Description

Veterinary Services Market Size:

The veterinary services market is projected to grow at a CAGR of 6.57% between 2025 to 2030.

Veterinary Services Market Key Highlights:

Pet Humanisation Drives Premium Demand: The increasing trend of pet humanisation, evidenced by the rising population of owned dogs (87.3 million in the US in 2025) and cats (76.3 million in 2025) and the elevated average expenditure per pet owner, directly compels demand for specialised and premium services, including advanced Diagnostic Services and complex surgical care.
Biosecurity Imperative Fuels Livestock Demand: The continuous threat of high-impact zoonotic diseases, such as Highly Pathogenic Avian Influenza (HPAI) and African Swine Fever, as monitored by agencies like the USDA APHIS, mandates increased procurement of Vaccination programs and Reproductive Consulting by livestock producers to ensure herd health, food security, and market access.
Technology Adoption Streamlines Care Delivery: The integration of technological advancements, particularly in diagnostics and digital solutions, accelerates demand for high-value services. The launch of new diagnostic platforms and the expansion of point-of-care testing streamline workflows for general and emergency services, enabling faster clinical decisions and promoting higher annual visit rates.
US Tariffs Introduce Cost Headwinds: Escalating US tariffs on veterinary supplies, including active pharmaceutical ingredients (APIs), medical supplies, and diagnostic equipment components—much of which is globally sourced—introduce cost volatility. This indirectly reduces the affordability of services and may suppress client demand for non-essential or preventive care, posing a critical constraint for clinics serving the Dog and Cat segments.

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The Veterinary Services Market encompasses the provision of professional medical, surgical, and preventative healthcare services to both companion and production animals across the globe. This complex ecosystem is characterised by a high degree of fragmentation, which is rapidly evolving toward consolidation driven by corporate ownership. Services range from essential primary care like Vaccination and routine check-ups to highly specialised interventions like complex surgery and advanced imaging, often categorised into general services and emergency services. The underlying market dynamic is bifurcated: companion animal demand is propelled by discretionary consumer spending, emotional bonding, and a shift toward human-grade care standards, while production animal demand is fundamentally driven by regulatory compliance, biosecurity mandates, and the economic necessity of maximising food production efficiency. The market’s resilience is rooted in the non-cyclical nature of both pet welfare and the global food supply chain.

Veterinary Services Market Analysis

Global Growth Drivers and US Tariff Impact

The primary driver for the global Veterinary Services Market is the pervasive and growing trend of pet humanisation, which directly translates into higher demand for specialised Diagnostic Services and advanced therapeutic procedures for Dog and Cat owners. This societal shift motivates owners to invest significantly in preventive and chronic care, moving pet care from essential maintenance to a consumer luxury. Simultaneously, government-mandated health surveillance and biosecurity programs for Cattle and Poultry underpin the demand for Vaccination and Reproductive Consulting in the production animal sector. However, the global nature of veterinary input sourcing introduces a specific constraint from US trade policy. US tariffs on items like medical supplies, diagnostic components, and APIs lead to higher input costs for clinics, which are often passed down, potentially increasing the cost of routine visits and suppressing demand elasticity for non-critical services.

Challenges and Opportunities

The most acute challenge facing the Veterinary Services Market is the global shortage and high attrition rate of qualified veterinary professionals and nurses. This staffing constraint directly limits the capacity for service delivery, preventing clinics from meeting the escalating demand for both general services and emergency services, leading to burnout and operational inefficiency. This challenge, however, generates a critical opportunity for market players specialising in digital transformation. The industry is experiencing increased demand for technology-based solutions like telehealth and digital workflow management to optimise the time of existing staff. Furthermore, the high out-of-pocket cost of veterinary care presents an opportunity for the expansion of pet health insurance penetration, which, as it grows, will directly increase demand by reducing the economic barrier for owners to pursue high-value services, such as advanced Diagnostic Services and specialist referrals.

Supply Chain Analysis

The supply chain for Veterinary Services is primarily a distribution network, not a raw material production line, focused on delivering two key product categories: pharmaceuticals/vaccines and diagnostic/surgical equipment. The production hubs for high-value inputs like veterinary biologics and advanced diagnostic instruments are concentrated in North America and Western Europe, with significant reliance on Asian manufacturing centres for generic drugs, APIs, and consumables (syringes, surgical gloves). Logistical complexity centres on maintaining cold-chain integrity for biological products like Vaccination doses and managing inventory fluctuations driven by global trade tensions. Key dependencies include the reliability of specialised distributors, global manufacturing capacity for veterinary-specific pharmaceuticals, and continuous availability of specialised electronic components for sophisticated diagnostic imaging and laboratory equipment.

Veterinary Services Market Government Regulations

Government regulations play a crucial role in shaping both the volume and nature of demand, particularly in the production animal segment and for public health.

Jurisdiction	Key Regulation / Agency	Market Impact Analysis
United States	USDA Animal and Plant Health Inspection Service (APHIS)	APHIS's disease monitoring and control programs (e.g., for Avian Influenza, New World Screwworm) create mandatory and sustained demand for Diagnostic Services, disease surveillance, and Vaccination programs in Poultry and Cattle populations, ensuring biosecurity and trade continuity.
European Union	Regulation (EU) 2019/6 on Veterinary Medicinal Products	This regulation standardizes product approval, restricts the prophylactic use of antimicrobials, and improves medicine traceability. This drives demand for alternative prophylactic measures, specialized non-antibiotic treatments, and advanced Diagnostic Services to facilitate targeted, evidence-based prescriptions.
China	Regulations on Administration of Veterinary Drugs (MOA)	China's comprehensive licensing and Good Manufacturing Practice (GMP) requirements for veterinary drugs and biologics control product quality and availability. This influences the global supply chain by setting high standards for imported and domestically manufactured inputs, ensuring that the services provided rely on certified, verifiable medical products.

Veterinary Services Market Segment Analysis

By Service Type: Diagnostic Services

Demand for Diagnostic Services—including laboratory testing, imaging (e.g., X-ray, ultrasound, MRI), and pathology—is experiencing a demand surge, fueled by the humanization of pets and the increasing complexity of clinical medicine. Owners view their pets as family members and are more willing to fund definitive, specialized, and often costly diagnostic workups for comprehensive care, moving beyond symptomatic treatment. Furthermore, the proliferation of in-house laboratory equipment, facilitated by companies like IDEXX, increases the accessibility and speed of testing, enabling veterinarians to perform immediate, on-site analyses for conditions such as kidney disease or endocrinopathies. This capability enhances clinical efficacy for general services and is absolutely critical for rapid stabilisation and treatment decisions in emergency services, creating consistent demand for both capital equipment and recurring consumables. In the livestock sector, diagnostics are non-negotiable for disease outbreak management and mandatory health certifications required for inter-state and international trade.

By Animal: Dog

The Dog segment represents a core anchor of the companion animal market, primarily driven by their overwhelming population size (87.3 million in the US in 2025) and the nature of its relationship with owners, resulting in the highest average annual spending on veterinary care ($598 per owner in the US in 2025). The high demand for general services stems from the necessity of routine preventive care, including annual wellness exams, Vaccination boosters, and parasite control, which the AVMA confirms is the overwhelming reason for veterinary visits. Moreover, the longer lifespan and high activity levels of dogs create sustained, long-term demand for specialised care, including orthopaedic surgery, chronic disease management (e.g., arthritis, diabetes), and emergency services related to trauma or acute illness, making this segment the most lucrative and high-frequency consumer of the full spectrum of veterinary offerings.

Veterinary Services Market Geographical Analysis

North America (United States)

The US market is characterised by high discretionary spending on pets, leading to a strong demand for premium general services and specialized medicine. The US veterinary industry's trend toward corporate consolidation, driven by groups like Mars, aims to increase capital investment in technology and advanced Diagnostic Services. The high pet population and cultural tendency for pet humanization ensure robust and inelastic demand, largely absorbing the cost pressures introduced by US tariffs on imported supplies.

South America (Brazil)

Brazil’s veterinary services market is powered by the massive size of its livestock industry, particularly in Cattle, which mandates extensive Vaccination and herd health programs to support global beef exports. Demand is focused on preventative medicine and Reproductive Consulting for maximizing production efficiency and compliance with international animal health standards, with companion animal services growing rapidly in urban centers driven by an expanding middle class.

Europe (Germany)

Germany benefits from high consumer awareness regarding animal welfare, a factor that sustains strong demand for Diagnostic Services and high-quality general services for Cat and Dog populations. Favorable regulations from the European Union, which focus on reducing prophylactic antibiotic use, drive demand toward advanced diagnostic testing to ensure targeted treatment protocols, moving away from empirical medicine.

Middle East & Africa (South Africa)

South Africa’s market is split, with a sophisticated, Western-style companion animal segment in major metropolitan areas demanding advanced care, and a large, essential production animal segment crucial for domestic food security. The greatest demand catalyst comes from government-led initiatives and NGO support for managing zoonotic diseases and maintaining the health of Cattle and Swine herds, requiring extensive field Vaccination campaigns.

Asia-Pacific (Australia)

Australia's market exhibits high pet ownership rates comparable to the US and a strong focus on advanced, specialized veterinary services, often leading to high expenditure per animal. Demand is concentrated on advanced Diagnostic Services and emergency services, supported by increasing pet insurance penetration. Robust biosecurity regulations further mandate consistent and high-quality services for livestock to protect the nation's export-driven agricultural sector.

Veterinary Services Market Competitive Environment and Analysis

The competitive landscape is increasingly defined by corporate consolidators acquiring independent veterinary practices, leading to a concentration of ownership and enhanced operational scale. Key players operate across diagnostics, pharmaceuticals, and direct practice ownership.

Zoetis Inc.

Zoetis maintains a powerful strategic position as the world's leading animal health company, with a focus on medicines, Vaccinations, and Diagnostic Services for both companion and production animals. Its strategy centers on continuously expanding its comprehensive portfolio to provide integrated solutions. For instance, the company’s focus on the osteoarthritic pain market, evidenced by the October 2025 approvals of products like Lenivia® (izenivetmab) for dogs, directly influences demand for follow-up veterinary monitoring and diagnostic assessments to track treatment efficacy. The recent acquisition of diagnostic laboratory groups indicates a clear strategy to vertically integrate and capture recurring revenue from laboratory testing services.

IDEXX Laboratories Inc.

IDEXX is strategically positioned as a key technology provider in the veterinary diagnostic space, generating significant demand through its innovative in-clinic instruments and reference laboratory services. Its core strategy focuses on expanding its installed base of proprietary diagnostic platforms, such as the IDEXX VetLab™ and the IDEXX inVue Dx, which drive recurring demand for specialized consumables and assays. Recent product launches like new Catalyst specialty tests and the IDEXX Cancer Dx™ Panel (2024/2025) empower veterinarians to perform rapid, high-value Diagnostic Services in-house, shifting testing modalities and increasing both the frequency and complexity of in-clinic veterinary visits.

Veterinary Services Market Developments

Recent verifiable developments highlight the industry's strategic push toward integration and the expansion of high-value services.

November 2025: Zoetis Inc. announced the acquisition of Veterinary Pathology Group (VPG), a leading veterinary diagnostic laboratory group with multiple locations across the UK and Ireland. This move directly expands Zoetis's capacity addition in global diagnostics and reinforces its commitment to supporting veterinarians with enhanced, high-quality reference laboratory diagnostic services.
November 2025: IDEXX Laboratories Inc. reported strong third-quarter 2025 results, citing the successful product launch and transformative impact of the IDEXX inVue Dx cellular analyser, alongside new Catalyst speciality tests. This adoption drove significant expansion in the company's premium instrument installed base and contributed to strong growth in its consumables revenue.
February 2025: Zoetis received a conditional license from the USDA for an Avian Influenza Vaccine, H5N2 Subtype, Killed Virus, for chickens. This product launch addresses a critical need for biosecurity in the Poultry segment, creating immediate demand for Vaccination services among producers seeking to protect their flocks against a high-consequence zoonotic disease.

Veterinary Services Market Segmentation

By Service Type

Artificial Insemination
Diagnostic services
Reproductive consulting
Vaccination
Others

By Animal

Cattle
Poultry
Swine
Dog
Cat
Others

By Type

General Services
Emergency Services

By Geography

North America
- United States
- Canada
- Mexico
South America
- Brazil
- Argentina
- Others
Europe
- Germany
- France
- United Kingdom
- Spain
- Others
The Middle East and Africa
- Saudi Arabia
- UAE
- Others
Asia Pacific
- China
- India
- South Korea
- Taiwan
- Thailand
- Indonesia
- Japan
- Others

Companies Profiled

CVS Group Plc

Ethos Veterinary Health

Pets at Home Group Plc

Mars, Inc.

Elanco

Animal Profilling International Inc.

National Veterinary Care Ltd

Idexx laboratories

Zoetis

Merck Animal Health

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Veterinary Services Market Size, Share, and Trends by Service Type (Artificial Insemination, Diagnostic services, Reproductive consulting, Vaccination, Others), by Animal (Cattle, Poultry, Swine, Dog, Cat, Others), and by Geography – Forecast From 2025 To 2030

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