Core Insights - The pet economy is experiencing robust growth despite the global economic downturn, indicating a strong demand for pet-related products and services [2] - The Asia Pet Expo has reached a new scale with over 2,600 exhibitors and an expected attendance of over 510,000, showcasing the industry's expanding boundaries [2] New Entrants Targeting Demand Diversification - New entrants in the pet industry are focusing on differentiated consumer needs, with companies like PILTON reporting a 35% increase in sales year-over-year for their smart pet products [4][5] - The rise of small pets is notable, with over 17 million people in China owning exotic pets as of 2020, representing 25% of the overall pet ownership [5] - Wagoo, a new mobile pet grooming service, plans to triple its fleet of mobile grooming vehicles by the end of the year, addressing consumer pain points related to traditional grooming services [6] Traditional Manufacturers Maintaining Professionalism and Scale - Established manufacturers are facing increased competition but are leveraging their expertise and scale to maintain market presence, with companies like Qingdao Maierchi focusing solely on cat litter for over a decade [10] - The export market remains strong for companies like Pairfu, which has 70% of its business in exports, with the U.S. accounting for about 40% of export revenue [11] - The pet industry is projected to grow, with the urban pet consumption market expected to exceed 300 billion yuan in 2024, reflecting a 7.5% year-over-year increase [12]

Core Viewpoint - The pet economy is experiencing robust growth despite the global economic downturn, showcasing a strong demand for pet-related products and services, as evidenced by the record attendance and participation at the Asia Pet Expo [3][6]. Group 1: Market Trends - The Asia Pet Expo gathered over 2,600 exhibitors and is expected to attract more than 510,000 visitors, indicating a thriving market [3]. - The pet ownership demographic is shifting towards younger consumers, with over 70% of attendees at the expo being young pet owners [10]. - The trend of "new necessities" in pet care is emerging, with a focus on emotional well-being and smart pet products, as 61.5% of users are willing to pay for their pets' emotional health [10]. Group 2: New Entrants and Innovations - New entrants in the pet industry are targeting differentiated consumer needs, such as the rise of smart pet products like the intelligent bird cabin, which saw a 35% increase in sales compared to the previous year [6][10]. - Wagoo, a new mobile pet grooming service, plans to triple its fleet of mobile grooming vehicles by the end of the year, addressing consumer pain points related to traditional grooming services [7][8]. - Innovative products showcased at the expo include a mobile pet video recording device and smart pet care gadgets, reflecting the growing demand for technology in pet care [10][12]. Group 3: Traditional Manufacturers - Established manufacturers are facing increased competition but are leveraging their expertise and scale to maintain market presence, focusing on cost-effectiveness and quality [12][14]. - Companies like Qingdao Maierchi, specializing in cat litter, emphasize their long-standing experience and market stability despite challenges [14]. - The pet care market is projected to exceed 300 billion yuan in 2024, with significant growth in both dog and cat segments, indicating a strong consumer willingness to invest in high-quality pet products [16].

Core Insights - The pet economy is experiencing robust growth despite the global economic downturn, indicating a strong demand for pet-related products and services [1] - The Asia Pet Expo has reached a record scale with over 2,600 exhibitors and an expected attendance of over 510,000, showcasing the industry's expanding boundaries [1] - New entrants in the pet industry are focusing on differentiated consumer needs, particularly in the smart pet product segment, which is seeing significant sales growth [3][4] Industry Trends - The market for small pets is growing due to urban living constraints and safety concerns, with over 17 million people owning exotic pets in China, representing 25% of the total pet ownership [4] - Young consumers now make up over 70% of the pet ownership demographic, shifting the focus from basic care to more refined pet nurturing practices [7] - A report indicates that 61.5% of pet owners are willing to pay for their pets' emotional well-being, accelerating the adoption of smart pet products [7] New Entrants and Innovations - New companies like Wagoo are entering the market with mobile pet grooming services, aiming to address consumer pain points related to time and convenience [5] - The introduction of innovative products such as smart pet phones and cooking machines for pet food reflects the trend towards technology integration in pet care [7][8] - The demand for smart pet products is evident, with companies reporting significant pre-orders and high repurchase rates for new offerings [3][8] Traditional Manufacturers - Established manufacturers are facing increased competition but are leveraging their expertise and scale to maintain market presence [10] - Companies like Qingdao Maierchi focus on specific product categories, such as cat litter, to build a competitive edge through specialization [10] - Traditional players are adapting to market changes by exploring new sales channels and enhancing product offerings to meet evolving consumer preferences [11][12] Market Outlook - The pet consumption market in urban areas is projected to exceed 300 billion yuan by 2024, with a year-on-year growth of 7.5% [13] - The dog and cat consumption markets are expected to grow by 4.6% and 10.7%, respectively, indicating a strong consumer willingness to invest in high-quality pet products [13] - The pet product market remains fragmented, with no dominant brands, suggesting significant opportunities for growth and consolidation [13]

Industry Overview - The pet economy is experiencing robust growth despite the global economic downturn, indicating a strong demand for pet-related products and services [1] - The Asia Pet Expo has reached a new scale with over 2,600 exhibitors and an expected attendance of over 510,000, showcasing the industry's expanding boundaries [1] Market Trends - New entrants in the pet industry are focusing on differentiated consumer demands, with a notable increase in the market share of smart pet products, such as the smart pet cabin, which saw a 35% increase in sales year-over-year [3] - The trend of urban living space constraints and heightened safety concerns is driving the popularity of small pets, with over 17 million people in China owning exotic pets as of 2020, accounting for 25% of the total pet ownership [4] Consumer Behavior - Young consumers now represent over 70% of the pet ownership demographic, shifting the focus from merely feeding pets to enhancing their emotional well-being, with 61.5% willing to pay for their pets' emotional health [10] - The emergence of mobile pet grooming services reflects a shift in consumer preferences towards convenience and tailored services [7] Traditional Manufacturers - Established manufacturers are facing increased competition but are leveraging their expertise and scale to maintain market presence, focusing on cost-effectiveness and quality [12] - Companies like Qingdao Maierchi, which specializes in cat litter, have maintained stable revenue and profit through diversified market strategies despite challenges [12] - The pet care tools supplier, Pairif, is adapting to market changes by exploring new markets and adjusting product designs based on local demands [13] Market Projections - The urban pet consumption market is projected to exceed 300 billion yuan in 2024, with a year-on-year growth of 7.5%, indicating strong consumer purchasing power and a preference for high-quality products [15]