In the last two years, the European pet market as a whole demonstrated to be healthy, with an average growth rate which was not impressive, but steady at about 3%. The Italian market continues to be one of the most dynamic, and confirms the forecasts of sales increase, especially in the pet food division, with growth rates which are still much higher than other EU countries (France 0.8%, Germany 1.6% and Great Britain 2.4%). 
Since 1990, the Italian pet products market has expanded by over 80%. This increase is definitely higher – more than double – than the growth of major European countries, where the pet market has already reached mature dimensions.  

In recent years, the number of pets in Italy has increased considerably, reaching about 60 million. It is estimated that almost 20 million of Italian households keep dogs, cats, birds, fish, other small animals or even more than one pet. Pets living in households have come to be considered as real friends, and even as psychological aids. This new role has several causes: a lower birthrate, change in the family structure, higher number of singles, increase in regard for animals, longer average life spans (pets are often a reason to live for elders).

The pet products market in Italy is estimated at $2.7 billion for 2004, an increase of approximately 4 percent over the previous year.  Trade sources have forecast increases of the same magnitude for the next few years.  Dog food is one sector that is expected to increase the most, since the consumption rate of commercial food is still very low compared to other countries.  While the “Mediterranean diet” (pasta or rice) is still prevalent in dog and cat diets, the market for industrial or commercial pet food has increased greatly in recent years.

The pet care sector is experiencing remarkable growth as well.  The trend towards “humanization” of pets has led owners to buy specific products for their animal companions.  In the pet accessories sector, the trend towards diversification is greater. The growth in this sector is due to the development of high technology products, as well as those that focus on the beauty, elegance and “personality” of pets and satisfy pet owner whims.

In addition, American pet products enjoy the reputation of being innovative and of high quality, critical features for success in the Italian market. This excellent reputation puts U.S. manufacturers in a good position to boost sales in Italy.

U.S. imports for the pet industry into Italy mainly represent pet food. These products are generally highly successful in the Italian market because professionals know that American manufacturers are very health-conscious regarding their pets. Therefore, American companies enjoy a good reputation with respect to nutritional quality. According to market analysts, this is expected to continue, and U.S. pet food manufacturers are expected to increase their market share.

Innovation is the lifeblood of the Italian pet products market. The successful competitor should offer an original, state-of-the-art, well-advertised and positioned range of products.  To succeed in the Italian market, U.S. manufacturers must focus on four critical elements: innovation, quality, technology and price...(continues)

Please note:

This Industry Sector Profile is also part of the more comprehensive
ITALY COUNTRY COMMERCIAL GUIDE 2006.