Veterinary Software Market Report 2025

The veterinary software market size has grown steadily in recent years. It will grow from $0.95 billion in 2024 to $1 billion in 2025 at a compound annual growth rate (CAGR) of 4.8%. The growth in the historic period can be attributed to increase in pet ownership, regulatory compliance needs, enhanced patient care, integration with laboratory services, business management efficiency.

The veterinary software market size is expected to see rapid growth in the next few years. It will grow to $1.46 billion in 2029 at a compound annual growth rate (CAGR) of 10%. The growth in the forecast period can be attributed to telemedicine adoption, focus on preventive care, increased data analytics use, interoperability and integration, expansion of specialty services. Major trends in the forecast period include electronic health records (EHR) for animals, remote monitoring of animal health, inventory management for veterinary clinics, client communication and education platforms, compliance with veterinary regulations.

The surge in spending on animal health is expected to drive the growth of the veterinary software market. Pet owners worldwide increasingly view their pets as family members, leading to higher expenditures on their health. This rising spending, combined with the growing number of pets, enables hospitals and clinics to invest more in veterinary software to enhance the customer experience. For example, in October 2023, the UK-based RSPCA's Animal Kindness Index reported that 81% of pet owners expressed concern about rising pet care costs, up from 68% in 2022. This increase in health spending is anticipated to significantly boost the veterinary software market during the forecast period.

The rise of pet insurance is expected to propel the growth of the veterinary software market in the future. Pet insurance is a financial product designed to cover veterinary expenses for treating illnesses, injuries, or providing preventive care for pets. Veterinary software is utilized in pet insurance to streamline claims processing, manage policies, and facilitate efficient communication among pet owners, veterinarians, and insurance providers. For instance, in April 2024, the North American Pet Health Insurance Association (NAPHIA), a U.S.-based trade association for pet insurance, reported significant growth in the number of insured pets across North America. By the end of 2023, close to 6.25 million pets were insured, representing a 16.7% increase from the 5.3 million pets insured in 2022. Therefore, the rise of pet insurance is driving the veterinary software market.

A prevailing trend is the adoption of technological advancements. Companies within this sector prioritize innovation, evident in Covetrus Inc.'s January 2022 launch of Covetrus Pulse. This cloud-based veterinary operating system streamlines prescription management, customizes dashboards, integrates third-party apps, and facilitates seamless communication among colleagues and clients. All data is securely stored in the cloud, ensuring convenient access when needed.

Within the veterinary software market, prominent companies are directing their efforts toward the development of AI-powered diagnostic tools, specifically AI-based dermatology, to effectively handle frequent dermatologic conditions and achieve a competitive edge. For instance, in March 2023, Zoetis, a US-based animal health company, collaborated with Techcyte to introduce AI Dermatology for VETSCAN IMAGYST. This AI-based dermatology feature swiftly analyzes digitized slides, offering veterinarians efficient diagnostic results and more time for patient care alongside other AI-based indications on the platform.

In January 2024, Instinct Science, a U.S.-based company specializing in software solutions for veterinary practices, acquired VetMedux for approximately $8 million. VetMedux, also a U.S.-based company, focuses on providing software solutions to enhance efficiency and improve patient care in veterinary practices. This acquisition aims to strengthen Instinct Science's offerings and further its commitment to improving veterinary services.

Major companies operating in the veterinary software market include Henry Schein Inc., Zoetis, Patterson Companies Inc., Covetrus Inc., IDEXX Laboratories Inc., Carestream Health Inc., 2i Nova, MWI Animal Health, Sure Petcare, Ezyvet Ltd., Hippo Manager Software Inc., Timeless Veterinary Systems, Petabyte Technology, ImproMed, Finnish Net Solutions Oy, Clientrax, Business Infusions, Vetspire, Firmcloud Corporation, OR Technology, Vetter Software Inc., Animal Intelligence Software Inc., VetZ Limited, Via Information System, VetVision, Quantified Veterinary Care, GalaxyVet, Animal Practice Management Solutions, Masterpiece Veterinary.

North America was the largest region in the veterinary software market in 2024. The regions covered in the veterinary software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the veterinary software market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Veterinary software aids veterinary practices, clinics, and specialists in managing daily operations, offering tools such as electronic medical records, staff management, appointment scheduling, and facilitating data-driven business management.

Veterinary software encompasses distinct categories, primarily veterinary practice management software, veterinary imaging software, and other specialized products. Veterinary practice management software functions as an online solution facilitating the daily operations of veterinary clinics and hospitals. These software variants are categorized into integrated or stand-alone systems and cater to diverse veterinary practices, including exclusive small animal, mixed animal, and exclusive large animal practices. These tools are delivered through various modes such as on-premise installations, cloud/web-based applications primarily utilized by hospitals and clinics, and systems utilized in reference laboratories.

The veterinary software market research report is one of a series of new reports that provides veterinary software market statistics, including veterinary software industry global market size, regional shares, competitors with a veterinary software market share, detailed veterinary software market segments, market trends and opportunities, and any further data you may need to thrive in the veterinary software industry. This veterinary software market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The veterinary software market includes revenues earned by entities by providing software tools that automate administrative processes by keeping patient notes, tracking treatments, managing schedules, and handling billing. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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