Retail fads come and go, but we will always love and cherish our pets. Pets require food, over-the-counter medicine, treats and other loving touches that we buy to shower our pets with love. Pet owners in the United States spend a significant amount of money on their animals, so unsurprisingly, recent developments indicate likely continued success of pet stores across the country.
Total pet market sales appear to be increasing every year. People of every generation treat pets as part of the family, and they are spending accordingly. A survey in 2017 reported that most pet owners spend $500 on their pets each year. Total pet sales in 2018 passed $72 billion. This amount will potentially grow by over $3 billion in 2019, indicating there’s no sign that pet sales will slow anytime soon.
Pet Supplies Plus is a Retail Success Story
In recent retail news, Pet Supplies Plus just reached the $1 billion sales mark. Since the private equity firm Sentinel Capital Partners acquired the pet store business, franchises have been popping up around the nation. Citing immense growth in the pet store industry, Pet Supplies Plus is set to grow by 50-70 stores each year for the next several years.
A significant part of Pet Supplies Plus’ strategy will concentrate on converting small pet stores into franchises. Currently, 55% of Pet Supplies Plus stores are franchises, but the number will soon reach 90%. The company will expand in every way to accommodate millennials who want to provide better food, healthier treats, and more elaborate toys to their pets.
Pet Supplies Plus is just one example of success in the pet store industry. The company’s performance over the past two years is a useful example of how to stay relevant and successful in the retail industry in 2020. Additionally, it shows that retail pet stores are a new player in retail location strategy. Immense profits can be made by cross-shopping between retailers in a center with a pet store location.
More Pet Supply Retailers Showing Remarkable Growth
In addition, retailers Petco and Petsmart continue to lead in the pet supply business. Both stores still sit atop the list of national pet store retailers with the highest number of stores, with Petco boasting 1,482 locations and Petsmart at the #1 spot with 1,656 stores.
Both businesses are seeing the same influx of customers and are experiencing significant engagement with these customers. They are both a major contributor to the consistent increase in sales for this sector, which is on track for U.S. sales of more than $22 billion by 2023. With that kind of potential, it’s no surprise these successful retailers are still expanding and adjusting their strategies to meet more customers’ needs.
Retail industry executives can harness essential shopping center data on DMM’s website to map competition, research retail trends and predictions, and analyze co-tenancy in the pet store industry. These tools clarify that the pet store industry is thriving and alert you to the latest trends and data in the industry.
With DMM’s comprehensive retail database and statistics, you can optimize your strategy for a retail location. Learn more on our site!
