Embracing Disruption
China: Grooming the growth of pet economy
China’s pet market is growing at a double-digit speed mostly driven by the country's Gen Z that is more prone to purchase high-quality products.
China’s pet market is constantly growing
![](/-/media/allianzgi/globalagi/editorial/china-growing-pet-economy/picture-1.png?rev=30d53f9f762d40b88cc89c6fcb6bc3d5&h=365&w=1100&la=en&hash=1BA4FA93DE5D8DCA0423EE94BF61245D)
The drivers
1. Rising number of pets2
![](/-/media/allianzgi/globalagi/editorial/china-growing-pet-economy/picture-2.png?rev=4d1c7a2c7d184488b1d1ffa558bdb1a8&hash=6CCEA96B0989F642E55037EC3DEE26EC)
2. Demographics
50% of China’s pet owners are Millennials or Gen Z (born after 1990)3
![](/-/media/allianzgi/globalagi/editorial/china-growing-pet-economy/picture-3.png?rev=b9f4fe01488d4d8090c5872ab1ca46a5&h=435&w=1100&la=en&hash=4567903D673439364AB99891CF0B6F68)
![](/-/media/allianzgi/globalagi/editorial/china-growing-pet-economy/picture-4.png?rev=db6bc1f6029540a0989f0f722be5ef5e&h=363&w=800&la=en&hash=DF707EF38C25BCEA493FAE1FD15CFFAD)
3. China’s gen z and millennials: rising expenditures, shifting consumption patterns
![](/-/media/allianzgi/globalagi/editorial/china-growing-pet-economy/picture-5.png?rev=12d9c20225c441028f3a805ce35a22e6&hash=AF279AFAAA08E00F749923189CFBA802)
1 PwC: Finding opportunities in China’s fast growing pet industry, September 2020.
2 Ibid.
3 Ibid.
4 EU SME Centre: The Market for Pet Food, Supplies, and Services in China, November 2021.
5 Ibid.
6 Ibid.
7 Jefferies Thematic Research Gen Z: Global Purchasing Power and Influence, August 2022.
8 Ibid.
9 GlobalPETS: China pet industry trends in 2021.
10 Jefferies Thematic Research Gen Z: Global Purchasing Power and Influence, August 2022.