Industry Overview - The pet industry in China is experiencing a golden development period driven by the continuous release of emotional consumption demand and industrial upgrades, with overall annual transaction scale exceeding 50 billion yuan on platforms like Taobao and Tmall, indicating strong growth momentum [1] - The pet economy has become a highly dynamic segment in China's consumer market, with the urban pet consumption market projected to reach 300 billion yuan in 2024, reflecting a year-on-year growth of 7.5% [1] Market Segmentation - Pet food remains the core category, with the market expected to surpass 150 billion yuan by 2025, maintaining a compound annual growth rate (CAGR) of over 18% for the next five years [1] - There is a noticeable trend of consumption upgrading across various segments of the pet industry, particularly in food, health products, and smart pet supplies, with significant growth in specialized pet food and health products [1] Consumer Trends - The demand for pet health products, such as deworming medications, is robust, and the rise of smart pet products and fashionable consumption is enriching the industry ecosystem [1] - Notable increases in specific product categories include a tenfold increase in pet stroller transactions, a 58% growth in pet accessories, and a 202% surge in searches for pet air purifiers [1] Emotional Value Shift - Brands like Nike, Adidas, and Jordan are launching trendy pet products, intensifying competition while shifting consumer focus from "practical value" to "emotional value" [2] - As pets become important emotional carriers, the industry is evolving beyond mere commercial value, contributing significantly to economic growth in what is termed the "it economy," a trillion-level consumption market [2]