The sound of "its economy" is ringing, and the Chinese pet industry has opened a new chapter of "consumption upgrading"
The pet industry in China is developing rapidly, and market size data is constantly being refreshed. Starting from 2017, the compound annual growth rate of the market size of China's pet industry has been increasing year by year, and the market size is expected to exceed 170 billion yuan in 2022. In such a huge pet market of billions, cats and dogs have an absolute advantage in quantity, leading other pets. As of the end of 2021, the total number of pet cats and dogs exceeded 130 million, accounting for over 80% of the main pet species, with pet cats growing faster.
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The continuous improvement of users' economic capabilities and an increase in disposable income provide a continuous source of power for the development of the pet industry. In addition, as pet owners' perceptions change, the amount and types of pet consumption also change, and the Chinese pet industry has entered a stage of consumption upgrading. According to the analysis of the Massive Arithmetic&Arithmetic E-commerce Research Institute, the core driving factors for consumption upgrading are the unit price of customers, penetration rate of intelligent products, and penetration rate of sub categories.
The wave of "it economy" has arrived, and pet consumers and industry professionals have become participants in the industry content, contributing to the development of the industry. From the perspective of content, in 2022, the number of short videos played by the Tiktok pet industry will increase by more than 26% year on year, showing a steady overall growth; The number of live viewers increased by 65% year-on-year, with a significant increase throughout the year. Meanwhile, the proportion of local brands in TOP50 content exceeded 73% throughout the year, an increase of about 6 percentage points compared to the previous year, and domestic products continued to strengthen; The proportion of mid to high-end brands in the TOP50 has increased by about 2 percentage points throughout the year, reflecting to some extent the upgrading of consumption.
Behind the hot content ecology of the pet industry is the intensification of industry competition. While the content search volume of Tiktok industry increased by more than 100%, the content concentration of TOP50 brand increased by 17 percentage points; The total number of influencers has increased by 21% compared to the end of last year, and the vertical content production capacity has steadily improved.
The "shoveling officials" who contribute to the consumption power in the industry are also worth paying attention to. In 2022, the female characteristics of the pet industry will deepen again, with distinct characteristics of youthfulness. High tier cities have prominent purchasing power advantages in the context of upgrading pet industry consumption.
Plate Interpretation
Massive Arithmetic&Arithmetic E-commerce Research Institute, based on the composition and characteristics of the pet industry, has broken down the Tiktok pet industry into four major sectors: mainstream pet food, mainstream pet products, pet services and medical care, and other pet categories, and has insight into the content flow performance, category breakdown pattern, and core user characteristics. The following is a brief presentation of the product analysis. Please click on "Read Original" at the end of the article to obtain the complete report content.
1. Mainstream pet food: Food health has become a hot topic, and refined pet care is the trend
Keywords: Refinement of healthy raw materials
Mainstream pet food, as the most basic consumer type, has received enthusiastic attention from "pooping officials", with monthly views of short videos exceeding 1 billion, and hot content closely related to health. In terms of category, cat staple foods dominate, while dog snacks have more growth potential. The product's selling points are more closely related to keywords such as health, raw materials, and efficacy, and the feeding is more refined.
2. Mainstream pet products: The daily necessities category is steadily growing, and the demand for companionship products is rising
Keywords: Home Scene Intelligence Refinement
In the past 2022, many industries have stagnated due to the impact of the epidemic, but the pet industry has grown against the trend as "homestays" have become the norm. The number of home scenarios has increased, and the relationship between people and pets has become closer. The daily pet category has achieved steady growth. Pet owners are rapidly increasing their demand for grooming and intelligence for their pets, and their care for pets is becoming more nuanced.
3. Pet services and medical care: Some services have experienced negative growth rates, and pet health has received high attention
Keywords: Consumption upgrading, refinement, and high-end cities
The overall charge horn for the industry is loud, but there are still some sectors whose growth has been hindered to some extent by the epidemic. Due to the increasing number of home scenarios, some pet living services have experienced a negative growth rate. At the same time, the overall growth rate of medical supplies (non drugs) related content is significant, but the absolute magnitude is limited, and users' attention to pet health content far exceeds that of other service content.
4. Other pet categories: Multiple categories have sufficient potential power, and male pet owners dominate the mountain
Keywords: male dominated youthfulness and health
In addition to the most common cats and dogs, there are also other species in the pet industry, such as birds and aquatic animals. Among other pet categories, aquatic animals have shown stable performance, rodent pets have entered more user perspectives, and opportunities for horse and livestock products are highlighted. The overall selling point is still related to pet health and environmental hygiene. In addition, male users in other pet categories have a TGI of 137, with distinct characteristics.
Industry direction
The prosperity of the industry is traceable, and business opportunities are fleeting. Based on the data performance of Tiktok pet industry in 2022 and continuous industry tracking, the Research Institute of Arithmetic&Arithmetic E-Commerce summed up three major trends of Tiktok that are perceptible and positive for practitioners to refer to.
Wind direction one
Refined pet feeding: Food efficacy is receiving attention, and there is a strong demand for segmented categories
As pet owners shift their focus from functional "watching the house and catching mice" to obtaining the spiritual companionship brought by pets, their physical and mental health is receiving increasing attention, and the trend towards refined pet care is evident. In 2022, the playback volume of mainstream pet food efficacy content was 3.2 times that of 2021, with promoting appetite, improving picky eating, hydration, and skin health becoming the focus of attention; Snack content has also achieved a playback increase of over 87%, with sub categories such as nutritious rice noodles, cat mint, and canned mousse becoming the choice of more users.
Wind direction two
Intelligent Pet Products: Relevant search growth rate exceeds 300%, indoor scenes become a leading position
Consumer upgrades and technological development have a significant impact on the pet industry, with emerging products such as automatic feeders and smart cat litter pots becoming popular products. The playback volume of pet smart products achieved over 100% year-on-year growth in 2022. According to the Massive Arithmetic Index, the content score of the keyword related to "smart pet products" increased by 295% year-on-year in 2022, and the search score reached 331%.
Wind direction three
Verticalization of Pet Breeding: Significant Increase in the Speciality of Pet Food and Supplies
The year-on-year growth rates of mainstream pet breeds in the food and supplies sectors were as high as 182% and 310%, respectively. Positioning products as suitable pet breeds, especially mainstream breeds, has become a common choice for many practitioners.
The sound of "its economy" is rising, and brands can only find commercial development momentum by focusing on industry trends.