ไทย
No matter how bad the economy is, or how expensive noodles are, if you walk into a pet food store, you’ll see that Thais still “spoil” their four-legged friends without hesitation. And this isn’t just a personal feeling; there are economic figures to support it.
TTB Analytics, an economic analysis center, estimates that the Thai pet market will reach 100 billion baht by 2026. Interestingly, owners who treat their pets like “children” are willing to spend an average of 41,100 baht per animal per year, five times more than those who let their pets roam freely (who spend around 7,745 baht per year).
Siam Commercial Bank, citing CMMU data, presented a similar picture, stating that this market is growing at an average rate of 13.2% per year, from 33 billion baht in 2019 to 92 billion baht in 2025, and will surpass 101 billion baht this year. On average, Thais spend as much as 50,500 baht per pet per year on pet care.
Why is this the case? The answer is that many Thais no longer keep pets for fun, but to “compensate” for what modern life can’t provide. This aligns with data from The 1 Insight, which indicates that 65% of pet owners view their pets as children or family members, and another 33% keep them to alleviate loneliness. This contrasts sharply with Thailand’s declining birth rate, especially in Bangkok, a city where more people are living alone. The rising cost of raising children is now being channeled into the cost of caring for dogs and cats instead. The figure that reinforces this point is that in 2025, Thailand had only 410,000 newborn babies, the lowest in 76 years. This contrasts sharply with the number of owned pets, which grew by 6% to 5.38 million in the same year.
This is a phenomenon that economists worldwide call “Treatonomics”—the willingness to spend small amounts of money on happiness and emotional healing when bigger life goals like a home, family, or a career promotion seem out of reach. Analysts from Kantar even compare it to the “Lipstick Effect” with steroids: people are willing to cut back on essential daily expenses, but they won’t cut back on birthday gifts for their dogs and cats because, no matter how hard they worked that day, their four-legged friends are always there to comfort them when they get home.
What’s noteworthy is that cats are surpassing dogs in this market. Sales of cat products account for 63% of all pet product sales, and the cat owner market is projected to grow by 32.1% annually by 2025, outpacing the dog owner market. This has led to the creation of a new ecosystem surrounding cats, ranging from professional cat sitters and cage-free cat hotels to automatic cat litter boxes and smart water fountains. Meanwhile, the veterinary hospital business is also experiencing strong growth, expected to reach 8.45 billion baht in 2025, a 17% increase from the previous year. This is even clearer for Gen Z, as they are the fastest-growing generation in terms of pet spending, at a rate of 46%. This reflects the fact that the less traditional family obligations they have, the more money flows towards this.
From an investor’s perspective, an analysis from Bnomics, Bangkok Bank, indicates that this is a truly “resilient” trend because people are willing to cut costs on everything else except pet care. And a deeper look at the actual expenses reveals where pet parents’ money is flowing. Food is the first hurdle people are willing to pay more for without hesitation. From ordinary kibble, they’ve moved up to fresh, homemade food (Fresh & Raw Food), a trend that’s growing at an average rate of 40% annually. Some brands price their food as high as 1,500-3,500 baht per kilogram, or offer customized formulas to their pets for a service fee of 2,000-5,000 baht per month per animal.
The healthcare sector is shifting from “general clinics” to “specialized treatments.” The Thai animal clinic market has a total value of approximately 9 billion baht, and emerging services include veterinary dentistry, cat-specific clinics, and senior animal physiotherapy centers. The segment specializing in cancer and skin disease treatment for pets is experiencing high growth, at a rate of 20% per year. Some major animal hospitals, such as those in Thonglor, had total revenue exceeding 1,313 million baht in 2024.
The most noteworthy business segment for investors may not be the fastest-growing one, but rather the one that is “not keeping up with” the demand: pet insurance. Currently, this market in Thailand is worth less than 200 million baht, representing only 0.2% of the total pet market – a very small amount compared to other countries. Yet, there is real demand because pets, like humans, can get sick and have accidents, but lack the basic healthcare coverage they receive. This makes the cost of treatment at private hospitals or clinics extremely high. Most insurance policies currently sold cover medical expenses from accidents and illnesses, third-party liability if pets cause damage to others, and funeral costs. TTB Analytics predicts this market will grow at an average rate of 15-20% per year, although it is currently small because coverage plans don’t yet meet the needs of consumers and basic pet data is not yet complete enough for insurance companies to set premiums accurately. This represents a market gap waiting to be unlocked by new players.
In addition, premium pet food, with Thailand becoming a global exporter, and condominium properties starting to design pet-friendly spaces, are two other businesses that are greatly benefiting from this “Pet Parent” wave. In short, as Thais become lonelier and have fewer children, but still desire someone (or a pet) waiting for them at home, this sum of money won’t disappear; it will only continue to grow.
Read more at: https://www.thairath.co.th/money/economics/thai_economics/2943259
and retreived Information from: ttb analytics, Siam Commercial Bank, CMMU, The 1 Insight x CRC VoiceShare, Kasikorn Research, Kantar, Bnomics, Bangkok Bank.