If there’s any good news about ongoing economic uncertainty, it’s that many consumers seem to be taking it in stride, adapting to what’s become a new normal. Yet the continuing turmoil is definitely affecting pet food businesses, particularly when it comes to innovation.
A November 2025 poll on PetfoodIndustry.com showed only 35% of respondents were developing and launching products on schedule, and 30% said they’re not developing new products at all. “Another 17% said they’re still developing products but facing delayed launch timelines, and 8% have progressed with innovation but shelved some products,” wrote Lisa Cleaver, senior reporter. “An additional 10% have paused all new product development activity.”
In addition, 34% said the current economic climate has postponed most new product development activities, while 31% said it’s slowed innovation, though product development is still happening. Interestingly, 9% reported they’re maintaining their planned innovation pace, and nearly 19% said the economic situation has accelerated their new product development. Perhaps their companies have subscribed to the theory, espoused by some economists, that uncertain times may be the best times to focus on innovation.
Following on that, 39% of respondents to another PetfoodIndustry.com poll, in January 2026, said their companies plan to invest in innovation and new product development this year, even as they consider less predictable consumer behavior — consumers may be accepting volatility, but their needs and purchasing decisions are also evolving — a major industry challenge.
This is welcome news after a lull in new product development, starting with the pandemic and continuing beyond. More importantly, it’s in line with those changing consumer demands. In a fall 2025 report, NielsenIQ said it’s a myth that constant disruption at the retail level has lowered consumer expectations. “The opposite is true! Consumers are demanding that manufacturers and retailers lean into innovation and technology to solve disruption before it affects them.”
In response, the report said, manufacturers that can “quickly pivot when commodity prices force reformulation,” for instance, will have an upper hand. As will companies that “can find — and capitalize on — opportunities to solve for volatility before it inconveniences their consumers.”
And there’s this: Consumer-led thinking and design are more crucial than ever — “non-negotiable,” said pet food expert Laura Moran, owner of PetSpark consultancy. Thus, no matter what the economy looks like (or despite it), brands need laser-focused insight into what their consumers want and need, and how their pet food products can meet those demands.
