By creating an interconnected network of channels, platforms, services and products, retailers are not only better equipped to fluidly meet the hybrid shoppers of today, but are future-proofing their businesses as they consider how ongoing digital transformation will continue to impact not only where consumers and retailers interact, but create new needs and areas of opportunities to fill by way of evolved models and processes. These new, next-gen omnichannel retail business models are expanding consumer touchpoints while driving greater value though end-to-end services and omniverse channel offerings.
As a way to build out its own ecosystem and further differentiate itself from competitors within the space, Petco is building out a best-in-class suite of value-add services, and strategically partnering with other companies to tap into adjacent retail sectors. The pet retailer recently partnered with Lowe’s for shop-in-shop offerings at select locations. By taking consumers’ entire lifestyle into account, rather than a single purchase, Petco is able to ladder up complementary services and provide a multipronged brand experience. Through the Lowe’s partnership, DIY-loving pet parents can take into account and actively shop for their pet’s health and wellness needs while working on their own home improvement projects. The shop-in-shop locations will be staffed with Petco’s own employees in order to better offer pet-focused guidance alongside Lowe’s associates’ advice on home improvement projects.
Further, the pet-centric retailer has debuted a test and learn concept store format, where shoppers can easily check-in for veterinary services and grooming through Petco’s Vital Care offering, an annual plan which has attracted over 130,000 members to date and includes routine vet exams and discounted grooming sessions. The concept store also offers exclusive experiences, such as in-store VIP events for Pals Rewards and Vital Care members. There’s also a robust nutrition center complete with JustFoodForDogs fresh and frozen food, as well as on-site nutrition experts, reinforcing Petco’s commitment to caring for the whole health of pets. Petco is also adding CLIF PET™ and Earth Animal® product assortments to its shelves as part of its mission to bring new sustainable, innovative offerings to Petco pet parents.
Beyond the store, Petco is also expanding its partnership with Rover, an online marketplace for pet care. Petco customers will now be able to access pet boarding, sitting, dog walking and daycare services provided by Rover through Petco’s website. By expanding their offerings and building partnerships, retail brands can meet a broader range of consumer needs and drive deeper engagement. The key is to understand where the brand has permission to show up, and where it can most effectively extend.
This article originally appeared in the PSFK iQ report, Retail Transformation Through Innovation.