Pet Franchise Industry Analysis: Where $136 Billion in Spending Creates Opportunity

The Pet Industry by the Numbers

Americans spent $136.8 billion on their pets in 2022, according to the American Pet Products Association — a figure that has grown every single year for over three decades, including through the 2008 financial crisis and the COVID-19 pandemic. By 2026, the market is projected to exceed $150 billion.

This spending is distributed across several categories:

Category	Annual Spending	Growth Trend
Pet food and treats	$58.1 billion	Premiumization driving growth
Veterinary care	$35.9 billion	Steady, essential spend
Supplies and medicine	$31.5 billion	Online shift accelerating
Other services (grooming, boarding, walking, training)	$11.4 billion	Fastest-growing segment

The “other services” category — worth $11.4 billion and growing at 8-10% annually — is where pet franchises primarily compete. This includes grooming, daycare, boarding, training, and pet retail.

Our database contains 61 pet service franchise systems. Here’s what the FDD data reveals about the opportunity.

Top Pet Franchises by System Size

Franchise	Investment Range	Franchise Fee	Total Units	Royalty	Item 19
AmerisourceBergen (pet division)	$43,797 – $575,205	N/A	2,361	$599/mo	Yes
C.T. Franchising (Camp Run-a-Mutt)	$70,760 – $117,150	$53,900	372	6% of Gross Receipts	Yes
Better Together (Pet Supplies Plus)	$543,095 – $1,399,180	$49,500	263	7% of Gross Sales	Yes
Camp Bow Wow	$943,606 – $1,199,536	$50,000	223	3.5%–7% tiered	Yes
Bark Busters	$77,900 – $117,000	$49,500	133	10% of Gross Revenue	No
CoolVu (pet concept)	$68,450 – $106,850	$19,900	110	$400–$1,600/mo	Yes
Aussie Pet Mobile	$167,325 – $208,650	$19,950	105	7%–4% declining	Yes

Industry Benchmarks

Metric	Pet Services Average
Average minimum investment	$292,603
Average maximum investment	$593,210
Average franchise fee	$47,063
Average system size	308 units
Item 19 disclosure rate	76.9%

The 76.9% Item 19 disclosure rate ties with Senior Care as the second-highest of any industry in our database (behind Child Services & Education at 88.2%). This transparency is valuable for prospective buyers trying to model expected returns.

Pet Franchise Business Models

1. Pet Retail (Highest Investment)

Pet Supplies Plus (Better Together, LLC) represents the premium end of pet franchising with investments from $543,095 to $1,399,180. These are full retail stores with:

• 6,000-8,000+ sq ft locations
• Product inventory (food, supplies, accessories)
• Grooming services
• Adoption events and community programming

Revenue drivers: Product sales (highest volume), grooming services (highest margin), and customer frequency (pet owners visit 2-4 times monthly).

2. Pet Daycare and Boarding (Mid-High Investment)

Camp Bow Wow operates at the $943,606 – $1,199,536 range with facilities designed for:

• Indoor/outdoor play areas (5,000-10,000+ sq ft)
• Overnight boarding kennels
• Grooming services
• Training programs
• Webcam access for pet parents

Revenue drivers: Daycare memberships (recurring), boarding (seasonal peaks around holidays), and add-on services.

3. Mobile Pet Services (Lower Investment)

Aussie Pet Mobile ($167,325 – $208,650) and Bark Busters ($77,900 – $117,000) represent mobile concepts that eliminate facility costs:

Aspect	Mobile Grooming	Mobile Training
Vehicle	Custom-equipped grooming van ($80K-$120K)	Standard vehicle
Staff	1-2 groomers per van	Owner-operator
Service area	15-25 mile radius	Territory-based
Revenue per service	$60-$120 per grooming	$200-$400 per session
Daily capacity	6-10 dogs per van	3-5 sessions

4. Pet Training (Lowest Investment)

Dog training franchises like Bark Busters offer the lowest entry point in the pet category:

Advantage	Detail
Low overhead	No facility, minimal equipment
High margins	Service-based with low material costs
Recurring revenue	Multi-session training packages
Flexible schedule	Sessions booked by appointment
Scalable	Add trainers without adding locations

Growth and Decline: What the Data Shows

The pet franchise category has a notable split in growth patterns:

Growing Systems

• C.T. Franchising: 70 units opened, 7 closed (+63 net growth)
• Strong retention across most pet service concepts
• New entrants continuing to enter the market

Concerning Trend

• AmerisourceBergen: 174 units opened but 264 closed (-90 net loss)
• This is the largest net decline of any franchise in our entire database

The AmerisourceBergen situation illustrates why raw unit counts can be misleading. Despite having 2,361 total units and opening 174 new ones, the system is shrinking due to high closures. Any prospective buyer must understand why 264 units closed in a single year before investing — this is exactly the kind of red flag that Item 20 data reveals.

The Pet Industry’s Recession Resistance

Pet spending has increased every year since 1994, including during:

• The 2001 dot-com bust
• The 2008-2009 financial crisis
• The 2020 COVID-19 pandemic

This resilience stems from the “humanization” of pets. Americans increasingly view pets as family members and prioritize their care even during economic downturns. Pet food spending in particular is highly inelastic — pet owners will cut their own food budget before switching their dog’s premium food brand.

However, discretionary pet services (grooming, daycare, boarding) are more price-sensitive than food and veterinary care. During recessions, some pet owners may groom at home or reduce daycare frequency. Franchise buyers should model conservative scenarios for these revenue streams.

Evaluating a Pet Franchise: Key Due Diligence Steps

Market Research

• Pet ownership density — The AVMA reports that 66% of U.S. households own a pet. In suburban areas with high household incomes, this percentage is even higher.
• Competition mapping — Count every pet groomer, daycare, boarder, and trainer within a 10-mile radius. Independent operators are your primary competition, not just other franchise brands.
• Demographic fit — Pet franchise customers are typically dual-income households, ages 25-55, with household incomes above $75,000.

Operational Questions for Validation

When calling existing pet franchise operators, focus on:

1. Staffing — Are qualified groomers, trainers, and pet care attendants available in your market?
2. Seasonality — How much do revenues fluctuate between peak seasons (holidays, summer vacation) and slow periods?
3. Insurance costs — Pet care businesses carry liability risk. What are actual insurance premiums?
4. Customer acquisition — What marketing channels drive the most new clients? What does it cost to acquire a customer?
5. Average ticket size — What is the average transaction value, and how often do customers return?

Regulatory Considerations

Pet care businesses face specific regulations that vary by state and municipality:

• Boarding and daycare licensing — Many jurisdictions require kennel licenses, inspections, and adherence to animal-per-square-foot ratios
• Grooming standards — Some states require groomer certification or registration
• Zoning — Pet care facilities may have special zoning requirements, especially for outdoor play areas
• Noise ordinances — Daycare and boarding facilities with outdoor areas must comply with noise regulations
• Waste disposal — Commercial pet waste disposal may be regulated

Financial Modeling for Pet Franchises

Revenue Assumptions

Revenue Stream	Monthly Range	Frequency
Grooming services	$15,000-$40,000	Per appointment
Daycare	$10,000-$30,000	Monthly memberships
Boarding	$8,000-$25,000	Nightly rate
Retail products	$5,000-$20,000	Per transaction
Training	$3,000-$10,000	Per package
Add-on services	$2,000-$8,000	Per visit

Key Expense Ratios

Expense	% of Revenue
Labor (groomers, attendants)	35-45%
Rent and facilities	10-18%
Royalty + ad fund	7-12%
Supplies and products (COGS)	8-15%
Insurance	3-5%
Marketing	3-5%
Utilities and maintenance	2-4%
Target operating margin	10-20%

Putting It All Together

The pet industry combines recession-resistant demand, emotional customer loyalty, and growing per-pet spending. For franchise buyers, the question is which model fits your investment capacity and market:

• Under $120K → Mobile grooming (Aussie Pet Mobile) or training (Bark Busters) — see our guide to franchises under $100K
• $120K – $600K → Specialty services (CoolVu, C.T. Franchising)
• $600K – $1.4M → Full-service daycare/boarding (Camp Bow Wow) or retail (Pet Supplies Plus)

Regardless of the model, check the FDD data: unit growth trends, Item 19 earnings (available for 76.9% of pet franchises), and the franchisee contact list in Item 20. The numbers will tell you what the franchisor’s sales pitch can’t.

Browse all pet service franchises in our library to compare costs and unit data, or take our franchise readiness quiz to see if franchise ownership fits your goals.