Veterinary Services Market

Market Overview

The global veterinary services market size was valued at USD 97,350.90 million in 2022. It is projected to reach USD 182,009.07 million by 2031, growing at a CAGR of 7.20% during the forecast period (2023-2031). 

Veterinarians are now more able than ever to provide various species of animals with high-quality treatment because of the industry's growing adoption of digital technologies. An effective system for accessing patient records and giving care is made possible by a veterinary clinic's digital transformation. As an illustration, technological improvements enable veterinarians to run imaging tests, upload photos to the cloud, and share them with any pathology lab worldwide. Additionally, digitalizing clinical procedures raises the overall standard of veterinary imaging services. Moreover, the growing passion between pet parents and their animals, rising disposable income, and expanding market penetration of various pet insurance plans allow them to spend freely on giving their pets high-quality medical care.

Market Dynamics

Global Veterinary Services Market Drivers

Growing Prevalence of Various Diseases in Animals

Animals can develop a variety of illnesses, including gastrointestinal disorders such as diarrhea, coccidiosis, melena, indigestion, bowel blockage, internal injuries in the abdomen, cysts, arthritis, periodontal diseases, and cancer. The market under study is predicted to develop due to the growing burden of various diseases among animals worldwide. According to an article written by V N Makarova et al. in 2020 titled "Etiology and diagnosis of the gastrointestinal and respiratory diseases of calves in the farms of the Vologda region," in 2019, there were approximately 37.6% of incidents involving young animals in Russia that were related to gastrointestinal pathologies. On average, over the previous five years, nearly 46.6% of calves born have been affected.

Global Veterinary Services Market Restraint

Limited Qualified Resources

Despite technological breakthroughs, a few countries still need to catch up because of a lack of skilled labor. One of the biggest problems the market for veterinary services is facing is a need for more competent workers. Additionally, the most significant ratio of housing units to veterinarians in the United States was between 2,000 and 3,000 housing units for each veterinarian. States like Delaware and West Virginia were noted to need more veterinarians. There need to be more veterinary graduates to meet demand, not even in nations like India. Additionally, there need to be more needs to be more professors, field veterinarians, and para-vets. India needs the necessary number of veterinary institutions to fill this deficit and only has around half the number of veterinarians.

Global Veterinary Services Market Opportunities

Rising Animal Adoption

Farm animals such as pigs and cattle have increased extensively. Due to advantageous economic conditions and several other variables, industrialized countries account for a disproportionately significant portion of pet ownership. For instance, the American Pet Products Association (APPA) reported that 67% of households in the United States, or around 85 million families had a pet in the 2019–2020 National Pet Owners Survey. According to the Chinese Pet Industry 2018 White Paper, more than 91.49 million dogs and cats were kept as pets in China's cities in 2017, accounting for 9% of the 813.47 million urban residents of the nation. 

Regional Analysis

The global veterinary services market is bifurcated into four regions: North America, Europe, Asia-Pacific, and LAMEA. 

North America Dominates the Global Market

North America is the major revenue contributor and is expected to grow at a CAGR of 6.95% during the forecast period. Due to factors like rising pet adoption and rising per capita spending on veterinary care, the United States is anticipated to maintain its sizeable market share. The primary driver of the market's expansion has also been identified as the increased prevalence of various animal diseases and injuries. The launch of Farmer's Business Network's animal health and nutrition platform in the U.S. was announced in March 2021. Farmer's Business Network is an independent farmer-to-farmer network. Through a partnership with Southwest Veterinary Services, the organization announced that its members in a few states would have access to veterinary services for dairy, swine, and beef cattle.

Europe is expected to exhibit a CAGR of 6.50% during the forecast period. The development of new items and the expanding adoption of pets can be credited with expanding the German market. Additionally, according to the Federal Statistical Office of Germany (Federal Statistical Office) estimate, there were around 26,053.4 pigs and 11,639,532 cattle in Germany as of 2019. Therefore, it is anticipated that demand for veterinary services will increase shortly due to the large number of companion and livestock animals in the nation. Destatis also estimates that there will be roughly 20,500 farms in Germany as of November 2020.

The Chinese veterinary services market has expanded quickly and is undergoing many changes over the past few years. One of the main drivers of market expansion is the rising consumption of beef, pork, and other meats and the threat of zoonotic diseases. Additionally, an increase in the number of pets, particularly in big cities, is anticipated to be a development driver. Due to their popularity as human companions, dogs, and cats have been adopted as pets far more frequently in China in recent years.

The GCC region includes nations including Saudi Arabia, Bahrain, Kuwait, Oman, Qatar, and the United Arab Emirates. Saudi Arabia and the United Arab Emirates are both high-income nations. To meet all veterinary needs, numerous veterinary clinics with cutting-edge technology and specialized veterinary facilities are available in Saudi Arabia. Pet owners must adhere to a few rules and regulations to own a pet animal. The vast population of cattle and rising rates of pet ownership in Brazil are driving the market for veterinary services to experience a robust growth rate.

Segmental Analysis

The global veterinary services market is segmented by service and animal type.

Based on service, the global veterinary services industry is bifurcated into surgery, diagnostic tests and imaging, physical health monitoring, and other services.

The physical health monitoring segment is the highest contributor to the market and is estimated to exhibit a CAGR of 7.20% during the forecast period. Physical health care monitoring can take many forms, from detailed examinations to intricate, specialized examinations performed by veterinary health professionals. In veterinary animals, monitoring enables the detection of current health issues and the prediction of upcoming problems. Monitoring veterinary animals also significantly increases the possibility that early warning indications of issues will be found and is a crucial component of the procedure of the daily round. For instance, inappetence, vomiting, or diarrhea can all go unnoticed if no note is made before morning cleaning.

Veterinarians operate on animals, and the procedures are divided into several categories, including orthopedics (which deals with the bones, joints, and muscles), soft tissue surgery (which deals with the skin, body cavities, cardiovascular system, GI/urogenital/respiratory tracts), neurosurgery, and others). The livestock sector's expansion can be sustained only through improved animal health care, wherein numerous cattle illnesses necessitate medical, gynecological, and surgical interventions. Currently, minor animal surgery is advancing by utilizing the advancements and successes of human surgery. Nearly all of the surgical tools, equipment, and even surgical methods that are currently used in human surgery are also accessible for use in minor animal surgery.

Diagnostic procedures and imaging are the most important aspects of preserving animal health: the tests and methods aid in diagnosing diseases and preserving the health of veterinary animals. Diagnostic imaging in veterinary practice has significantly increased in quality recently. Due to the widespread availability of advanced imaging methods like computed tomography (CT) and magnetic resonance imaging (MRI), veterinary clients now have higher demands and expectations. According to a study by Deepika Kataria et al., published in Pharma Innovation Journal 2020, 12.24% of dogs in India had gastroenteritis between March 2018 and February 2019. The disease incidence among farm and domestic animals is expected to rise, likely accelerating market expansion.

The global veterinary services market is bifurcated based on animal type into companion and farm animals.

The companion animal segment owns the highest market and is estimated to exhibit a CAGR of 7.25% during the forecast period. Growing pet adoption worldwide, rising pet illness burden among companion animals, increasing government initiatives for animal health, and expanding technical breakthroughs in companion animal healthcare are contributing to the growth of the companion animal market. Currently, companion animal surgery is progressing and incorporating innovations and advancements in companion surgical techniques. Some innovative methods conducted on companion animals include cardiovascular surgeries, urethral stenting, cancer surgeries, total hip replacement, neurosurgery, and kidney transplantations. 

Growing zoonotic disease incidence, higher knowledge of farm health care, and the availability of improved diagnostic tools in farm animal health care are some of the factors contributing to the segment's rise. Rising zoonotic disease outbreaks among agricultural animals will likely spur market expansion. For instance, Bovine tuberculosis (bTB) continues to be a significant zoonotic infection globally, with considerable implications on farm animal health and economic well-being, according to a study article by Andrew W. Byrne et al., published in Frontiers in Veterinary Science 2019. In Yunlin County, the epidemics took place in two townships. 1,819 of the 9,578 vulnerable birds that were detected died, while the other 7,759 were culled. 

Recent Developments

• May 2022- With an investment of Rs 278 crore, Andhra Pradesh's Chief Minister, Sri YS Jagan Mohan Reddy, formally unveiled 175 Mobile Ambulatory Veterinary Clinics (MAVCs). To enhance the service delivery system and make sure that the veterinary services offered by the animal husbandry department are more readily available to the general public, the State government planned to establish 340 Dr. YSR Sanchaara Pasu Aarogya Seva or Mobile Ambulatory Veterinary Clinics (MAVC) in the State.
• March 2022- Hacarus Inc. and DS Pharma Animal Health introduced the ECG platform. To aid in the early detection of cardiac disease, the second most common cause of mortality in dogs, the device examines and analyses the health of the canine heart.