2024 Trends in Pet Expenditure

Analyzing U.S. Bureau of Labor Statistics (BLS) data provides valuable insights into pet spending trends across different demographics. By examining how various groups allocate their resources towards their beloved pets, we can gain a better understanding of the pet industry and consumer behavior.

When looking at pet spending by generation, it may come as a surprise that millennials, often associated with being pet-obsessed, actually spend less on their pets annually compared to Generation X and baby boomers. According to BLS data, millennials spend an average of $731 on their pets, while Generation X spends $866 and boomers spend $793. Despite the lower spending amount, millennials and the Silent Generation allocate a similar proportion of their income towards their pets, with both groups spending around 0.72% to 0.75% of their income. On the other hand, Generation X spends the most on their pets but allocates the least amount relative to income at only 0.68%, while baby boomers spend the most at 0.96% of their income.

In terms of pet spending by gender, women seem to be more inclined to spend on their pets compared to men. Single women spend an average of $647 per year on their pets, which accounts for 1.57% of their income, while single men spend an average of $282, representing 0.56% of their income. This disparity in spending could be attributed to the rise of pet influencers on social media platforms like Instagram, where the majority of users are women. Additionally, differences in how men and women perceive their pets could also play a role in spending habits, with single women often viewing their pets as their children, leading to higher expenditures.

When examining pet spending by region, the Western U.S. emerged as the top spender in 2021. However, in the following year, the Midwest saw a significant increase in pet spending, jumping from $691 annually to $820. The Northeast and the West experienced a decrease in pet spending, while the Midwest and the South witnessed an uptick. In terms of income proportion, pet owners in the Midwest allocated the most towards their pets at 0.90%, followed by the South at 0.78% and the Northeast at 0.66%. The West, despite being the top spender in 2021, saw a notable decline in pet spending relative to income, dropping from 1.10% to 0.78%.

Looking beyond the U.S., a 2023 MarketWatch Guides study compared pet ownership costs between the U.S. and the U.K. The study found that the average lifetime cost of owning a labrador retriever in the U.S. amounts to $28,801, slightly higher than the U.K.’s $27,787. While the U.K. spends more on pet food annually at $599 compared to the U.S.’s $447, they benefit from lower vaccination costs. The Royal Veterinary College in the U.K. charges $83 (£67) for a vaccine, whereas American pet owners could face a bill of nearly $200 for multiple shots.

In conclusion, analyzing pet spending trends by demographics provides valuable insights into consumer behavior and preferences within the pet industry. By understanding how different groups allocate their resources towards their pets, businesses and policymakers can tailor their strategies to better cater to the diverse needs of pet owners across various demographics.