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Freedonia Market Research Analyst Buzz Walmart Testing Expansions in On-Site Pet Services & Additional Pet E-Commerce Options

Walmart Testing Expansions in On-Site Pet Services & Additional Pet E-Commerce Options

by Freedonia Industry Studies

September 25, 2023

Packaged Facts Analysts Discuss How This Move Fits in the Current Pet Industry Environment

https://www.cnbc.com/2023/09/20/walmart-opens-pet-center-with-veterinary-care-and-grooming.html

Yes, this is huge. They had been contracting with PetIQ for vet services for several years now, and with Rover for pet sitting/walking, but this is their first real entry into the grooming category. With this move, if they expand it, they are really making a play for the pet specialty "one-stop shop" market (with the added bonus that pet owners can pick up a loaf of bread and a new tv at the same time)

…and an online pet pharmacy... and testing subscription deliveries... making a play for Chewy too?

Yep, the pharmacy is interesting. Walmart has had an online pet pharmacy for while so it will be interesting to see the difference with their “reinvented” pharmacy.

“Based on our pilot testing, the pet category has been where customers have most eagerly embraced this convenience,” Walmart said.  <-- well yeah, because pets eat and use mostly the same things over and over again, mostly at the same rate... and some of those packages are heavy!

Very true! Over 70% of Chewy's business is from autoship

Seems like locking in delivery is increasingly important if people are worried about not being able to find their brand in stores. My sister has been annoyed about hopping brands because she has been unable to find her typical cat litter!

Uh oh, that's never a good thing

Chewy does a great job though... can a huge company like Walmart match the personalization and care of the customer service Chewy has become known for? Or will people not care enough for the service and the convenience will win?

Right now price points are a big deal. The premiumization trend has gotten out of control and people are starting to push back, switching to lower priced options. Walmart definitely has an edge along those lines, but with pets you never know. People spend on things for their pets that they don't spend on for themselves

That's true... as a cat owner, I know that I will pay just about anything for a cat food she will reliably eat and will not give her belly trouble!

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