As pet ownership evolves beyond traditional cats and dogs, a new report from the American Pet Products Association (APPA) highlights a significant trend: owners of birds, small animals, and horses demonstrate a marked preference for specialized brick-and-mortar retailers over online shopping options.
The APPA's 2024 Birds, Small Animals, and Horses Report provides comprehensive insights into purchasing behaviors, emotional connections, and spending patterns among these niche pet owners. The findings underscore deepening human-animal bonds and growing investments in pet health and wellbeing.
Key Findings from the APPA Report
1. Emotional Bonds Drive Gift Purchases
Pets are increasingly viewed as family members, with gift-giving becoming more prevalent:
- 89% of small animal owners purchase gifts for pets, up from 75% in 2018
- 76% of bird owners buy presents, compared to 69% six years prior
- Equine gift purchases surged from 31% to 71% during the same period
- 52% of small animal owners buy Christmas gifts (vs. 25% in 2018), while 46% purchase birthday presents (up from 20%)
2. Long-Term Planning Gains Traction
Owners demonstrate greater responsibility through future planning:
- 62% of bird owners and 63% of small animal owners have made or plan estate provisions for pets
- 70% of horse owners maintain long-term care plans
3. Health and Wellness Spending Increases
Preventive care investments show substantial growth:
- Vitamin/supplement purchases rose 32% among bird owners since 2018
- Small animal supplement purchases increased 44%
- 42% of bird owners utilize professional grooming services
4. Channel Preferences Emerge
Specialty retail dominates purchasing decisions:
- Physical stores remain primary shopping destinations
- Veterinarians serve as trusted information sources, particularly for equestrians
- Social media's influence grows, with 25% of bird owners and 24% of small animal owners using platforms for pet information
5. Ownership Patterns Shift
Demographic changes reflect market evolution:
- Bird-owning households increased from 45% to 63% since 2018
- Rabbit ownership gains popularity among small animal enthusiasts
- 55% of horse owners maintain multiple animals
Market Implications and Trends
Specialty Retail Channels Dominate
The report emphasizes the critical role of specialized physical retailers in serving these niche markets. This preference extends beyond birds and small animals to other specialty pets, with 65% of fish owners and 21% of reptile owners preferring specialty stores.
While the U.S. market demonstrates mature specialty retail infrastructure, developing markets like China show significant growth potential in physical channels, particularly for premium products and services.
Emotional Connection Fuels Market Expansion
Deepening human-animal relationships drive market segmentation and premiumization. Owners increasingly purchase across multiple categories including:
- Specialty foods and habitats
- Enrichment toys and accessories
- Preventive healthcare products
- Professional services (grooming, boarding)
Younger demographics, particularly in developing markets, demonstrate strong willingness to pay for emotional value and premium experiences.
Sustained Market Growth
APPA projects total U.S. pet expenditures will reach $150.6 billion in 2024, with specialty pets (excluding cats/dogs) representing approximately 28 million animals. This growth pattern appears consistent across global markets, suggesting long-term opportunities for category expansion.
Comparative Market Analysis
While the U.S. specialty pet market demonstrates maturity with established retail channels and consumer behaviors, developing markets face distinct challenges:
- Inconsistent regulatory frameworks for specialty pet care
- Limited availability of specialized veterinary services
- Underdeveloped retail infrastructure for niche products
- Need for consumer education regarding proper care standards
These structural differences suggest varied development paths across regions, with mature markets focusing on premiumization and emerging markets requiring foundational investments in education and infrastructure.