Over the first half of this century, the number of people living in Asia will see a nearly 50% increase. But the region hosts another community that is multiplying fast: household pets.
That means a multibillion-dollar business opportunity is knocking for providers of all kinds of pet products and services, from food and health care to tech and tourism, as people across a region—which the United Nations estimates will be home to five billion by 2050—become more affluent and splurge on pets as a source of companionship, spurred in part by the Covid-19 pandemic.
And even in countries like South Korea, where birth rates are alarmingly low, purse strings are being opened for free spending on pets, rather than children, as what experts call the “humanization” of household animals kicks in.
In Gongju, a city just over an hour from Seoul, among those in the market for gourmet treats are one-year-old golden retriever Lucky, and Dodo, a six-year-old Doberman. The pair dined out on a recent trip to Dogchelin—a riff on the Michelin guide for restaurants—where they wolfed down a KRW 10,000 (USD 6.8) four-course meal featuring salmon fillet and green beans, as well as pumpkin soup and milk ice cream.
“They eat a lot. Lucky and Dodo eat 50 kilograms of food each per month,” said their owner Park Sun-young, who along with her husband, Lee Jung-yeon, dotes on the pair who are making their second trip to Dogchelin. “We consider all aspects to choose their food: ingredients, nutrition, and of course, price.”
Driven by what it sees as the increasing humanization of household animals, Euromonitor International, a data analytics company, expects the Asia-Pacific market for pet food and other products to hit USD 34.8 billion by 2029, up by a fifth in the space of five years. With a compound annual growth rate of 4% over that period, the Asia Pacific market will easily outstrip North America’s 2.5% growth and will be nearly double Western Europe’s 2.1%, Euromonitor predicts.
“Growth prospects offered by pet care in Asia-Pacific are not only conducive for incumbents but for new entrants as well,” Sahiba Puri, senior consultant at Euromonitor, told Nikkei Asia.
“Product attributes like innovative formats, health-oriented claims and functional ingredients along with retail availability through channels like pet specialists, marketplaces and direct-to-consumer have enabled startups to gain a foothold in the market.”
Gongju’s Dogchelin is run by Harim Pet Food, part of a South Korean food business known for its chicken, as part of a two-hour tour for pet owners at its factory. Led by its flagship brand The Real, Harim Pet Food’s revenue jumped 15% to around KRW 50 billion (USD 34.1 million) last year, and the company forecasts similar growth this year.
“Our motto is 100% human-grade,” Kim Eun-kyoung, head of the brand management team at the company, told Nikkei. “We don’t want to feed pets food that people cannot eat.”
It’s not all about food, however. There is a range of products and services being developed, from pet clothing to veterinary tech devices and insurance. Even tourism is an area where demand for pet services is rising, and regional businesses are prominent: According to Euromonitor, the leading three pet care players in the Asia-Pacific region by revenue in 2023 were US giant Mars, Japan’s Inaba Petfood Corporation and fellow Japanese company Unicharm. The top three globally were Nestle, Mars, and Colgate-Palmolive.
LG Uplus, a Seoul-based telecommunications company, offered charter flight services for pets and their owners four times last year in cooperation with Jeju Air. The company charged KRW 750,000 (USD 512) for three seats—two owners and one pet—in the fourth flight in October, from Seoul to Jeju, after three previous sold-out trips.
In countries like South Korea and Vietnam, the trend for humanization of pets such as dogs has coincided with a shift among younger consumers away from dog meat dishes that can still be found on menus favored by older people. The trend became more pronounced across the region during the Covid-19 pandemic, industry watchers say, as lockdowns boosted the companionship appeal of household animals.
A growing affinity for pets in India, where Euromonitor forecasts a nearly 60% jump in the pet care market over the 2024–2029 period, took root with remote workers during the pandemic, according to consulting company Redseer.
“The rise of nuclear families and urbanization has made pets an ideal source of companionship, with individuals increasingly seeking emotional support from animals,” Redseer analyst Amitabh Kumar told Nikkei recently.
Young people have now become the dominant force in pet ownership in Asia, some of whom are opting to raise pets instead of having children.
According to a Goldman Sachs report, the number of cats and dogs in China in 2024 was already comparable to the number of children aged four or under. With declining birth rates and increasing pet ownership, the number of pets in China is expected to be nearly twice that of children by 2030.
“Young people in China today struggle to find the same sense of ambition and optimism as previous generations,” said Starr Liu, a cat owner and founder of Shenzhen-based Petpa, a startup that manufactures artificial intelligence-powered multi-pet feeders. “With more women choosing not to marry or have children, emotional needs still require an outlet, leading many to turn to pets for companionship and fulfillment.”
“China’s pet culture has evolved rapidly, surpassing that of many Western countries. China’s pet economy began booming around 2015, shifting in just a decade from feeding pets table scraps to basic pet food, then imported brands, and now premium domestic products. Additionally, young Chinese consumers are more willing to embrace smart pet technology,” Liu said.
In Hanoi, tech sector worker Le Bui, owner of three cats, told Nikkei Asia that she thinks the rise of the pet industry is underpinned by changing societal priorities as people in countries like Vietnam become better off.
“More and more people are caring about their mental health. If you are by yourself it’s more fun to have pets,” said Le, 35, who spends around VND 2.5–3 million (USD 96.9–116.3) per month on her cats. “It’s nice to have pets waiting on you when you come home from work. It’s also for parents to teach their kids about caring and sharing.”
“In the past, Vietnamese were so poor we only care about feeding our family. But now we also care about our mental health … so this explains why this industry grows quickly. I think it’s also because of our strong economic growth compared to the region.”
Pet humanization in places like Vietnam has also shown up in the way consumers feed their animals, moving from feeding pets table scraps to buying food targeted at animal nutrition. In a 2024 Euromonitor survey, 20% of respondents in the Asia Pacific region said they feed their pets table scraps on an everyday basis, down from 25% in 2021.
Vietnam’s pet care market is comparatively small in the region, but is among those tipped by Euromonitor for the strongest growth — just over a third in 2024–2029. At the other end of the scale sits Japan, a very large, highly developed pet care market but one seen growing a meager 0.9% a year over 2024–2029.
Japan has long been known as a center for premium pet goods, from strollers for dogs to Chanel leashes and collars. But it’s also a country where the number of household pets has outstripped the number of children under 14 for decades as its society rapidly ages.
“In general, the performance of the pet care industry is closely tied to the number of households,” Euromonitor consultant Megumi Matsunaga told Nikkei. “The number of households in Japan has been increasing, even as the population declines. This trend is expected to reverse in the early 2030s. … This demographic shift is likely to negatively impact the performance of the pet care industry.”
Demographics and decisions not to have children, for financial or other reasons, play a part in many choices to acquire pets across the region.
In Malaysia, nearly two-thirds of households have pets, according to a study by Global Pets—primarily cats, as dogs are considered “unclean” or impure according to Islam, though some households do still opt for dogs.
And young married couples in their early 30s, like Nicholas Wong and Su Wen, told Nikkei that it is common among their peers to have pets while some are not keen to have children because of affordability issues.
“I think it’s more common. On the one hand, it could be about companionship, and on the other, I think some of my friends who are not keen on kids find it more affordable and less of a lifestyle change,” said Wong, who works as a risk adviser at McKinsey.
Wong and Su Wen adopted two stray cats at first and are currently nursing and fostering two more cats in his condominium unit in Petaling Jaya, a city just half an hour from the center of Kuala Lumpur.
Wong said cats are much easier to deal with than dogs and are a better fit with his lifestyle. “I’ve had dogs before, but the costs and care are higher for dogs. They eat more, and as they age, they tend to develop more health issues,” said Wong.
Veterinary services are a significant part of the overall market for pet care, and in some cases also an opening for new technology providers.
At Ohana Veterinary Clinic, located in the upscale residential area of Taman Tun Dr Ismail in Kuala Lumpur, Jawahir Abdullah, a vet for more than a decade, told Nikkei that she has been using AI-driven diagnostics and telemedicine platforms, such as a blood testing machine that can analyze results and compare them with international data.
“We also use software and applications that can scan pets and provide data like weight and temperature,” she said.
Some vets rely on alternative tech medicine. Jawahir said alternative treatments like laser therapy and natural remedies are on the rise because owners are “scared of the side effects of drugs,” opting for alternatives like turmeric or laser treatments, including traditional Chinese veterinary medicine (TCVM).
While TCVM is not yet formally regulated by Malaysian veterinary authorities, its practices, such as acupuncture, herbal medicine, and food therapy, are increasingly being integrated into some veterinary clinics.
Jawahir reckoned that pet ownership in Malaysia increased by 32% compared with before Covid-19, and the trend has changed significantly in the past decade. Pets can improve the mental health of owners and dogs are very sensitive to emotions, and “they know when their owners are stressed.”
“Yes, it’s very significant compared to my early days. Now, owners want nutrition, specific treatments, and more. They are willing to spend because they see pets as part of the family,” Jawahir said. She also mentioned that her clients are more educated and saw increased knowledge-seeking behavior on platforms like TikTok and ChatGPT, making it easier to explain to her clients.
“Malaysia is still catching up, but the industry has a lot of potential. More people are treating pets as family members, and they’re willing to spend on their care. However, vets need to upskill, and the industry needs more manpower to keep up with demand,” she said.
Services for pets continue beyond their passing. Cemetery and funeral services are common across parts of Asia, from South Korea and Japan to Malaysia and Vietnam—and can generate hefty bills.
In Hanoi, Le Bui added up the cost of saying farewell to one of her previous pets.
“When my cat Dua (Coconut) died, I put her in a cemetery in Bach Mai district in Hanoi,” she said. “Cremation costs VND 12 million (USD 465.1). Burial costs VND 30 million (USD 1,162.8). They offer [a] full service including worshiping, chanting, the ’49-day ceremony’ and other ceremonies.”
The 49-day ceremony is an event for the dead in Vietnam where Buddhist monks chant for hours with family members sitting around an altar, followed by big meals.
“For the pet case I think it’s chanting only. It signifies that the deceased has gone to be with Buddha,” Le said.
This article first appeared on Nikkei Asia. It has been republished here as part of 36Kr’s ongoing partnership with Nikkei.