Understanding the pulse of the veterinary market helps DVMs make informed decisions—whether you’re planning growth, transition, or succession. Here’s why this industry continues thriving and why it matters to your practice’s future.
Durable consumer demand keeps rising
U.S. pet spending has climbed steadily for a decade, and veterinary care remains a major slice of that total.
Looking ahead, the forecast for pet‑industry spending growth could average ~7% annually through 2030, outpacing most retail categories. That long runway suggests continued investment in clinics, services, and related technology.
Revenue is holding even as visit counts fluctuate
After the pandemic surge, visit volumes naturally cooled—but revenue per patient increased enough to keep topline growth positive. AVMA’s data shows patient visits down ~2.3% YoY while revenue has shot up ~3.9%, driven largely by price mix. So, if you’ve felt a lot more “slow days” but pretty steady month‑end numbers, you’re not alone.
The talent picture is evolving—not just shrinking
Headlines about a permanent DVM shortage are giving way to nuance. Data suggests no dire long‑term shortage as demand normalizes and new graduates enter the market.
Consolidation and capital are still active
Private equity continues to view veterinary care as a resilient, cash‑generative service with ample opportunity. For sellers, that level of capital support often translates into more suitors, more sale structure options, and more ways to align your clinical culture with the growth you aim for.
What keeps the market hot—despite headwinds
- Human–animal bond. Spending on pets has remained sticky across market cycles. Owners prioritize essential care even in weaker economies.
- Service mix & sophistication. Advanced diagnostics, specialty care, and preventive programs lift revenue per patient, offsetting lighter foot traffic in some periods.
- Professionalization & systems. Multi‑site platforms bring purchasing power, data, and operational support—often appealing to owners who want to keep their clinical standards while gaining infrastructure and support.
What to watch (because there are real pressures)
- Price sensitivity. In a 2025 Gallup poll, 52% of U.S. pet owners said they skipped or declined veterinary care in the prior year—with cost being a leading reason. Owners surely still want care, but they increasingly need new pathways to afford it (e.g., transparent estimates, financing, “good/better/best” plans).
- Operating leverage. If visits slow and payroll and COGS creep up, your EBITDA can compress. Keeping a close eye on inventory turns, staffing model, and fee updates remains essential—especially if you’re one or two years away from a sale/transition.
Next steps
Strong top‑down demand and active investors create optionality: full sale, JV/partnership, recapitalization (with rollover equity), or a staged exit. These all become options if you’re set up correctly.
If your clinic’s metrics (revenue mix, visit trends, labor model, client retention) are healthy, buyers often compete on sale structure—not just on sale price—so you can protect culture and team while meeting financial goals.
If your metrics are middling, there’s absolutely still time to optimize before going to market. Even 90–180 days of laser-focused work on pricing hygiene, scheduling, and costs can materially lift EBITDA.
In a market that’s still hot—fueled by durable spending, professionalization, and capital—what version of “next” best preserves your legacy and gives you the flexibility you want: grow, recap, or transition on your timeline? Let’s explore that together.
