The pet ID microchips market comprises microchips that are implanted under the skin of pets, especially dogs and cats, for identification purposes. These microchips carry a unique 15-digit identification number that is registered to the owner's contact information in a pet recovery database. Microchipping helps in uniquely identifying lost or stolen pets and facilitates faster reunions. It has gained widespread acceptance as an effective means of pet identification over other traditional collars, tags, or tattoos, which can fall off or be removed.
The global pet ID microchips market is estimated to be valued at US$ 96.4 million in 2024 and is expected to exhibit a CAGR of 5.8% over the forecast period 2024 to 2031.
Key players operating in the pet ID microchips market are Avid Identification Systems, Inc., Animalcare Group Plc, Datamars SA, Elanco Animal Health, Inc., HomeAgain, Merck Co., Inc., Microchip4solutions Inc., Pethealth, Inc., PeddyMark Ltd, Trovan Ltd, Virbac SA, MICROCHIP ID SYSTEMS, INC., Bayer, FidoTag, and PetLink.
Key Takeaways
Key players operating in the pet ID microchips market are focusing on expanding their product portfolios and geographical presence through acquisitions and partnerships. For instance, in 2020, Elanco Animal Health acquired Bayer's animal health business, which strengthened Elanco's portfolio of products for companion animals.
There is a demand for Pet ID Microchips Market Growth among pet owners globally due to rising incidents of pet theft and lost pets. According to the American Humane Society, around 10 million dogs and cats are lost or stolen in the U.S. every year. Microchipping helps in the quick identification and return of lost pets to their owners.
Technological advancements are supporting the growth of the pet ID microchips market. Companies are developing newer generation microchips that are smaller in size and can be implanted more easily. Advanced microchips also allow embedding additional owner data like medical records and vaccination details. Radio frequency identification (RFID) technology in newer microchips also provides improved readability.
Market Trends
Key trends in the pet ID microchips market include multi-pet scannable microchips and combination vaccines with microchips. Multi-pet scannable microchips help scan multiple pets at home simultaneously for their identities. Combination vaccines with microchips offer simultaneous protection against diseases and identification through a single-dose shot, improving owner convenience.
Market Opportunities
Growing pet humanization is expected to drive pet microchipping rates going forward. Owners are increasingly treating pets as members of the family and spending more on their healthcare and safety. Mandatory microchipping laws by governments and increasing prevalence of microchip scanners at shelters, veterinary clinics will also support the market opportunity. Technology advancements in microchip hardware, like biocompatible materials and integrated sensors, present potential opportunities as well.
Impact of COVID-19 on Pet ID Microchips Market
The COVID-19 pandemic has impacted the growth of the pet ID microchips market. During the initial lockdown phases in 2020, veterinary clinics and pet stores saw a decline in footfall and sales as people avoided unnecessary visits. This led to a reduction in microchipping of pets during this period. However, as people spent more time at home with their pets during the lockdowns, pet adoption rates increased globally. Many families welcomed new pets into their homes to manage loneliness and stress. This rise in pet adoption has since boosted the demand for pet identification microchips post-2020.
As veterinary facilities reopened with strict safety protocols, the number of microchipping procedures steadily rose. Social distancing norms led more vets to promote permanent identification of pets using microchips instead of collars or tags that need frequent replacement. The growing awareness about microchips as a reliable way to reunite lost pets with their owners also supported market recovery. While supply chain disruptions caused temporary shortages of microchips in early 2021, the manufacturing and distribution networks stabilized soon. Going forward, the microchipping market is expected to grow steadily backed by initiatives from veterinary organizations to enroll more pets on identification databases.
Concentration of Pet ID Microchips Market by Geographical Regions
In terms of value, North America currently holds the largest share of the global pet ID microchips market. The United States in particular has seen widespread adoption of microchipping among dog and cat owners over the past decade. Presence of organized pet care industries and large number of veterinary hospitals that regularly promote microchipping has boosted market growth in the region. Europe is another major regional market, especially countries like the UK, Germany, Italy and France that have made microchipping compulsory.
Asia Pacific is considered the fastest growing region for the pet ID microchips market globally. Rapidly increasing pet ownership in nations such as China, India and South Korea is driving the demand. Growing disposable incomes have encouraged many families to see pets as companions rather than utility animals. This has prompted authorities in several Asia Pacific countries to develop nationwide pet identification databases in recent years.
Geographical Region Witnessing Fastest Growth in Pet ID Microchips Market
The Asia Pacific region is witnessing the fastest growth in Pet ID Microchips Market Regional Analysis currently. Pet adoption in Asia Pacific has been rising sharply over the past decade, influenced by changing social attitudes and demographic trends. The growing middle class in emerging Asian nations is more willing to spend on pet care and safety. Various NGOs and non-profit organizations have also intensified efforts to promote responsible pet ownership in Asia through microchipping drives and registration programs. Government backing through supportive regulations has further helped establish reliable identification of pets. Going forward, Asia Pacific will continue attracting major global players in the microchip manufacturing industry, considering the rapidly expanding market opportunities in the region.
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About Author-
Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. With an MBA in E-commerce, she has an expertise in SEO-optimized content that resonates with industry professionals. (https://www.linkedin.com/in/ravina-pandya-1a3984191)
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