Special Report
Petco
With deep roots in San Diego, Petco remains a dominant force within the industry. Unlike many retailers, circumstances that negatively impact the pet industry landscape don’t agitate Petco or distract the company to veer off course. Petco leaders have remained disciplined and locked in on their goals to stay in lockstep with pet owners and keep pet care solutions and services attainable and cost effective.
This year, the company endured a leadership shake up of its executive team and was blindsided when pet owners—who have historically splurged on their pets—decided to scale back their pet spending dollars considering the weak economy and uncertain workforce. Despite the unexpected drop in sales, Petco leadership never missed a beat and concentrated on tweaking its prices to reflect consumers’ habits.
Petco also made progress with building a solid and cohesive executive leadership team and furthering its sustainability goals. Even with obstacles in their path, Petco leadership remained intent on promoting responsible and accountable pet ownership, most notably by offering clean products at economical prices and services such as in-store grooming, health insurance and mobile vaccine clinics so that pet owners could take a sensible approach to caring for their pets.
While operating for almost 60 years, Petco has empowered pet owners to properly care for their pets and held a pivotal role in helping enhance the quality of pets’ lives. Petco has challenged itself to continually raise the bar and set expectations and standards of safety and quality higher. Petco operates more than 1,500 stores—or pet care centers—throughout the US, Mexico and Puerto Rico that provide product solutions, companion animals, grooming and training services and a network of brick-and-mortar and mobile veterinary clinics.
Petco is a proven partner for leading manufacturers in the industry. Starmark Pet Products and Petco, for example, have partnered together for 20 years with the shared goal of deepening the pet-parent bond. “We both share the
objective of improving the lives of our pet companions through quality products and services that are accessible to all pet parents,” said Marketing Director Emily Benson.
As a manufacturer, it’s meaningful to work with retailers that believe in your products. “Oftentimes, Petco is among the first to commit to bringing Starmark innovation to a national scale,” Benson said. “We also have an annual opportunity to educate their store management on why pets need mental stimulation products. This, in turn, leads them to educate their customers on not only our products, but our message of keeping pets mentally and physically stimulated for a happier, more fulfilled life. There are few outlets with that type of direct influential reach.”
“Petco is an iconic brand in the pet care category and a leading retailer of animal health and wellness products in communities all over the United States,” said Amy Cairy, Vice President of Marketing, W.F. Young. “Their focus on meeting the needs of today’s pet parents and delivering quality products that deliver what pet parents want, how they want it, when they want it helps ensure W.F. Young’s brands are in front of their customers in the moments that matter to them.”
“For nearly 60 years, Petco has earned the trust of pet parents by delivering a curated assortment of quality products at a national scale. Leveraging that trust, Petco’s 1,500-plus stores, robust e-commerce platform, deep knowledge of their customers, and access to performance metrics and POS data helps brands like W.F. Young bring the exciting new products to market pet parents are looking for to the market at a rapid pace while supporting sustainable growth,” Cairy added.
This year Petco has formed a cohesive leadership team. R. Michael “Mike” Mohan was appointed Petco’s interim CEO in March, following Ron Coughlin stepping down from the role. A Petco board member and lead independent director since 2021, Mohan’s career took him to a variety of industries. He previously served as President and Chief Operating Officer for Best Buy and Vice President
and General Merchandising Manager for Good Guys.
James Roth was appointed Chief Stores Officer and Shari White was appointed Interim Chief Merchant in May in a company-wide effort to ease decision making, whittle priorities to a clearer set and position Petco to operate with enhanced speed and agility. Other notable additions to Petco’s executive leadership team include Tim Buckenberger, SVP, Merchandise Planning, Inventory and Supply Chain; Steve Janowiak, VP Digital and Stephen Reyes, SVP, Services.
Joel D. Anderson was tapped Petco’s new CEO in July. Anderson joined Petco with more than 30 years of industry experience. Most recently, Anderson served as the CEO of Five Below, and as the President and CEO of Walmart.com. Before that as divisional Senior Vice President of the Northern Plains division of Walmart stores.
In March, Petco officials realized pet owners were surprisingly scaling back on their pet-related expenses, however Petco didn’t reflect the change in behavior with discounted products. To realign itself with pet parents, Petco reportedly focused on reintroducing value brands throughout its consumables offerings in addition to a more varied assortment of price points throughout categories. Amid dipping sales, Petco officials in May introduced a three-pronged game plan to spur pet spending. Earnings showed a 1.7 percent decline in net revenues compared to the same time last year. Mohan pledged to regain financial footing through a new operating model. These efforts have helped Petco move in the right direction during the second part of 2024.
This year, Petco leaders have continuously proven that their discipline and focus have allowed the company to stay on course regardless of the circumstances occuring around them. This approach to leadership and customer service have kept Petco at the forefront of the industry.
Read the full article at: https://pet-insight.com/special-report-petco/
Market Spotlight
San Diego
The greater San Diego metro area is a hub of activity for pet focused businesses. Whether it’s pet specialty retailers, groomers or rescue organizations, these entrepreneurs are committed to the safety and well-being of animals.
The pet market in the greater San Diego market is a compilation of 62 companies operating 123 pet specialty brick-and-mortar locations. Within San Diego city limits, there are 48 pet stores, with each store serving more than 11,000 households with a median income of more than $100,000.
Petco, PetSmart and Kahoots Feed & Pet Stores represent 37 percent of the market with a combined total of 46 stores. Single-store and multi-unit retailers represent 33 and 29 percent of the market, respectively.
Notable retailers in the market proving that it makes sense on the business front to expand at a steady and mindful clip are Dirty Dogs, which operates five stores; EarthWise Pet and IB Pet; each have three stores, and Barkhouse, Decker’s Dog & Cat and Pet Power Studio/Pupologie each operate two store fronts.
The second largest market, Chula Vista, is home to eight stores, with each store serving more than 10,900 households with a median income of more than $101,000. In Escondido, there are seven stores serving more than 7,200 households per store with a median household income of more than $87,000.
Loren Ellis, Founder and President of GlamourMutt, a pet specialty and online retailer based out of San Diego, spent about a decade working on the technical side for several e-commerce companies before entering the pet industry. “I also adopted a little Yorkshire Terrier who became my constant companion at work and home,” Ellis said. “One day, I decided to put those two passions together and launched Glamour Mutt.”
For Lisa Vella, Co-Owner of South Bark Dog Wash, a grooming, pet specialty and training facility headquartered in San Diego, she and her business partner Donna Walker spent time rescuing German Shepherds. “We thought it would be fun to one day have a dog and cat
business, and then we discovered the location and went for it,” Vella said.
Gabriel Feitosa, Owner of Gabriel Feitosa Grooming Salon, a grooming and pet specialty operation in San Diego, started grooming when he was 12 years old in a small town on the outskirts of São Paulo, Brazil. “Throughout my career, I pursued working with show dogs and that brought me to the US—I came here to learn from a show handler that I admired,” he explained. “Eventually I moved to San Diego and purchased the grooming section of an existing pet store. I called it Gabriel Feitosa Grooming Salon because it was just me working in the back room. I had no idea how much we would grow in six years.”
“I’m a cat mom,” said Lynn Mulhern, owner of Community Cat Foundation, a nonprofit rescue organization supporting the health and welfare of feral and stray cats in San Diego. “Years ago, I attended a professional meeting at a vendor warehouse. I learned about 10 feral cats who constantly had kittens. Many perished because they had no resources for feeding or care. I began humane capture to bring unfriendly cats for vet care and found homes for the kittens born. That is only one small location where this happens every day. The amount of work required takes a village so I and a group of dedicated cat lovers established a 501c3 rescue to address the problem. As I connected with people I discovered that nothing is ever enough since every day presents a new set of challenges. We are always uncertain as to whether we can be successful or not so always need supporters and donors.”
San Diego is a great place to operate GlamourMutt due to the temperate climate and proximity to the ports. “It’s easy to warehouse and ship products across the globe from San Diego as we never have weather related shipping issues,” Ellis said. “Plus, our little rescue dogs really prefer the temperate climate. They often hang out in the office with me and help run the business.”
“Our weather is amazing,” Vella agreed. “It allows people to be out and about with their dog. We have dog parks and beaches. Dogs get dirty and then
they need a bath. Southern California has great rescue organizations like The Animal Pad and Frosted Faces Foundation. It is wonderful to build relationships with these organizations and help the rescued dogs. My staff is knowledgeable and helpful. They care about our customers. Customers love the vibe of South Bark. They tell me how great my staff is and what a wonderful feeling/vibe South Bark has.”
Staying disciplined with his skills and dedicated to changing pet owners’ negative perception of grooming salons, along with a robust social media presence have come together to help Gabriel Feitosa Grooming Salon thrive. “My social media reach of almost 5 million followers has definitely helped the reach with new customers,” he said. “But initially what set myself apart was the commitment to go above and beyond for every pet, bringing techniques from show dogs and modifying them to bring the best out of everyone’s pets. People were also surprised to come into a clean environment that didn’t smell like dog urine and wasn’t full of hair on the floor. So I embraced that aspect and used the same eye for detail that I apply on the haircuts on my walls and the customer experience.”
“Having the use of a place to meet prospective adopters, store equipment and warehouse food is essential,” and has allowed for Community Cat Foundation to thrive in the greater San Diego area, said Mulhern.
South Bark Dog Wash operates as a groomer and retail destination for dogs and cats, allowing for Vella and her business partner to teach and assist pet owners on several fronts of pet ownership.
“We love helping our customers learn about nutrition as well as grooming so that their pets can have a long life with them,” she said. “Throughout the last 24 years, we have helped so many pets. We also are a resource for dealing with the end of life for their pet. We build relationships with humans and pets. And I am proud to say that South Bark is here for both of them."
Read the full article at: https://pet-insight.com/market-spotlight-san-diego/
Special Feature
The Fastest Growing Pet Retailers
The APPA’s Dog & Cat 2024 Report, which covers many facets of pet ownership, found that by and large, independent pet specialty retailers—big and small—are typically not the first resource for pet owners in search of assorted pet supplies including food, treats, toys and grooming essentials. They are often superseded by supermarkets, pet superstores, discount stores and online retail. Despite the uphill climb to secure their market share, these pet retailers saw significant growth in the form of new stores this year. This notable data reflects that upholding a higher standard for their inventory, services, outreach and for their associates tasked with supporting pet owners with impeccable and hard-to-replicate customer service, strikes a chord with a select segment of pet owners and provides a viable path for growth.
Larger Chains
Petsense by Tractor Supply ended 2023 with a store count of 195 and will end 2024 with 215-220 locations.
“Currently, we have 205 stores across the US and are on track to open a total of 10-15 stores by the end of the year,” said Matthew Rubin, SVP and Divisional President of Petsense by Tractor Supply. “Our focus continues to be on identifying strategic locations where we can serve the growing needs of pet parents out here.”
The 5 percent increase in store count comes down to a strategy focused on three key areas of growth, Rubin said. “The first is expansion of our loyalty program, Neighbor’s Club. We have a larger percentage of our transactions flowing through our program than ever before, rewarding our customers’ loyalty with value they can use throughout the store. Secondly, regarding products in the store, our merchants work hard to curate our assortment and drive newness and innovation in our stores. That effort has yielded significant growth with newer product formats like fresh, frozen and freeze-dried food, offerings for backyard pets like chickens and a great new assortment of items for pet parents themselves to show off the love
they have for their pets. The third area of growth is our services business. We have serviced more pets in our grooming salons this year than ever before. Our salon teams do a fantastic job focusing on the pet experience when they visit our salons, which has yielded more demand for grooming services and has driven the decision to add more groomers to the company,” he said.
Pet Supermarket, which announced a handful of leadership changes this last year, also experienced a store total increase of 7.5 percent, from 226 at the end of 2023 to 243 stores, presently.
One of those new stores is in Roanoke Rapids, NC, which opened this past July. According to local media, the location hired eight new employees to man the store. “When a customer comes in and shops with us, they get to have that personal experience,” District Manager Gabby Halle told The Roanoke Rapids Daily Herald. “We get to know their name, we get to know their pet, we get to give them that treat. And it’s always an experience. It’s not just going to a
website and ordering your product. It becomes a fun day, and it becomes a memorable moment with that customer.”
Harry Freed, who was hired as SVP of Merchandising in July, and Todd Northcutt, who joined in June as SVP of Retail Store Operations, are supporting the company’s growing store footprint.
Freed came to Pet Supermarket from across the Atlantic, previously serving as Presidentof PetFamily, a division of UK pet retail chain Pets Corner. He had also held leadership roles with Independent Pet Partners and PetSmart. Northcutt was most recently Regional Vice President at The Vitamin Shoppe and also held executive roles with Circuit City and Busch Business Solutions.
Meanwhile, Canada-based Mondou, a part of the Legault Group that also owns Ren’s Pets and has a strategic partnership with Homes Alive Pets, also grew by more than 12 percent, from 81 stores at the end of 2023, to 91 stores present-
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Special Feature: The Fastest Growing Pet Retailers
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ly.
“The Legault Group is a multi-banner entity with a strong foothold in specialty pet across Canada,” explained Sophie Provencher, CEO of the Legault Group. “We hold Mondou stores in Quebec, Ren’s Pets stores in Ontario and Atlantic Canada and have a strategic partnership with Homes Alive Pets in Western Canada. We are vertically integrated, owning our real estate, directly sourcing and manufacturing our exclusive brands. We’re committed to being a trusted omnichannel retailer for our Canadian customers’ premium pet food, treats, toys and supplies.”
A year ago, Legault Group also announced the construction of a new state-of-the-art automated warehouse and distribution center in Canada. The new 400,000-square-foot facility would feature leading-edge technology, automated order processing systems and smart inventory management to improve overall efficiency. The new center was set to be operational by 2025.
Mondou is also a longtime supporter of the Mira Foundation, a non-profit that aims to help disabled individuals lead independent lives by providing dogs bred and trained to respond to their adaptation and rehabilitation needs. In total, Mondou announced last October it had raised, in total, $3.4 million for Mira. "Our partners, suppliers, employees and customers have shown exceptional involvement and generosity. The Mondou Mondon for Mira campaign is part of Mondou's commitment to supporting various animal welfare causes. We're proud to have raised so much money over the past seven years, and we plan on continuing to give Mira all the support it needs to further its mission," said Marie-Josée Legault, Co-Owner and fourth-generation Legault family member.
Provencher said of Mondou’s community involvement: “The pet industry also has a close connection with community and supporting initiatives that improve the lives of pets. I really value giving back by engaging with charities in the communities in which we operate, having the well-being of pets at the heart of our actions, while maintaining
our position of trust for pet parents. I appreciate the loyalty our customers show to our brands, and the causes we support.”
Petsense by Tractor Supply nurtures its customer loyalty with a meticulous strategy that revolves around quality, value and convenience. “We are fortunate to have strong relationships with our existing valued suppliers that work with us on new item placements, improving value etc.,” said Rubin. “Additionally, our merchant teams are always looking for new items from new suppliers that will resonate with our customers. Our selection process is thorough, but we pride ourselves on being quick to market so that we can go from an initial discussion to our shelves as fast as possible.”
The retailer is constantly focused on a robust curated assortment of the best brands and relevant products at the best value. “For example, we have some great seasonal finds for Halloween and throughout the holiday season. These include unique pet costumes, toys and holiday-themed treats. Looking to next year and beyond, we will continue to expand our fresh and frozen food offerings and add new brands and innovation in toys and pet treats. We also want to ensure we are the most convenient pet specialty retailer in ‘out here’ markets. We currently offer local delivery from all of our stores and our customers will see even more digital enhancements next year.”
Rubin further explained the value component. “We support our customers with our Best Value in Town Pricing, where we ensure we never get beat on price,” he said. “That value allows our customers to buy what is right for their pet knowing they are getting the best deal. As a result, we see strength in premium and super premium food offerings. We are also seeing customers choose products that are innovative and new. We see that throughout toys, accessories, supplements and treats. Lastly, because our Neighbor’s Club program allows customers to earn and redeem points at both store banners, we are seeing growth in our co-shopper cohort—those that shop at both banners. Those customers tend to shop with us more often.”
Local Leaders
According to the APPA study, dog owners turn to the supermarket, online or pet superstore for their dog food and treats needs. Pet specialty chains and independent stores are typically a lower ranked option but they do do better than deep discount/dollar stores in the toys category. Similarly on the feline side, “E-commerce is the main place where cat owners get their food/water dispenser. Catnip and stain removers are mostly purchased at discount/mass stores.”
And yet, smaller independent retailers are appealing to a notable segment of consumers who want more than simply discounts and convenience, buoying companies like Ben’s Barketplace from six stores at the end of 2023 to eight stores presently—with two more scheduled to open by November, according to Co-Founder Brad Romero.
The 33 percent growth experienced by the Roseville, CA-based company is purposefully slow and steady. “We have grown and continue to grow organically,” Romero said. “We do not advertise to sell franchises. We are not looking for pins on the map. These partners find us and are routinely previous customers.”
He elaborated, “Our slow and consistent growth has been very manageable and foundation building for us. We are not in a hurry to open more stores. Our first store opened in 2005. When the right franchisee comes along, is well qualified, and shares the passion for what we do, we open a store. Our focus right now is completing the construction and opening of the two newest stores, just in time for the holidays.”
Adjacent to Ben’s Barketplace, Pet Station, which serves northern Nevada and the Lake Tahoe Basin, also saw a 15 percent growth in stores—from 13 at the end of 2023 to 15, presently. The two new stores serve pet owners in Carson City, NV and in midtown Reno, NV.
Co-Owner Marshall Grattan keeps close tabs on outreach efforts, making regular pet care appearances in local media and staying present on social media as well. On the Carson City Yelp page, Grattan offers this write up of Pet Station: “Our website offers home de-
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Special Feature: The Fastest Growing Pet Retailers
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livery of your pet food and supplies. All stores have self-wash tubs where you can bathe your pet, and we will clean up the mess afterwards. We carry a wide variety of pets and supplies at competitive prices. Pet Station sells a variety of high-quality dog and cat food, along with a complete line of supplies and accessories for dogs, cats, reptiles, fish, small animals and birds.”
In the Midwest, Tabby & Jack’s also saw a 50 percent growth—increasing from six stores at the end of 2023 to nine locations presently. Growing into its reputation as a locally owned and operated pet resource, the company was named the Bronze winner of the Best Pet Supplies Store in 2024 by Madison Magazine.
Tabby & Jack’s specializes in healthy pet diets and holistic pet services. Its website states: “All foods must pass our nutritional test in order to be carried in our store, with no corn, wheat, soy or animal byproducts. For the more discerning pet parent, we have the largest selection of raw food diets for cats and dogs in the Madison area. In addition, many of our toys, treats, foods, and specialty items are sourced locally in the state or Midwest region.”
Owner Michelle Longeran explained in The Oregon Observer, ahead of its opening in Oregon, WI, its specialized holistic grooming is also a unique draw. “That’s something people love about us,” she told the publication. “There’s an element of nervousness for dogs in strange placesplace they don’t know. We make that process less stressful.”
This holistic segment of pet care is also where Romero with Ben’s Barketplace says the sweet spot is in long-term sustainability and growth. “Pet consumers are becoming more educated on their pets' behalf,” he said. "Our customer base is 73 percent women. These ladies do in-depth research for themselves, their families and their pets. The industry, like most, is tarnished by the corporate juggernauts who influence the majority of industry negatively with inferior products and greed. Their tentacles run deep into the majority of the veterinary industry. They have literally become sales representatives for these
inferior food brands. When high margin profit is all that they seek, damage is in their wake, not the pet’s health.”
The good news? “This new generation of pet consumers is pulling back the curtain on the wizard to seek the truth by completing their own research for their pet. They are not just following the overpriced pied piper’s advice any longer without completing their own due diligence. That’s where Ben’s Barketplace steps forward to share our decades of experience and a more believable and honest truth about what their pet truly requires for their ultimate health,” said Romero.
Nuts and Bolts
While there may be a temptation to generalize the ‘secret sauce’ of these retailers’ success this past year, the customer loyalty and sustained sales numbers come down to how well they know their customer base and how diligently they meet them where they are.
With Ben’s Barketplace, raw foods and grooming resources have been drivers of foot traffic into stores. “We’ve been told for many years by many different and seasoned reps that we are an anomaly in the industry,” said Romero. “We are told that we are the largest independent retailer of raw dog and cat food in California. We are No. 1 in the country for more than one brand. We have walk-in freezers in nearly all of our stores and we are the authorities in this arena. A majority of our stores have the state-of-the-art, iClean dog wash, although every store has a similar brand dog wash as well. We do not groom. We stay laser focused on nutrition. We make them look great with optimal health!”
Yet with Petsense’s role as all-around pet supplier for traditionally underserved communities, the drivers center more around availability and convenience for an array of pet owners. “Because we carry products for dogs, cats, fish, small and backyard pets, we support different shopping occasions,” said Rubin. “Food and grooming tends to drive the most trips and that includes crickets for our reptile pet parents.”
Petsense also recognizes the importance of meeting pet owners where they shop, which is increasingly online. “We’ve seen more and more pet parents
taking advantage of our free in-store pickup and same-day local delivery options,” said Rubin. “Convenience is really important to them and being able to meet their needs both online and in-store has made a big difference. They love the flexibility of shopping online but still getting the same great quality and service they expect from Petsense by Tractor Supply.”
Convenience has never been Ben’s Barketplace’s selling point, as the company is more focused on education and connection with its local and regional customers. “If the consumer is that stuck on the online convenience, they aren’t our customer, and we understand that,” he said. “Not everyone is. We do offer local online ordering for local delivery only. At the end of the day, we are routinely less expensive than online and do offer free product and discounts via Astro. Our business is laser focused on nutritional consultations and to provide the highest threshold dog and cat food available in North America. Ninety-nine percent of the time, when a new customer comes in, they don’t know what to feed, when to feed and how much to feed—all key components to the health of the animal. They just don’t know what they don’t know. That’s where we come in and provide the education to them for free. This bond becomes magnetic from that point on.”
Cementing those bonds continues to be Ben’s Barketplace’s primary growth driver. “We have had some interest in other California locations and other parts of the western states,” Romero said. “When the right candidates seek a franchise, we will evaluate them then. In the meantime, our goal is to grow the brand organically as we have been and support our current franchisees with state-of-the-art training and volume savings.”
Though the overall pet retail landscape appears very crowded, these pet retailers are demonstrating through their diligence that sustainable growth is possible and that in terms of business strategy, the road less traveled often pays off.
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Category Analysis
Premium Foods
Key Takeaways
• Future plans include launching innovative products and adapting to trends like premiumization and personalized nutrition.
• The category is growing as consumers seek high-quality, natural ingredients, with brands prioritizing transparency and nutritional value.
The premium food category’s ongoing development and growth can be directly tied back to leading manufacturers’ persistent focus on high-quality food options that cater to the specific needs and demands of each pet. While looking at the category overall, it’s apparent that premium food has continued to evolve, but leaders in the category have outlined what exactly that growth looks like and how they were able to get there and push premium food forward.
“The premium food category has experienced significant growth, driven by increasing consumer demand for natural, high-quality ingredients and a focus on pet health and nutrition. The care and attention that people give to their own diets has extended to what they feed their pets. Both VICTOR and Nature’s Logic help meet that need,” said Jeff Caswell, CEO of Mid America Pet Foods, which oversees the Nature’s Logic brand. “Nature’s Logic plays a key role in this evolution by emphasizing wholefood-based nutrition which aligns with the trend toward more natural pet food options. VICTOR’s role focuses on transparency in our recipes ensuring every ingredient serves a purpose in fostering a healthy life for pets of all ages, while offering value for pet owners.”
“Understanding and being able to anticipate customer demand is an important factor for any business,” said Jenna Fortin, Director of Communications at Petcurean. “At Petcurean, we understand pet parents seek premium quality, nutritious food, made with premium quality ingredients and science-backed, nutrition expertise. We work closely with our suppliers, distributors and our other partners to ensure that we can deliver our products in a timely and efficient way. Pet health and well-being is at the heart of everything we do, which is why we select the highest quality, healthiest, least processed and most
flavorful ingredients available through our trusted network of farmers, ranchers and producers, all of whom must meet our strict health, safety and quality standards.”
“Wellness Pet Company sets itself apart from competitors most clearly by our position as a natural brand that offers scientifically proven nutrition. This allows us to meet the growing demand from pet parents for high-quality natural ingredients but with a steadfast commitment on delivering proven outcomes that support overall health and wellness while supporting the 5 Signs of Wellbeing,” said Dr. Danielle Bernal, Global Veterinarian with Wellness Pet Company. “This unique nutritional approach is further supported by the ability of Wellness Pet to be seen as a brand that pet parents can trust. With almost 100 years of pet nutrition experience, experienced animal nutritionists crafting every recipe and AAFCO feeding trials completed on our dry recipes, pet parents can know that when choosing Wellness Pet for their pet, they are selecting a brand that is committed to delivering only the highest quality pet nutrition.”
“There are several steps we have taken to serve our customers more efficiently,” said Lonnie Schwimmer, Founder of Nootie, home of Koha Pet Foods. “Recently we moved our Nootie Florida warehouse to our Koha Pennsylvania warehouse so both brands can ship on one truck. We also have regular meetings with our supply partners at lead times. In addition, we are constantly monitoring sales data to make those decisions. Continuing to create unique and innovative products that help with digestive issues is our strength for products. But our secret weapon is our team and culture that we have created.”
A leader in the private label sector, Alphia reflected on the company’s growth and what it has been able to achieve this
year.
“Alphia has seen continued success over the last year, which we credit to our unwavering commitment to food safety and manufacturing the highest quality of products,” said Dave McLain, CEO and President of Alphia. “Since our acquisition by PAI Partners last October, we have continued to drive customer volume through innovation and product formulation strategies. We have also continued to expand our leadership in 2024, welcoming Cade Culver as the Chief Growth Officer, Jack Reid as the Chief People Officer, John Bear as the Chief Operating Officer, and most recently Jarrod Kersey, as Vice President, Food Safety & Quality Assurance”
Evanger’s Dog and Cat Company emphasized how the company helped push the evolution of the category through meeting consumers’ demands for more sustainability within its products.
“At the beginning of the year, Evanger's successfully implemented many plant upgrades that made significant achievements for our company as a whole,” said Holly Sher, President of Evanger’s Dog and Cat Company. “These upgrades have allowed us to increase the production capacity of all our proudly Made in the US products to meet our customers' demands, and passing along the ability to keep our foods at the most affordable price points possible for the retailers, distributors and end-consumers. Our cans are infinitely recyclable, so we prioritize the environment and efficiencies from source to production to delivery and recognize that today's consumers seek great products that not only maintain an exceptional level of freshness but also a recyclable package.”
“From a historical perspective, product options both in the premium food and treat aisles have steadily become more diverse,” Rob Cadenhead, General
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Category Analysis: Premium Foods
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Manager of Gott Pet Products, parent company of Charlee Bear said in reference to the growth of the category. “New sub-categories have been established in recent years, catering to different consumer tastes. Now there are dozens of types of products pet parents can choose from to feed and reward their pets, such as air-dried diets which seem to be all the rage and value-added functional treats. At Charlee Bear, we believe we’ve been a valuable player in moving the dial in this direction while staying true to our simple, natural roots. We also continue to educate shoppers on the physical and emotional benefits of our treats through a dedicated and impactful social media campaign.”
“Portland Pet Food Company has stayed true to its’ mission of providing edible human grade ingredients that are sourced and growing only in the USA,” said Kate McCarron, President at Portland Pet Food Company. “In addition, we are focused on sustainability and work with local partners/suppliers that we trust for the quality and transparency of their ingredients. Our products—particularly our meals—provide an alternative solution for fresh frozen with our shelf stable packaging. The fact that we can be used as a rotational meal, topper or mixer has been a key to our success. We can be a great complement to a kibble or an alternative meal option to add variety to a dog or cats routine diet.”
“Not only is Northwest Naturals (NWN) a premium raw pet food, but we have so many options, recipes and varieties that will work in every household,” said Amy Snell, Director of Sales and Marketing. “Our fast-thawing nuggets are only about one-inch-square cube, making thaw time only 20 minutes. We also have chubs for the larger breeds are multi dog households, or you can choose our 25 bulk dinner bars. These all come in nine different dog recipes and seven different cat recipes. NWN is still one of the only pet food companies that is still family owned with no investors. The owners come to work every single day. We have a USDA inspector on site for all production runs, including the pet food—because we sell human
food too.”
NutriSource has continued to raise awareness of the importance of including wet food into pets’ diets to give them well-rounded nutritional value, which also includes reliable sourcing and transparency of ingredients it uses.
“We noticed that consumers and retailers are placing a high value on transparency regarding ingredient origins. NutriSource is well-positioned to capitalize on this trend due to our cannery in Delano, MN. By sourcing our own ingredients and manufacturing our own cans, we maintain strict control over the quality and traceability of our products. This allows us to offer detailed information about the ingredients and production processes, which resonates with the growing demand for transparency,” said Allison DeLisle Shopper Marketing Coordinator with NutriSource. “There’s also a rising interest in customized nutrition and specific health benefits that canned foods can offer. We’re leveraging our expertise to develop products that cater to various dietary needs and health concerns. Our focus on high-quality ingredients allows us to create formulations that support optimal pet health and wellness.”
Looking at the rest of 2024 and beyond, these leaders have several initiatives planned including product launches, packaging updates and various ways to raise brand awareness.
“Our commitment to quality has been front and center and how we communicate that quality to retailers and consumers alike is one of our top priorities. Our innovations team is hard at work exploring and testing new recipes to launch in 2025. I hope consumers continue to learn about our great brands and the incredible value of our superior nutritional blends that support healthy and active dogs and cats,” said Caswell with Nature’s Logic.
“The pet food industry continues to grow, largely due to trends like premiumization which has had a major impact on the industry,” said Fortin with Petcurean. “As pet parents increasingly prioritize the overall wellness of their pets, they drive demand for pet food products that feature high-quality ingredients that offer complete and balanced nutrition. As an industry leader
within the premium pet food industry, Petcurean is committed to pushing the category forward with innovative recipes that meet consumer demand. For example, we recently introduced Now Fresh Good Gravy, an innovative new kibble product formulated by expert nutritionists to meet increasing consumer demand for a versatile wet or dry food. The overall health and wellness of our pets is of the utmost importance to our team, so we will continue to innovate and help pet parents find the best recipe for their individual pet’s needs.”
“In 2024, we’re focusing on promoting and expanding our newest products and product lines. We’re continuing to promote Wellness Appetizing Entrées, which are complete-and-balanced formulas aiming to provide additional meal options for felines displayed at SUPERZOO this year and are working on a product line expansion for our Wellness Bowl Boosters,” said Bernal with Wellness Pet Company.
“We continue to see strong growth in our premium products that solve problems. At the same time, we are building our video education library and hiring people with a nutritional background,” Schwimmer with Nootie. “We are launching a dry food component to complement our wet food lines so that we can reach a wider range of consumers.”
McLain with Alphia described what consumers have been gravitating toward recently.
“Consumers are seeking more budget-friendly options, but don’t want to give up quality products for their pets who are more like family. At Alphia, we are committed to manufacturing products that keep costs down, all while meeting and exceeding the standards that consumers have come to expect,” he said.
When it comes to feeding their pets, owners have shown their willingness to offer only the best to their companion animals. As the demand for high-quality food with natural, cleaner label ingredients grows, leaders in the premium food category have maintain their position in offering superior food options that are adaptable and tailored to pets’ needs and preferences.
Category Analysis
Grooming
Key Takeaways
• Companies are navigating supply chain challenges by investing in domestic manufacturing and improving logistical efficiency, while emphasizing high-quality, natural ingredients in their products.
• Leaders are focused on enhancing pet ownership experiences by addressing the complexities of animal care and grooming needs, using innovative products and education to support pet owners.
Although grooming leaders each have their own specialties and distinguishing qualities, they are united through their dedication to helping facilitate pet owners' seamless navigation of the complexities within pet ownership and animal care. It has become widespread knowledge throughout the industry grooming is an integral part of pet ownership, and these companies have emphasized and outlined the most important parts of this category.
These companies have become leaders in the category because they have learned to anticipate obstacles or hurdles that may show up such as increased freight costs and supply chain issues. They have also become experts at devising plans to sidestep these obstacles while mitigating the impacts.
“Throughout the rest of 2024 and 2025, we anticipate increased freight costs for supply logistics,” said Kim Stout, President of Coastal Pet Products. “During periods of supply chain challenges, we utilize our United States manufacturing to provide a buffer. While we attempt to domestically produce as many products as we can, some products still need to be imported. For these categories, we work with our supply chain and demand planning team to invest in and hold extra inventory and raw materials to maximize our instock position. Safari by Coastal is one of the most highly recognized grooming brands for pets. Features like ergonomic handles, self-cleaning bristles and the finest quality stainless steel ensure pet owners can be confident and capable when grooming their pet at home. We are proud to announce our Safari Professional Dog Nail Trimmer was named best overall nail trimming tool by CanineJournal.com. We cater to every grooming need and pet type. For example, our Shed Magic grooming tools combat shedding for dogs and cats with
any coat length. For petite pets, we offer our Li’l Pals Puppy Grooming Kit that has three tools to target the top grooming concerns of nail care, shedding and mats/tangles.”
“For the remainder of 2024, the category is likely to face ongoing supply chain challenges including ingredient shortages, price increases and transportation bottlenecks,” said President Brian Taus. “We are focusing on improving our logistical efficiency, helping to minimize delays caused by transportation infrastructure problems. This includes enhancing our inventory management systems. Pure & Natural Pet has successfully differentiated ourselves within the grooming category through our commitment to high-quality, organic and natural ingredients.”
“We’re expanding production and warehousing with the acquisition of adjoining land and additional building,” said Dave Campanella, Director of Sales and Marketing at Best Shot Pet. “Education is vital in our industry. Teaming up with industry educator icons Jay Scruggs and Sue Zecco and their Super Styling Sessions platform has proven not only been effective at reaching more of our base, but it’s strengthened our credibility and increased sales volume.”
For Bass Brushes, the evolution of the category has come around and grown to where the company began its journey—demonstrating the company has remained ahead of the industry since its inception. “For over 40 years, Bass has been known as a premium and luxury grade brush maker, with an emphasis on natural materials,” said Joel Weinstein, President and Director of Sales and Marketing. “We do people brushes too, but that is part of our distinguishing characteristics. If I go back almost 20 years to launching our pet line, we went to shows, and it was really novel. People would walk past and do a double take
and ask ‘are these for me or the dog?’ It was novel at the time to present products with as much quality and aesthetic value as what we produce and that’s important to us. If you fast forward to today, the market has kind of caught up to us because if you go back, maybe five to 10 years, you never heard this term ‘human-grade.’ Then you started hearing it everywhere—everything is human grade. And that applied to grooming and food, and even services to an extent. Well, we feel the market has caught up to us and pet parents’ kind of expect it. That is not to say they aren’t still impressed with our products, but the idea of having human-grade products is really what the customers are asking for.”
Paragon Pet Grooming has been educating retailers on the importance of adding grooming services into their stores as it becomes a profitable investment. “The product that we ‘sell’ is grooming education and training, so skill developments, and in order for us to control the costs of the cost of our tuition or enrollment is to continue to create efficiency for the employer that is enrolling these students and getting these students through the program as completely, successfully and as quickly as possible. So, then they can get on the grooming floor and start being productive as quickly as possible for the employer who is putting them through the program. Our enrollment, the cost, paying for someone’s skills development, creating a future groomer, is not an expense; it is a cost of course, but it’s best viewed as an investment.”
There is more to the grooming category than the average bathing and brushing. Grooming experts have ensured pet parents are able to care for their pets’ daily while making sure pets are comfortable and open to hygiene regimes through various delivery method options and solutions.
Category Analysis
Health and Wellness
Key Takeaways
• The category has expanded beyond basic care to encompass preventive and holistic approaches, with industry leaders developing products that meet diverse needs when vet visits aren't required.
• Companies emphasize relationships with suppliers and streamlined manufacturing processes to ensure quality and supply, while focusing on educating pet owners about health and wellness solutions.
The health and wellness category has dramatically increased and expanded year after year. The category has gone above and beyond the conventional walk and daily feeding, and entered areas of preventive, home care and overall well-being upkeep and care. While pet owners continue to dive into the deep end of the category and educate themselves on all things health and wellness, leaders in the category dive just as deep to produce and offer products that ensure consumers are met with anything they might need to take care of their pets when a vet visit isn’t necessary.
As we enter into the final months of 2024, the optimistic points of views shared throughout all industry leaders solidify the strength of the category in face of striking growth.
“To help us propel the momentum from 2024 into the next year, we have added several support staff positions,” said Shanel DeVall, Product Specialist with Glacier Peak Holistic. “Our new friendly staff members have given us many new pet faces to look at too! We have also curated new product sourcing to ensure that our stocks stay full. Our long term relationships with small family farms help us maintain a consistent supply of quality ingredients that is largely independent of market fluctuations. This ensures that we can maintain our current level of success.”
“Our operations and development teams work hard every day on maintaining positive relationships with our manufacturers and suppliers,” said Marjorie Murray, Senior Brand Manager at W.F. Young. “We have worked with several for many years, and that shared history makes for easy communication and quick response times. While maintaining those relationships, we also work on finding new partners to understand their capabilities, both with
sourcing and manufacturing processes, so we can be ready with back-up partners in the case of unexpected challenges. Our operations team always has eyes on our inventory, demand and shipping statuses to avoid stoppages or delays due to out of stock situations. We strictly follow procedures for product testing and regulatory agency requirements to ensure that the value of our products always meets the highest level of efficacy and safety.”
“We are pretty lucky because I own our manufacturing company called Endeavour Botanicals. Therefore, we are able to streamline our work depending on demand size. If I know we are going to do a promotion in a particular month we can account for that pretty fast on the production schedule,” said Mika Wheelwright, CEO of Fidobiotics. “When I started there were less than a handful of probiotic/microbiome products available for our fur family members. During Covid, people became even more conscious about their own health, digestion, immune system and mental health, that rippling effect was passed to their animals. This category will only continue to grow as we all continue to learn and want what's best for our furry family members. My hope is that Fidobiotics products have helped lots of animals and owners live their best lives with happy pets—inside and out. And hopefully add some fun humor to the household along with shared healthier microbiomes as a family.”
“Our key goal in manufacturing is to offer our consumers the best possible product at the best possible price point,” said Deb Decker, Pet King Brands Director of Marketing. “Our diverse product line offers non-toxic solutions with a price that is directly reflected in quality, solving the problem at the source and positively promoting value in the long run.”
“We have solid manufacturing and even with our growth we do not anticipate any issues. We are seeing some challenges with suppliers being able to receive ingredients in a timely manner, so we have to plan accordingly,” said Terri Entler, CEO and Founder of Healers Petcare.
“At Moko, we are very fortunate to have decades of experience working with Mānuka honey,” said Owner and Founder of Moko Sarah Scarlet. “Our family-owned land and beehives in New Zealand produce our medical grade Mānuka honey. This allows us to not only control the quality of our Mānuka honey, but also the supply. We have prepared diligently throughout 2024 to ensure our launch would be a success and that all packaging and ingredients would be sourced in ample supply to support our high expectations.”
“Over the past year, our supply chain challenges have significantly improved. Packaging and ingredient availability have stabilized, leading to better certainty and shorter lead times compared to last year. We continue to have ongoing dialogue with our suppliers to navigate any remaining hurdles and negotiate the best price. We are optimistic that this stabilization will continue in the foreseeable future,” said Paul Armstrong, President and CEO of earthbath.
Health and wellness have expanded from the basic feeding and walking needs and in turn, pet parents have shown their dedication to keeping up with preventative measures to keep their pets healthy and happy. Many of the leaders in the category have already been offering products to help owners achieve this goal, but if they haven’t already met consumers where they are at, they are working on doing so by staying ahead of trends and constantly look out to the horizon to anticipate pets’ and their parents’ needs.
EAR INFECTIONS
The #1 Reason for Vet
Visits
• Gentle and easy-to-use
• No pre-cleaning
• The proven natural antibiotic alternative
• Patented enzyme formula
• Once daily application
BEFORE AFTER
Category Analysis
Sweet Potato Treats
As humans have come around to the nutritional benefits of consuming more sweet potatoes, so too have they realized that the tuber, which historically was confined to mostly holiday celebrations, is an excellent food for their canine companions. Dog treat manufacturers are increasingly incorporating sweet potato into their formulas to boost the appeal of their nutrition panels, but for some companies, it’s no
sweet potato in our limited ingredient stuff and then a bunch of our single ingredient is just sweet potato.”
It was a conscientious decision to launch the Gaines Family Farmstead brand with sweet potato treats, said Gaines. “The reason we chose sweet potato and the limited ingredient market, in general, is sweet potatoes are great for dogs, and they’re abundantly grown in the United States. They’re very, very
long time,” Gaines said. “People have been doing that for 20 years, but they’ve really gained popularity in the last few years as people pay attention to that single ingredient opportunity. When it comes to the specialty stuff like the sweet potato bone and the sweet potato bone topped with peanut butter, that has just been such a home run. We sell the heck out of those things.”
Does the dog prefer the bone shape
Hurricane Helene made landfall and roared across the southeast, leaving in its wake a 500-mile path of devastated communities. A major Category 4 storm with 140 mph winds when it barreled into Florida, Hurricane Helene is the second deadliest hurricane in the US since Hurricane Katrina. After making landfall in Florida in late September, Hurricane Helene through Georgia, South Carolina, North Carolina, Virginia and Tennessee. Although Hurricane Helene was downgraded to a tropical storm when it moved into North Carolina, a precarious combination of already rain-soaked land, historic rainfall totals and storm surge left the region unrecognizable. North Carolina residents withstood more than 30 inches of rain which subsequently set new records; the largest local flooding in the state’s recorded history; the French Broad River in Asheville peaked at 24.67 feet during the storm. Helene brought on 20 reported tornadoes in Georgia, North Carolina, South Carolina, Virginia and West Virginia, with one tornado ripping through Rocky Mount, NC and injuring 15 people. In the wake of Hurricane Helene, communities are banding together to help their neighbors. The following organizations are examples of how people can help:
• Charity Navigator www.charitynavigator.org
Charity Navigator has organized a list of reputable organizations that are providing immediate and/or long-term support to Hurricane Helene survivors.
• The Humane Society of the United States www.humanesociety.org
The Humane Society’s Animal Rescue Team is searching for animals in need in the aftermath of Helene, while transporting shelter animals to safety and out of the path of Hurricane Milton.
longer playing a supporting role. Limited and single-ingredient treat makers are happy to feature sweet potato as the star ingredient in their innovations, meeting the demands of dog parents looking for a natural, safe and healthy treat for their beloved canines.
Dewar Gaines, CEO of Gaines Family Farmstead explained that sweet potato chews are not new to the dog treats category but have become more popular in the last few years due to the humanization of pets. “People are looking for holistic, clean ingredients, and sweet potato is it – it’s just a good ingredient,” he said. “It’s in most of the foods that are being made now, they have some sort of sweet potato in it. A lot of treats use sweet potato flour as binder. We use
• Gaines Family Farmstead www.gainesfamilyfarmstead.com
Producer of Gaines Family Farmstead Sweet Potato Dog Treats line, Gaines Family Farmstead has partnered with Adam Smith, a former Green Beret and CEO of Savage Freedoms, 501 C3. Smith has organized a command center set-up in the heart of Asheville, NC.
• Feeding the Carolinas www.feedingthecarolinas.org
A network that brings together the 10 Feeding America Food Banks serving North and South Carolina.
healthy ingredients, and we knew that we could scale it. There’s plenty of folks that do sweet potato, but we like to think that the fact they’re sourced in the US, grown in the US, we know the farmers that are growing these sweet potatoes, we feel very confident about the quality and the supply chain. It’s also one of the things that’s propelled us - we’re known for having high-quality products, whether it’s our sweet potatoes or anything else.”
The Gaines Family Farmstead sweet potato line includes a variety of formats including single-ingredient chews, bones and fries.
Regarding the fries, which are sweet potatoes sliced into long strips, “those are the ones that have been around a
over the more shapeless forms of dehydrated sweet potato slices? “It has nothing to do with the dog,” Gaines laughed. “It has everything to do with mama, or dad. People have been conditioned to throw a dog a bone. They’ve been chewing on bones for hundreds of years, so it was kind of a natural progression that a sweet potato bone just made of sweet potatoes would make total sense, and from the standpoint of, it looks cute, but also there’s a continuous guarantee on consistency. ”
Whether cooked and then pressed into a bone, sliced into chips or fries, or naturally dried as a jerky, sweet potatoes are an enticing treating option for dog parents to give their pets something they enjoy and is good for them.
INTERVIEW
How does pet differentiate from the other industries you’ve worked in?
With pet, you never lose perspective of the fact that it’s a life you’re serving. I’ve had varied industry experience; I started my career in office products. I was in general merchandise at BJ’s Wholesale Club grocery as well as non-grocery business, and then at Michael’s certainly [it was] product that was for the most part nice to have versus need to have. With pet, you strike that balance between sustenance – making sure that pets have the right quality nutrition and nutritional options – but also things that enhance that life with their pet parents. There’s an emotional attachment to a lot of the products we sell and the services we offer. We have salons in all of our stores – that was new to me. Our team members do a fantastic job. They are certified groomers that view themselves as true pet artists. They don’t just want the pet parent to be happy; they want the pet to be happy too. That’s a very different mindset than some of the merchandise categories that I’ve been exposed to previously.
Pet has that unique element to it. I also think that pet parents come in all sorts of variations: single pet family households, multi-pet and multi-species households. It’s really taking those dynamics and being able to support them in a way that’s different. I’d say that’s probably the biggest differentiation from my past experience.
Our job is to make sure those products and services are within reach. How do we keep pushing on that to make those products’ value be more significant to a pet parent and them being able to achieve the things they want for their pet?
How would you describe the state of the pet industry?
I would tell you Covid was an accelerator for the humanization of pets. We were migrating that way anyway and then there was that acceleration and then it just became common for us. Covid caused that horrible disease or virus that affected so many lives; there were all sorts of things that changed for probably forever in a societal way. Whether it’s how often people are physically in the office or doing video conferences as a default rather than the rare exception, you name it; there are a lot of things that have taken place. That acceleration of the humanization of pets is one of those that happened during that period of time and then there’s really no going back. As a matter of fact, I think it gets worse as you think about people returning to the office and spending less time at home. The guilt is there. ‘Do I have the right treats when I get home? Who is doing the dog walking?’ These additional services such as doggie daycare and things that are out there for their pet.
Having people stay in their homes when people travel now that they are having to get back on the road. We offer a partnership with wag.com. to perform some of those services that are so important for our customers. Those trends, once they happened, there was really no going back.
So consumers’ expectations got ramped up. If I drive to your stores, I want there to be a reason why. We offer free pet treats out of our aprons when you come to visit our stores. We want pets to feel welcome in our stores. Our stores aren’t that big; they’re about 5,500 square feet on average and we want that to feel like your hometown pet store. We pride ourselves on being in the markets and meeting the customer where their needs are and that means that small hometown type feel, and their pet coming into the store is part of that experience. We want to make sure that experience is something that people want to drive for. But that got ramped up a little. It wasn’t as simple as just having the right product at the right price; you also had to deliver the right experience. Different delivery options – we offer local delivery now.
If you live within 20 miles of our store and you place an order by 2 p.m. we deliver it the same day. We have created that and fulfilled that need. That came out of some of those updated consumer requirements and desires that I think came along with some of things that we saw during the Covid period. Depending on what your needs are, it’s our job to make sure we are meeting the customer and not have an expectation the customer has to figure out on how to go do that in our stores.
What is the role of the pet specialty channel in supporting the growth and evolution of the pet industry?
One is education. Our team members, in particular, are incredibly passionate about pets. There is nothing wrong with the mass industry or the grocery industry – I’m an advocate of all retail is good retail. When you’re talking specifically about pet, being able to educate a customer on the types of products that are right for them, be able to offer them material variety both in terms of price, in terms of quality ingredients, different brands, formulations that may affect dietary needs one way or the other, having that wide variety of assortment is critical to the pet specialty industry. You can’t fit everything you need in pet specialty into these other types of retailers. There is no space to give those that level of depth and you’re not going to be able to have the personnel and someone to be an expert in those categories to be able to support. The pet specialty industry does a really great job of doing that. Also services; we offer full service grooming at virtually all of our stores. Those services are critical and the feeling of bringing your pet into an environment that is warm, friendly and engaging and what you’d expect and what you want for your furry children that you get to bring in and say, ‘Hey this is my baby. I’m giving my baby to you for a period of time and you’re going to give them back in a better and healthier condition than I left them in.’ That’s really the strength of pet specialty, is to own that high level of service whether it's education and the products we sell or the service aspect where you’re able to do grooming and other things that pet specialty can offer. Those two things are where pet specialty really excels.
Matt Rubin, Petsense by Tractor Supply
You came (to North America’s most comprehensive pet product marketplace). You saw (the latest, greatest pet products). You conquered (your business challenges). And we can’t wait for you to keep that momentum going next year! Thank you for helping to make SUPERZOO the incredible, fun-filled event that it is. We look forward to seeing you in 2025!
August 13-15, 2025
Education: August 12-13, 2025
Mandalay Bay, Las Vegas, NV
18,000+
Pet professionals participate, including:
10,000 buyers—the most in North America
1,000+ exhibitors
3,300+ buying companies
Largest Industry Show Floor
330,000 square footage