Question: Is the Pet Business Recession Proof?
As consumer spending on pet products and services continues to climb, it appears that the pet business is recession proof. Here are some explanations for this unique phenomenon.
Answer: Is the Pet Business Really Recession Proof? This is a common misconception, as the scenario is a bit more complex that it may seem. While pet spending topped $48 billion in 2010, up from $45.5 billion in 2009, with estimates of $51 to $55 billion projected for 2011 (depending on various pet business reports), there are other factors that must be taken into consideration. For one, less people have adopted pets in recent times. In fact, pet parents have surrendered their companion animals to shelters in record numbers due to job layoffs, home foreclosures and other unfortunate economic factors. Conversely, those who do have pets are spending rather freely on items and services such as:
- Premium natural cat and dog food brands
- Pet grooming services
- Miscellaneous pet supplies, such as toys, treats, clothing, etc.
- Earth-friendly pet products, such as natural cat litters
- Pet boarding and lodging