With the continuous development of Southeast Asia's economy and the improvement of living standards, pet ownership has become an increasingly popular way of life. Coupled with the impact of the epidemic in recent years, the companionship and emotional support role of pets has become more and more prominent, which has made the demand for pets among young people in Southeast Asia surge. This trend has not only promoted the rapid growth of the pet market, but also led to a significant change in the way pets are raised - refined pet raising has gradually become a new trend.
Refined pet care is reflected in all aspects of pet breeding. From the perspective of pet food, traditional leftovers and homemade pet meals are no longer the mainstream, replaced by nutritionally balanced and rich pet food and nutritional supplements. This shift not only satisfies the pet's basic dietary needs, but also reflects the owner's emphasis on the pet's health and nutrition.
In addition to food, the pet products market is also showing a rapid growth trend. From toys and bedding to clothing and accessories, the variety of pet products is becoming more and more abundant, meeting the diverse needs of pets in their daily lives. At the same time, as pet owners' attention to pet mental health and socialization increases, pet training, behavior modification and other services are gradually emerging.
Southeast Asia's pet economy is not limited to the traditional pet supplies and food markets. With the increase in consumers' demand for pet companionship and emotion, emerging markets such as pet grooming, pet photography, and pet insurance are also gradually emerging. The rise of these emerging markets has brought new growth points and business opportunities to the pet industry.
For businesses that want to enter the Southeast Asian market, the layout of pet supplies may be a good choice. Compared with the fiercely competitive Red Sea Circuit, the pet products market still has a lot of room for development. At the same time, with the increase in consumer demand for refined pet raising, high-quality and distinctive pet products are expected to be favored by the market.
Southeast Asia's pet consumption trend**, the demand for companionship has become the main driving force
With the rapid development of the pet industry in Southeast Asia in recent years, pets have become an important member of more and more families. According to the latest survey by iprice, Google searches for pet information about Southeast Asia surged by 88% in 2021 compared to 2020. This significant growth is mainly due to the social distancing measures during the pandemic, which have increased the desire for pets, which has driven the demand for pets in the market.
In the Philippines, searches for pets and pet-related products during the lockdown period were 118 times higher than in 2020. According to the survey, more than 40% of Southeast Asians choose to have pets to reduce anxiety and find companionship, while another 36% want to feel safe. This deep emotional demand for pets has prompted pet breeding methods to gradually change from extensive and humanized in the past.
This trend provides a huge market space for online sales and mid-priced pet consumer goods. With the increase in the number of pets, the popularity of pet food and care products in the Southeast Asian market continues to rise. In 2021, the Southeast Asian pet consumer market has grown to $2.8 billion and further grew to about $3.2 billion in 2022. Among them, cat food and ** accounted for the majority of the market share, at $1 billion and $1.8 billion, respectively, while the pet care products market also reached $300 million.
It is worth noting that the consumption of pet cat and dog food in Southeast Asian countries is mainstream in the middle and high-end, which shows that some Southeast Asian consumers are willing to provide a better consumer experience for pets. From the perspective of the industrial chain of the pet industry, pet consumption mainly occupies the middle and lower reaches of the industrial chain, covering various needs of the entire life cycle of pets, including all aspects including mental health.
The four major categories of the pet consumer market in Southeast Asia are food, supplies, medical care and services
1) Pet food is an important part of pets' daily needs, mainly including staple food and snacks.
2) The pet products market is an increasingly prosperous and diversified sector that covers all aspects of pets' daily lives. Including daily use, toiletry and beauty products, toys, clothing, outing supplies (such as leashes, dog leashes and collars), etc.
3) Pet medical care is an important guarantee for pet health, covering medicines, vaccines, diagnosis and treatment and health care.
4) The pet service market is an important area that is rising in the pet industry, covering fostering, beauty, training, travel, photography, insurance and funeral, etc., to meet the increasingly diversified needs of pet owners.
Southeast Asia has a high entry threshold for pet food, and there are greater opportunities for household products
It should be noted that although pet food consumption demand accounts for the largest proportion of the entire pet consumption market, Southeast Asian countries have a high barrier to entry for pet food. At the same time, in the Southeast Asian cross-border e-commerce market, pet accessories and household products still have considerable space and growth potential in the pet product category, and cross-border sellers can seize the market in the non-food segment according to the differences in product demand in various countries.
Indonesia:
Pet furniture, toys, outings, and apparel and accessories categories can be focused on. Among them, the concentration of brands and commodities in the pet feeder, furniture, toys and aquarium equipment market is relatively low, the market competition is low, and the development space is large; The proportion of new pet hair accessories, shoes and socks and neck accessories is relatively high, which shows that Indonesian consumers are more willing to try new products in this category, which can be used as an opportunity to focus on the layout of sub-categories. Compared with pet toys and supplies, it is more difficult to enter the pet food and health care products market. Because the import of pet food and health care products in Indonesia is subject to certain regulations, and the acquisition of import licenses requires the approval of relevant departments of the Ministry of Agriculture, the market access threshold is high.
Philippines:
Pet clothing, hair accessories and neck accessories have a large demand, hair care, oral care brands and product concentration are low, and the number of related stores is small, and the market space is large, which is a category that cross-border sellers can focus on. The import of pet food and health products in the Philippines needs to be registered with the Animal Husbandry Bureau in advance and provide a health certificate issued by the relevant regulatory agencies in the United States.
Malaysia:
Similarly, Malaysia's pet clothing and neck accessories market demand is large, and consumers have a high degree of acceptance of new products. In addition, the concentration of hair and nail care brands and products is relatively low, and the degree of market competition is low, which can be focused on. In terms of pet food, the import of pet food in Malaysia requires the permission of the Inspection and Quarantine Bureau, and provides veterinary certification documents signed and endorsed by the United States Department of Agriculture, clear and complete product labeling information, strict requirements and complex processes, and it is also difficult to enter the market.
Thailand:
Thailand has a strong demand for pet feeders, household toys, pet clothing, and neck accessories, with a high proportion of new products and a low degree of concentration and competition. However, the consumer demand for pet cleaning products in Thailand is low, and the requirements for pet food import licenses are also complex, which is to restrict the import of goods.
Singapore:
Singapore has low competition in pet home toys, collar leashes and other outing products, pet clothing, neck accessories and pet hats are updated quickly, consumer acceptance is high, and the number of stores is not large, and the opportunity is greater. Although some cross-border sellers choose the pet food layout, there are also certain regulatory requirements for pet food imports in Singapore, which need to be approved by the National Animal and Veterinary Administration. However, Singapore's purchasing power and pet consumption are higher than those of other countries, so pet food will have higher profit margins if it is well compliant.
Vietnam:
Pet clothing accessories and care products can be focused on, while the market acceptance of new oral care products is high, and new brands and new products are easy to enter the market. However, Vietnam's pet food imports are relatively strict, and at the same time, it is necessary to obtain a sales license from the Ministry of Animal Production, which also has certain obstacles for cross-border goods to enter the market.
In general, in the pet consumer market in Southeast Asia, the supervision of pet food categories is stricter, the entry threshold is higher, and international brands and local brands have a more stable position in this category, while cross-border sellers still have a lot of room for other pet products such as clothing accessories, outdoor products, home toiletries, furniture toys and other categories. Especially in Southeast Asia, most pet owners are younger, and in the case of pet owners who need to work, there are also great opportunities for small pet appliances such as intelligent feeding and water feeding. With the new generation of consumers' demand for improving the quality of pet care gradually expanding, all kinds of non-food pet products still have great potential.
At the same time, the power of social, short, and live streaming to "plant grass" for pet products marketing cannot be ignored. Due to the natural attraction of pet content, the cute pet category has a very high traffic rate, and pet products have a huge amount of ** and conversion advantages on the Internet. Consumers are more willing to consume driven by content, and most viewers respond with "cute" and "want to raise" after seeing cats and dogs, so they are more likely to conversion.
developmentSoutheast Asia's pet consumer marketYesConsider the following:
Growth potential: Southeast Asia has a large and young population base, and pet ownership rates are increasing year by year, especially in urban areas. With the improvement of living standards and the improvement of the living environment, people are more and more willing to consume for pets.
Consumption structure upgradedIn addition to basic pet food, pet owners' demand for pet supplies, toys, clothing, etc. is also increasing. These non-food pet consumer goods have great market potential.
The development of the Internet and e-commerce: Internet penetration and e-commerce penetration in Southeast Asia are increasing year by year, which provides opportunities for pet consumer brands to sell online.
Demand for pet servicesIn addition to pet supplies, pet owners also need pet grooming, training, medical and other services. These services can be provided through online platforms to meet the diverse needs of consumers.
However, entering the Southeast Asian pet consumer market also needs to pay attention to the following points:
Cultural differences: Southeast Asian countries have differences in pet preferences and pet concepts, and customized strategies are needed for different markets.
Laws and RegulationsDifferent countries have different laws and regulations on the import and sale of pet products, and it is necessary to ensure compliance management.
Branding: In the Southeast Asian market, brand building is crucial. Build brand image and increase consumer loyalty by providing quality products and services.
Social marketing: Use social ** platforms for content marketing to attract the attention of young consumers and increase brand awareness.
To sum up, the pet consumer market in Southeast Asia has great potential, but it also needs to develop a suitable strategy according to the characteristics of the market. With an in-depth understanding of market demand, laws and regulations, pet consumer brands can succeed in this market.