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The pet industry has been one of the fastest-growing markets of the last decade, having increased year-on-year since 2011.
Starting at $50.96 billion, the pet industry is now at $261 billion, with an estimated CAGR of 6.1% – which will eventually catapult the figure to as much as $350 billion in the next 4 years alone.
Getting into this market is tough, however. Compared to many other industries, trust in pet care is even more important for consumers, and the companies at the top of the game have had the time to establish and maintain it.
But that’s not to say it’s entirely impossible. In fact, as the market has been growing for the last decade, so too have a few companies that have been swept up in the tide and had a good enough strategy to make it work for them.
With this in mind, here are the five movers and shakers in the pet business world and how they have managed to make their impact:
Pet Insurance
When it comes to pet insurance, Lemonade – which was founded in 2015 – has changed what it means to run and market an insurance company.
In their own words, the mission that began eight years ago was about transforming insurance from a “necessary evil into a social good” with a business plan that includes giving unclaimed premiums to charities chosen by the community itself. The company added a total of 357,000 new customers in 2022, not least due to its angle on social change and accessibility that appeals especially to a millennial audience.
70% of its consumers are under the age of 35, with the vast majority coming away with positive experiences and real excitement about how the company is changing the game – click https://www.lemonade.com/pet to read these reviews and learn more.
Pet Supplies And Food
For supplies and food, the biggest mover in the pet business world would have to be Chewy, which was founded under the name “Mr Chewy” in 2011. Despite losing money in their first year, Chewy’s sales grew exponentially between 2014 and 2015, more than doubling from $205 million to $423 million.
In 2023, Chewy recorded a market cap of $16.6 billion, increasing by 0.66% in 2022. In terms of how the company managed to do this, the biggest reason is its focus on customer service and building brand loyalty.
As mentioned before, trust is highly important in the pet industry, and Chewy managed to achieve this by incorporating small but meaningful touches, such as personalised hand notes and oil paintings of pets with orders. Take a look at https://www.chewy.com/ to learn a bit more about what they offer.
Pet Hospitals
While the pet hospital VCA was founded way back in 1986, it wasn’t until recently that the company really began to shake the pet business world. This is mostly down to Mars Incorporated’s decision to purchase the business for $7.7 billion in 2017, which led to a revenue boost of 30.95%.
With the US economy growing but inflation also rising, a complex business model like VCA’s has had to remain cohesive, and they have managed to do this with perfect customer service, accessibility, and keeping health as their top priority.
Trust is one of the biggest things to achieve in the pet world because, for nearly every pet owner, a pet is a family member. They need to know that if they’re using a business’s services, they can trust it completely. VCA has recognised this and offers everything that can alleviate a consumer’s concerns. Visit https://vcahospitals.com/ to learn more.
Pet Adoption
Petfinder is another company that was founded a few decades ago, but, being an internet company, it has only grown as the digital world has developed.
At the moment, it currently lists more than 315,000 adoptable pets from nearly 14,000 animal shelters, and it connects with its customers through a number of digital platforms – including Instagram and Facebook, where it has 38,000 and 748,000 followers, respectively.
For other companies coming into the pet business world, this is a prime example of how a powerful online presence can catapult a business, allowing it to stand out amongst other organisations without a strong digital marketing strategy. But don’t take our word for it, take a look at https://www.petfinder.com/ to see for yourself!
Pet Services
Lastly, the all-rounder business PetSmart – dealing with supplies, accessories, and pet food – has been drastically shaking the market for a while now. With just 300 stores in 1996, PetSmart now has a total of 1,650 stores in the US, Canada and Puerto Rico, successfully competing against rivals Petco and other indirect competitors such as Walmart, Target and Amazon – take a look at their website https://www.petsmart.com/ to see what they have to offer.
The focus on expansion is one of the key areas of their success, too. According to data revealed in 2022, over 50% of US pet parents shop more for their pets than they do for family members, proving how a physical store to browse can be key to drawing in and increasing footfall.
As the pet business world continues to grow, it is likely that this company and the others mentioned will grow with it, followed by other companies who have the right strategy to create an impact.
