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Not across the board, but cost pressure is real. The latest figures show more pet-owning households in the U.S., not fewer. They also show owners trimming spending, shopping for value and, in Australia, delaying veterinary care or asking for financial help. The better description is a squeeze on how people care for pets, not a market where only the wealthy can own one.
Is ownership shrinking? What the U.S. numbers say
The American Pet Products Association (APPA), a pet-industry trade association, reported in a March 26, 2026 release that 95 million U.S. households owned at least one pet in 2025. It described ownership as stable that year. Within that, APPA put dog ownership at 53% of households (71 million), up from 51% in 2024. It put cat ownership at 39% (53 million), with cat ownership up 5% year over year.
If pets were turning into a luxury good, you would expect ownership to fall. These figures show the opposite. They do not rule out cost excluding some people, though. A survey of current owners cannot count the people who wanted a pet and decided they could not afford one. No source here estimates that group, so any specific “percent of Americans priced out” figure would be unsupported.
Total spending is rising, but that is not your bill
APPA reports $158 billion in U.S. pet-industry expenditure in 2025, up 3.7%, and projects $165 billion for 2026. It says roughly 2% of the projected 2026 growth comes from inflation.
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These are market totals. They add up every household, every species and every product, and they grow when ownership grows. They say nothing about what a typical household pays, or whether that household is struggling. APPA’s public statistics page breaks the total into categories. Its 2025 estimates are $68.3 billion for food and treats and $41.0 billion for veterinary care and product sales. APPA says its veterinary and service figures draw on industry references and estimates, so treat them as market-category estimates.
One caution on that page. It labels the figures as 2025 sales, but a nearby heading refers to “$158 billion spent on pets in 2024.” The dated March 2026 release states plainly that $158 billion was the 2025 figure, so that is the one to rely on.
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Where the squeeze shows up: owners are economizing
The clearest sign of strain in the U.S. data is how owners spend, not whether they own.
- Less spending: APPA reports that 22% of U.S. pet owners spent less on pets in 2025. It describes this as a 10% increase from 2024. About half said their spending was unchanged.
- Essentials first: APPA says owners are shifting money away from discretionary purchases toward essential care and making budget or lifestyle adjustments.
- Value shopping among dog owners: APPA’s 2026 Dog Report summary (published July 22, 2026) says 2025 survey respondents increasingly bought food at supermarkets and discount retailers. Some mixed premium food with budget-friendly options.
- Home care: 51% of dog owners groom their dogs at home. APPA treats this as cost-management behavior.
The same summary says veterinary care takes 29% of dog-owner wallet share and food takes 27%. That makes health care the largest single line for dog owners in APPA’s survey. It is also the line most likely to produce a bill that cannot be planned for.
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Two limits apply. These are dog-owner findings and may not carry over to cats or other species. And home grooming appearing in a survey does not mean it suits every dog or coat type.
APPA’s president and CEO, Pete Scott, framed the trend this way: “Growth remains steady, ownership is expanding across multiple generations, and consumers are becoming more intentional with how they spend, prioritizing essential care while still investing in their pets’ well-being.” Of dogs specifically, he said they “continue to be one of the highest priorities in household spending decisions, even as families face ongoing economic pressures.” Both are statements from an industry executive. They are not independent academic conclusions.
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- ROLL IT AROUND: The storage bins come with attachable casters so you have the option to have them off or on. Store it on a shelf or attatch the wheel to roll it from the storage area to your dog or cat bowl.
- DIFFERENT SIZES: Check out the different size containers to store your cute friend's kibbles, pellets, seeds, and treats. Made in USA and BPA free.
- DIMENSIONS: 16.38"L x 10.88"W x 18.44"H (without casters 16.88"H).
The sharper evidence on affordability comes from Australia
The U.S. figures show owners adjusting. Australian data speak more directly to whether care is out of reach. The Australian Veterinary Association (AVA) summarized Animal Medicines Australia’s Pets in Australia 2025 report. The summary says:
- 12% of Australian pet owners needed financial help for veterinary care in the prior year.
- Some owners delayed checkups or vaccinations to save money.
- Among owners who reduced vet visits, 30% of dog owners and 22% of cat owners cited affordability.
- Dog and cat households spent about $150–$160 a year on veterinary services on average. Reptile owners reported the highest average, at $692.
These numbers belong to Australia. They should not be added to or compared directly with APPA’s U.S. figures. The two countries have different survey designs, health-care systems and pet-care markets. Still, the Australian findings show what financial strain looks like in practice. It is not abandoning pets en masse. It is skipping preventive visits and leaning on assistance when a bill arrives.
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How to read each kind of evidence
| Measure | What it can tell you | What it cannot tell you |
|---|---|---|
| Ownership prevalence (APPA, U.S.) | Whether households still keep pets in large numbers | Whether cost kept anyone from getting a pet |
| Industry expenditure (APPA, U.S.) | Market size and growth | What an average household pays; whether it feels affordable |
| Share spending less (APPA, U.S.) | Rising economizing among current owners | Which care was cut, or whether pets suffered |
| Financial help and delayed care (AVA/AMA, Australia) | Direct affordability barriers in veterinary care | The U.S. situation |
The American Veterinary Medical Association’s 2025 Pet Ownership and Demographics Sourcebook is the other major U.S. reference. Its introduction says the findings rest largely on 2023, 2024 and 2025 surveys, with 6,979, 7,539 and 7,519 respondents respectively. Results were weighted to U.S. Census Bureau demographic and household data. Groups represented by fewer than 10 respondents are not reported. The introduction does not include the detailed spending tables, so it supports the survey’s credibility but not any particular dollar figure.
So is it a luxury?
The evidence supports a narrower claim than “pets are a luxury.” Pets remain a household priority, and ownership is holding or growing in the U.S. But the cost of care, especially veterinary care, is pushing a growing minority of owners to economize. Some, at least in Australia, are delaying care or seeking help.
What remains unmeasured is the group that never becomes an owner because of cost. The lifetime cost of ownership by species and income is also not established in these sources. Until that is measured, the fair conclusion is that pet ownership is getting harder to sustain for some households, not that it has become a luxury good.
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