Chewy Inc. - statistics & facts
With a mission to integrate the ready convenience of e-commerce into the personalized services of a local pet store, Chewy was founded in 2011 by Ryan Cohen and Michael Day. By 2017, the niche online venture of online pet retail scaled into a multibillion-dollar acquisition by PetSmart. Today, Chewy is a publicly traded company that dominates the online pet market, providing their customers with everything from pet food to pharmaceuticals.
Chewy’s practiced ability to convert its customer base into a consistent revenue stream will determine if the company can ultimately maintain its edge over the competition of mass-market retailers and traditional pet stores, functioning as a one-stop shop that offers everything a pet owner could need.
Chewy’s competitive edge
Much of Chewy’s success can be attributed to its customer-centric approach in the market. Pets and emotions go hand in hand, and Chewy’s 24/7 customer service staffed by pet owners, hand-painted pet portraits, handwritten notes, personalized product recommendations, free returns, and even condolence bouquets for grieving customers work as a strategic investment to foster an important sense of loyalty to the brand. Chewy serves over 20.5 million active customers as of 2024, and with dozens of fulfillment locations around the country, provides fast and reliable shipping speeds as one of many available perks. While major retailers like Amazon and Walmart present competition with offers of pet food through their e-commerce storefronts, Chewy’s focus on pet retail allows a unique, curated understanding of the industry that continuously attracts users looking for the best to provide for their pets.The road ahead
Chewy uses an effective combination of strategies where fostered emotional attachments and popular thin-margin offerings, such as selling a variety of kibbles, acquire loyal customers. High-margin services like CarePlus pet insurance are then upsold to increase both return and value of the Chewy brand. The company has demonstrated impressive revenue growth since its founding and subsequent acquisition, but future growth will still depend on its ability to balance expansion with financial sustainability. Looking ahead, further focus on private-label products and an expansion into higher-margin healthcare services and international markets like Canada, where the brand has additional plans for in-house veterinary practices, represent a clear pathway of sustaining profitability as an industry leader.Chewy’s practiced ability to convert its customer base into a consistent revenue stream will determine if the company can ultimately maintain its edge over the competition of mass-market retailers and traditional pet stores, functioning as a one-stop shop that offers everything a pet owner could need.
