Companion Animal Specialty Drugs Market

A Summary of the Companion Animal Specialty Drugs Market Development (2022 to 2032)

[341 Pages Report] The global companion animal specialty drugs market is projected to have a moderate-paced CAGR of 4.21% during the forecast period. The current valuation of the market is US$ 37,624.67 Million in 2022. The market value of the companion animal specialty drugs market is anticipated to reach a high of US$ 56,828.56 Million by the year 2032. A historical CAGR of 5.42% has been recorded by the experts of Future Market Insights for the concerned market. This growth is supported by:

• The rising adoption of pet animals due to growing urbanization and the increase in the number of nuclear families is among the primary market growth factors.
• Growing focus on animal health along with surging demand for pet insurance especially in developed countries will augment the market expansion for companion animal specialty drugs.
• A consistent rise in the number of diseases is generating demand for companion animal drugs.
• Industrial growth can likely be attributed to increasing incidences of zoonotic and food-borne diseases.
• Rising per capita income enables the urban populace to increasingly spend on the treatment of companion animals with diagnosis, vaccines, mitigation, and treatment of diseases like kidney concerns, heartworm, Lyme disease, and more, thereby surging the market share for companion animal specialty drugs.

Although the market is projected to register healthy growth across the estimated study period, it has been revealed by the expert analysts at FMI that certain constraints still prevail in the burgeoning forum. A number of elements were identified while analyzing the market that is likely to hinder the advancement of the companion animal specialty drugs market. They are as follows:

• Risks or chances of side effects, such as mild vomiting, exist after the intake of a drug if it is not suited or administered in excess amounts acts as a key restraint in the global market.
• There is a very high cost associated with companion animals’ specialty drugs, and the middle-class population with pets in low-income countries still remains unaware of such advanced treatments.

Therefore, it is projected that a lack of awareness is likely to curb the penetration of these drugs across certain regions, simultaneously impeding the growth of the concerned market.

Launch of New Veterinary Drug Products - A Blessing to Boon

As per the analysis of FMI, there is an unprecedented surge witnessed by the global companion animal specialty drugs market, owing to rising ownership of animals and increasing demand for animal-derived products.

New veterinary drugs are being launched in recent years, and the ones identified to gain rapid traction are parasiticides. This drug segment accounted for a market share of 32.2% in the base year. The rising prominence of parasiticides through the forecast period can be attributed to the fact that there is an upsurge in demand for animals and animal-derived products like meat, and the administration of parasiticides enable to boost the quality of meat for consumption and is most sincerely improving the efficiency of livestock and health of companion animals.

At present, technological advances are being made in the administering of this newly launched specialty drug parasiticide such as collars, sprays, and dips, which in turn is expected to boost the market size of companion animal specialty drugs through the projection period.

A Contrast with the Historical Market Scenario

The global market for companion animal specialty drugs generated huge demand in previous years. The forum registered a gradual CAGR of 5.42% during the period from 2017 to 2021. A number of factors are responsible for this substantial growth.

The expert analysts at FMI have analyzed that the development and approval of new drugs for the treatment of animal diseases are spurring the demand for companion animal specialty drugs. It is identified while studying the market in-details that the rising prevalence of obesity amongst pet dogs and other companion animals has resulted in higher sales of anti-obesity drugs.

Furthermore, significant growth in the number of animal healthcare and NGOs in recent years is also a key aspect majorly contributing to the acceleration of the companion animal specialty drugs. Moreover, some pet diseases also cause serious effects on humans and need to be mitigated for the prevention of infection, which is further identified to boost the market size of companion animal specialty drugs.

Sabyasachi Ghosh

Principal Consultant

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Category-wise Insights - Identifying the Domineering Segments

Vaccines - By Product Type

The vaccines segment accounted for more than US$ 2.89 billion in the base year. The surging market valuation of this product type can be attributed to:

• Increasing research and development activities in regard to the development of curable vaccines for companion animals is stimulating segment growth.
• Owing to increased R&D, the market has witnessed the emergence of new technologies including recombinant DNA vaccines for dogs in companion animal drugs, thereby fuelling the industry expansion. This type of vaccine is reckoned to provide enhanced disease prevention to pet animals.

Online Veterinary Pharmacies - By Distribution Channel

Technological advances are reported in every sector including animal health, thereby driving the market progression. This segment is anticipated to account for a market share of 37.8% through the forecast period, advancing at a CAGR of 6.8%. The reasons augmenting the growth of this segment are as follows:

• Increasing inclination toward mobile apps that help in tracking animal health habits, and nutritional intake, as well as alerts for pet care services, are likely to foster the market revenue.
• Veterinary online pharmacies provide pet care products, supplements, vaccinations, injections, drugs, and many more, and the ease of availability is a key reason for expanding market shares.
• Integration of digital platforms in veterinary care and the population preference shift towards online services will accelerate the overall market demand.
• High acceptance of e-commerce platforms in emerging economies is also identified to assist in business revenue growth.

Oral Consumption - By Route of Administration

The oral segment accounted for a market valuation of US$ 2.86 billion in the base year. This route of administration is identified to lead through the forecast period due to:

• Increasing preference for companion animals and their ease of consuming specialty drugs.
• Various benefits associated with oral animal drugs such as the reduced risk of acquiring infections, less pain, and requiring no skin penetration support demand for oral dosage.
• Suspensions, solutions, capsules, as well as tablet forms of drugs, are administrated orally in companion animals to improve their health conditions and production.

Regional Insights                                               

Strategic Initiatives Coupled with Rising Digitalization Stir Up the Regional Landscapes

Start-up Ecosystem

How are the New Entrants Ceding a Silver Lining to the Forum?

The start-up companies in the companion animal specialty drugs market are continually innovating the drug for better curing the companion animals, paying keen attention to faster recovery. The business models are changing due to evolving market dynamics and the start-up firms are in tandem with the pet humanization trends of the populace, investing heavily in common veterinary drugs.

5 Top Start-ups to Watch For

Wiggles

Funding: US$ 9 Million

This firm is a provider of a wide range of veterinary care products and services. The company provides pet-focused supplements, foods, medicines, and ayurvedic and herbal care products. In addition to selling its products online, the company also provides vet on-call and grooming services.

FidoCure

Funding: US$ 16 Million

Online platform offering health care services for dogs. It connects pet owners and vets. It sends the tumor sample from the original biopsy used to diagnose cancer for DNA sequencing. It identifies genomic mutations and suggests targeted therapy. The vet provides the treatment based on the suggestion given on the platform.

Itch

Funding: US$ 16 Million

Itchpet has developed customized flea treatment products. The user can provide the details via the platform to develop a customized flea and tick treatment product. The products developed are flea, calm, dental, warmer, joint, and ear.

PetMedix

Funding: US$ 37 Million

Developed monoclonal antibody therapeutics for pets. The company has developed Ky9 and Felyne platforms to generate therapeutic antibodies to treat cancer, inflammation, and other conditions

Nexvet

Funding: US$ 38 Million

Nexvet is focused on developing novel therapies for companion animal care. Its proprietary PETization platform allows for the rapid translation of monoclonal antibodies between species. The current focus is on chronic pain and inflammatory diseases in cats and dogs. Pipeline products include NV-01 for chronic associated with osteoarthritis in dogs, NV-02 for chronic pain in cats, and NV-08 targeting inflammation and atopic dermatitis in dogs.

Competitive Landscape

Strong Industry Players Revolutionize & Upscale the Market-o-comics

The global companion animal specialty drugs market is growing rapidly due to the presence of prominent key players as well as start-ups. Most companies are implementing new strategies for the development of innovative companion animal specialty drugs that cause fewer side effects. Consequently, these factors are anticipated to drive the global companion animal drugs market.

Leaders are focusing on new product launches and adopting inorganic growth strategies to remain competitive and sustain in the market. Partnerships with other players are enhancing product offerings, thus helping the companies to increase their customer base by providing superior quality products.

Recent Developments

• In February 2021, Vetoquinol acquired Canadian rights for the Profender product family from Elanco Animal Health. The acquisition is poised to impact the company’s revenue and offer business development opportunities in untapped economies.
• In August 2020, Elanco Animal Health Incorporated announced that it has acquired Bayer Animal Health. The transaction was valued at USD 6.89 billion. This development helped the company to expand itself in the durable animal health industry.
• In January 2021, Merck Animal Health, known as MSD Animal Health outside the US and Canada, a division of Merck & Co. Inc., announced the collaboration with the Street Dog Coalition to offer medications, vaccines, and treatment for pets of those experiencing homelessness.
• In June 2021, ALR Technologies SG Pvt. Ltd., the diabetes management company announced the establishment of its new business division which will be the world’s first and only CGM for diabetic companion animals, known as ‘ALRT Animal Health Division.
• In 2017, Zoetis emerged as a leading player with the highest share of compassion animal specialty drugs, as the company has a considerable and significant market presence, a diverse portfolio of product offerings, and an acute strategic perspective which includes M&As, such as the acquisition of Abaxis in 2018.

Some of the key companies proliferating in the market are:

• Merck Animal Health (Merck & Co., Inc.)
• Boehringer Ingelheim International GmbH.
• Elanco Animal Health Incorporated
• Virbac S.A.
• Biogenesis Bago SA
• Piramal Group
• Zoetis
• NEOGEN Corporation.
• Vetoquinol S.A.
• Ceva Santé Animale

Key Segments in the Companion Animal Specialty Drugs Market

By Product:

• Antibiotics
• Anti-Inflammatory Drugs
• Parasiticides
• Heartworm
• Behavioral Products
• Nutritional Products
• Anti-Obesity Drugs
• Skin Care Products
• Vaccines

By Distribution Channel:

• Modern Trade
• Online Distribution
• Neighborhood Stores
• Other Retail Format

By Region:

• North America
• Latin America
• Asia Pacific
• Middle East & Africa (MEA)
• Europe