Pet Retail, Reimagined: What Modern Consumers Want Today
Apr 24, 2025
The pet industry India is experiencing a major evolution as consumer preferences shift and new trends take hold. As we move toward 2025, the market is becoming increasingly omnichannel. With a growing number of pet parents choosing to shop online, even as traditional retail sales begin to plateau.
In India, the pet care industry is still in its nascent stage yet holds enormous growth potential. With 31+ million pet dogs and 2.44+ million pet cats, India ranks as the fifth-largest pet-owning country in the world.
Valued at ₹5,000 crore, India’s pet care sector is on a strong growth trajectory. Fueled by changing owner mindsets and a willingness to increase monthly spending on their pets. Projections suggest that the market size could surpass ₹10,000 crore by 2028.
The pet retail landscape, too, has evolved significantly. From basic supply shops to comprehensive pet care centers offering a wide range of products and services. This transformation is largely driven by today’s pet owners, who are more informed, discerning, and committed to ensuring high-quality care.
A Shift in Pet Ownership behaviour: From Pet Owners to “Pawrents”
The pandemic brought about a profound transformation in how Indians perceive and engage with their pets. Once seen merely as companions, pets are now embraced as cherished family members. The devoted "pawrents" now proudly take on the responsibility of their well-being.
In India’s urban centers, particularly in nuclear families, average monthly spending on pets has risen significantly. According to a report by Times of India, households are now spending ₹5,000 or more each month on pet care. In cities like Bengaluru, this figure averages around ₹3,000, as noted by Shashank Sinha, CEO of Drools Pet Food. This trend is fueled by growing recognition of the emotional support pets offer. This is especially in helping combat loneliness and stress in smaller families and fast-paced lifestyles.
Another major force shaping the industry is the emergence of the millennial pet parent. Millennials treat their pets as true family members and are drawn to brands that understand and respect this bond. Their preferences are redefining retail expectations—driving demand for not just quality products but also emotionally resonant experiences.
Technology is also playing a pivotal role in this transformation. From mobile apps to smart in-store tools, digital innovation has enhanced the customer journey. This brings on convenience, personalization, and a seamless omnichannel experience.
Surge in Pet Ownership
Source(s): World Bank, FRED, Destatis, IPSS, ResCore analysis, Redseed Strategy Consultants
A Doubling of Petcare Expenditure
Since FY20, India’s petcare industry has witnessed a remarkable twofold increase in spending, now estimated at $3.6 billion—spanning both products and services. The majority of this expenditure, nearly 80%, is driven by three key categories: pet food, grooming, and healthcare.
Pet food now covers a wide range from dry and wet food to specialized dietary options tailored to pets’ nutritional needs. Healthcare spending includes veterinary consultations, vaccinations, and preventive treatments, reflecting growing awareness of pet wellness. Grooming services, ranging from basic hygiene to premium treatments, have also become a routine aspect of pet care.
Beyond these essentials, a growing portion of pet parents are investing in accessories, training aids, telemedicine, and even pet insurance. This signals a shift towards more holistic and customized care.
Source(s): World Bank, FRED, Destatis, IPSS, ResCore analysis, Redseed Strategy Consultants
Trends
1. Pet Humanisation
The trend of treating pets as family members—is gaining widespread acceptance and will shape the future of the industry. This shift is driving increased demand for premium products and services, along with personalised offering.
As this mindset continues to evolve, it will also accelerate the integration of technology into pet care. This includes development of more efficient distribution channels, and the rise of specialised pet healthcare facilities.
2. Health & Wellness Priority
Consumers now take a more practical and proactive approach to their own physical and mental well-being. This mindset is increasingly extending to the way they care for their pets—driven by the rising humanisation of pets.
Pet parents are now prioritising health-focused and functional nutrition for their animals, aiming to support long-term wellness and vitality. They are actively seeking products that offer nutritional benefits while being easy to incorporate into everyday routines.
This has led to a surge in functional pet foods and supplements. This refer to products that not only nourish but also serve preventive health purposes. These are especially appealing to wellness pragmatists who value convenience, instant impact, and daily usability.
Interestingly, the top health claims in pet food now closely resemble those in human food. The featuring attributes like high protein content, added vitamins etc—underscore the blurred line between pet and human wellness trends.
3. Premium Products and Services
Across various global markets, there is a noticeable rise in demand for luxury and premium pet products sales and services. At the heart of this shift is the trend of premiumization. The premiumization trend is poised to be a major driver of future growth in the pet care industry. The expectations around product quality and personalized offerings continue to rise. Innovations in food processing are supporting the development of newer formats like frozen or minimally processed foods.
Brands like Heads Up For Tails, Drools, and Fabled have introduced curated diets and subscription models that mirror human wellness experiences. In parallel, pet service providers are innovating with tech-enabled grooming, vet teleconsultation platforms, and luxury boarding centers. This reinforces the pet humanization and premiumization narrative.
4. Embracing Omnichannel: The Future of Pet Retail
To effectively engage the millennial pet owner, an omnichannel strategy has become essential for modern pet retailers. This approach seamlessly integrates online platforms, mobile apps, physical stores, and social media channels to deliver a unified and personalized shopping experience.
Retailers that adopt a multichannel approach are better positioned to engage pet parents across diverse touchpoints. This builds stronger brand loyalty and drive higher conversions and repeat business. In a retail environment that is constantly evolving, the ability to adapt to shifting consumer behaviors and leverage emerging technologies is critical to long-term success.
Pet stores that prioritize customer satisfaction and embrace tech-enabled enhancements are staying ahead and setting new industry standards. These businesses are more likely to expand and outperform competitors by consistently delivering value-driven experiences.
Ultimately, a strategic focus on experience, convenience, and innovation enables pet retailers to grow their market share. It also helps them boost profitability, and future-proof their brand in an increasingly competitive landscape.
5. Personalization: The Core of the Modern Pet Retail Experience
In today’s pet retail landscape, personalization is more than a trend—it’s a strategic necessity. It means truly understanding the unique needs and preferences of each pet and their parent, and tailoring the experience accordingly.
By leveraging personalization, retailers can deliver highly relevant interactions and offerings. This can make customers feel seen and valued—ultimately driving deeper satisfaction, loyalty, and repeat business.
Personalization in pet retail can manifest in several impactful ways:
Product recommendations based on a pet’s breed, age, dietary needs, or medical conditions
Targeted marketing communications, including promotions tailored to purchase history or preferences
Custom in-store experiences like breed-specific grooming services or behavioral training
Personalized online journeys, such as customized product listings, subscription suggestions, and saved preferences
To execute this effectively, retailers must adopt a data-driven, customer-centric approach. This involves using data analytics to uncover behavior patterns, preferences, and purchasing trends. This is paired with the commitment to delivering meaningful experiences across every touchpoint.
In a competitive and emotionally driven category like pet retail, personalization is a powerful differentiator. It not only sets brands apart but also builds stronger emotional connections—transforming casual shopper behaviour into loyal, lifelong customers.
Who Are the Next-Gen Pet Parents?
Gen Z is emerging as the next influential cohort of pawrents though they haven’t yet hit their peak in spending. Their growing presence in the pet care market is backed by a strong CAGR. Much like Millennials before them, Gen Z is expected to embrace omnichannel shopping habits—blending online, mobile, and in-store experiences. This makes it essential for pet brands to rethink how they engage with this digitally native, tech-savvy audience.
To win over Gen Z pet owners, brands will need to adopt fresh marketing strategies and digital-first approaches. This way they can speak to their values and lifestyles. Building early awareness and loyalty now will be key as this generation transitions into more active and influential consumers in the coming years.
What sets Gen Z apart is their ability to reshape traditional industry dynamics. With their distinct preferences and rising spending power, Gen Z represents a promising yet largely untapped market. Specially for retailers looking to diversify their offerings and future-proof their growth in the evolving pet care landscape.
Conclusion
For pet retailers, adapting to these changing consumer behaviors is no longer optional—it’s essential. By embracing this shift, brands can deliver meaningful, emotionally connected experiences that drive loyalty and repeat engagement.
As the market matures, the importance of strategic clarity and informed decision-making becomes even more critical. At Market Xcel, we’re dedicated to helping businesses navigate this shift—offering data-driven insights into consumer behavior, category trends, and competitive landscapes.
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