Chewy’s entry in non-vet services, like boarding, grooming and puppy training, is not a matter of if, but when, company officials wrote in a letter to shareholders.
“While we haven’t made any announcements yet on … non-vet services and international expansion … both remain questions of ‘when’ and not ‘if,’” the letter said.
Chewy’s CEO Sumit Singh briefly addressed the company’s plans during the company’s Q3 2021 earnings call on Dec. 9. While details were scarce, Singh said Chewy will not have to prepare its business and its teams to enter the non-vet pet care service market from scratch.
“We’re creating a scalable and dynamic platform that allows us to reach customers,” he said. “It’s not a net new effort on our part, and it’s a matter of focus and prioritization.”
The company’s approach to non-vet pet services seems similar to its venture into pet insurance.
Last week, Chewy revealed its partnership with Trupanion to offer an exclusive suite of pet health insurance and wellness plans to more than 20 million Chewy customers. By partnering with Trupanion, Chewy will be able to leverage Trupanion’s patented software to pay veterinarians directly, thus reducing out-of-pocket expenses and increasing access to care, officials said.
While Chewy hasn’t disclosed more details on the partnership, Singh briefly touched upon the topic during the call.
“We are essentially providing the customer base and the platform, and Trupanion is underwriting the policies,” he said.
A comparable partnership in the grooming, boarding, or training industries could be exactly the boost the online retailer needs to successfully enter the non-vet pet services market.
Now that we know that Chewy plans to expand into pet services, all that we can do is wait to see exactly how the online retailer will take on this new endeavor.