Europe Companion Animal Diagnostics Market Size, Growth, Share & Trends Analysis

The growth of the Europe companion animal diagnostics market is fundamentally anchored in the trend of "pet humanization", where companion animals are increasingly viewed as family members. This shift is deeply rooted in the well-documented positive health benefits of pet ownership for humans, including reduced stress and improved psychological well-being, which has fueled a surge in adoption rates across the continent. Data confirms this, with the canine population in Europe expanding from USD 104.34 million in 2022 to USD 106.36 million in 2023 ( Source: European Pet Food Industry Federation, FEDIAF), and a total European pet population nearing USD 352 million. This continually expanding and aging pet population directly drives a proportionate rise in demand for premium pet care products and advanced veterinary services, acting as the primary engine of growth for dependent industries such as the companion animal diagnostics market, particularly for tools used in early and preventative care.

The increase in diagnostic market sales of companion animals in Europe is extremely limited due to the rising costs of pet care, which makes a financial burden on the pet owners and, at the same time, limits the demand for modern diagnostic services. The veterinary labs, consultations, and treatments with preventive care have all experienced price surges owing to the rising costs of labor, medical supplies, and the use of advanced diagnostic technologies. Thus, a considerable proportion of pet owners, more so the ones with no comprehensive pet insurance, are inclined to defer or even refuse diagnostic testing, preferring to go for basic care or symptomatic treatment instead. The sensitivity to cost is most apparent in Southern and Eastern Europe, which consumes less household resources, thus leading to an uneven adoption of advanced diagnostics across the region. Therefore, while diagnostic technology and methods keep progressing, the high expenses that are not covered by the insurance still remain a big hurdle, which slows down the growth of the market, and the veterinarians do not have the possibility to explore the full potential of the new diagnostic platforms.

The veterinary healthcare sector is just at the beginning of the adoption of advanced technologies such as AI and ML, but the first applications already indicate that these technologies can be very useful for diagnosing companion animals accurately. With the help of these tools, the imaging datasets, and electronic medical records are getting integrated to spot disease patterns already and more reliably than the traditional ways. One example is the Aptech Diagnostics by Mars Petcare scientists who introduced RenalTech, an AI-powered predictive tool that has the ability to detect chronic kidney disease (CKD) in cats up to two years earlier than the clinical diagnosis, which is a substantial progress considering that CKD affects almost one-third of the cat population and is the number one cause of death in cats older than five years. These advancements are clear indicators that AI and ML are going to be very useful in veterinary diagnostics as they will make it possible to detect the disease earlier, lessen the uncertainty surrounding the diagnosis and thus promote health management to be more proactive.

The companion animal healthcare ecosystem is increasingly strained by a persistent shortage of veterinary practitioners. As pet ownership grows and the demand for timely diagnostic testing rises, many clinics and diagnostic facilities face capacity limitations due to insufficient staffing. This shortage leads to longer wait times, delayed diagnostic workups, and reduced access to specialized testing, ultimately affecting the accuracy and speed of clinical decision-making. The limited availability of trained veterinarians also places additional pressure on existing staff, hindering their ability to adopt new diagnostic technologies or expand service offerings. As a result, the shortage of veterinary professionals acts as a significant challenge to market growth, affecting both diagnostic throughput and the adoption of advanced companion animal diagnostic solutions.