Veterinary Healthcare Market Definition
The veterinary healthcare market consists sales of goods and services by entities (organizations, sole traders and partnerships) associated with diagnosis, treatment and prevention of diseases in animals. This industry includes establishments that provide veterinary services, veterinary medical equipment producers and animal medicine producers.
Veterinary healthcare market is segmented into veterinary services, veterinary medical equipment and animal medicine.
Veterinary Healthcare Market Size
The global veterinary healthcare market size reached a value of nearly $154.4 billion in 2019, having grown at a compound annual growth rate (CAGR) of 10.1% since 2015, and is expected to grow at a CAGR of 11.0% to nearly $234.0 billion by 2023.
Growth in the historic period resulted from emerging markets growth, increased pet ownership by gen x and gen y adults, increased pet spending, increased disease prevalence, rise in meat consumption, and stringent regulations on meat products. Factors that negatively affected growth in the historic period were shortage of veterinarians, lack of awareness, and inappropriate use of medicines.
Going forward, economic growth, increasing penetration of pet insurance, rising meat production, and social media will drive the growth. Factors that could hinder the growth of the veterinary healthcare in the future include rising threat of antibiotic resistance, reductions in free trade, and rising interest rates.
Veterinary Healthcare Market Drivers
The key drivers of the veterinary healthcare market include:
Increasing Penetration Of Pet Insurance
The increasing penetration of pet insurance is expected to drive the animal veterinary healthcare market. Globally, the pet insurance market is largely untapped with extremely low penetration rates providing a large market opportunity. In developed economies such as the USA, the pet insurance penetration rate is around 1%, although in Western European countries such as the UK the penetration rate is around 20%. During 2018-2022, the pet insurance market in the USA is expected to grow from $1 billion in 2018 to $2 billion in 2022, at a compound annual growth rate of 14%, mainly driven by the increasing consumer awareness and rising disposable income of companion animal owners . Increasing penetration of pet insurance will increase the number of visits at veterinary clinics, driving the market for veterinary healthcare.
Veterinary Healthcare Market Restraints
The key restraints on the veterinary healthcare market include:
Shortages Of Veterinarians
The shortage of veterinarians in underdeveloped and developing countries limited the growth of the veterinary healthcare market during the historic period. During 2015-2019, the veterinary healthcare access was relatively poor in most developing countries compared to developed nations, while the animal disease burden was high in low- and middle-income countries. As of 2019, there were only 918 veterinary surgeons in Chandigarh, India as against the required 1,122 veterinary surgeons to cater to a livestock population of 8.9 million . . The low availability of veterinary healthcare services and an insufficient number of veterinary clinics and veterinarians limited the growth of the veterinary healthcare in many developing nations.
Veterinary Healthcare Market Trends
Major trends influencing the veterinary healthcare market include:
Development Of Chewable Tablets
Chewable tablets are increasingly being used to prevent animals from being affected by ticks, worms, fleas and others. Such tablets are usually soft chew and are available in different flavors such as beef-flavored tablets. Treatments with these tablets are easier to administer than with regular tablets as they can be easily added to regular meals of animals. Many veterinary medicines manufacturers are constantly working towards producing effective and easy-to-give drugs to succeed in the highly consolidated animal medicine market. For instance, in July 2018, the US FDA approved NexGard (afoxolaner), a chewable tick tablet market by Boehringer Ingelheim, a German pharmaceutical company. The tablet kills certain black-legged ticks, as well as American dog ticks, lone star ticks, and brown dog ticks to prevent flea infections in dogs.
Oral Drug Solutions For The Treatment Of Feline Hypertension
The rapid increase in the pet ownership is driving the demand for easy-to-give veterinary drugs to treat veterinary diseases. The rising pet ownership and the rising trend of treating companion animals as family members enable pet owners to provide quality care to their pets, including quality treatment of various diseases, driving the demand for veterinary medical treatment. To cater to the growing demand, veterinary medicines companies have started producing easy-to-give drugs to treat various diseases of companion animals including feline hypertension. In May 2018, the US Food and Drug Administration (FDA) approved sales of Semintra, the first liquid solution for systematic feline hypertension in the USA. Semintra, marketed by Boehringer Ingelheim, a Germany-based pharmaceutical company, is the first drug approved in the USA to treat feline hypertension . Hypertension is a common disease in cats, which causes negative effects on cats’ vital organs including kidneys, eyes, brain, and heart , which is mainly caused by various neurohormonal factors affecting vascular resistance and cardiac output .
Opportunities And Recommendations In The Veterinary Healthcare Market
Opportunities – The veterinary healthcare market size will gain the most in the USA at $27.24 billion. Market-trend-based strategies for the veterinary healthcare market include focusing on the development of new combination medicated feed additives, producing generic drugs to capitalize on the growing demand from pet owners and veterinarians, investing in the development of nanoparticles as substitutes of conventional drugs, developing easy-to-give drugs such as oral liquid solutions, and offering premium service to increase overall revenues and margins. Player-adopted strategies in the veterinary healthcare market include expanding through strategic acquisitions.
Recommendations – To take advantage of the opportunities, The Business Research Company recommends the veterinary healthcare companies to produce easy to give medicines, enter into collaborations to drive innovations, invest in organic feed additives, expand into emerging markets, offer competitively priced products, and collaborate with opinion leaders.
Veterinary Healthcare Market Segmentation
The veterinary healthcare market is segmented by type, and by geography.
Veterinary Healthcare By Type-
The veterinary healthcare market can be segmented by type into
The veterinary services market was the largest segment of the veterinary healthcare market, accounting for 74.0% of the total in 2019. It was followed by animal medicine, and veterinary medical equipment. Going forward, the veterinary medical equipment segment is expected to be the fastest growing segment in the veterinary healthcare market.
Veterinary services market is further segmented into animal hospitals and veterinary clinics and veterinary laboratory testing services.
Veterinary medical equipment is further segmented into veterinary diagnostic equipment, veterinary anesthesia equipment, veterinary patient monitoring equipment and other veterinary medical equipment.
Animal medicine is further segmented into veterinary pharmaceuticals and feed additives.
Animal Medicine market is further segmented by type of animal into Livestock, Companion Animal
Veterinary Pharmaceuticals market is further segmented by type of pharmaceutical into Veterinary Parasiticides, Veterinary Vaccines, Veterinary Antibiotics, and Others - Veterinary Pharmaceuticals
Feed Additives market is further segmented by type of additive into Medical Feed Additives, Nutritional Feed Additives
- a) Veterinary Services
- b) Animal Medicine
- c) Veterinary Medical Equipment
By Geography - The veterinary healthcare market is segmented into
North America was the largest region in the global veterinary healthcare market, accounting for 47.1% of the total in 2019. It was followed by Western Europe, Asia Pacific, and then the other regions. Going forward, the fastest-growing regions in the veterinary healthcare market will be Africa and Asia Pacific.
- o North America
- o Western Europe
- o Asia Pacific
- o Eastern Europe
- o South America
- o Middle East
- o Africa
Veterinary Healthcare Competitive Landscape
Major Competitors are:
Other Competitors Include:
- • Zoetis Inc.
- • Boehringer Ingelheim Gmbh
- • Merck & Co. Inc.
- • Koninklijke DSM N.V
- • Mars Inc.
- • Elanco Animal Health Incorporated ( Elli Lilly And Company)
- • Idexx Laboratories
- • Bayer AG
- • Ceva Sante Animale
- • Virbac S.A.
- • Century Pharmaceuticals Limited
- • BASF India Ltd
- • Cadila Pharmaceuticals Ltd
- • Cargill India Pvt. Ltd
- • China Animal Healthcare Ltd
- • Intervet Australia Pty Ltd
- • Jurox Pty
- • International Center for Veterinary Services
- • Shengpu Pet Hospital
- • Paw Veterinary Clinic
- • Chengdu Vet Hospital
- • Canberra Veterinary Hospital
- • Noah Animal Hospital
- • ICAR-IVRI
- • Sanjay Gandhi Animal Care Center
- • Brooke Hospitals For India
- • Daktari Animal Hospital
- • Mitaka Veterinary Medical Group
- • Niiza Veterinary Medical Group
- • Nimrod Veterinary Products Ltd
- • Bimeda
- • Animalcare
- • Royal Veterinary College
- • Blacks Vets Dudley Hospital
- • Interfeed
- • Biotex Plus Ltd
- • Belfarmacom
- • IDT Biologika
- • VCA animal hospitals
- • Banfield Pet Hospitals
- • UCBVET
- • Syntec
- • Sauvet
- • Vetanco
- • Chemo Argentina
- • Brouwer
- • Agrovet Market Animal Health
- • Lemavet
- • Four Loving Paws Veterinary Services
- • Pet Care Hospital Veterinario Ltd
- • Brazil Animal Clinic
- • Clinica Veterinaria Prontovet
- • Clear Lake Veterinary Hospital
- • Saudi Pharmaceutical Industries
- • DBK Pharma S.A.E
- • The British Veterinary Center
- • Dubai Equine Hospital
- • American Veterinary Clinic
- • Veterinary Hospital Dubai
- • Drakenstein veterinary clinic
- • Onderstepoort veterinary academic hospital