From 'starter babies' to royal pets: Mars Inc CEO 'surprised' by surging pet food demand in India and changing family dynamics

Mars Inc CEO Poul Weihrauch (Courtesy: Mars)

Mars Inc. has been “surprised” by the rapid growth of pet food demand in India, with CEO Poul Weihrauch attributing the surge to changing family dynamics. Weihrauch, in  an interview to The Economic Times, explained that young couples, often delaying having children, are opting for pets as “starter babies,” further fueled by the rise of nuclear families.

This shift is driving the demand for Mars' pet food products, with the company leading India’s pet food market with a 54% share.

Weihrauch also noted that this trend reflects a broader generational shift. While pets in traditional households may have started outside the house, modern pet owners, particularly millennials in India, are increasingly treating their pets as family members, with some even allowing their pets to sleep in the same bed. This trend, observed in GenZ in the U.S., is similarly gaining traction among India’s younger population, he told the Economic Times.

“What is happening in India is that 25-30 year olds’ parents may not have a pet… they become first-time pet owners and, figuratively speaking, the pet jumps directly on to the bed. In the US, if you consider GenZ, close to 70% (would be) sleeping in the same bed as their pet,” Weihrauch said.

Mars, which has a diverse portfolio including Pedigree, Royal Canin, Snickers, and M&M, reported net sales of over $350 million in India for 2024, with pet foods making up a significant portion of that revenue.

The country’s growing pet food market, estimated at $550 million, is expanding at a rate of 15% annually, prompting Mars to prioritize India as a key market for future growth. Despite the broader economic slowdown, Weihrauch remains optimistic, saying that the pet care industry in India will continue to grow for the next 15-20 years.

Mars is also investing heavily in its Indian operations, with plans to expand production capacity at its Telangana factory and a significant investment in a packaging plant in Bhiwandi, Maharashtra, which is set to become Asia’s second-largest facility of its kind. The company's diversification into pet care, along with its ongoing success in the snacking and confectionery markets, positions Mars for sustained long-term growth in India.