Pet Franchises Prove Recession-Resistant

For more than a decade, the pet industry has been among the hottest business categories, spawning products and services ranging from pet strollers and clothing to doggie day-care services and pet waste pickup. Today, Americans may be tightening the purse strings in response to the recession, but they’re still opening their wallets for their furry friends.

According to the American Pet Products Association, Americans will spend $45.4 billion on pets this year -- up from $43.2 billion in 2008. Of that, some $17.4 billion will be spent on food, $10.2 billion on supplies and medicine, and $3.4 billion on services such as grooming and boarding.

The APPA reports that 62 percent of U.S. households own a pet. While nonessential pet expenditures like fancy pet toys might get cut out of the household budget, essentials will still be part of the picture. And as pets have come to be considered part of the family, the definition of “essential” has expanded. In particular, products and services that improve an animal’s health and well-being will do well this year, the APPA predicts.