There is some serious snacking going on right now among dogs and cats in the Asia-Pacific that elevates treats as the fastest-growing segment of the pet food market. With over 511 million pets in the region in 2022, every time they nibble on a tasty beef jerky or lick up a savory purée, the market also gets a treat that will add up to US$6.06 billion in 2024.
Among the many kinds of pet treats, dental treats enjoy the biggest sales accounting for almost 24% of the market. Dogs’ love for freeze-dried and jerky treats, however, make these two the fastest-growing types of pet treats with a 12.5% market share.
Growing demand for pet treats in Asia-Pacific
Industry watcher Mordor Intelligence said it was in 2022 when demand for pet treats in Asia-Pacific skyrocketed at 70.2% compared to 2017 stats to corner 18.2% of the total pet food market, which was then valued at US$5.33 billion.
In 2024, when the overall Asia-Pacific pet food market is expected to balloon to US$34.15 billion, treats will keep its 18% share, thanks to increased pet ownership and pet owners’ willingness to spend on high-quality, premium pet treats.
From China to Australia, dogs wolf down more treats than cats and other kinds of pets. There were more of them to begin with (176.29 million or 34.5% of the region’s estimated 511 million pet population), so it was faster for dogs to eat their way through 52% of the pet treats sold in the region in 2022 worth at least US$2.74 billion.
Cats are catching up fast, though. By consistently unseating dogs as the preferred pets for the Asian lifestyle, cats are expected to drive the cat treats market faster than dogs in the coming years. Cats represent over a quarter of the total Asia-Pacific pet population to date, with 32% of the pet treats market to their credit.
As for the other pets like reptiles and birds, Mordor found them consuming US$895.4 million worth of pet treats in 2022.
Biggest pet treat markets in Asia-Pacific
When people say give a dog a bone, a lot of people on this side of the world did more than that and, in the process, somewhat changed the basic function of treats. Treats are no longer just toothsome tokens that pets earn as a reward for good behavior or for training purposes. As modern pet treats evolve as healthy snack options, Asians now add premium treats to their pets’ daily diets.
The Philippines, according to Mordor, is the fastest-growing market for pet treats in the region with a 20.12% projected CAGR from 2023 to 2029. The country consistently ranks highest among its neighbors in terms of pet ownership. Different market surveys place the Philippines’ dog population anywhere from 17 million to 23.29 million. Filipino pet owners are also seen spending 21% more now on their pets since 2022, part of which goes to top-of-the-line pet treats.
But with the sheer size of its pet population, China is the largest country in the treats market, accounting for US$2.58 billion in 2022. “The higher share of the country was because of the higher pet population, along with the higher expenditure of pet owners on pet treats,” Mordor said.
For instance, the pet population in the country accounted for 54% of the region’s pet population in 2022. Additionally, Chinese pet owners spend an average of around US$509 per pet, Mordor said.
Japan and Australia are the second- and third-largest pet treats markets in the region, valued at US$536.4 million and US$436.4 million, respectively. Mordor said pet owners from these countries go for premium treats and custom-made food products.
In cat-crazed Japan, the pet treats market for cats jumped 97.2% from 2017 to 2023, while treats for dogs registered only 7.8% growth over the same period. A report from Japan News said research firm Intage Inc. saw the sale price of pet treats in Japan as 1.4-fold higher in 2023 than in 2017, which also helped fuel the market’s growth.
Recently, Japan’s pet care giant Unicharm Corp. took the pet humanization trend to a whole new level when it folded to market demands by co-developing with biscuit maker Morinaga & Co. a dog treat version of the popular Gran Deli Marie Biscuit for humans. Except for its smaller size, the pet biscuit variety has the shape and design as the original. Its dairy ingredient has been adjusted to make it safe for dogs and it comes in milk, cheese and sweet potato flavors. Unicharm said pet treats customization is driven by young pet owners in Japan who want their pets to somehow have the same things they love.
In Australia, the pet treats component of its estimated AU$4.3 billion pet food market is currently valued at more than AU$302.9 million. Australian-made pet treats offer a wide variety of meat and plant options such as horses and rabbits, insect proteins and surplus farm vegetables. Mordor said dogs are most popular in Australia, and about 40% of households had a pet dog in 2022, which increased the demand for pet treats.
Mordor estimates other countries in the region, which include Thailand, India and Taiwan, accounting for US$565 million of the region’s total pet treats market in 2022.
Top pet treat makers
Meanwhile, Asia-Pacific’s pet treats makers come in all shapes and sizes, but it is not surprising that the top five are the usual suspects: Colgate-Palmolive Company (Hill’s Pet Nutrition Inc.), EBOS Group Limited, General Mills Inc., Mars Inc. and Nestle (Purina). Mordor said these companies own 15.71% of the pet treats market, with Mars owning up the biggest slice (8.37%).
After the COVID-19 pandemic, pet parents have shown little restraint in purchasing pet care items; therefore, high demand for premium pet treats that are natural and grain-free or minimally processed and with no preservatives is expected to continue even in the face of price inflation.
Mordor sees the region’s current pet snack attack continuing all the way to 2029 to create a US$10.19 billion sub-market.