The glucocorticoids segment led the market in 2024 with the highest revenue share, primarily due to their effectiveness in treating inflammation and allergic reactions. Veterinarians often prescribe these corticosteroids to provide quick relief from itching and skin irritation, and their low cost and easy availability make them a popular choice. Extensive research supports their use in treating skin issues in dogs, resulting in high adoption rates from pet owners looking for dependable solutions. The MAbs segment is expected to grow the fastest from 2025 to 2034, as they offer targeted management of allergic reactions. Lokivetmab (Cytopoint) is effective in reducing itching and inflammation, reinforcing its preference among veterinarians. Increased awareness of pet health and progress in veterinary medicine are driving the demand for MAb therapies, with pharmaceutical companies investing in research to enhance these innovative treatments.

In 2024, the prescription segment had the largest market share, reflecting its effectiveness in handling severe cases. Veterinarians commonly recommend prescription options, including corticosteroids, immunosuppressants, and MAbs for focused relief. The rising awareness of pet healthcare and advances in veterinary dermatology have boosted the demand for prescription therapies. The availability of specific treatments through veterinary clinics and hospitals has further strengthened this segment. Conversely, the OTC segment is anticipated to grow the fastest in the canine atopic dermatitis market, driven by ease of access and affordability. Pet owners often favor OTC options like medicated shampoos, antihistamines, and soothing sprays for mild conditions. Increased knowledge of pet skin health and improvements in non-prescription treatments have surged demand, supported by the growth in e-commerce and retail channels.

Regarding mode of administration, the oral segment captured the largest market share in 2024 due to the convenience and effectiveness of oral medications in managing symptoms. Pet owners and veterinarians prefer oral drugs for their consistent relief. Advances in drug formulations have increased efficacy, promoting wider use. The availability of prescription oral therapies has bolstered this segment. Conversely, the injectable segment is expected to grow the fastest due to its quick action and lasting effectiveness. Injectable MAbs, particularly Lokivetmab, are being recommended by veterinarians more and more to treat inflammation and itching specifically. The growth in pet healthcare knowledge and advancements in veterinary dermatology support this rising demand, with firms investing in research to improve injectable options.

The ectoparasites segment led the canine atopic dermatitis market in 2024, as fleas, mites, and ticks often trigger allergic reactions. Veterinary professionals emphasize ectoparasite control, leading to rising demand for effective treatments. Companies continue to develop advanced antiparasitic solutions to provide reliable preventive and therapeutic options. In contrast, the allergic skin infections segment is predicted to grow the fastest from 2025 to 2034 due to the increased incidence of environmental allergens affecting dogs. Pollens, dust mites, and food ingredients contribute to these allergies and drive demand for specialized treatments, which veterinary dermatologists are focusing on through immunotherapy and targeted medications.

In terms of distribution channels, the veterinary hospitals/clinics segment held the largest market share in 2024, owing to their expertise in diagnosing and treating canine skin issues. Pet owners seek veterinary care for thorough evaluations and effective solutions, enhanced by advanced diagnostic tools. Increased awareness among pet owners further supports this segment. The e-commerce segment is projected to grow rapidly, providing convenience for pet owners seeking access to a variety of dermatological products online. The growth of digital healthcare and direct-to-consumer sales channels is expected to boost demand for e-commerce-based veterinary products.

In 2024, the North American market for canine atopic dermatitis led the global market, capturing the largest share of revenue. The growth of this market is supported by advancements in veterinary medicine and an increase in pet healthcare expenditures. The introduction of innovative treatments, including MAbs and improved immunosuppressants, is enhancing therapeutic results, which in turn is leading to higher adoption rates. Furthermore, increased investment in veterinary research is fostering the development of specialized dermatological solutions within the region.

The Asia Pacific market for canine atopic dermatitis is anticipated to be the fastest-growing region, with a CAGR projected from 2025 to 2034. This growth is attributed to a shift towards novel and targeted therapies, such as biologics and immunotherapies. These advanced treatment options, including MAbs and biologic drugs, provide effective relief with fewer side effects compared to traditional treatments.

The market landscape consists of numerous domestic and international pharmaceutical companies. Monoclonal antibodies, including Lokivetmab, and JAK inhibitors such as Oclacitinib serve as prime examples of CAD treatments created by these significant industry players. These firms are improving their product lines and market visibility through collaborations, research agreements, and merger and acquisition activities to broaden their influence.