Outlook for the Pet Food Industry in Japan

The market grew by 11.9% year on year, achieving double-digit growth.

This strong performance was driven by a combination of price revisions resulting from rising raw material and logistics costs, together with pet owners’ increasing focus on health and premium-quality products.
In this article, we analyze the outlook for the Japanese pet food industry, examining recent market developments and providing a forward-looking forecast.

The analysis covers the current situation over the past two years as well as projections for the next decade, incorporating key statistical data, market trends, and competitive dynamics among major players.

Market Size and Growth Overview

Japanese Pet Food Market: Historical Trends and Forecasts

Despite stagnation in the number of pets, Japan’s pet food market continues to grow. The shift toward higher value-added products and rising health consciousness among pet owners are driving steady market expansion. In particular, 2023 saw double-digit growth, largely influenced by price increases stemming from higher raw material and logistics costs.

In total, the domestic market reached approximately ¥475.4 billion in 2023 (+11.9% YoY). Major categories all achieved double-digit growth: dog food (~¥99.3 billion), cat food (~¥184.7 billion), and dog and cat treats (~¥112.5 billion).

As of 2024, the dog population stood at approximately 6.79 million, while the cat population reached 9.15 million, for a combined total of 15.95 million pets, surpassing the population of children under 15 years old.
While the number of dogs is on a gradual decline, the cat population has remained stable. Urbanization, an increase in single-person households, and lifestyle factors are contributing to a growing preference for cats in metropolitan areas.

Although the total number of pets is not increasing significantly, higher spending per pet and greater penetration of premium-priced products continue to push the market upward. As a result, steady market expansion is expected to continue beyond 2024.

According to research firm IMARC, Japan’s pet food market was valued at USD 6.2 billion (approx. ¥680 billion) in 2024 and is forecast to grow at a CAGR of 4.5%, reaching USD 9.6 billion by 2033.

While the strong tailwind from inflation-driven price increases is unlikely to persist, continued demand for premium products and the introduction of new value-added offerings are expected to support moderate growth in value terms. Industry forecasts also suggest that by 2026, the market will expand by approximately 7–8% compared with 2023, indicating ample mid- to long-term growth potential.
　

Major Trends in the Pet Food Market

Expansion of Premium and Functional Foods

As pet owners’ health awareness rises, demand for premium and functional foods continues to grow. In the dog food segment, high-protein, high-meat-content diets and additive-free products have driven renewed growth in the dry food category. In the cat food segment, diets targeting urinary tract and kidney health have become increasingly common.

The aging of pets and their treatment as family members have also boosted demand for senior-specific products addressing joint health, weight management, and digestive support.

The veterinary channel is expanding rapidly, and while foreign brands have traditionally dominated this segment, domestic manufacturers are increasingly entering the market. For example, Hills launched a new veterinarian-exclusive brand in 2024—the company’s first in 20 years—further intensifying competition in the functional premium segment.

Natural Orientation and Sustainability

Growing safety and environmental awareness among pet owners has accelerated demand for organic, natural, grain-free, and additive-free products. There is also increasing scrutiny of the environmental impact of pet food, leading to interest in insect-based proteins, plant-based formulations, and eco-friendly packaging.

Some studies suggest that up to 90% of a pet’s climate impact comes from its diet, highlighting the importance of sustainable materials. In Japan, initiatives such as utilizing food waste ingredients and adopting biodegradable packaging are becoming more common, making sustainability a key factor shaping the future market.

Gourmet Foods, Treats, and Supplements

Growth of Fresh Pet Food

Fresh pet food delivered refrigerated or frozen is growing at over 20% annually, despite its relatively small market size.

Expansion of the Supplement Market

Rising health awareness has also driven growth in pet supplements, including products for joint health, gut microbiota balance, and skin and coat care.

As pets are increasingly regarded as family members, owners are seeking foods that are not only nutritious but also visually appealing and enjoyable. Gourmet products made with human-grade ingredients and fresh food delivery services exemplify this trend.

For example, domestic startup CoCo Gourmet offers veterinarian-supervised fresh meals delivered frozen and now serves over 300,000 dogs and cats. Such premium offerings are expected to maintain steady demand as companion animal humanization continues.

E-commerce and Subscription Model Adoption

Online purchasing of pet food continues to expand, providing access to premium and niche brands previously unavailable through local retailers. Subscription models offer convenience, personalized nutrition plans, and consistent delivery, improving customer retention.

These digital channels benefit busy pet owners, elderly consumers, and those in rural areas, while enabling manufacturers to connect directly with customers via D2C strategies, exclusive online products, and targeted promotions.

Competitive Landscape and Brand Strategies

Multinational Market Leaders

Japan’s pet food market is highly competitive, with major multinational manufacturers, established domestic players, and emerging brands all competing for share. Key global players include Mars (e.g., Pedigree, Royal Canin), Nestlé Japan (Nestlé Purina), and Hill’s (a Colgate-Palmolive subsidiary).

These multinational leaders have held a large portion of the market for many years, with particular strength in complete and balanced nutrition products as well as veterinary therapeutic diets.

Major Domestic Players

Domestic companies also maintain a strong presence. Examples include Unicharm (known for high-quality cat food lines such as Gin no Spoon), Inaba Petfood (widely recognized for cat treats like CIAO Churu), and Petline (a domestic full-line pet food manufacturer), all of which produce and sell dog and cat food products.

In particular, Inaba has an overwhelmingly strong position in the cat wet food and treats category, while Unicharm leverages strong brand power across a broad range of pet-related products—from pet care goods such as diapers to pet food.

These established companies have also been actively upgrading their product portfolios in line with recent trends—for example, launching new lines positioned around zero additives and Japanese-sourced ingredients, and shifting from large-format packages to smaller portioned packs to maintain freshness and reduce food waste. Overall, they continue to respond proactively to evolving consumer preferences.

The Rise of Emerging Brands

The growth of emerging brands and startups is also a notable development. Venture companies have entered the market with distinct approaches, including Biofilia, which operates the fresh pet food delivery service CoCo Gourmet; PETOKOTO, which offers made-to-order pet food; and Inuneko Seikatsu, which sells additive-free products through a D2C model.

These newer players reach younger consumers through digital marketing, leveraging social media and owned media channels. They differentiate themselves through premium positioning and sustainability initiatives—for example, PETOKOTO emphasizes the use of upcycled food materials and environmentally conscious packaging.

Subscription models, in particular, are widely adopted by startups because of their high retention rates and attractive profitability. In response, established major players are also accelerating efforts such as partnering with these newcomers, strengthening their own e-commerce channels, and launching premium sub-brands. As a result, competition is intensifying across the market—while at the same time creating a positive cycle in which new value propositions continue to emerge.

10-Year Outlook and Key Challenges

Market Forecast

Over the next decade, Japan’s pet food industry is expected to achieve sustained growth and further sophistication. The overall market is likely to expand gradually, with the premium segment in particular acting as a key driver. As Japan’s population continues to age—and as both senior pet owners and senior pets increase in number—the development of nutrition-focused care products tailored to these needs will become even more important.

For example, life-stage-specific products such as low-calorie senior dog food designed to support joint health, or senior cat food formulated to reduce the burden on the kidneys, are expected to become increasingly segmented and advanced.

In addition, pet-related spending is seeing a rising share of medical costs. This trend is likely to accelerate demand for preventive health-oriented foods (e.g., dental care, weight management) and for new service-integrated business models—such as personalized diet recommendations linked to pet insurance.

At the same time, several structural challenges could limit market expansion. The first is the demographic constraint of declining pet ownership. Unless the industry can better address “latent potential owners” who want to keep pets but cannot—through measures such as increasing pet-friendly housing and improving access to pet-sitting and pet-hotel services—the market’s underlying base may weaken over time.

Growing consumer price sensitivity is another concern. As inflation persists, some consumers have begun shifting from higher-priced products to more affordable options, which means companies will need to ensure pricing is clearly justified by added value while also strengthening retention strategies to build repeat purchases. Sustainability is also becoming unavoidable.

Companies that move early to adopt environmentally friendly manufacturing and responsible sourcing are likely to strengthen brand preference and trust, while those that fall behind may face increasing competitive disadvantage—potentially to the point of being pushed out of the market.

Practical Insights for Product Development Leaders

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