The publisher expects sales to continue their double-digit advance in 2021, growing 15% to $9.9 billion, on top of the remarkable 20% increase in 2020
Pet treats and chews have experienced what can only be described as phenomenal growth in the past several years, exceeding overall pet industry growth in both 2020 and 2021 with double-digit increases driven by pandemic-driven demand and correspondingly high purchase rates. This growth continued in 2022, but although sales remained robust, a significant portion of the dollar increases was driven by the inflationary conditions that impacted nearly every corner of the US economy. Pet treat and chew marketers had to overcome the challenge of many pet owners being unable to afford even basic necessities, let alone discretionary products. The publisher’s May 2023 survey showed that 25% of pet owners were very concerned about the rising prices of pet treats.
Table of Contents
CHAPTER 1: EXECUTIVE SUMMARY
- MARKET TRENDS
- Introduction
- Market Definition
- Four Product Categories
- Other Marketing Classifications
- Notes on Human Grade Pet Foods
- Report Methodology
- Generational Breakouts
- Market Size and Composition
- Sales Growth Continues to Accelerate
- Sales Growth by Animal Type
- Indulgent Treats Tops in Sales
- Sales by Distribution Channel
- Annual Expenditure on Treats and Chews
- Market Outlook
- Pet Owners Rely on Pet Treats & Chews
- Economic Pressures Persist Despite Lessening Inflation
- Pet Treats Market Not Spared Substantial Headwinds
- Focus on Affordability in Pet Food and Treats
- Pet Treats Provide “Family” Bonding Moments
- Human/Animal Bond Part of Humanization Trend
- Treats for Training
- Intensified Focus on Health and Wellness
- Pet Obesity and Aging Pets Contribute to Health Concerns
- Declining Dog Population
- Functional Pet Treats Compete with Other Treatments
- Dental Treats Provide Oral Care Benefits
- Cannabis/CBD Treats Help with Anxiety, Pain
- Pet Owners Less Concerned About Pet Treat Safety
- Competition from Wet Pet Food
- Looking Ahead
- Pet Treats Sales to Near $18 Billion by 2027
- COMPETITIVE TRENDS
- Competitive Overview
- Market Structure and Retail Dynamics
- Pet Treat Sales Controlled by Big Five
- Raw Food Marketers Field Treats, Bones, Animal Parts
- Mergers, Acquisitions, Investments, and Expansions
- Kibble Marketers Battle Fresh Food Takeover with Treats
- Pet Owners Loyal to Food, Treat Brands
- The Retail Landscape
- Pet Treats Tend to Be Unplanned, Impulse Purchases
- Private-Label Treats Follow Trends
- Customer Rewards Programs
- Retailer-Exclusive Products
- Autoship and Treat Subscription Boxes
- MARKETING AND NEW PRODUCT TRENDS
- Trends in Treats and Chews
- Treats and Chews Follow Pet Food Trends
- Made in the USA Top Product Claim
- Treat Purchase Rate by Specialty Formulation
- Treat Purchase Rate by Texture/Size/Shape of Treat
- Natural and Organic Treats
- Humanization
- Human-Grade Treats
- Functional Treats
- CBD Treats
- Dental Treats and Chews
- Limited- and Single-Ingredient Treats and Chews
- Freeze-Dried and Air-Dried/Dehydrated Treats
- Sustainability and Corporate Responsibility
- Plant-Based Treats
- Treats for a Cause
- Low-Calorie Treats
- Trends in Rawhides and Long-Lasting Edible Chews
- Trends in Cat Treats
- THE CONSUMER
- Note on Pet Population Figures
- Two Data Sources
- Pet Treat Purchasing Patterns
- Indulgent Treats Are the Most Popular Choice
- Cat Owners Treat Usage Increases
- Long-Term Treat Usage
- Number of Treat Bags Purchased
- Treat-Giving Frequency
- Treat Usage Rates by Number of Pets
- Pet Treat/Chew Usage Rates by Size of Dog
- Treat Usage Rates by Age of Pet
- Treat Purchasing by Channel
- Autoship/Subscription Delivery
- Treat Purchasing by Brand
- Treat Purchasing Demographic Patterns by Brand
- OPPORTUNITIES IN THE PET TREATS MARKET
- Affordable Options
- Figure 1-1. Level of Concern with the Rising Prices of Pet Treats, 2023 (percent of pet owners)
- Health and Wellness
- Functional Products
- Cat Treats
- Alternative Proteins
- Figure 1-2. Level of Agreement with the Statement, “I like the idea of using more sustainable
- alternative protein ingredients in pet food and treats”, 2023 (percent of dog and cat owners)
- Sourcing and Transparency
- Omnichannel Marketing Replacing In-Store Experiences
CHAPTER 2: MARKET TRENDS
- CHAPTER HIGHLIGHTS
- INTRODUCTION
- Market Definition
- Four Product Categories
- Other Marketing Classifications
- Notes on Human Grade Pet Foods
- Report Methodology
- Generational Breakouts
- MARKET SIZE AND COMPOSITION
- Sales Growth Continues to Accelerate
- Table 2-1. US Retail Sales of Pet Treats & Chews, 2017-2022 (dollars in millions)
- Sales Growth by Animal Type
- Table 2-2. US Retail Sales of Pet Treats & Chews: Dog vs. Cat, 2017-2022 (dollars in millions)
- Indulgent Treats Tops in Sales
- Figure 2-1. Share of US Retail Sales of Pet Treats & Chews by Type, 2022 (percent and dollars in millions)
- Table 2-3. Pet Treats & Chews Sales by Animal Type, 2022 (percent and dollars in millions)
- Sales by Distribution Channel
- Figure 2-2. Percent Share of US Retail Sales of Pet Treats & Chews by Channel, 2022 (percent and dollars in millions)
- Annual Expenditure on Treats and Chews
- Table 2-4. Annual Expenditure on Treats/Chews Per Pet-Owning Household, 2020-2022 (dollars in millions)
- Table 2-5. Annual Expenditure on Treats/Chews Per Pet, 2020-2022 (dollars in millions)
- MARKET OUTLOOK
- Pet Owners Rely on Pet Treats & Chews
- Economic Pressures Persist Despite Lessening Inflation
- Figure 2-3. Level of Concern About Rising Prices in Consumer Categories, 2022 (percent of pet owners)
- Table 2-6. Effects of the Economic Environment on Pet Owners, January 2022 vs. February 2023 (percent negatively/positively affected)
- Table 2-7. Selected Pet Product Spending Psychographics, January 2022 vs. February 2023 (percent of pet product shoppers)
- Table 2-8. Most Significant Challenges to Pet Ownership: Dog vs. Cat Owners, 2023 (percent)
- Pet Treats Market Not Spared Substantial Headwinds
- Figure 2-4. Level of Concern with the Rising Prices of Pet Treats, 2023 (percent of pet owners)
- Figure 2-5. Reduction in Expenditure on “Extras”, Past Year vs. Coming Year 2023 (percent of pet owners)
- Owners Cut Back on Pet Treat Spending
- Figure 2-6. Pet Care Expenses Pet Owners Cut Back on Due to Inflation, 2022 (percent of pet owners)
- Focus on Affordability in Pet Food and Treats
- Table 2-9. Percent of Pet Food Buyers Purchasing "Store Brand" Pet Food or Treats in Last 6 Months
- 2019 vs. 2021 vs. 2023 (percent of category purchasers)
- Pet Treats Provide “Family” Bonding Moments
- Figure 2-7. Level of Agreement with Statement: “I consider my pets to be part of the family”, 2023 (percent of pet owners)
- Figure 2-8. Level of Agreement with Statement: “My pets are central to my home life”, 2023 (percent of pet owners)
- Figure 2-9. Pet Owner Attitudes Towards Treat Giving, 2023 (percent of dog and cat owners)
- Human/Animal Bond Part of Humanization Trend
- Illustration 2-1. Full Moon Human-Grade Treats Website
- Figure 2-10. Humanization and Treat Attitudes, 2023 (percent of dog and cat owners)
- Shift to Alternative Protein Pet Treats Influenced by Human Trends
- Figure 2-11. Alternative Proteins in Treats, 2023 (percent of dog and cat owners)
- Figure 2-12. Level of Agreement with the Statement, “I like the idea of using more sustainable alternative protein ingredients in pet food and treats”, 2023 (percent of dog and cat owners)
- Treats for Training
- Figure 2-13. Treat Usage for Reward/Training, 2023 (percent of dog and cat owners)
- Intensified Focus on Health and Wellness
- Figure 2-14. Percentage Strongly or Somewhat Agreeing with Statement: “My pets are important to my mental/physical health”, 2023 (percent of dog, cat, and other pet owners)
- Figure 2-15. Agreement with Selected Statements Related to Pet Health Concerns: Dog vs. Cat
- Owners, 2023 (percent of dog and cat owners)
- Pet Treats As Pet Health Products
- Figure 2-16. Agreement with Selected Statements Related to Healthier Pet Treats, 2023 (percent of dog and cat owners)
- Figure 2-17. Products Considered Most Important for Pet Health, 2023 (percent of dog and cat owners)
- Pet Obesity and Aging Pets Contribute to Health Concerns
- Figure 2-18. Level of Agreement with the Statement, “I sometimes refrain from giving treats due to concerns over my pet being overweight/obese”, 2023 (percent of dog and cat owners)
- Figure 2-19. Share of Dog and cat-Owning Households With Senior Pets Age 7+, 2012-2022 (percent for even years)
- Declining Dog Population
- Table 2-10. Dog-Owning Household Population by Generational Cohort, 2016-2022 (number in thousands)
- Functional Pet Treats Compete with Other Treatments
- Figure 2-20. Level of Agreement with the Statement, “Functional treats play an important role in my pet’s health care”, 2023 (percent of dog and cat owners)
- Dental Treats Provide Oral Care Benefits
- Cannabis/CBD Treats Help with Anxiety, Pain
- Figure 2-21. Level of Agreement with the Statement, “I like the idea of CBD/Cannabidiol pet treats to help address my pet’s anxiety/pain”, 2023 (dog and cat owners)
- Pet Owners Less Concerned About Pet Treat Safety
- Figure 2-22. Level of Agreement with the Statement, “Fear of contamination/product safety is a key consideration in the pet treats I purchase”, 2023 (dog and cat owners)
- Competition from Wet Pet Food
- Table 2-11. Household Usage of Pet Food by Type in Last 6 Months 2019-2022 (percent of dog- or cat-owning households)
- LOOKING AHEAD
- Pet Treats Sales to Near $18 Billion by 2027
- Table 2-12. Projected US Retail Sales of Pet Treats & Chews, 2022-2027P (dollars in millions)
- Table 2-13. Projected US Retail Sales and Shares of Pet Treats & Chews: Dog vs. Cat, 2022-2027 (dollars in millions and percent)
CHAPTER 3: COMPETITIVE TRENDS
- CHAPTER HIGHLIGHTS
- COMPETITIVE OVERVIEW
- Market Structure and Retail Dynamics
- Pet Treat Sales Controlled by Big Five
- Raw Food Marketers Field Treats, Bones, Animal Parts
- Mergers, Acquisitions, Investments, and Expansions
- Three Dog Bakery Acquisition
- Alphia Partners with Better Choice Company
- Illustration 3-1. Halo Pets Packaging Redesign
- Natural Balance and Canidae Merge
- Purina Acquires Red Collar Pet Treats Factory
- Mars’ Temptations Enters Cat Food Market
- Post Acquires Pet Brands from Smucker
- Beach Point Capital Acquires Controlling Stake in Wet Noses
- Mars Petcare Acquires Champion Petfoods
- Perdue Farms Renovates Treat Facility
- Encompass Pet Group Acquires WildPaw
- Chasing Our Tails Buys K9 Candy Kitchen
- General Mills Increases Co-Packer Production But Plans to Close Plant
- BrightPet Nutrition Group Acquires Bravo! Pet Foods
- Premium Pet Food Brand Ziwi Acquires New Zealand-Based Freeze-Dried Foods
- Antelope Acquires Ark Naturals
- Mars Petcare Expands Treat Production
- Garnett Station Partners Acquires Woof Gang Bakery & Grooming
- Tuffy’s Treat Co. Acquires Finley’s Barkery
- Worldwise Acquires Pet Factory
- The Honest Kitchen Receives Investment
- Dane Creek Capital Corp. Acquires Pet Treats Maker Wodema Industries
- Phelps Pet Products Acquires Treat Production Equipment from Simmons Pet Foods
- Wild Earth Receives Investment
- Made by Nacho Receives Investment
- “I and love and you” Receives Investment
- Manna Pro Acquires Oxbow Animal Health
- Kibble Marketers Battle Fresh Food Takeover with Treats
- Smucker Downsizes Pet Food Portfolio, Post Buys In
- General Mills Ramps Down Treat Production
- Pet Owners Loyal to Food, Treat Brands
- Figure 3-1. Pet Food and Treat Brand Loyalty, 2023 (dog and cat pet food and treat purchasers)
- THE RETAIL LANDSCAPE
- Pet Treats Tend to Be Unplanned, Impulse Purchases
- Figure 3-2. When Treats are Purchased, 2023 (percent of dog and cat treat purchasers)
- Private-Label Treats Follow Trends
- Table 3-1. Select Private-Label Pet Treat Brands, 2023
- Customer Rewards Programs
- Retailer-Exclusive Products
- Illustration 3-2. Bocce’s Bakery Whole Foods Exclusive Varieties
- Illustration 3-3. Clif Pet Petco-Exclusive Plant-Based Jerky Treats
- Illustration 3-4. “I and love and you” Walmart-Exclusive Squeeze-and-Thank-You” Lickable Cat Treat
- Autoship and Treat Subscription Boxes
- Illustration 3-5. Bright Box from BarkBox
- Illustration 3-6. PoochPerks Pampered Pooch Box
- Illustration 3-7. BoxCat Subscription Box Treats
CHAPTER 4: MARKETING & NEW PRODUCT TRENDS
- CHAPTER HIGHLIGHTS
- TRENDS IN TREATS AND CHEWS
- Treats and Chews Follow Pet Food Trends
- Illustration 4-1. NOBL Foods Treats
- Made in the USA Top Product Claim
- Table 4-1. Purchase Rates for Treats and Chews by Product Claim, Past 12 Months, 2023 (percent of dog and cat owners who purchased treats/chews)
- Figure 4-1. Level of Agreement with the Statement, “I seek out treats made in the USA”, 2023 (percent of dog and cat owners)
- Illustration 4-2. Pet Factory Treats
- Illustration 4-3. Milk-Bone Treats with US Banner
- Treat Purchase Rate by Specialty Formulation
- Table 4-2. Purchase Rates for Treats and Chews by Specialty Formulation, Past 12 Months, 2023 (percent of dog and cat owners who purchased treats/chews)
- Treat Purchase Rate by Texture/Size/Shape of Treat
- Table 4-3. Purchase Rates for Treats and Chews by Texture/Size/Shape, Past 12 Months, 2023 (percent of dog and cat owners who purchased treats/chews)
- Natural and Organic Treats
- Figure 4-2. Level of Agreement with the Statement, “I seek out treats made from natural/organic ingredients”, 2023 (percent of dog and cat owners)
- Humanization
- Illustration 4-4. Milk-Bone Stacked Treats
- Illustration 4-5. Barkworthies Hickory Smoked Chews
- Human-Grade Treats
- Illustration 4-6. Doggy Delirious Human-Grade Treats
- Illustration 4-7. Saint Rocco’s Human-Grade Treats
- Illustration 4-8. MyPup Slushy Human-Grade Treats
- Functional Treats
- Table 4-4. Health Conditions for Which Treats/Chews are Purchased, Past 12 Months, 2023 (percent of dog and cat owners who purchased treats/chews)
- Illustration 4-9. Pawse Mighty Mushrooms Functional Treats
- Illustration 4-10. FreshCap Shroomies Immunity Bites
- Illustration 4-11. Cooper & Friends Digestive & Immunity Health Jerky
- Illustration 4-12. Midwestern Pet Foods’ Earthborn Holistic Earth Bites
- CBD Treats
- Illustration 4-13. Martha Stewart CBD Dog Treats
- Table 4-5. Retail Outlet for CBD Pet Treat/Chew Purchases, Past 12 Months, 2023 (percent of dog and cat owners who purchased CBD treats/chews)
- Table 4-6. Health Conditions for Which CBD Pet Treat/Chew Were Purchased, Past 12 Months, 2023 (percent of dog and cat owners who purchased CBD treats/chews)
- Illustration 4-14. Rover’s Canine Wellness Freeze-Dried Bites
- Illustration 4-15. Petipet CBD Bars
- Dental Treats and Chews
- Table 4-7. Level of Agreement with the Statement, “I’m concerned about the dental hygiene/breath odor of my dogs/cats”, By Age of Dog and Catt 2023 (percent of dog and cat owners)
- Illustration 4-16. Barkworthies Collagen Dental Chews
- Illustration 4-17. Get Naked Calming Health Functional Dental Sticks
- Illustration 4-18. Avery’s Holistic Paws Probiotic Dental Sticks
- Illustration 4-19. N-Bone Adult Dental Rings
- Limited- and Single-Ingredient Treats and Chews
- Figure 4-3. Level of Agreement with the Statement, “I seek out treats made with limited-ingredient recipes for my pets”, 2023 (percent of dog and cat owners)
- Illustration 4-20. Stewart Pet Single-Ingredient Treats
- Illustration 4-21. Campfire Treats Single-Ingredient Pork Treats
- Illustration 4-22. Portland Pet Food Limited-Ingredient Treats
- Freeze-Dried and Air-Dried/Dehydrated Treats
- Illustration 4-23. West Paw Freeze-Dried Raw Treats
- Illustration 4-24. K9 Bros Air-Dried Treats
- Illustration 4-25. PureBites Freeze-Dried and Air-Dried Treats
- Sustainability and Corporate Responsibility
- Figure 4-4. Level of Agreement with the Statement, “I’m concerned about the ethical/humane
- treatment of the animals raised to use in pet food/treats/chews”, 2023 (percent of dog and cat owners)
- Illustration 4-26. Shameless Pets Upcycled Dog Treats
- Illustration 4-27. Health Extension ImPawFect Upcycled Treats
- Illustration 4-28. Nature Gnaws Website Banner
- Plant-Based Treats
- Illustration 4-29. Clif Pet Plant Based Jerky
- Illustration 4-30. Whole Life Pet Green Planet Treats
- Illustration 4-31. Bright Planet Better Bites Meatless Treats
- Treats for a Cause
- Illustration 4-32. Einstein Pets Peace, Love, Hope Treats
- Illustration 4-33. Nutri-Source SuperStars Treats
- Low-Calorie Treats
- Illustration 4-34. Charlee Bear Grain Free Crunch Treats
- Illustration 4-35. Greenies Anytime Bites
- Trends in Rawhides and Long-Lasting Edible Chews
- Illustration 4-36. Nylabone Healthy Edibles
- Illustration 4-37. Milk-Bone Chews Flavor Twists and Flavor Braids
- Illustration 4-38. Cadet Bully Hide Rolls
- Trends in Cat Treats
- Illustration 4-39. Temptations TenderFills
- Illustration 4-40. Friskies Playfuls
- Illustration 4-41. Fromm Family PurrSnackitty Treats
CHAPTER 5: THE CONSUMER
- CHAPTER HIGHLIGHTS
- NOTE ON PET POPULATION FIGURES
- Two Data Sources
- Generational Cohorts
- PET TREAT PURCHASING PATTERNS
- Indulgent Treats Are the Most Popular Choice
- Table 5-1. Purchase Rates for Treats and Chews by Type, Past 12 Months, 2023 (percent of dog and cat owners)
- Cat Owners Treat Usage Increases
- Figure 5-1. Usage Rates for Treats, Past Six Months, 2019 vs. 2021 vs. 2023 (percent and number in thousands of dog-/cat-owning households)
- Long-Term Treat Usage
- Figure 5-2. Pet Treat Usage Rates, Past Six Months, 2014 through 2023 (percent of dog- and catowning households)
- Figure 5-3. Pet Treat Usage Rates, Past Six Months, 2014 through 2023 (number of dog- and catowning households in thousands)
- Number of Treat Bags Purchased
- Table 5-2. Usage Rates of Treats by Number of Packages, Past 30 Days, 2023 (percent of dog- and catowning households using treats in the past six months)
- Treat-Giving Frequency
- Table 5-3. How Frequently Dog and Cat Owners Give Pets Treats/Chews, 2023 (percent of dog and cat owners who purchased treats/chews in past 12 months)
- Treat Usage Rates by Number of Pets
- Table 5-4. Pet Treats Usage Rates by Number of Pets, Past Six Months, 2023 (percent of dog and catowning households)
- Pet Treat/Chew Usage Rates by Size of Dog
- Table 5-5. Pet Treats Usage Rates by Size of Dog, 2023 (percent and number of dog-/cat-owning households)
- Treat Usage Rates by Age of Pet
- Table 5-6. Purchase Rates of Treats by Age of Pet, 2023 (percent of dog-/cat-owning households)
- Treat Purchasing by Channel
- Figure 5-4. Purchase Patterns by Retail Channel for Pet Treat/Chew Purchases, Past 12 Months, 2023 (percent of dog and cat owners who purchased treats/chews
- Table 5-7. Brick-and-Mortar Shopping Patterns for Pet Treat/Chew Purchases, Past 12 Months, 2023 (percent of dog and cat owners who purchased treats/chews in brick and mortar outlets)
- Table 5-8. E-Commerce Shopping Patterns for Pet Treat/Chew Purchases, Past 12 Months, 2023 (percent of dog and cat owners who purchased treats/chews from e-commerce retailers)
- Autoship/Subscription Delivery
- Table 5-9a. Share of Dog and Cat Product Shoppers With Current Pet-Related Subscriptions for
- Products or Services by Type: Overall and by Dog vs. Cat Owners, 2023 (percent)
- Table 5-9b. Share of Pet Product Shoppers With Current Pet-Related Subscriptions for Products or
- Services by Type: Overall and by Generational Cohort, 2023 (percent)
- Treat Purchasing by Brand
- Table 5-10. Dog Treats Usage Rates by Brand, 2023 (percent and number of dog-owning households who used treats in the past six months)
- Table 5-11. Cat Treats Usage Rates by Brand, 2023 (percent and number of cat-owning households who used treats in the past six months)
- Treat Purchasing Demographic Patterns by Brand
- Table 5-12. Indicators for Dog Treat Usage by Top Brands, 2023 (index and number of dog-owning households who used treats in past six months)
- Table 5-13. Indicators for Cat Treat Usage by Top Brands, 2023 (index and number of cat-owning households who used treats in past six months)
Companies Mentioned
- Three Dog Bakery
- Alphia
- Better Choice Company
- Halo Pets
- Natural Balance
- Canidae
- Purina
- Red Collar Pet Treats
- Mars' Temptations
- Smucker
- Post
- Beach Point Capital
- Wet Noses
- Champion Petfoods
- Perdue Farms
- WildPaw
- K9 Candy Kitchen
- General Mills
- BrightPet Nutrition Group
- Ziwi
- Ark Naturals
- Garnett Station Partners
- Tuffy’s Treat Co.
- Worldwise
- The Honest Kitchen
- Dane Creek Capital Corp.
- Phelps Pet Products
- Wild Earth
- Made by Nacho
- Manna Pro
- Oxbow Animal Health
