Pet ownership has become increasingly popular in Hong Kong, with the number of cats, dogs, birds and other pets jumping by 50,000 to 1.19 million between 2018 and 2023, according to Statista. (Photo: South China Morning Post)
HONG KONG: Hong Kong’s pet industry has seen steady growth over the past few years, with pet owners earning nearly HK$700,000 (3.2 million baht) on average from the items and care services during their pets, making them one of the top spenders in this category in the Asia-Pacific region.
Pet insurance company OneDegree surveyed 526 pet owners in Hong Kong and found that they spend an average of HK$680,000 raising their animal friends, according to a report published in Tuesday.
The top spending categories were pet food and snacks, which accounted for 19.4% of the total, vet visits and medication, which accounted for 17.2% and health check-ups and dental care, which accounted for 9.8 %.
“Not involved or permitted [pet] Parenting is no longer the norm for pet owners,” said Emily Chow, OneDegree’s deputy CEO. “They highly value the daily care, diet and well-being and health of their pets. pet.”
Pet ownership has become increasingly popular in Hong Kong over the past five years, with the number of cats, dogs, birds and other pets jumping by 50,000 to 1.19 million between 2018 and 2023 , according to Statista. The industry has seen sales grow 50% over these five years to US$1.2 billion (42.8 billion baht) last year, according to Euromonitor data.
An aging population, social isolation linked to Covid-19 and the high cost of raising children are among the main factors driving the growth of the city’s pet industry, according to separate reports by the German Chamber of Commerce in Hong Kong and OneDegree.
OneDegree’s Chow says pet owners these days not only seek veterinary care when their pets get sick, but they also schedule regular check-ups and record the their pets in insurance plans. “They consider pets family and give their four-legged companions the same love and care,” he added.
However, despite the money and effort Hongkongers spend to care for their pets, the city’s pet insurance industry is still in its infancy, with an estimated take-up rate of around 5% .
The report shows that as many as 16% of the 526 owners surveyed by OneDegree have never heard of pet insurance, and of those who have heard of pet insurance, less than half have enrolled their pets in an insurance plan.
Chow attributed the low uptake of pet insurance in Hong Kong to a lack of education in recent decades and insufficient understanding of veterinary costs among pet owners.
“We believe [that] by continuously educating pet owners, providing clear product information, as well as a seamless and efficient online purchase-and-claim experience, the market will grow and grow in Hong Kong,” he said.
Meanwhile, mainland China’s pet industry is also seeing positive growth, though growth momentum has slowed over the past few years due in part to Covid-19 and its impact on households’ disposable incomes.
Last year, mainland pet owners spent an average of 2,875 yuan (14,000 baht) per year on their dogs and 1,870 yuan on their cats, marking a decrease of 0.2% and 0.75%, respectively. respectively, compared to levels in 2022. However, the market recorded total sales of US$13.6 billion, a close to 100% increase from 2018, according to reports published separately by industry bodies such as the Chinese Veterinary Medical Association and Euromonitor.
Pet food dominated owner spending with a 52.3% share, while medical products and services, including drugs, physical exams and vaccines, accounted for 28.5%, according to the report. association.
Mainland pet sales are expected to reach 81.1 billion yuan next year, according to estimates by iiMedia Research.
