China’s pet market is booming online.
Powered by its country’s economic interests, and spending, China has become the most progressive economy in the world.
As such, Klooster, who postulates that China has one of the fastest expanding economies in the world, echoed in its online market, supports this conclusion (“What Is Fueling the E-Commerce Boom Online”). Therefore, it is beyond doubt that the pet market in China is most certainly booming online.
Size of the Chinese Pet Market: 175 billion yuans
In fact, the Chinese Company, You Chong Research, found that the value of China’s pet market reached 175 billion yuan in 2018 and is expected to grow to 198 billion yuan in 2019 (“China Pet Market Booms despite Slower Spending”). These statistics, therefore, authenticate the claim that the online pet platform is indeed booming and the prospects of this boom seem extremely lucrative in time to come. This online boom of the pet market in China is evident through the boost in international as well as domestic trades, the bridging of the gaps of distances in acquiring the goods, the rise in China’s economy as well as the satisfaction of its people.
Why the Pet market is growing?
In China, because of the growth in the online pet market, there has been a boost in International as well as Domestic trades. Moreover, the increase of trade can be accredited to the online pet market since people are keener to strengthen relations so that they can be able to trade with China. This conclusion is buoyed by the claim made by Li and Jourdan when they write that the growing popularity of pets is turning China into a magnet for local and global firms. So, because of the hike in the pet market, people in China and around the world are better able to improve their trade relations. Added to that, the chief investment officer of Hong Kong-based fund manager Harvest Global said that China’s pet market would be one of his personal choices for 2018 as consumers looked to shift up to premium products (Li and Jourdan ). This inclination of Thomas Kwan to invest in China is just a validation of the claim prior, it sheds light on the fact that indeed, there is a rise in the online pet market and because of that, people are seeing the prospects and are more inclined to invest.
- Therefore, the evidence is before us, why would people want to invest?
- Are people’s interests in investments not proof enough that the online pet industry is booming?
E-Commerce is more convenient
Another germane point that corroborates that the online pet industry in China is booming is that the numbers show that people are shopping more online and that number keeps increasing. What the online platform does is that it bridges the gap of distances so that shopping becomes less burdensome. Online shopping allows people to transact business from the comforts of their own spaces and to their own liking. According to Li and Jourdan, Chinese shoppers are set to spend 46.3 billion yuan ($7 billion) on their pets by 2022; this figure is up from 17.5 billion yuan this year (2017) as the market grows at around an annual 20 percent, according to estimates from Euro monitor. Actually, the online shopping speed that is enjoyed by the online pet market in China is even more prospective than that of the United States of America. Their online pet market is only growing at a rate of two percent per year as compared to China’s twenty percent per year; this was relayed by Li and Jourdan.
It should be noted also that this report is about a 23 years old E-commerce pet business entrepreneur. The online market allows people to save time and eliminate the hassle of physical market purchasing. Added to that, when you shop online, you can do so at a time and place that is convenient for you. You can be able to choose your pet without having to face any negative gesticulation or comments from a sales representative. It may be probable then that the boom of the online pet market is as a result of the convenience it brings. Therefore, the online pet market’s hike in operations is not any fallacy rather it is the solid truth.
Next, the fact that the online pet market is so progressive has definitely boosted China’s overall economy. This online pet industry is thriving at an alarming rate therefore; it will not only generate transparent revenue income for the country but it has also generated employment. Employments range from Information Technology specialists, graphic designing, pet sellers, pet caretakers, pet walkers, pet doctors among other kinds of pet-related jobs. Pet lovers want the absolute best for their pets therefore they would invest in proper nutrition, bath products and health care for their pets. Hence, genuine employments have been increased with the boom in the online pet industry.
5000 Yuans average spending per pet: China’s Pet Economy is developing fast
According to the Pet Industry White Paper 2018 published by goumin.com, a Chinese online pet forum, Chinese dog and cat owners are expected to spend over 5,000 yuan (about 740 U.S. dollars) per pet in 2018, an increase of 15 percent from last year, 2017. China’s dog and cat market has reached over 170 billion yuan. What do you therefore contend? Is the online pet industry experiencing a boom? Is it not pellucid that with this boom, other avenues of wealth are created? Are people not able to be gainfully employed? Are people not able to get jobs to sustain their livelihoods and that of their families? If that is not proof enough of the online pet market boom, China Focus: Pet Economy Booming with High-End Trend, also provides evidence of this boom when one of their salesmen admitted that two hundred litter boxes are sold through China’s e-commerce platforms each month, and each costs over 5,000 yuan. Subsequently, given the clear-cut evidence, it is foolish not to be resolute in the position that the online pet market is most certainly growing at a rapid rate and therefore, it contributes to the progressivity of China’s economy.
Premium Segment: luxury accessories for your pet
Finally, prior to the present, owning a pet was a luxury in China which could have been enjoyed by only the high class. Now, there is a paradigm shift, all classes are afforded the joy of owning a pet and it is now becoming a way of life for all caste of people across the class domain in China. This opportunity to experience the joy of owning a pet is afforded to the people’s compliments of the online pet market. If more people own pets than before, let us deconstruct that for some rationality. If millions of more people own pets now in China, what does that suggest about the market system? Does it not directly mean that there is a hike in the online pet market? It certainly does.
Branding is the Key in China
In addition, Deng discovered that owning a pet brings joy to people, especially for those people living in the urban area and lack of company. It makes them happy and generates a sense of tranquil gratification within. Also, owning a pet will generate other benefits as it will birth an understanding of responsibility and management in people. To care for a pet is like caring for a child. As a consequence, pet owners will be able to unconsciously benefit from acquiring skills of responsibility and managerial traits while at the same time being able to enjoy the love and connection with their pets. Therefore, the love and joy that people has experienced through the ownership of a pet, has also shown that the more people buy pets has only led to the boom in China’s online pet market.
Luxury pet-friendly hotels taking pet pampering to new heights
Michelin-like menus, pet spas, dog yoga – pet-friendly offerings at hotels are getting ever more high-end, with luxury hotels going the extra mile.
This comes amid an explosion in pet ownership in countries such as China and India, and with travellers overjoyed to have their furry friends tag along. source
Conclusion: it is time to enter the Chinese Market for international Brands
Overall, the China pet market is most definitely experiencing a boom in its operations. Moreover, inextricably interwoven in this online pet market boom that is experienced in China is the development of international and local trades, the shopping of pets from the consumers own conveniences, the building of a progressive economy in generating revenues and creating employment and the birthing of a happy pet ownership population. These factors that come with online markets are indeed beneficial to a country. However, it is more than that at present. They bring to the forefront and make transparent the definite boom that is prevalent in the online pet market in China.
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