When I first heard the research showing that the pet industry is projected to grow faster in the next ten years than ever before—while pet ownership is actually decreasing—it struck a nerve. Those two trends shouldn’t move in opposite directions. So I dug deeper, and what I found confirms a major shift happening beneath the surface. Americans love their animals, but caring for them is getting more expensive every year. Veterinary-service inflation has run nearly 5% annually since 1997—double general inflation—and in recent years has hovered around 6–7%, suppressing demand for care. Visits to veterinary clinics even fell 2.3% in 2024, with families waiting much longer between appointments. 
At the same time, pet ownership—long considered recession-proof—is flattening or slipping.
AVMA data show 45.5% of households have dogs and 32.1% have cats, but other sources indicate total ownership dropped from ~54% (2019) to ~52% (2024). Dog ownership is down 2%, even as cat ownership modestly grows. Shelters also report more financial-driven surrenders and more owners postponing care.
Yet the U.S. pet market is growing faster than ever.
Despite fewer pets, Americans are spending more—on premium food, wellness products, behavioral aids, high-end veterinary care, insurance, subscriptions, and specialized services. This creates a widening disparity:
Pet ownership is decreasing or stagnating / Pet-industry revenue is accelerating.
The result is a “cost overhang”: fewer households can afford to get or keep a pet, but those who can are spending more than ever, pushing industry revenues upward even as participation shrinks.
Why the gap is widening
Veterinary costs outpace wages and general inflation.
Housing pressures add pet fees, deposits, and restrictions.
Only ~4% of pets are insured, so out-of-pocket shocks remain high.
Younger and lower-income households opt out due to affordability concerns.
What this means for the next decade
If nothing changes, the U.S. may see:
Slight declines in dog ownership, especially large breeds
More single-pet households
Continued strain on shelters
A pet market concentrated among higher-income owners
Is this an opportunity for inovation?
Policy and market design could realign affordability:
Allow HSA/FSA use for vet care and pet insurance (PAW Act).
Improve transparency and regulation in pet insurance.
Explore subsidy or reinsurance models to reduce catastrophic risk.
Encourage employer-based pet benefits and wellness-plan financing.
The takeaway: A New Definition of “Responsible Pet Ownership”
In the past, responsible ownership meant love, safety, and basic care. But today’s economic realities add new layers:
Planning for lifetime veterinary costs, not just initial adoption.
Prioritizing preventive care to avoid high-cost emergencies.
Choosing breeds and species realistically based on lifestyle and finances.
Understanding the long-term financial commitment before adopting.
Using tools like insurance, wellness plans, and financing to maintain consistent care.
Supporting sustainable, safety-first brands that focus on long-term health, not short-
term trends.
As costs rise and adoption slows, responsible ownership is evolving from “Do you love your pet?” to “Are you prepared to care for them throughout their entire life—emotionally, physically, and financially?”
If we don’t address these structural pressures—veterinary inflation, housing restrictions, low insurance uptake—the next decade could see fewer families able to experience the joy of pet companionship.
But if we rethink how pet care is financed and supported, we can close the gap. We can build a future where the pet industry’s growth reflects more pets thriving in more homes, not fewer pets supported by higher spending. The emotional bond between people and animals isn’t a luxury—it’s a fundamental human need, and our society is stronger wherever pets are present.