“I think it’s kind of gone on steroids, really,” Baty said of the trend of pet parents willing to spend more on their pets. She even said some pet parents value their pets more than other family members.
“In consumer insights we get, they spend more on their pet, and they value their pet more than their children,” Baty said. “So when you had to rank the order of relationships they have in their family, their dog comes before their partner, their kids, other family members.”
“It’s one of the most constants in life,” she continued. “There’s something, I think, really powerful about that human-animal bond, and especially over the last few years, with everything that played out, with COVID as well.”
That’s also meant the number of households today bringing a pet home has become relatively flat, Baty said, “and that’s a big change from the last few years.”
Even considering how much more expensive it’s become to own a pet, people still want their furry family members to have the best care and conditions, which often starts with food. During the past few years, fresh, raw, or freeze-dried food have become more popular options, marketed as a healthier and more life-sustaining option for pets than traditional kibble.
But as fresh dog food brands tout offering a “longer and healthier lifestyle,” Baty said, pet parents are more willing to spend more to keep their pets happy and healthy. And it’s not just high-income consumers who are willing to spend more.
Baty also argues that feeding fresh food offers better long-term benefits, such as lower vet bills. She said pets who consume fresh food can face fewer health risks down the line, which means less spent on additional medical care.
To be sure, many veterinarians still recommend more traditional kibble brands, with Purina Pro Plan being a popular option. Those foods are still packed full of the nutrients and protein pets need to live a happy and healthy life, and it’s always important to discuss any nutrition plans with a trained veterinarian. Choosing the right pet food has been a long-contested debate in the veterinary world, and it’s often difficult to discern the right choice for your pet.
Some pet parents also opt for feeding fresh food as a “topper” or extra on top of traditional kibble, which can add more health benefits—and excitement around mealtime.
“Even if you can’t afford to feed it every single meal or always on the main meal, we do have a really large number of consumers that start off mixing,” Baty said: 70% of their revenue comes from 2.2 million households, but there are 14.5 million households that buy Freshpet.
“It’s a place of not wanting to make ourselves inaccessible from either a price-point standpoint, whereby only very wealthy people can afford to pay the main meal fee,” she said.
And Freshpet has big growth plans: Baty said they believe they can reach 33 million households and invest in new technology and roll out new flavors, textures, proteins, and more treats.
“The nice thing is, we’re only just getting started,” she said. “There’s so much opportunity for us. It’s just a question of what we do first.”
