Revitalized Brand Strategy Catapults Pets at Home to Remarkable Growth
Pets at Home reports encouraging growth after investing £2m in a brand relaunch, according to CEO Lyssa McGowan The company's refreshed strategy has yielded positive results since May
Source: Pets at Home
The positive momentum of Pets at Home has continued after its brand relaunch in May. Today (3 August), the company announced its first quarter results for the 2024 financial year, which were also positive.
The business's brand relaunch, which involved merging its brands under the 'Pets' master brand and cost £2m, has yielded positive results, according to CEO Lyssa McGowan. During the sixteen weeks leading up to July 20th, consumer revenue has increased by 10.2% to £568.2m, and total group revenue for the business has grown by 7.9% to £436.8m. The Vet Group division has experienced a significant revenue growth of 16.3%, while the growth in retail revenues was more modest at 7.11%. The company acknowledges that its pricing strategy has played a role in the growth of its food category across grocery and premium segments.
Pets at Home introduced its VIP loyalty program in 2012 and has seen a 4.4% growth in the last quarter, now boasting 7.7 million users. According to McGowan, the company's growth remains strong due to increased transaction volumes and the ability to attract new customers. McGowan took on the role of chief consumer officer at Pets at Home in June 2022, after having spent 11 years at Sky.
In a recent brand update, Pets at Home consolidated its various brands under the Pets umbrella. As part of this change, Vets4Pets underwent a rebranding to Vets for Pets, and The Groom Room, the company's grooming business, became Pets Grooming. Madeline Shaw, the company's marketing director, clarified that this was a refresh rather than a complete rebranding.
According to McGowan, Pets at Home has made significant progress in executing its strategic plan during the last quarter. This includes expanding and improving the physical stores, making advancements in the development of its digital platform, and successfully transitioning to a new distribution facility. McGowan emphasized the company's ambition to create the best pet care platform in the world.
Shaw explained that the decision to have multiple brands was not intentional and acknowledged the confusion it caused for customers. She stated that this situation provided an opportunity for Pets at Home to make decisions as they would if they were starting the business from the beginning.
