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2020Fastest Growingpet Chains

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2020Fastest Growingpet Chains PetOctober 2020Insight 2020 Fastest Growing Pet Chains Taking a closer look at how retailers’ informed decision-making and sustainable business practices have positioned them for year over year growth Inside Special Report: Fastest Growing Pet Chains 2 Market Focus: Pacific Northwest 12 Special Report: Mud Bay 14 Retailer Viewpoint: Dog Toys 20 Retailer Viewpoint: Live Foods 22 Category Analysis: Training Treats 24 Category Analysis: Supplements 26 Category Analysis Premium Foods 28 Q&A Interview: Chantal Saelen, Moderna 30 HAPPENING NOW Fastest Growing Pet Chains or select pet specialty retailers this to its loyal customer base. “That might combined with a local owner experi- Fyear has been an exercise in practic- be cliché, but we do have Ren’s Reward ence has proven to be a winning combi- ing grace under pressure. With Covid-19 Program that’s very robust,” he said. nation,” explained CEO Chris Rowland. causing disruptions across each region “Eighty percent of our customers are “We’re growing with new franchisees in the pet industry, pet retailers were Ren’s Rewards members, and we were coming into the system, as well as exist- challenged to adapt and pivot in the really fortunate that they stayed loy- ing owners opening new stores. We’re face of the unknown and for many, the al to us through this pandemic. It also seeing growth both in store and online, tumult turned into an opportunity for helps that during the last four years the through our pickup in store and same select retailers to shine. Companies company has opened 22 stores many of day delivery options” that had already positioned themselves which are still growing. “ Woof Gang Bakery is currently oper- with a strong e-commerce presence in Additionally, during Covid-19, Ren’s ating 123 store locations and expects place faced fewer obstacles than com- Pets pivoted its central distribution to to open and operate 130 by Dec. 31, petitors who didn’t already offer pet 24/7 shifts to accommodate increased 2020. “This year and looking to 2021, owners the capability to shop online online demand and thousands of e-com- our growth is attributed to our current and have products delivered or picked merce orders. “The online business has franchise owners,” Woof Gang Bakery & up curbside. Retailers who focused on been terrific. It was a combination—we Grooming CEO Paul Allen summarized. being dependable and supportive of already had a good base of customers, “Approximately 80 percent of our new pet parents by providing uninterrupted online picked up and Ren’s was poised stores, this year and in 2021, are ad- supply of products and keeping up with really well for this new demand with ditional locations opened by existing the surge in online shopping and deliv- our e-commerce platform. We re-plat- franchise owners. Our franchise owners eries thrived. Distracted companies that formed two years ago to Work Area realize the benefits of operating multi- perceived change as an encroachment which gives customers an overall great ple Woof Gang Bakery & Grooming lo- to how things have always been done, shopping experience including auto cations. Because our business model is versus an opportunity to compete and ship/subscription. One of the differen- built on service and being ‘Your neigh- thrive, have had a less empowering ex- tiators for Ren’s; our guarantee is order borhood pet store,’ our stores are suc- perience. Amidst the distractions and by 2 p.m., ship same day, which is direct cessful because we offer professional chaos, action-oriented retailers contin- from our warehouse so we can control pet grooming and a personal customer ued to open stores despite delays out of the customer experience.” experience, unique to individuals and their control. These retailers prove that Professional products have played their communities, that cannot be du- controlling response to, is more import- a key role as well because “We are the plicated online.” ant than the obstacles that come up. No. 1 provider of grooming products in Hollywood Feed began the year op- Store counts and year-end growth Canada,” Arsenault said. “We’re kind of erating 104 stores with plans to open Ren’s Pets will end 2020 with 32 the PetEdge of Canada in the sense with two more, rounding out the total store stores with the most recent opening grooming products. We have more than count to 106 by the end of 2020. “Our scheduled for October. “With new store 6,000 professional groomers that buy diligent focus is on maintaining as much openings, we typically don’t open late in from us, it’s a really healthy business normalcy for the customer as possible,” the calendar year because of seasonali- that during Covid-19 also saw a signif- said Shawn McGhee, President of Hol- ty and weather but Covid-19 has pushed icant increase in consumer purchases.” lywood Feed, LLC. “We have seen an us a little bit this year,” said President He continued, “Within the online en- accelerated shift to omni-commerce, Scott Arsenault. “We had planned to vironment we are not franchised and both curbside and same-day delivery. open seven stores pre-Covid-19— are corporately owned so there is no But holding true to our values of always two got pushed because of Covid-19. conflict with serving the customer. We doing what’s right for our customers is Through August and September, we just truly embrace the omni-experience. We what has given us the greatest growth.” finished opening three stores in 27 days have the capabilities to be makers of our Mud Bay kicked off 2020 with 53 which is a great accomplishment given own destiny whether we want to sell stores and will have 60 total by the end Covid-19 impact. Through Covid-19, it at that store or online. Omnichannel is of 2020. “Muddies, the employee own- has been definitely a real contraction something Ren’s has been doing for sev- ers of Mud Bay, have been the heroes of of timelines but all partners including eral years. It’s not new to us, we were 2020,” said Al Puntillo, Chief Merchan- construction and the many product happy that we were fully prepared with dising Officer of Mud Bay. “At our stores, brands have worked so hard to help a new platform to handle the rapidly our distribution center, and our home us accomplish this. Right now, we are changing business during Covid-19.” office Muddies have shown grace under headed up to Sudbury which is a good Pet Supplies Plus has 504 stores and pressure, incredible flexibility and have market in Northern Canada to open our projects ending the calendar year with managed to stay focused on the needs final store in 2020.” 520. “Our franchise model with great of our customers and their pets through Arsenault credits Ren’s Pets’ growth systems, support and buying power r Cont'd on Pg. 4 Pet Insight (ISSN 2164-9294), a monthly magazine, is published by Executive Insight Properties. Subscription rates $75 per year in the US, $100 Canada, all other countries $150. © 2020 Pet Insight. All rights reserved. No item or portion may be reproduced without written permission from the Publisher. PG 2 / PET INSIGHT Postmaster: Send address changes to: Pet Insight, P.O. Box 2067, Issaquah, WA 98027. Fastest Growing Pet Chains r From Pg. 2 ground up,” Ng said. “Our website is a building relationships with pet parents this crazy time.” pivoting point of information that is not and fostering loyalty to individual store Pet Lovers Centre (PLC), headquar- standalone. It links information from locations for necessary services and tered in is currently at 142 our corporate headquarters and all methods to care for their pets. Specific locations in five countries. Digitalization our stores so that we continue to build categories tend to stand out from the has been Singaporeone of the key contrib- rest. For some retailers, con- utors to PLC’s growth since the sumables, either for reptile company began digitalizing near- or furry pets, in particular, is ly 20 years ago in 2003. “At PLC what draws heavy foot traf- we have been very fortunate,” fic to stores. Pet owners are said CEO and Executive Director making weekly trips, either David Whye Tye Ng. “Through- through curbside delivery or out the years the benefits of ordering online, and are ex- digitalization for us have been pecting a consistent supply more than just good processes from retailers. and good visibility for the busi- Suppliers Actively Con- ness. Digitalization has allowed tributing to Store Growth the majority of our office staff to “One of our favorite ques- work from home and yet achieve tions from our retail part- a level of productivity and busi- ners is ‘Can you make some- ness continuity that is needed thing like this?’” said Green during these Covid-19 times.” Coast Pet President, COO and “A related contributor has been Co-Founder Mike Bateman. the early adoption of e-com- “Our partners know to come merce,” he said. “We started to us if they see a gap in the e-commerce back in late 2003 market or a way a certain early 2004. Today, we under- product can be improved. We stand home delivery and online have been getting this ques- shopping much more than some- tion quite a bit as stores be- one new to this business. Even as gin to emerge from Covid-19. early as 2004 we knew we had to It has led to us creating some link product information at our very exciting and fun prod- retail front to our website.
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