What economic indicators are signaling for veterinary practices

Veterinary practices are getting a fresh reminder that the broader economy is now shaping day-to-day care decisions more directly. In a recent EquiManagement Business of Practice episode, AVMA chief economist Katelyn McCullock outlined how inflation, softer consumer confidence, higher household debt, and a weaker labor picture are affecting veterinary demand, while a companion episode with CareCredit’s Kate Hayes focused on ways practices can help clients manage costs. The broader industry backdrop supports that message: data from roughly 6,000 to 6,500 U.S. practices show patient visits have been declining even as revenue has held up mainly through price increases, a pattern that economists and practice consultants say is becoming harder to sustain. (aiv-vet.com)

Why it matters: For veterinarians, the signal is that pricing alone likely won’t be enough in this climate. Industry data and commentary suggest clients are stretching time between visits, delaying elective care, and becoming more selective about purchases, while veterinary-service inflation has continued to run above overall inflation. That puts pressure on practices to focus on the basics McCullock emphasized: tracking key performance indicators closely, protecting preventive care and client communication, and offering realistic payment or financing pathways for pet parents who are feeling cost pressure. (aiv-vet.com)

What to watch: Expect more attention in 2026 to visit-volume recovery, client financing uptake, and whether practices can balance affordability with continued cost inflation. (aaha.org)