Pet Food Co. Launches Distribution Model Aimed to Help Retailers Combat Online Competitors
A new pet food company has developed a model that might change multichannel pet retailing.
Raised Right Pets cooks stage-of-life specific meals for dogs and cats with human grade ingredients and safety standards. The company offers its products through independent pet retailers as well as via a direct-to-consumer subscription service. Understanding that these two channels are often at odds, Raised Right Pets set out to create a new model of distribution that allows consumers to purchase product in store or online, without one channel competing with the other, said company officials.
“We know that pet food companies often struggle with offering their own e-commerce sites because it competes with their valuable retail partners,” said Adam Jacobson, executive vice president of Raised Right in Rye, N.Y. “And, of course, third party online retailers also offer a compelling channel to pet food companies as well. We wanted to create a model that makes our products available to consumers across channels but that also incentivizes retailers to encourage customers to purchase online, if that’s what they prefer.”
The company developed The Right Way Retail Alliance, which allows all brick-and-mortar retailers that stock the Raised Right Pets products in-store to offer customers home delivery through Raised Right’s subscription service. For each customer who orders online, the retailer receives a percentage of their purchase.
“This is a risk-free profit for retailers and a great way to compete in today’s retail landscape,” Jacobson said. “Plus, the customer remains loyal to that retailer since the store continues to be part of the equation.”
Jacobson is familiar with the challenges that retailers face when catering to today’s omni-channel customer. Jacobson’s family owns and operates The Pet Pantry Warehouse, a retail chain serving New York and Connecticut.
Jacobson partnered with The Ruud family, whose roots in farming and ranching date back for centuries. While raising food for humans, the Ruud family decided to start producing the same quality of food for pets when recalls and pet food ingredient scrutiny became rampant.
“All of our meals are cooked in USDA inspected human-grade facilities and every ingredient in our meals has passed the same standards that are necessary for human consumption. Every batch of our food is lab tested after it’s cooked to help ensure our meals are safe to eat. We don’t ship any of our meals unless they pass the lab safety test,” said Braeden Ruud, the co-founder and CEO of Raised Right.
Jacobson believes the combination of human-grade food with a delivery model that caters to the customer has the opportunity to change how retailers can cater to their customer’s needs. “We’re proving that a pet food company can sell online as well as partner with retailers in a mutually beneficial way. At the end of the day, we want to serve our customers as best as we can. The Right Way Retail Alliance model is a win-win for everyone, the pet food company, the retailer and, most importantly, the customer.”