PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1766098
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1766098
According to Stratistics MRC, the Global Pet Microchips Market is accounted for $0.47 billion in 2025 and is expected to reach $0.70 billion by 2032 growing at a CAGR of 5.8% during the forecast period. Pet microchips are tiny, implantable radio-frequency identification (RFID) devices that are used to permanently identify pets. They are usually around the size of a grain of rice. Each microchip, which is implanted beneath the skin, typically between the shoulder blades, has a unique identifying number that is connected to the pet owner's contact details in a database. When scanned by veterinarians, shelters, or animal control organisations, microchips can be a dependable means of reconnecting lost dogs with their owners, even though they don't offer real-time location monitoring like GPS trackers do. They provide a secure, impenetrable, and permanent identifying option.
Growing pet ownership & safety awareness
A permanent and impenetrable method of tracking down and reuniting missing pets with their owners is provided by pet microchips. Pet safety has become a major concern as more people consider pets to be part of the family. The advantages of microchipping have been further emphasised by awareness campaigns run by animal welfare organisations. Microchipping during adoption is becoming more and more common in veterinary clinics and shelters. The market for pet microchips is expanding due to the mix of safety concerns and emotional attachment.
Awareness gaps & misconceptions
The advantages of microchipping, such as increased odds of recovering lost pets, are not well known to many pet owners. Adoption is discouraged by misconceptions about health hazards or pain during implantation. Some owners are disappointed and lose faith in microchips because they mistakenly believe they function similarly to GPS. Furthermore, efficacy is limited by a lack of training on registering and updating contact information. Together, these misconceptions lower market penetration and consumer demand.
Smart microchips & feature integration
Smart microchips provide features like GPS tracking and temperature monitoring that go beyond simple identification. Smart elements that are integrated boost owner involvement and pet health management. For better pet safety and real-time data access, veterinary clinics and pet owners are favouring these chips more and more. Microchips' appeal is increased by the ease with which they can be connected to mobile applications. Multifunctional microchips are becoming more and more in demand as technology develops, opening up new industry prospects.
Public perception & legal issues
Many pet owners are still hesitant to get microchips implanted because of worries about ethical issues, privacy, and health hazards. Hesitancy and lower adoption rates are caused by false information about the safety and intent of microchipping. Regional differences in pet microchipping laws lead to irregularities in enforcement and adherence. The lack of laws requiring microchipping in some places further restricts market penetration. Furthermore, certain stakeholders and customers are deterred by legal challenges pertaining to pet ownership and data control with microchipped animals.
Covid-19 Impact
The COVID-19 pandemic initially disrupted the pet microchips market due to supply chain interruptions and reduced veterinary visits during lockdowns. However, the market rebounded as pet adoption surged globally, driven by increased companionship needs during isolation. This rise in pet ownership fuelled demand for pet identification and tracking solutions. Additionally, digital and contactless technologies gained traction, promoting microchipping as a secure and hygienic identification method. Post-pandemic, the market witnessed steady growth supported by rising awareness of pet safety and traceability.
The rabbit's segment is expected to be the largest during the forecast period
The rabbit's segment is expected to account for the largest market share during the forecast period, due to rising pet adoption and the growing trend of microchipping small and exotic animals. Veterinarians and animal welfare organizations are promoting microchipping as a reliable way to reunite lost rabbits with their owners. Improved awareness among rabbit owners about permanent identification methods is boosting demand. Additionally, regulatory guidelines in some regions now include microchipping for all pet species, including rabbits. These factors collectively drive market expansion within this niche segment.
The animal shelters segment is expected to have the highest CAGR during the forecast period
Over the forecast period, the animal shelters segment is predicted to witness the highest growth rate, due to the need for reliable pet identification and reunification solutions. Shelters often receive lost or stray animals, and microchipping ensures quick return to owners, reducing overcrowding. Many shelters now mandate microchipping before adoption, boosting market demand. These organizations also collaborate with microchip providers for bulk purchases and awareness campaigns. As a result, animal shelters play a vital role in increasing microchip penetration across pet populations.
During the forecast period, the Asia Pacific region is expected to hold the largest market share due to rising pet ownership, increasing urbanization, and growing awareness about pet safety and identification. Countries like China, Japan, and Australia are witnessing a surge in demand due to regulatory efforts and support from veterinary organizations. However, the market still faces challenges due to limited penetration in rural areas and lack of mandatory microchipping laws across many countries, making the growth potential promising but slower and more variable across different markets.
Over the forecast period, the North America region is anticipated to exhibit the highest CAGR, due to highly developed and mature, led by the U.S. and Canada. Mandatory pet identification laws, strong veterinary infrastructure, and high pet adoption rates support consistent demand. The region benefits from widespread awareness, frequent technological upgrades, and well-established microchip registration systems. Pet owners in North America are more inclined to invest in microchipping for safety and recovery reasons, making the market saturated yet stable, with innovation and services playing a key role in continued growth.
Key players in the market
Some of the key players profiled in the Pet Microchips Market include Merck & Co., Datamars, Allflex, Trovan Ltd., Avid Identification Systems, Virbac Corporation, Bayer AG, Elanco Animal Health, Pethealth Inc., Animalcare Ltd., Microchip4Solutions Inc., PetKey, AKC Reunite, PeddyMark Ltd., EIDAP Inc., Micro-ID Ltd., BioPet Vet Lab and Microchip Identification Systems.
In December 2023, Merck Animal Health introduced the HomeAgain Microchip, a recognized solution for pet identification and recovery. This microchip is widely used by veterinarians and pet owners to facilitate the reunion of lost pets with their families through a centralized pet recovery database.
In May 2023, Datamars acquired Kippy S.r.l., a company well-known for its GPS tracker and activity monitoring systems for dogs. This move expanded Datamars' portfolio beyond traditional microchips into smart pet tracking and monitoring, strengthening its position in the pet identification and welfare market.
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.