Dog or cat? Preferences change in China and the market adapts

In China, pets are particularly popular with young urbanites in search of affection, home comforts and new landmarks. This craze for dogs and cats is driving sustained growth in the pet food and care market of over 13%, reaching an impressive 300 billion yuan (over 40 billion euros) by 2024.

This strong growth is accompanied by deeper transformations in the structure of the pet supplies market in China: changing consumer habits, changing purchasing preferences and distribution channels, the rise of Chinese brands… We take a closer look.

A recent shift in preferences in favor of cats in China

Until recently, dogs were preferred to cats in China. But since 2021, a turning point has been reached: cats now outnumber dogs in Chinese households. By 2024, there were 71 million cats in China, compared with 52 million dogs.

This shift in preferences when choosing a pet may reflect cultural and lifestyle changes. In ever denser cities and smaller apartments, young urbanites prefer cats, which are more independent and better adapted to city life.

This change has a direct impact on market structure. Although the market for dog food, care and accessories remains slightly ahead in value terms, amounting to 155.7 billion yuan in 2024 versus 144.5 billion yuan for cats, forecasts predict a reversal by 2026. Indeed, with annual growth of 10% for cats versus 4% for dogs, the cat market is set to overtake the dog market.

A substantial budget for pet owners in China

China’s pet budget is on the rise. Chinese owners are investing more and more in the well-being and quality of life of their pets. In 2024, the average annual expenditure was 2960 yuan for a dog, or around €410, and 2020 yuan for a cat, or almost €300, a steady rise from around 1800 yuan just a few years ago.

Over 52% of this pet-related spending in China is devoted to food, a lucrative segment that has become strategic for brands and retailers.

Rise of Chinese brands in the pet food sector

One of the major changes in the Chinese pet food market between 2017 and 2024 is the spectacular rise of local brands. Whereas in 2017, foreign brands dominated with 60% of the market, they now hold just 35%, while Chinese brands climb to 65%. In terms of foreign brand market share, American brands dominate.

The success of local brands can be attributed to a number of factors:

• A significant improvement in the quality of local products.
• Communication better adapted to the culture and expectations of Chinese consumers.
• A high-performance omnichannel distribution strategy.

As regards consumer preferences, in 2024, 28% to 34% of consumers said they preferred Chinese brands, while 44% had no clear preference – a figure down on 2023 (47%). Foreign brands, meanwhile, are preferred by 12% to 19% of consumers.

This phenomenon is emblematic of a national reconquest affecting many sectors in China, where consumers no longer systematically consider an imported product to be synonymous with superior quality.

E-commerce and social networks: the preferred purchasing channels for the pet food sector

The Chinese pet food market is largely digitalized.

• 35% of sales are made via e-commerce, with platforms such as Tmall and JD.com leading the way.
• 27% use Chinese social networks to promote their products, using KOLs (Key Opinion Leaders) for example, and to sell them.
• In contrast, retail sales through veterinarians account for only 15% of sales.

The Chinese consumer prefers speed, personalization and direct interaction with the brand. The most successful brands are those that have understood how to transform their communication into an experience: original packaging, educational or humorous video content, community engagement via WeChat or Xiaohongshu…

What opportunities are there for foreign pet food brands in China?

Faced with this changing market, foreign brands need to adapt their strategy. Importing quality products is not enough to establish a long-term presence on the Chinese market:

• Localize your offer to suit the specific needs of pets and their owners in China
• Forge partnerships with Chinese distributors and influencers to gain visibility.
• Invest in localized content: videos, WeChat mini-programs, educational live events on animal nutrition, etc.

China: the world’s leading pet food market?

China is fast becoming the world’s largest pet food market, driven by a growing love of cats, a demanding and connected urban population, and increasingly successful local brands.

For foreign companies, the challenge lies in fully understanding the market and the expectations of Chinese consumers. They also need to choose the right distribution channels and marketing strategy. VVR International’s experts help foreign companies seize the opportunities offered by China’s demanding and competitive pet market.