Animal healthcare includes products and services that aid in the treatment of animal diseases as well as support preventive care for animals. Key products in the animal healthcare market include vaccines, pharmaceuticals, feed additives, and diagnostics kits. Vaccines are one of the most crucial elements of preventive healthcare as they help animals develop immunity against various infectious diseases. Likewise, pharmaceuticals provide treatment for diseases that help improve animal health and welfare. The global animal healthcare market is estimated to be valued at US$ 50.45 Bn in 2023 and is expected to exhibit a CAGR of 6.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
The opportunity in preventive care is expected to drive the growth of the animal healthcare market. Preventive care involves vaccinations, parasite control, dental care, and routine health examinations that help detect illnesses at an early stage and allow timely treatment. This translates to better health outcomes and reduced healthcare costs for pet owners in the long run. With growing awareness about preventive healthcare, pet owners are increasingly opting for routine vaccinations and health checks for their pets. Key players in the market are also focused on expanding their portfolio of preventive care products such as vaccines and feed additives. The demand for preventive animal healthcare is rising globally, which offers lucrative growth opportunities for players in the animal healthcare market.
Threat of new entrants: The animal healthcare market requires high capital investment in R&D for drug development and establishing veterinary services. Strict regulations regarding drug safety also create entry barriers.
Bargaining power of buyers: Buyers have moderate bargaining power due to the availability of generic alternatives and bargaining power of large veterinary organizations.
Bargaining power of suppliers: Major suppliers have significant bargaining power due to their differentiated products and technologies. However, the threat is moderate due to availability of substitute ingredients and raw materials.
Threat of new substitutes: Threat from substitutes is low as animal health needs are complex requiring prescription drugs and veterinary care.
Competitive rivalry: The market is highly competitive with major players differentiating through innovation and service offerings.
Strength: Wide product portfolio and pipeline of major players. Growing veterinary healthcare expenditure and pet ownership.
Weakness: High R&D costs and regulatory compliance. Lack of infrastructure and awareness in developing regions.
Opportunity: Emerging markets growth and increasing incidence of zoonotic diseases. Expanding segments like pet insurance and aquaculture.
Threats: Price erosion due to generic competition. Supply chain disruptions and trade barriers.
The Global Animal Healthcare Market is expected to witness high growth during the forecast period supported by growing expenditure on animal health, increasing pet ownership in developing regions, rising incidence of zoonotic diseases, and expansion of key segments like pet insurance and aquaculture.
Regional analysis: North America dominates the global market owing to high pet adoption, veterinary healthcare spending, and presence of major players. Asia Pacific is poised to be the fastest growing region supported by increasing meat consumption, farm expansion, and infrastructure development in countries like India, China and Japan.
Key players: Key players operating in the animal healthcare market are Abbott, Pfizer Inc., Eli Lilly & Company, Endo International plc, F. Hoffmann-La Roche AG Bausch Health Companies Inc., Merck & Co. Inc., AbbVie Inc., Novartis AG, Johnson & Johnson Private Limited, GSK plc., Purdue Pharma L.P. The players are focusing on new product development through R&D and geographic expansions to strengthen their market position.
Source: Coherent Market Insights, Public sources, Desk research
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