PET Daycare Market Size & Share Analysis - Growth Trends And Forecast (2025 - 2030)

Global Pet Daycare Market Trends and Insights

Rising Pet-Humanization Culture

In 2025, 94 million U.S. households owned pets, with most owners considering their animals as family members.^[1]
This emotional connection has transformed service expectations, leading facilities to provide human-grade amenities, personalized activity schedules, and special occasion services, including birthday celebrations. Consumer spending reflects this transformation, with U.S. pet expenditure reaching USD 152 billion in 2024 and projected to reach USD 157 billion in 2025, supporting the growth of premium daycare services. Generation Z drives the adoption of wellness- and technology-enabled pet care, advancing developments in enrichment programs, live video monitoring, and personalized nutrition plans.

Growth of Dual-Income Households and Longer Working Hours

The increasing prevalence of dual-income households in urban regions has extended the duration of pet isolation during working hours. The U.S. Bureau of Labor Statistics projects 84,500 annual animal-care employment vacancies through 2033, indicating a significant workforce shortage.^{[2]U.S. Bureau of Labor Statistics, “Animal Care and Service Workers, Occupational Outlook,” bls.gov} Pet care facilities are optimizing revenue through expanded operational hours and implementing multi-day membership programs that align with commuter patterns while providing cost predictability for pet owners. The post-pandemic return to office-based work has intensified the demand for pet care services, particularly in metropolitan areas with extended commute times.

Expansion of E-Commerce Booking and Subscription Platforms

Digital booking platforms facilitate growth in the pet daycare market through enhanced price transparency and streamlined service discovery. These systems enable operators to monitor facility capacity in real-time and implement structured subscription tiers, contributing to revenue stability. Pet owners access comprehensive mobile interfaces featuring live video monitoring, activity documentation, and integrated health records. This digital infrastructure demonstrates a measurable impact on customer retention and premium tier adoption, as validated by increased enrollment metrics from franchise operations.

Franchise Expansion by National Chains

Franchise systems with standardized operations are transforming local market dynamics. National operators utilize established operational procedures, brand recognition, and integrated technology platforms to facilitate rapid expansion while franchisees provide investment capital. The higher average unit sales enable large networks to negotiate advantageous terms for rent, advertising, and supplies. These chains implement comprehensive training standards that exceed local regulatory requirements, providing quality assurance to consumers who find it challenging to evaluate facility standards.

High Real-Estate and Labor Costs for Daycare Facilities

Property lease rates in urban locations exceed USD 1,500 monthly for compact facilities and increase proportionally for larger, purpose-built centers. Facility modifications, including specialized flooring, ventilation systems, and acoustic treatments, require investments exceeding USD 50,000, contributing to elevated capital requirements. Operating costs continue to rise as facilities compete for qualified personnel, with median U.S. caretaker compensation reaching USD 33,470 in 2024. To maintain operational profitability amid substantial fixed costs, facilities optimize space utilization through integrated service offerings, including grooming, retail operations, and training programs.

Fragmented Regulations and Licensing Requirements

Facility licensing requirements for pet daycare establishments vary across municipalities and counties in the United States, resulting in inconsistent inspection protocols and consumer uncertainty. The United Kingdom implements a national licensing framework that establishes standardized requirements, including staff-to-dog ratios, enrichment protocols, and welfare documentation procedures.^{[3]GOV.UK, “Statutory Guidance for Dog Day Care Providers,” gov.uk}China plans to implement national regulations on August 1, 2025, which will establish requirements for sanitation, disinfection, and animal welfare standards. These regulations may increase barriers to entry while enhancing consumer confidence. In markets without comparable standardization, pet daycare operators expanding across multiple jurisdictions continue to incur elevated compliance expenses.

Segment Analysis

By Pet Type: Cats Gain Ground in Dog-Dominated Market

Dogs accounted for 77.0% of the pet daycare market share in 2024, primarily due to their social nature and adaptability to group activities. High dog ownership rates and increased demand for daytime engagement maintain strong utilization levels. The cat segment is experiencing accelerated growth at a 9.5% CAGR, exceeding the overall market growth rate. Urban cat owners are increasingly seeking specialized facilities with species-specific amenities, including lounges, climbing structures, and designated quiet areas to minimize stress in mixed-pet environments.

Cat-focused facilities generate higher revenue per visit through premium pricing, justified by limited availability and specialized infrastructure requirements, including dedicated HVAC systems and enclosure designs. Facilities offering separate entrances and specialized environments report increased per-visit revenue. The growth in multi-species households has increased demand for integrated facilities capable of accommodating both dogs and cats. The market segment for rabbits, birds, and exotic pets remains limited but profitable, with owners willing to pay premium rates for specialized care services.

Note: Segment shares of all individual segment will be available upon full report purchase

By Service Type: Enrichment Programs Deliver Premium Growth

Day boarding maintains market leadership with a 54.5% revenue share in 2024, driven by the consistent demand from working pet owners. Enrichment and training services are experiencing significant growth at an 8.0% CAGR through 2030, reflecting the market's evolution from basic supervision to developmental pet care. The integration of structured activities, including agility courses, scent work, and behavioral training, attracts pet owners focused on quantifiable improvements in their pets' well-being. Pet daycare facilities that incorporate certified trainers into their standard service packages report improved customer retention and increased service adoption rates.

The market demonstrates adaptability through diverse service offerings. Half-day programs cater to remote and hybrid workers seeking pet socialization benefits, while overnight boarding services optimize facility utilization during non-peak hours. In-home pet sitting services provide an alternative for pets unsuited to group environments and create additional revenue during holiday seasons. The implementation of AI-enabled behavior monitoring systems enables personalized care plans, with facilities adjusting activities based on behavioral data. This technology-driven approach supports premium pricing strategies and enhances customer loyalty.

By Service Channel: Digital Marketplaces Reshape Distribution

In-house centers account for 61.0% of the pet daycare market size in 2024, as they maintain complete control over facility environments and brand standards. Commercial stand-alone facilities represent the second-largest segment, primarily located in suburban areas where larger spaces are cost-effective. Digital marketplace platforms are experiencing 13.4% CAGR growth, providing independent operators with customer reach previously achievable only through costly local advertising. These platforms offer pet owners transparent reviews and real-time availability information.

Mobile and pop-up facilities are gaining traction in urban centers, utilizing short-term leases and adaptable spaces to reduce overhead costs. Corporate-sponsored daycare facilities, while currently a small market segment, are expanding as companies enhance pet-related benefits to attract employees. These corporate partnerships provide daycare operators with consistent weekday occupancy and streamlined payment processes, while offering employees convenient access to pet care services.

Note: Segment shares of all individual segment will be available upon full report purchase

By Pricing Model: Subscriptions Build Predictable Revenue

Pay-as-you-go services generated 72.0% of 2024 revenue, while subscription services demonstrate a projected growth rate of 15.0% CAGR. Subscription packages incorporate daycare services, grooming allocations, and training sessions, enhancing cash flow stability and customer retention rates. Facilities implementing data analytics capabilities segment memberships according to service categories and peak-hour utilization to optimize revenue generation. Within the pet daycare market, a prominent wellness franchise reported customer retention rates exceeding 80% for monthly subscriptions, resulting in same-store sales performance above industry benchmarks.

Corporate-sponsored programs, comprising bulk service agreements funded partially or entirely by employers, establish an additional recurring revenue stream. The integration of veterinary telehealth consultations within these packages enhances the value proposition and positions operators as comprehensive pet care providers.

Geography Analysis

North America holds a dominant 38% share of the pet daycare market in 2024. The region's robust digital infrastructure supports essential services like instant booking and real-time video streaming, which pet owners now consider standard features. Several U.S. states are developing new welfare standards, which may increase operational costs while enhancing consumer confidence. The industry faces persistent labor shortages, prompting increased investment in automation solutions, including conveyor-based cleaning systems and AI-powered surveillance.

Europe represents a substantial but fragmented market. The United Kingdom has established comprehensive daycare licensing requirements, serving as a model for other countries developing regulatory frameworks. Spain recorded 5% growth in pet food sales in 2024, indicating strong consumer spending that extends to pet services. Limited urban living spaces drive demand for daytime exercise services, particularly among new pet owners.

Asia-Pacific demonstrates superior growth potential with a 10.5% CAGR projected for 2025-2030. China's pet economy anticipates exceeding CNY 3 trillion in 2024, while forthcoming national standards in August 2025 will necessitate enhanced operational protocols. Chinese facilities maintain premium pricing structures comparable to hospitality establishments, experiencing capacity constraints during peak periods. India's pet sector is projected to grow, driven by increasing middle-class participation and rising disposable income.

South America demonstrates consistent market progression, supported by e-commerce expansion and enhanced pet ownership engagement post-pandemic. Technology platforms, including Laika and CuidaMiMascota, facilitate market access, providing expansion opportunities for established international operators seeking market entry without substantial real estate investment requirements.