Why do Millennials Spend so much on Pets

America loves their pets. It is estimated that 67% of American households are sharing their space with a furry friend. In a recent study, Americans born between 1980 to 2000 have taken the lead in pet parenthood. Millennials surpass Baby Boomers for the top pet owner spot by 5%.

The Millennial generation’s financial hardships are apparent in their dating life, homeownership, and rising mental health concerns. So why are they spending so much on their pets?

Pets Are Cheaper Than Kids

Many Millennials are hesitant to start their own families due to anxiety regarding the future. The pandemic, social unrest, and their own economic hardships are driving them away from raising the next generation. Instead, they are putting time and money into their pets.

Unlike pet ownership, Millennials have fallen behind Gen X and Baby Boomers in homeownership. Because Millennials are not buying homes and starting families, they are renting apartments and replacing children with pets. This could be because Millennials want a trial run before raising a family of their own, or it could simply be that pets are cheaper than and not as high maintenance as kids.

Loneliness

Pets are known for curing loneliness. Having a cat at your feet or a dog by your side is a known remedy for anxiety and depression. According to a Business Insider study, 30% of Millennials often feel lonely, compared to Gen X at 20%, and Baby Boomers at 15%.

This devastating statistic explains why Millennials are putting their money towards pets rather than children. It has been proven that in stressful times, people turn to pets. This is clear in the spike of pet adoptions over quarantine.

Additionally, Pew Research Center found that Millennial marriage rates are rapidly declining. This independent generation would rather live on their own with the company of their pet than commit to starting a family.

Raised in the Online-Shopping Era

Millennials were the first generation to grow up with the world at their fingertips. Online shopping is almost second nature to them. It is convenient and quick, which is what younger generations were raised to expect.

Millennials are also known for impulse spending, and websites like Amazon encourage this spending behavior. With pets being their primary companion, it is no surprise their furry friends are getting spoiled with new toys, clothing, and accessories.

Millennials Need Someone to Spoil

Interesting statistics have been released regarding Millennial pet purchases. According to Wakefield, 76% of this generation is more willing to splurge on a luxurious item for their pet rather than for themselves. This reinforces the idea that Millennials view their pets as a replacement for children.

According to Packaged Facts, Millennials spend up to $16.6 billion annually on their pets. That is more than any generation has spent on pet products to date. It is possible that with their decline in marriage and dating, Millennials are searching desperately for someone to spoil. As this generation has settled into their full-time careers, they are looking to use their income on someone other than themselves.

In conclusion, Millennials are helping many shelters by adopting pets at a growing rate. They have also boosted the pet industry immensely. It will be interesting to see how pet ownership and marriage rates differ as Millennials enter their thirties and forties.