Powering retail ecommerce for 2,200+ brands
Content text for a top bar
Q1 2026 INDUSTRY REPORT
The State of Ecommerce: Pet Products
Pet Supplies Q1 2026: Where the category's revenue is leaking
See why traffic is up, conversion is drifting, and OOS losses doubled despite a healthier quarter:
- Pet Supplies revenue grew ~13% YoY in Q1, but OOS losses doubled.
- Small availability gaps on top ASINs are quietly capping growth.
Get the Q1 2026 Pet Supplies report. Download the report.
Download the full report
Used by the most loved brands in the world
Key takeaways
Revenue growth is healthy, not borrowed:
Ordered revenue up ~13% YoY with ASP up ~3% & discounts steady at ~4%, a rare combination of volume & value in a quarter where most categories traded margin for velocity
Margin expansion is sticking:
Gross margin per unit lifted ~1pp each month as ASP gains outpaced cost pressure, contrasting with the portfolio-wide compression from 20% to 18%
Traffic gains are masking conversion drift:
Glance views up ~10–15% YoY but CVR down ~2–3pp, with ordered units still growing ~8–10% despite the softness
Ad spend is earning its keep:
Spend up ~22% YoY with return on ad spend (ROAS) climbing to ~4.0, suggesting incremental demand capture rather than bid inflation, a sharp contrast to Grocery & Gourmet Food's spend-up, ROAS-down pattern
Supply chain reliability stepped up:
Purchase order (PO) fill rate reached ~93% in March, up ~14pp YoY, with fulfilled units up 10–30% YoY in a structural, not seasonal, improvement
OOS losses are concentrated, not widespread:
Rep OOS% fell to 0.3–0.8% from 1.3–1.5%, yet OOS revenue loss more than doubled YoY, with closing remaining gaps on top-revenue ASINs in January representing the clearest incremental revenue opportunity
