The recent boom in the pet industry means there’s never been a better time to consider running a pet grooming franchise with Woofie’s®. The American Pet Products Association recently provided insights into the industry and the changes observed from the pandemic.
The spike in pet adoptions resulted in a trickling effect for many different sectors of the industry. With the pet boom, there are now more pets today than pre-COVID. The total size of the pet industry increased from $97.1bn in 2019 to $103.6bn in 2020, followed by an estimated $109.6bn for 2021.
Demand Is Up
Overall, for 2020, pet acquisitions saw double-digit growth YOY. Stimulus checks were the main source of payment to purchase pets. While pet acquisitions for small animal, fish, and reptile sales were up 30 percent, dog and cat adoptions declined 27 percent. This drop-off was driven by a shortage of pet intakes, meaning there were fewer pets to adopt.
In contrast to consumer shortages, veterinarians experienced a 50 percent increase in new pet patients per week March through August of 2020 per AVMA data.
From the period of March through May 2020, demand for pet food increased as consumption patterns changed, resulting in a disruption in the supply chain. Shortages and out-of-stock pet food aligned with shortages of essential products for humans, and pet supplies sales dropped 20 percent in March and April.
From May through December 2020, however, there were significant changes in shopping patterns. The shift in shopper migration was palpable: Convenience and perceived value drove buying decisions. The pet food demand was still high, but the panic period subsided. Pet supplies saw unprecedented growth as consumers purchased more pet supplies, as new pets upped the demand for more supplies.
. . .And Showing No Signs of Slowing Down
The bottom line is that demand is real and not abating. With a bullish outlook for this year (and next), growth is projected at 5.8 percent for the current year. Above historic averages mean fill-rates will continue to be dramatically impacted and are not likely to improve short term. Increased costs for shipping and raw materials will continue down the consumer line.
According to the APPA data for the past year, pet owners increased their spending habits during the past year. Some 35 percent of pet parents spent more on supplies, food, wellness-related products, and other pet care items in the last 12 months. About 14 percent of respondents acquired a new pet during the pandemic, and pet owners shopping online increased by 20 percent to 86 percent.
Running a Pet Grooming Franchise
Pet care is driven by positive emotion: our pets deserve the best since they make us feel better, especially in a pandemic situation. The plus side of the pet boom is that there is plenty of room for Woofie’s newcomers to thrive and establish their territories.
Mobile pet grooming with Woofie’s is a win-win situation as more consumers are continuing to avoid going to stores. Features like loyalty benefits will keep customers coming back. Engaging one on one with consumers and connecting with pet owners on an emotional level will drive repeat customers.
For investing purposes, know what your customers need, provide them with convenience, don’t over extend inventory (but keep what your customers need), and by providing additional services, you’ll drive traffic.
When you franchise with Woofie’s, you can make running a pet grooming franchise a lucrative business investment both during the pet industry spike and far beyond.