Pet market will be more fierce dispute with franchise network

With just one year of activity in Brazil, the North American network of stores to Petland pets prepares an aggressive expansion to cope with local retailers, leaders like Cobasi and Petz (formerly Marginal Petcenter).
The companies act in a thread that last year moved about $ 16.7 billion and designing grow at 8% this year. The forecast of the Brazilian Association of the industry of Pet Products (Abinpet) is the industry maintain high up to 15% over the next five years.
The market numbers caught the attention of Petland franchise chain, which arrived in the country in May last year. Now, more familiar with the Brazilian consumer, the company plans to open 302 units, just in greater São Paulo, until 2020. At least 80 other stores are planned also to Curitiba (PR), Salvador (BA) and Vitória (ES).
"The market is well sprayed and consolidating around here. This will take the good companies to grow organically. Despite having only one year of operation in the country, we have a good market acceptance and we will achieve the goal of growth, "said the CEO of the Petland in Brazil, Paulo Braz.
The company has seven units in operation and six others will be inaugurated by the end of the year. Of these, nine are franchised and four are own the network. There are talks underway to more stores. "We entered into negotiations with five interested, beyond those already agreed upon during the last franchise fair. We are working to close those businesses, "he said.
Each month, according to Braz, revenue has grown between 15% and 25%. The goal is that the network reach a turnover of r $ 500 thousand per month until the end of the year. Depending on the space, the monthly revenue from each store may reach R $ 90 thousand. "The franchisee with more experience can earn it and even a little more," said the Executive.
To become a franchisee, the initial investment is of R $ 350 thousand. The value includes the store structure and training to empower employees to deal with animals. The deadline for return on investment is 24 to 36 months after the initiation of the activities.
In the world, Petland has 148 stores in 11 countries: United States, Canada, Japan, China, South Africa, Mexico, Brazil, Honduras, Guatemala, El Salvador and Nicaragua. The network bet on offer for the pet all in one place. "Our differential is to offer absolutely everything that the pet needs. That includes aesthetic treatments, veterinary surgeons, all kinds of products and the sale of puppies ".
Each venture, according to him, has at least one Professional with experience Veterinary Clinic, in addition to a trimmer, which is responsible for the aesthetic of the Department store. The network also offers services like pet portrait, pet health insurance and day care, i.e. daycare service for dogs and cats.
Asked about how the brand's expansion plan in Brazil appears to be ambitious, the CEO says the company has the support of more than 50 suppliers, who already supply the current network and that meet, including part of the market.
"With this plan we'd be expansion with 4% of the market share of the market. We believe that with this supplier base we will be able to meet all our network, "he explained. And finished by saying that there is still the project of assembling a distribution center (CD) which will be worked as soon as the flag between 30 and 50 shops overcome.
Leaders
With almost 30 years of leadership in the retail pet, the Cobasi network claims to be a pioneer in the concept of shopping for animals in Brazil. The company continues with breath and provides for opening of eight more branches this year, in addition to the 31 current operations in cities such as São Paulo, Campinas, Carapicuíba, Guarulhos, Limeira, Osasco, Praia Grande, Ribeirão Preto, São Bernardo do Campo and São Caetano do Sul, among others. "This week, on day 23, let's open another unit, now in the city of Araraquara [SP]," said the INN the marketing manager of Cobasi, Daniela Bochi.
According to the Executive, the Cobasi is one of the few companies in the retail segment with 100% national capital and the business concern is to keep the format of stores, with innovative service, "which aims to offer a unique experience of buying and bringing even more people and pets".
On the expansion plans, as well as expand the number of stores, the company invests in e-commerce channel, which shows a key differentiator. According to Daniela, the concern with the image of the company made some layout stores through changes so that they become true themed spaces. The idea was to adopt new colors, prints, images and textures to identify the sections.
"The environments allow greater interaction with the consumer, Visual and auditory events offer entertainment and make when buying a pleasurable experience. Everything was thought also to maintain the pleasant flow and ease of finding products, "finished her. Last year, the Cobasi of the Augusta Street, in the city of São Paulo, won in the category of large-format, competing with works from all over the country, the retail Design Award granted by 2014 Retail Design Institute (RDI). In 2013, the winning shop was the Cobasi unit Interlagos.
Neighborhoods
Considered the largest network of pet shops in the country, the Petz (ex-pet Center Marginal) account with the strategy of broadening the presence among the more traditional neighborhoods of the city of São Paulo to compete with the growth of franchises. The company last week opened the second unit on the East side of the capital. Conceived in the Superstore format, the unit is in Mooca, on Avenida Paes de Barros.
"This is a very populous area, full of parks and residential neighborhoods, which favors the presence of pets and, consequently, of our business," commented the commercial and marketing director of the Petz, Luciano Sessim. On the drive, customers have aesthetic Center, Veterinary Clinic and more than 20 thousand products.
In may, the first store was opened in the Morumbi bairrro Petz. Today there are 29 units. "Our big-box retailers stand out in cozy ambiance, that takes advantage of natural lighting", describes the Group Chairman Petz, Sergio Zimerman.