The markets for pet food, pet accessories and pet insurance continue to be driven by several lifestyle trends, according to “The Pet Market—Market Assessment 2005” by Research and Markets (Dublin, Ireland).

Growth within the pet food market is driven largely by manufacturer innovation, with new product launches triggering increased segmentation as more pet owners trade up to premium products, the report said. The increased popularity of premium products—including those that offer particular nutritional benefits and those targeted toward specific life stages—has helped the market maintain value.

Pet owners participating in the survey said they like to spend a little extra on pet food to provide the necessary nutrients. Very few acknowledged that they look for the cheapest option when purchasing pet food. However, value was important to almost a third of respondents, who look for competitive prices and special offers when buying pet food.

In the accessories market, pet superstores receive the same level of consumer response as local pet shops when it comes to purchases. A similar proportion of owners buy pet accessories at the supermarket while they are buying groceries.

In the pet insurance market, owners who live in the South are twice as likely to have pet insurance for their dog or cat. However, only a very small percentage of owners who don’t already have pet insurance are considering purchasing health coverage for their pets. This indicates that the pet insurance market may be reaching a critical mass, with most consumers who are likely to purchase it already having done so. Of pet owners surveyed, 15 percent said they think pet insurance is too expensive and/or a waste of time.

For more information, visit www.researchandmarkets.com/reports/c26485. [January 2006 PET AGE]