Why You Can’t Go Wrong with the Pet Industry

The pet industry has been expanding at an exciting growth rate for the past three decades. Last year in 2016, pet owner spending clocked in at $66.75 billion. Fueled by over 68%—84.6 million U.S. homes—the industry is growing to meet the demand of pet parents eager to spoil their two-legged children. Most of the expansion has been in upscale sectors. Pet pampering now comes in the form of products like chia seed dog treats or services like ‘pawdicures’ for your dog. Take a stroll through your local park. Many of those strollers actually have little puppers lounging in the basket, not a human child!

Now, more than ever, people are completely obsessed with their pets. A glimpse into recent pop culture shows how much pets have become the forefront of the American zeitgeist. One in 10 pets has their own social media account nationwide, according to a market research agency Mintel. Consumers can count on at least one blockbuster pet-movie each season. Last year, Secret Life of Pets and A Dog’s Purpose both premiered on the big screen. Alpha, a movie centering around the first instance of domestication, is set to come out in March of next year. If that isn’t evidence enough, just think, Oprah Winfrey is bequesting her dogs with $30 million with a sizable portion of her estate reserved just for them.

At Splash and Dash Groomerie & Boutique we totally get and embrace pet obsession. Our franchise owners are pet people that loved their dogs so much they built a business around them. Splash and Dash started when Dan J. Barton, Founder & CEO, wanted something better for his pup, Mercedes. After being fed up with impersonal big-box stores that charged way too much, Dan discovered there was something missing in the pet industry: a market gap for a tech-savvy grooming salon that also sells retail pet supplies. Dan took it one step further. He introduced a recurring revenue stream with a membership plan—something completely unique to Splash and Dash. Since then, the pet franchise has gone on to rank #59 on Entrepreneur’s 500 Listing and help countless individuals find an amazing place in the pet industry.

The Pet Industry is Growing!

In the past three decades, consumers have spent more money on pets every year since the APPA began tracking expenditures. During the Great U.S. Recession, the pet industry grew almost 11% from 2007 to 2009. Other industries like cosmetics, car-repossession, and health care share the recession-proof durability that the pet industry maintains. After the recession, the financial growth didn’t stop. The same percentage increase took place between 2015 and this year, from $60.28 to $66.75 billion.

The bulk of pet owner spending is on food. Almost $30 billion dollars are expected to be spent on food this year with last year ending at $28.23 billion. Even pet supplies are being purchased more. Over-the-counter pet products like dog toothpaste experienced a 73% increase after the new millennium. In 2001, pet owners spent $2.1 billion on over-the-counter products. At the end of 2017, spending is projected at $14.93 billion. That’s over a 610% increase! Premiumization trends and healthier options for pet owners’ dogs are pushing these numbers skyward. On average, the first year someone owns a small dog, their new pooch will cost $1,314. A medium dog will cost his owner $1,580 while a large dog can cost up to $1,843, according to the ASPCA.

Yes, the rate of pet ownership is rising but only slightly. In the past three years, pet ownership rose only 3% each year. This suggests that an increasing average mean spending is the reason the pet industry is growing, not more people owning pets.

Pets are Part of the Family

Recent census surveys show that more than two out of three Americans own a pet. This has been the case for a long time, with dogs being the crux of our animal companionship since we first domesticated them over 12,000 years ago. In the last few decades, dogs have formed even stronger bonds with their guardians. Dogs have transitioned from being tethered outside in the doghouse to being the center of attention.

Aging boomers whose children have left the house often get a dog to keep them company in retirement. On top of this, a low overall fertility rate in the U.S. translates into more no-children households with a higher rate of pet ownership. Single households are also on the rise at 28% from 1970 to 2014. With a competitive job market and the inhibition of student loans, many millennials are waiting to get married and have children. Millennials have also replaced their boomer parents as the primary pet owners in the U.S. with a much different approach to spending than their frugal parents. Millennials look for an experience in retail shopping. The demographic is a much more spontaneous and experimental shopper. They are also more health conscious and want the absolute best for their dogs. Eco-friendliness, all-natural, and Made in America are the product orientations that resonate with Millennials. A recent Suntrust Mortgage survey showed that one-third of Millennials are buying houses, stating that their dog was the most compelling reason to sign a mortgage.

These societal trends are continuing to catapult the pet industry into new heights. Many dog-loving entrepreneurs are looking for points of entry to get in on the proverbial action.

For interesting ideas of breaking into the pet industry click here!


Follow Splash and Dash Groomerie & Boutique:


5 Signs You’re Ready to Open Your Own Pet Franchise

There are myriad reasons many decided to quit their job and opened a pet franchise in the booming industry. The most important reason should be that they love animals and want to work alongside them. On top of this, many grow tired of tedious work done without receiving due credit. Maybe you have a bad boss? Maybe the firm you work for is downsizing? The confines of corporate America can be a looming trepidation. Some just feel the calling and somehow know. Whatever the reason, if you think you might be ready to cash in on your dream and open a pet franchise, read this article to find out more about the future.

Are You Ready to Own a Pet Franchise?

Homework Done. Check!

The first step in figuring out if you want to open a pet franchise is sorting out your ideal vision. You know what style of business you want to run. Whether it’s a warehouse-style pet supply store, grooming pet salon, or kennel services you will need to figure this out. There are varying permits and logistical details to owning each business model. Before you start looking at your finances you’ll need to know if you have the dedication to sustain working in the business model you decide on. If you’re a ‘people person,’ opening a warehouse-style operation might be too impersonal for you. On the same vein, if you love animals but don’t love chaos, owning a doggie daycare might not be for you either. Find a business that aligns with your dream!

Splash and Dash Groomerie & Boutique owners envisioned owning an upscale boutique with grooming services. Franchise owners wanted a pet franchise with an inviting brand—bright color palette, engaging merchandising, and charming decor. This pet franchise is a harmony between the appeal of a mom-and-pop shop, backed with the branding of a big-box store.

You Have Found the “One”

Deciding to invest in a pet franchise is a life-altering decision. Owning a small business is often likened to marriage. The analogy fits. Before you sign a franchise disclosure document (FDD) you will want to be 100% confident that you have chosen the right pet franchise to own. There are many variables at play that will determine if you have found the right fit. Aside from a suitable business model, you should take into account company culture, support & training, mandates, and costs. You can attend a ‘discovery day’ to tour an existing franchise. This can help put yourself in the perspective of the current owner. Speak with franchise owners. Ask them if they would do it all over again if given the choice. Meet with the CEO—determine if the professional relationship is amicable.

You don’t want to buy a franchise when you have second doubts. This decision can either haunt you or be the best decision you’ve ever made! At Splash and Dash, the company strives to find the best fit in franchise owners. Our franchise owners love working with animals, are business savvy, and have the tenacity needed to be successful. Franchisees have the resources they need to open and operate a successful pet franchise in their community. Shop owners are driven because they are passionate about their shop and know they have found a place they consider with pride. Without this passion, it’s easy to burn out.

Don’t sign a contract with trepidations. Be confident with the pet franchise you choose!

You Know the Pet Franchise has Your Back: Solid Support!

The franchising approach to business centers around a proven concept being successful in the marketplace. For example, the Splash and Dash pet franchise have a few advantageous business methods that other pet franchises do not have. Recurring revenue streams, unique proprietary software, and unparalleled support are some of the tools in every Splash and Dash owners’ repertoire.

The Signature Monthly Membership is completely unique to Splash and Dash Groomerie & Boutique. The way it works is customers sign up for unlimited bath & brushing services membership. As a Splash and Dash member, customers can take their dog in for services at their leisure. Not only is this convenient for customers, but they can also purchase other services and add-ons at a discounted price while buying any pet supplies they need. The membership makes Splash and Dash a one-stop-shop. What makes operating this schematic easy is the proprietary software, which is also unique to Splash and Dash. The terminal software was specifically designed for a pet franchise and systematizes all back-office operational tasks. Inventory management, POS, and employee scheduling are just the tip of the iceberg of operational management handled by the company’s proprietary software. The software even tracks employee productivity levels so owners can encourage and motivate their team.

Franchise owners are thoroughly trained at on-site locations by veteran franchisees. At Splash and Dash, the goal is for franchise owners to break even on their financial investment after being open for six months. This goal is accomplished through comprehensive training programs and ongoing support. The corporate team helps franchise owners every step of the way! Many franchise owners come from other industries like government contracting or nursing. It’s the corporate team’s job to support you through your professional transition—gearing you up for success!

You Meet the Standards

As with any investment, a franchise that has incompatible contenders sign an FDD is setting those franchisees up for failure. Of course, owning a business is challenging. Franchisors want to partner with people who are up to that challenge—who have the professional skill-set to expand and grow the business. Some franchises require a considerable amount of experience and strict operating regulations. This is typical. Many veterans make excellent franchisees because they are disciplined and can follow a model that works. What does Splash and Dash look for in a capable franchisee?

Strong SD Candidates:

  • Passion
  • Drive
  • Experience
  • Teachability
  • Sociability
  • Loyalty

With any franchise, you are an ambassador of the brand. Knowing you’re ready is knowing your capabilities. Your professional experience combined with adept character traits is a standard for the best pet franchises.

You Are Ready to Make the Transition

Assess your finances. Do you have the net worth requirement? The initial investment of some franchises can be expensive. Some franchisees have the liquid cash while others take out small business loans. You will need to sign a lease on a location, hire a contractor, buy equipment, etc. The number one reason many small businesses fail is because of a lack of cash flow. Make sure you are financially stable and will be able to make the professional transition without bankrupting yourself before you even get the doors open. (If you’re backed with a reputable pet franchise, this will not happen!)

This is also a huge personal change. You know you’re ready when you can’t wait to get to work in the morning. The truth is, there is tons of hard work to put into your pet franchise. Initially, there will be long hours and challenging problems to solve. If you are excited to put yourself to the test and navigate over the hurdles then you are ready. At Splash and Dash, we operate on the philosophy that you work on your business, not in it, meaning that we believe in a continual aim for excellence. From the quality of our products to the sophistication of our applications, Splash and Dash Groomerie & Boutique shop owners love what they do and love making what they do even better!

If you think you’re ready, click here for more information.

Follow Splash and Dash Groomerie & Boutique: