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There has never been a better time to own a pet franchise. After all, 70% of all American households have pets. That’s an estimated 85 million homes and growing. Pet ownership has been on the rise every year during the past two decades. Plus, there’s no end in sight. All of these factors point to strong revenue growth in the pet franchises and dog grooming industry.
What Does This Mean for Possible Owners of Pet Franchises?
Investing and managing your own pet franchise has never been easier. Pet care services is a $100 billion global industry. And, according to the American Pet Products Association (APPA), it’s growing.
Now is the perfect time to capitalize on the increasing demand. Invest in one of the many successful pet franchises available. It’s time to achieve and even exceed your financial goals and dreams. What’s more, the best part about owning a pet franchise is that it is one of the most stress-free careers possible. That’s because you’ll be dealing with adorable little doggie clients coming in for their grooming.
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Should I Invest in a Pet Franchise?
Are you a pet lover? The most successful franchisees are in love with dogs. This isn’t a skill that can be taught. However, it is one you’ll need in order to be truly successful in the pet franchise industry.
What Are the Pros and Cons of Owning a Pet Franchise?
- The biggest advantage of buying into an established franchise is the strength of the brand and the loyalty of its customers.
- Another advantage is marketing support. Franchises often have the support of national campaigns. Additionally, they have prepared marketing materials for local campaigns.
- Business support is another aid. There’s a saying in franchising: “You’re in business for yourself, but not by yourself.” It’s less stressful when you know you have a network of support behind you.
- Training, too, is important. Franchise owners know the best techniques that will help you to become the most successful franchisee possible.
- Financial assistance is another advantage. Many franchisors provide loans and other assistance to help franchisees.
It’s important to note that billionaire investor Jimmy Buffett, who is a Krispy Kreme franchisee, recommends investing in franchises that have high annual growth.
The initial payout is always inevitable. However, some franchise fees and start-up costs can be inordinately expensive.
- Royalty payments can be also very expensive. What’s more, as a franchisee, you will have to pay some percentage of the monthly gross back to your franchisor.
- Limited creativity can also become a factor. Most franchise contracts have very explicit standards. However, it’s important to remember that these are usually in place to help you to be as successful as possible.
What Is the Best Pet Franchise for Me to Invest In?
Of all the pet franchises, which one is the best franchise to invest in? Following is a list of the pros and cons of the most successful pet franchises. Here they are, in no specific order.
Dogtopia is an award-winning dog daycare, boarding, and spa provider. They pride themselves on being a place where pets are valued as family and dogs enjoy playtime. Dogtopia welcomes social dogs of all ages, sizes, breeds, and abilities. The company was founded by Amy Nichols in 2002 and began franchising in 2005.
- Their target customer is the largest demographic in North American history, women millennials.
- They offer a strong business model. Labor costs are the only key variable expense.
- Additionally, they offer best-practice sharing workshops with other leading franchises.
- Former employees give Dogtopia mixed reviews. This could indicate a high employee turnover rate.
- Dogtopia requires a large upfront investment that can range between $416K to $1.07M. This is nearly twice the initial investment that their competitors on this list require.
Splash and Dash Groomerie & Boutique
Splash and Dash Groomerie & Boutique is an emerging brand. It’s a fast-growing dog franchise that has been breaking growth records along the way. As a matter of fact, Splash and Dash was featured in Inc. Magazine’s list of the country’s 500 fastest-growing companies. What’s more, they were featured not just once, but three times.
From the Splash and Dash website:
“Walking into a Splash and Dash is a unique experience. A bright and eye-pleasing color palette is the first thing customers notice—an inviting, upscale ambiance. Splash and Dash offers the healthiest all-natural foods and treats for their dogs. The toys are eco-friendly. The haircuts are adorable. Remarkably, the prices are affordable and competitive compared to other pet franchises.”
Splash and Dash Pros:
- Their signature service membership is unique. What’s more, it is easily the franchise’s biggest advantage. This service offers customers unlimited monthly bath and brush for a fixed price. This means a shop owner profits from a recurring revenue stream.
- Top-of-the-line IT support and proprietary software help a franchise owner to run and operate their business, a key element for success. Shop owners receive extensive training to learn this software. Thereafter, they have the corporate IT team at their disposal.
- The marketing resources provided by Splash and Dash Groomerie & Boutique give franchises a proven business plan. Moreover, the company aims for franchisees to break even within six months after opening.
- Online reviews are always four- and five-star ratings, in contrast with many other dog groomers. These ratings stem from the extensive training they provide their franchisees, as well as their business model. What’s more, your Splash and Dash franchise will rate the highest on Google Search in your locale. In other words, customers will always see your business at the top naturally.
- Splash and Dash requires only a modest overall investment compared to their competitors on this list. This ranges between $150K to $175K.
Splash and Dash Cons:
- Splash and Dash, as an emerging brand, does not yet have national name recognition yet.
- They emphasize strict guidelines to keep franchisees on track. However, these guidelines have proven to lead to success for franchisees.
- Franchises have to complete with warehouse pet stores such as Petco. On the other hand, these outlets don’t offer niche products and services like small-scale franchises do.
Camp Bow Wow
Camp Bow Wow provides a fun, safe, and upscale environment where dogs can play and receive lots of love and attention. They provide a doggy day camp for clients who wish to drop their dogs off in the morning and pick them up in the evening. Additionally, they offer overnight boarding for clients who travel.
Camp Bow Wow Pros:
- Overnight dog boarding isn’t common among dog franchises.
- Facilities are monitored 24 hours a day, 7 days a week.
- They offer a great business model that comes with good brand recognition.
Camp Bow Wow Cons:
- A former employee complained that the lack of a good screening program for dogs led to dog fights at the facility.
- Similarly to Dogtopia, there seems to be a high employee turnover rate.
- The franchise requires a large upfront investment that can range between $860K to $1.19M.
The Final Word
Before deciding to own a pet franchise or dog franchise, you should do plenty of due diligence. Research prospective companies thoroughly. Moreover, learn how consumers already feel about each of the pet franchises you’re considering. Additionally, get to know how current and former employees feel about the franchise. And gain a comprehensive understanding of local marketing and community involvement as well as a clear understanding of the real estate development process.
Finally, make sure that working with others’ pets is something you would really enjoy doing. If this is true for you, then owning a pet franchise could be a rewarding experience for you.