Veterinary Services Market

Veterinary Services Market Size

The global veterinary services market size reached USD 110.8 billion in 2023 and is expected to grow at a CAGR of 7.3% from 2024 and 2032. The market is experiencing considerable growth driven by increasing animal population globally, high adoption of pet animals for companionship, high demand for premium pet services, easy access to veterinary services, rising disposable income in developing countries, and rising expenditure on veterinary care.

For instance, according to the U.S. Food & Drug Administration, about 48 million cases of foodborne illness are reported each year in the U.S. The foodborne diseases are caused by Salmonella, Campylobacter, E. coli, Yersinia, and Listeria. Thus, in order to control the prevalence of foodborne diseases, the demand for accurate diagnosis of these diseases increases in animals.

Also, the rising implementation of digital solutions in the veterinary services industry is allowing veterinarians to efficiently offer quality care to different types of animals. Digital transformation of a veterinary facility enables smooth access to patient records as well as efficient care. For instance, technological advancements allow veterinarians to perform imaging tests, upload the images on cloud and share with any pathology lab globally. Digitalization of clinical treatments also enhances the overall quality of the veterinary imaging services, thereby enhancing market growth.

Veterinary services involve treatment of diseased animals, periodic healthcare monitoring, animal neutering, preventive services, diagnostic and dental services for pets, pet vaccination, artificial insemination, and animal health protection, among other services. These services also include surgeries and pet consulting services for the health and wellbeing of companion and farm animals.

Veterinary Services Market Trends

• Increasing affection between pet parents and their pets coupled with rising disposable income as well as surging market penetration of different pet insurance schemes enabling pet parents to willingly spend on quality veterinary services.
  
• According to American Pet Products Association (APPA), in 2021, about 70% of U.S. households have minimum one pet. Majority of pet owners consider their pet as a family member; hence they undertake numerous efforts to take proper care of their pets. This enables pet owners to efficiently spend on quality veterinary services for their pets and provide them with optimal treatment options, minimizing the out-of-pocket expenses.
  
• Also, availability of advanced medical facilities for animals, cutting-edge diagnostics and treatment modalities, vaccination, pet grooming and day care facilities are further set to positively impact industry growth. A recent survey conducted by the American Pet Products Association found that dog owners take their pets to a full-service salon (30%), with a smaller number of people indicating the use of mobile grooming services (9%), retailers (8%), or a self-service center (6%). On average, pet parents reported that their dogs were groomed professionally about four times a year.
  
• Similarly, rapid expansion of veterinary infrastructure, especially in developed countries, increases accessibility to these services. For instance, Yellow Pages lists more than 2,000 animal boarding facilities and approximately 300 boarding facilities only for cats in Germany. Every larger city has one or several dog day-care centers, thus there are a minimum of 150 to 200 across the nation.
  
• Further, several technological advancements in the field of veterinary medicine are set to positively influence the veterinary industry. Recent developments such as enhanced imaging modalities for animals, telemedicine platforms, point-of-care diagnostics, along with ongoing research and development activities in veterinary field is set to bring rapid expansion in the market.
  

Veterinary Services Market Analysis

Based on the type, the market is segmented into general services, specialty services, and emergency services. The general services segment dominated the market in 2023 and was valued at USD 46.9 billion growing from 42.1 billion in 2021.

• General services encompass a wide range of veterinary services such as routine checkups of animals, spay/neuter procedures, vaccination, routine blood tests, and physical exams. These services are a vital component to monitor the health and well-being of pets.
  
• These services also include pet day care services, boarding and grooming services and pet fitness care among others. This allows pet owners to take better care of their pets, thereby boosting the adoption of these services.
  
• Rising awareness among pet owners regarding pet health and preventive healthcare has increased the adoption of these services. As per the American Veterinary Medical Association, spaying female dogs and cats can prevent uterine infection and reduce the risk of breast cancer. Neutering males can eliminate their risk of testicular cancer and reduce their risk of developing enlarged prostate glands. Dogster estimates suggest that nearly 85% of dogs have been spayed or neutered in the U.S.
  
• Further, growing concern regarding zoonotic diseases has also increased routine examinations and check-ups in both companion and livestock animals. Also, with a growing focus on food safety and the increasing adoption of animal-derived products, there is a high demand for routine examinations in livestock animals, further driving the adoption of general services.
  

Based on the service, the veterinary services market is classified into diagnostic tests & imaging, physical health monitoring, surgery, vaccination, grooming, pet boarding & daycare, pet fitness, and other services. The diagnostic tests and imaging segment held highest market share of 30.4% in 2023 and is anticipated to witness growth at a CAGR of 7.5% over the forecast period.

• Infectious diseases are life-threatening for pets and very often reduce the productivity of farm animals. Accurate and rapid diagnostic tests are essential to detect, control, and eradicate such diseases. This has led to growth in veterinary services such as diagnostics tests and imaging.
  
• Several advancements in veterinary diagnostic and imaging technologies, including molecular diagnostics, point-of-care testing, high-resolution ultrasound, computed tomography (CT), and magnetic resonance imaging (MRI) have expanded the ability to accurately diagnose animal diseases. These innovations enhance the speed of diagnostics and contribute to the overall market growth.
  
• Also, the implementation of teleradiology in the field of veterinary diagnostics and imaging has further enhanced these services, thereby increasing its adoption rate.
  

Based on the animal type, the veterinary services market is bifurcated into companion animals and livestock animals. The companion animals include dogs, cats, horses, and other companion animals. The companion animals segment dominated the global market in 2023 with a share of 60.4% and is expected to grow at 7.2% CAGR from 2024 – 2032.

• Advancements and developments in veterinary services coupled with the increasing adoption of companion or pet animals are expected to drive the segment growth over the forecast period. Also, there has been a significant increase in the incidence of various diseases among pet animals. According to the article Multimodal Pain Management for Canine Osteoarthritis published in August 2021 reported that, one of the most frequent illnesses among dogs is osteoarthritis (OA), affecting up to 75% of mature medium and large canines.
  
• The prevalence of osteoarthritis in primary care settings was just 2.5%, with a median age of 10.5 years at the time of diagnosis. This shows that canine patients are not being tested at an early age, therefore owners are failing to recognize clinical indications, and veterinarians should be examining dogs for OA and initiating therapy at an earlier age. This disease burden among the companion animals is creating opportunities for several services which are expected to contribute to the segment growth.
  
• Furthermore, there have been numerous developments globally for the proper management and accessibility of veterinary services and veterinary medicine to companion animals that will further foster the market growth. For instance, in November 2021, Hospital Paragon Veterinary Referrals has become the first veterinary center in the UK to launch a pioneering superficial radiation therapy (SRT) service for pets. Paragon invested more than USD 150,000 to install the country’s first Xstrahl 100, a superficial radiotherapy system. This development is anticipated to boost segment growth over the forecast period.
  

North America veterinary services market size was valued at USD 41.2 billion in 2021. The North America region dominated the global market in 2023 with USD 45.7 billion growing from USD 43.3 billion in 2022.

• High rates of pet ownerships in the region, coupled with availability of advanced care services, drives the market growth. For instance, as of 2023, over 66% of Americans, that translates to about 87 million homes owned at least one pet. Also, the region has a strong livestock industry which further increases the demand for veterinary services.
  
• Additionally, rising expenditure on animal care and strong veterinary infrastructure increases the adoption of various pet care services.
  
• Also, high adoption of pet insurance in the region increases the adoption of several animal healthcare services.
  
• In addition, the presence of prominent market players and high veterinary expenditure are some of the factors responsible for the significant share.
  

The U.S. veterinary services market in 2023 was valued at USD 43.3 billion and is anticipated to grow at 7.1% CAGR.

• In 2023, there were approximately 48,487 businesses offering veterinary services in the U.S. along with a workforce of nearly 127,131 veterinary professionals. Such a strong network of veterinary institutions and professionals drives market growth.
  
• Further, according to the 2021–2022 National Pet Owners Survey by APPA, 70% of the U.S. households owned at least one type of pet. Additionally, almost 69 million of the U.S. households have at least one dog, and 45.3 million have at least one cat, about 9.9 million have birds, and 3.5 million have horses.
  
• This high volume of companion and livestock animals in the country increases the demand for various animal healthcare services, thus boosting the growth of the U.S. market.
  

Europe veterinary services market accounted for USD 29.7 billion in 2023 and is anticipated to show lucrative growth over the forecast period.

• The UK has reported outbreaks of various diseases, such as bird flu and West Nile virus. For example, the UK has experienced a large outbreak of bird flu. The outbreak led to the death of 3.8 million birds in the UK, with significant consequences for agriculture and livestock industry. This disease outbreak increases the adoption of veterinary services for preventive measures.
  
• Further, the UK is home to a large pet population. Studies estimate that early 62% of UK households own at least one pet. Accessibility to modern care facilities for pets, mobile pet grooming services, and the emergence of pet insurance will propel the industry’s growth positively.
  

China veterinary services market is expected to showcase remarkable growth in the Asia Pacific market.

• Increased focus and awareness of the government regarding early detection and eradication of animal disease is expected to boost the market growth.
  
• For instance, government of China has laid out Nation’s Rabies Prevention and Control Plan (2017-2020) that encompasses monitoring, vaccination, epidemic surveys and education against rabies. At municipal level, cities also enacted companion animal regulations mandating microchipping and vaccination of dogs.
  
• Thus, with increasing awareness to control and prevent the outbreak of zoonotic diseases, the market is expected to witness tremendous growth over the forecast period.
  

Brazil veterinary services market is anticipated to witness rapid growth in the Latin America market.

• Brazil has the third-largest pet population in the world with 160 million pets, of which 60 million are dogs, 30 million cats, and 32 million pet-owning households.
  
• The country is also home to a large livestock population, with Brazil being the third-largest cattle producer and second-largest beef exporter in the world.
  
• Such high animal volume coupled with strong growth in veterinary expenditure is anticipated to foster market growth.
  

South Africa veterinary services market dominated the Middle East and Africa market in 2023.

• About 45% of adults in South Africa are pet owners, showcasing the country’s love for animals. Among these, 78% are dog owners, while only 36% own cats.
  
  The increasing pet ownership in the country, rising disposable income coupled with a rapidly expanding veterinary infrastructure will offer lucrative market growth opportunity in the country.
  
• In addition, rising government initiatives to boost animal welfare and support businesses in veterinary industry aid in the market growth. For instance, the Vaccination Guidelines Group (VGG) of the World Small Animal Veterinary Association (WSAVA) has launched a project to better understand infectious diseases in small animals and to provide evidence-based vaccination recommendations to practitioners. Such initiatives by government organizations will further promote market growth.
  

Veterinary Services Market Share

Top 5 players such as Mars, Incorporated, PetVet Care Centers, IDEXX Laboratories, Inc, CVS Group plc, and VetPartners account for approximately 15% of the market. These key players focus on various strategies such as acquisitions, business expansion and novel product launches to consolidate their market presence. As an example, in October 2021, VetPartners acquired Goddard Veterinary Group, a company that owns and operates a chain of veterinary practices that offers services such as blood testing and acupuncture. This strategy is expected to help the firm to enhance diagnostic capabilities and other veterinary service offerings.

Further, the market is highly fragmented with several players operating in the market. This creates an opportunity for market consolidation. Hence, leading players are constantly involved in mergers and avulsions. For example, Mars has purchased several veterinary services firms such as Banfield Pet Hospital, Blue Pearl Hospital, Cerba Vet, ANTAGENE, and Heska. These acquisitions have expanded Mars's veterinary diagnostics and technology portfolio.

Veterinary Services Market Companies

Prominent players operating in the veterinary services industry include:

• Animal Medical Center of Plainfield
• Camp Bow Wow
• CVS Group
• Ethos Veterinary Health
• Frolick Dogs
• Greencross Vets.
• IDEXX Laboratories
• Kathy Santo Dog Training
• Mars, Incorporated
• PetIQ
• PetVet Care Centers
• Pets Yoga
• Pinogy Corporation & Memphis TN
• VetPartners
• Vetcor
• Zoetis
  

Many leading players such as Mars, focus on mergers and acquisitions to gain competitive edge in the market. For example, in September 2023, Mars acquired SYNLAB Vet, a European provider of specialist veterinary laboratory diagnostics.

Companies also focus on expansion of their existing business by establishing more service facilities. In December 2023, Chewy, the online retailer for pet products and services, opened an in-person pet care facility named Chewy Vet Care in South Florida.

Veterinary Services Industry News:

• In December 2024, Mars Veterinary Health entered the Indian veterinary segment through a minority investment in Crown Veterinary Services. Through this investment, Crown Vet will expand its network and introduce advanced training programs for its 240 employees, including 60 veterinarians.
  
• In July 2024, Mars, Incorporated completed the acquisition Cerba Vet and ANTAGENE. This helped the company to enhance its pet care diagnostics division. 
  
• In December 2021, VetPartners acquired Swissvet, a Switzerland-based company that owns and operates a chain of veterinary clinics offering practices such as dental, microchipping and cat spay. the acquisition was targeted at enhancing the company’s service offerings as well as expanding the geographical reach of the company.
  
• In January 2021, Davies Veterinary Specialists in Hitchin and Southfields Veterinary Specialists in Essex, launched two well-respected referral centres. These centers will offer advanced veterinary dentistry service and maxillofacial surgery service for pets across the UK market. This strategy expanded its services offering especially in dentistry sector and expanded its outreach to untapped economies.
  

The veterinary services market research report includes an in-depth coverage of the industry with estimates & forecast in terms of revenue in USD Million from 2021 – 2032 for the following segments:

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Market, By Type

• General services
• Specialty services
• Emergency services

Market, By Service

• Diagnostic tests and imaging
• Physical health monitoring
• Surgery
• Vaccination
• Grooming
• Pet boarding and daycare
• Pet fitness
• Other services

Market, By Animal Type

• Companion animals
  • Dogs
  • Cats
  • Horses
  • Other companion animals
• Livestock animals
  • Cattle
  • Swine
  • Poultry
  • Sheep & goats

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Spain
  • Italy
  • Netherlands
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • South Korea
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  • South Africa
  • Saudi Arabia
  • UAE