Author: Waleed M. Tariq
- Petco, founded in 1965, is transitioning from a standard pet retailer to a Pet care ecosystem that provides food and treatment for a “pet family.”
- WOOF plans to use its 1,500 outlets countrywide to develop into a seamless integration multi-channel business strategy.
- Petco has invested $375 million in the previous three years to become a pet health and wellness company.
- Petco is adjusting to the digital age and switching to more successful initiatives like e-commerce and same-day delivery.
- Expanding their offerings should provide them a competitive edge.
- Offering hospital services helps them compete with Amazon and Chewy.
- Petco is an outdated corporation that may be phased out as e-commerce grows.
- “Multi-channel” is key to Petco’s transformation and profitability.
- WOOF may “hyper-personalize” client experiences using digital technology, social media, and mobile devices.
- Petco’s integrated platforms allow ship-from-store, buy online and pick up in-store, and same-day delivery.
Services to Set WOOF Apart
- Petco’s main goal is to provide everything a “pet family” needs, from food to health.
- Notable is the creation of a system of veterinary hospitals. 3Q21 services and vet sales rose 24% YoY. WOOF has 173 full-service veterinary hospitals.
- Petco’s customer service is gaining traction and offers a unique value proposition, making it a good speculative buy.