The pet industry has shown economic strength after sales rose about 3.7% in 2025, reaching $158 billion, according to the American Pet Products Association’s 2026 State of the Industry Report.
Sales are projected to rise to $165 billion in 2026, with full-year growth expected to be about 4.4%, of which 2% is driven by inflation, the report said
Despite the financial strength in the industry, pet supplies retailers are still having difficulties, forcing certain establishments to file for bankruptcy protection. Pet store chain franchisee files bankruptcy Florida-based Pet Supplies Plus franchisee PSP TS LLC filed for Chapter 11 bankruptcy protection, seeking to reorganize its business affairs, according to court papers. The Holiday, Fla., pet supplies retail franchisee filed its petition in the U.S.
Bankruptcy Court for the Middle District of Florida in Tampa on May 12, listing $100,000 to $500,000 in assets and $1 million to $10 million in liabilities, according to PacerMonitor. The debtor’s largest unsecured creditors include Banesco USA, owed over $920,000; Pinacle Bank, owed over $275,000; and American Express, owed over $8,000. The debtor did not indicate a specific reason for filing for bankruptcy, and the franchisee’s only Pet Supplies Plus store remains open.