 2021.
Fancy feasts, furry treats!
Industry experts assert that a significant trend in the pet food market is the premiumisation of products. Consumers are increasingly treating their pets as family members, leading to a rise in demand for high-quality, gourmet, and organic pet foods. This shift mirrors the humanisation trend, where pets are given the same level of care and attention as family members. Premium pet foods, including grain-free options, high-protein diets, and specialised nutritional blends, are becoming more prevalent. Brands are capitalising on this trend by offering products that emphasise natural ingredients and health benefits, such as probiotics, omega fatty acids, and holistic nutrition. “Just as there is a food and beverage market for humans, there is also one for pets. Certain individuals at the higher end of the income spectrum regularly splurge on premium pet food,” Bijoor opined.
From blueberry cheesecakes to barbecue-flavoured treats made exclusively for pets, these brands are going above and beyond to offer more varieties. “At Fullr and DatGud, our product offerings are crafted to cater to the specific needs of different pet categories. For dogs, Fullr treats utilise superfood ingredients like flaxseeds, blueberries, spinach, salmon, spirulina, chamomile, turmeric, ginger, and grape seed extract, ensuring a blend that promotes holistic wellness. DatGud, on the other hand, offers a variety of biscuit flavours such as smoky barbecue, smoky lamb, chicken and egg, calcium & multi-grain (100% Pure Veg variant) appealing to canine taste preferences while maintaining nutritional value,” J.S. Rama Krishna, business head, Growel Pet Nutrition, said.
Drools also claims to offer a range of products for dogs and cats. “For dogs, we have a range of dry and wet foods, treats, and supplements, focusing on specific health concerns like obesity, renal issues, and gastrointestinal health. Cat products mainly include dry and wet foods, treats, and supplements designed for urinary tract health and overall wellness. Our top-selling product is the Drools Chicken and Egg dry food product. We’re one of the best-selling prescription diets, and our products are in high demand. Our focus area is determined by evaluating market demand, emerging pet health trends, and nutritional research,” Shashank Sinha, CEO, Drools Pet Food India, said.
Beyond merely selling products, there exists a market providing platforms and technology that cater to all pet needs, from premium to affordable options. “Our range of offerings includes the Zigly Plus Comprehensive subscription plan for services, Zigly Prime for complete product coverage, and Canine Shield for vaccination needs. This approach addresses the needs of both budget-conscious shoppers and those seeking premium products,” Sushen Roy, business head. Zigly, said.
Tails and trails!
In India, the pet category spans a diverse range of animals, including mammals like dogs and cats, various bird species such as parrots and chickens, and colourful fish like goldfish and koi, among others. Experts opine that in India, the market for birds and other small pets is still in a nascent stage. Hence, brands provide focus more on dog and cat products and services. A Petter Life, a premium pet food and products brand, offer fresh food, baked goods, and treats for dogs and cats. In the pet food industry, the most emerging trends are vegetarian food and home-cooked meals with zero preservatives. Pet parents are increasingly focused on educating themselves to provide the most nutritious food possible for their pets.
“Our pricing is determined based on competitor prices and gross margin considerations, but it can vary by product and demand. For instance, with our potty training spray, where Zoivane is a pioneer, we use a value-based pricing strategy to reflect the value we deliver to our customers,” Nishma Singhal, founder, Zoivane Pets, said.
Experts believe that the market is currently experiencing significant growth, with relatively few challenges. However, they highlight concerns about market clutter, where numerous brands are competing for consumer attention. Another key issue is the presence of major brands, both local and global, which have the potential to dominate and secure their positions within the market. Here comes the role of marketing, advertising and distribution strategy.
For instance, Zoivane Pets aims to focus on supporting pet parents throughout all stages of pet care. To offer comprehensive product knowledge, the brand claims to implement various initiatives including blogs, podcasts, communities, and a pet parents’ newspaper that accompanies each product. Furthermore, Zoivane claims that grooming and training have been key revenue drivers for the brand. As a pioneer in India for training products such as potty training sprays and pet behaviour correctors, Zoivane targets top-tier cities like Mumbai and Bangalore, along with tier-2 cities. The brand asserts that its reputation for quality and effective solutions stems from the expertise of its founders in cosmetics and perfumery.
Moreover, Drools claims to leverage multiple channels of distribution, including e-commerce platforms, pet speciality stores, and veterinary clinics. This multi-channel approach ensures wide market reach and accessibility for various consumer segments. “We have found success in both online and offline avenues, be it online on e-commerce and quick commerce platforms, or offline in over 34,000 points of sale spanning speciality vet shops, veterinary clinics, and general trade stores. However, the rise of e-commerce and quick commerce has made it easier for pet parents to purchase products and services for their pets. Pet parents are now increasingly turning to online platforms to purchase premium pet supplies and products,” Sinha said.
Drools’ e-commerce segment has shown growth, at a CAGR of 70% over the last two years, Sinha stated. Additionally, over the last four years, Drools’ e-commerce contribution to overall sales has risen from five per cent to 28% at present. The next two years’ growth for Drools’ e-commerce is projected to be at least 45%, and quick commerce will play a major role in accelerating this growth. Similarly, A Petter Life’s sales are B2C, occurring through their website, physical store, and their in-house brand Nutriwoof.
Growel Pet Nutrition utilises various marketing channels, including social media campaigns, targeted online advertising, and partnerships with pet-centric events, exhibitions, and shows, as well as animal shelters and rescue organisations. “Our primary distribution channels include a network covering over 200 cities and 2,500 outlets across India. This reach is supported by partnerships and a logistics and supply chain management system, ensuring that our products are widely available and maintain quality from production to point-of-sale,” Krishna highlighted.
To enhance market penetration, the brand is also exploring new distribution channels and partnerships. For instance, its Carniwel will be available in 2,000 to 2,500 outlets across 185 to 300 cities.
Overall, it appears that the pet food industry is actively engaging in experimentation and innovation. Brands are differentiating their products, offering additional services alongside their products, crafting narratives through advertising and marketing, and focusing on educating pet parents to make a space for themselves in the booming market.