#None #Veterinary Care #Animal Health #AI in Animal Health

Animal Health Industry Poised for Growth

The animal health market is dramatically expanding, with projections indicating it could reach a staggering USD 112.33 billion by 2030. According to a recent report by Grand View Research, the market is expected to grow at an impressive compound annual growth rate (CAGR) of 10.46% from 2025 to 2030. Several key factors contribute to this anticipated surge in the industry.

Factors Driving Market Growth

The increase in expenditures on animal healthcare, combined with a rising incidence of diseases affecting pets and livestock, are at the forefront of this growth.

Additionally, digitalization is transforming traditional veterinary practices. The use of AI technologies, such as diagnostic imaging tools and wearable sensors for livestock, is improving how animals are monitored and treated. These advancements allow for quicker and more accurate diagnostics, ultimately enhancing animal health outcomes. Notably, AI-based analytics tools are increasingly becoming integral in veterinary practices worldwide.

Another significant contributor to the market's expansion is the growing rate of pet ownership. In the UK alone, about 62% of residents own pets, underscoring the importance of animal health services. The trend of pet humanization also plays a crucial role, as more pet owners are seeking routine medical check-ups and wellness products, including vaccines and advanced treatment options.

Challenges Ahead

Despite this optimistic outlook, the industry faces challenges, particularly from substitute product threats. At-home testing kits and point-of-care diagnostic tools are becoming more popular, providing convenient alternatives to traditional veterinary services. This trend may pose a risk to conventional veterinary practices that rely heavily on in-clinic diagnostics.

Market Segmentation Insights

Examining the market in greater detail reveals several critical sections:

1. Product Types: The pharmaceutical segment dominated the market, accounting for 43.42% of the share as of 2024. Preventative solutions, including vaccines and diagnostics, are gaining traction amongst consumers who are increasingly concerned about food safety and animal welfare.

2. Animal Type: The production animal sector holds the largest revenue share due to heightened concerns regarding food safety and sustainability.

3. Distribution Channels: Hospital and clinic pharmacies accounted for a substantial revenue share in 2024, thanks in part to the high volume of veterinary procedures occurring in these settings.

4. Geographical Insights: North America emerges as a dominant force in the global animal health market, holding 35.69% of the market share in 2024, propelled by a high prevalence of zoonotic diseases and livestock.

Future Considerations

As developments in animal health continue to evolve, stakeholders must keep an eye on innovations in both technology and consumer behavior. The industry's ability to adapt to changing market dynamics and consumer preferences will be pivotal in navigating both opportunities and challenges in the ranking animal health sector.

For more detailed insights, interested parties are encouraged to access the full report from Grand View Research which elaborates on segment forecasts and deep dives into specific trends shaping the future of the animal health market.