Chinese MZ Generation Obsessed with Pets... From Travel to Pet Insurance [China Spotlight]

The Diversifying, Personalizing, and Socializing Chinese Pet Industry

A dog working part-time. Photo by Baidu, China

China's MZ generation (born between the 1980s and 2000s) has become passionate about pets. As the Chinese MZ generation shows deep interest in eco-friendly food, grooming, bathing, and clothing for their pets, the pet industry is expanding.

Growing Pet Industry in China

Mr. Wu Hao from China owns two Shiba Inu dogs and spends about 2,000 yuan (approximately 380,000 KRW) per month. Recently, he has started paying attention not only to food but also to preventing long-term health issues such as joint care, overall health, and dental hygiene for his dogs.

Chinese media have highlighted the MZ generation's passion for pets. According to China Central Television, "The number of pets in China is increasing every year, and the market is becoming more diversified, personalized, and socialized," adding that "the segmentation of the pet industry is creating unprecedented new growth opportunities."

According to the recently released 2024 China Pet Industry Consumer Report, last year the number of pet dogs and cats in China reached 51.75 million and 69.8 million respectively, marking a 6.8% increase compared to the previous year. The market size is also rapidly growing. In 2023, the urban pet consumption market in China was valued at 279.3 billion yuan (approximately 54 trillion 5.4 billion KRW). Experts predict it will reach 361.3 billion yuan (about 69 trillion 8.6 billion KRW) by 2026. Notably, 52% of pet owners are aged between 25 and 34.

Li Yan, who works as a Meituan (China's version of Baedal Minjok) delivery app rider in Wangjing, Beijing, told Huanqiu.com, "A few years ago, I used to deliver fruits and vegetables, but nowadays I deliver cat food, litter, brushes, and toys." According to Meituan, pet snack sales in the first half of this year increased by 157% compared to the same period last year. Sales of pet bathing products rose by 253%, and cat litter sales increased by 36% compared to last year.

Diversified Industry from Traveling Together to Pet Insurance

Last month, a charter flight carrying 35 pets and their 77 owners landed at Shanghai Pudong Airport. This was a package tour prepared by a travel agency called "Travel with Pets on a Charter Flight." Dedicated seating spaces for pets were arranged, along with various services to ensure pets were not anxious or uncomfortable. According to Wangyi.com, pet owners who traveled together had a special experience and highly praised the trip. Mei Lin, who lives in Beijing, bought a motorcycle to travel with her dog. Another dog owner, Sasha, built a small truck to travel with her dog Didi.

Chinese news reporting the increase in the pet industry. Photo by CCTV

On the 26th of last month, Sina Finance reported on the growing pet insurance industry. According to the "2023 Pet Digital Insurance Development Trend Report," more than 60% of pet insurance subscribers were born after the 1990s and 1995s, with women accounting for 70% of that group. Li Wen, born in 1995, told Sina Finance that she pays 33.25 yuan (about 6,300 KRW) per month for pet insurance. With pet insurance, three vaccinations and online consultations are free. The financial burden for surgery and prescription medications is also significantly reduced. Li Wen said, "Deworming medication is about 100 yuan (19,000 KRW) cheaper than the original price," adding, "As demand for pet health grows, I expect demand for pet insurance to increase further."

The number of institutions for pet training is also increasing. According to recent corporate analysis data, about 7,000 companies including "pet training" were established last year alone, and some companies have even started "pet dog kindergarten" programs.

Xu Weilong, chairman of the Zhejiang Pet Industry Association, said, "The pet industry is creating more jobs," and added, "We hope that various cultural creative activities and local tourism projects will emerge, contributing to regional economic development." He also pointed out, "While the pet industry is revitalizing the consumer market, it is also time to standardize and improve services."