Who's Buying for Pets by New Strategist Editors

By New Strategist Editors

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Households in the West spend 35 percent more than average. Average household spending on pet services rose 18 percent between 2000 and 2004, after adjusting for inflation. Spending on pet services will continue to grow as boomers become empty-nesters and devote more attention to their pets. Table 34. ฀ Source:฀Calculations฀by฀New฀Strategist฀based฀on฀the฀Bureau฀of฀Labor฀Statistics฀2004฀Consumer฀Expenditure฀Survey฀ ฀ ฀ WHO’S BUYING FOR PETS 51 Veterinary Services Best customers: Householders aged 45 to 64 Married couples without children at home Married couples with adult children at home Customer trends: Spending will continue to rise as more boomers become empty-nesters and devote a larger share of their discretionary income to their pets.

To compute an index, the amount spent on an item by a demographic segment is divided by the amount spent on the item by the average household. That figure is then multiplied by 100. An index of 100 is the average for all households. An index of 132 means average spending by households in a segment is 32 percent above average (100 plus 32). An index of 75 means average spending by households in a segment is 25 percent below average (100 minus 25). Indexed spending figures identify the consumer units that spend the most on a product or service.

If the business or farm is a partnership, only an appropriate share of net income is recorded. Losses are also recorded. • Social Security, private and government retirement Includes payments by the federal government made under retirement, survivor, and disability insurance programs to retired persons, dependents of deceased insured workers, or to disabled workers; and private pensions or retirement benefits received by retired persons or their survivors, either directly or through an insurance company.

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