Opportunities in Pet Care in the Premiumising Asian Century

Shifting Market Frontiers and Premiumisation are the framework for pet care developments in SEA

Pet care is shaped by megatrends that affect global markets over a long-term period. The Asian Century within Shifting Market Frontiers and Premiumisation are key defining megatrends behind the emergence of trends and developments in Southeast Asia

Preference for value-added products boosts the potential for pet treats and drives innovation

As consumers are increasingly influenced by health trends and exotic products in their own lives, they are also looking for similar products and benefits for their pets. Pet treats represents a category with room for growth as indulgence in premium products becomes more mainstream even for pets.

Pet ownership and maintenance are highly influenced by social media and a sense of community

Social media has become integral in the region, as disposable incomes rise and access to smartphones and the internet improves. Sharing snippets of their lives and looking for information online have become more common than ever, and with it drives knowledge of proper pet ownership and maintenance.

The internet represents an information hub and point of purchase as consumers shift from store-based retail

The purchasing journey, from collecting information to payment and delivery, begins to matter more to consumers in Southeast Asia. Store-based retailers may face challenges in offering a value-added experience for pet owners. Many consumers have turned to internet retailing for a one-stop solution.

White space for regional players to respond to rising demand for localised innovation and affordable pet food

The usual suspects (Mars, Nestlé and Colgate-Palmolive) and Charoen Pokphand Group are the top global companies in Southeast Asia. Other regional players manage to make the top 10 albeit each with much smaller market share. As affordability is still key for repeat purchases, lower prices for pet food that are localised could help to boost prospects for pet care.