The Brazilian pet sector: small dogs and big chains
The Brazilian pet market is looking good, with signs of steady improvement. Data released by the Pet Brazil Institute shows 49% growth in the last seven years. In 2019, sales were up 5.4% and totalled some R$36 billion (€7.9 / $8.7 billion).
The trend is small
There is a noticeable popularity of small dogs and cats, with their numbers increasing each year. This is because people now have less time and money, live in small houses or apartments, and prefer animals that require less space and less care. So Brazil has shifted from being a big dog country to a country of small dogs.
Largest pet store chains
Research conducted among the management of Brazilian companies gives an overview of the country’s largest pet store chains (see table).
Top in revenue: Cobasi
Cobasi is pet market leader in Brazil. In 1985, the company opened its first store, establishing the concept of shopping for pets with modern and innovative retail formats. Gradually it became the
main pet store chain. “We still run the company with our own capital, with no other funding or loans for expansion. Everything is done with courage and strength,” states Ricardo Nassar, managing partner. More than 30 years later, Cobasi has a strong market position. The company is optimistic about further growth and its market position by 2025.
In 2014, Cobasi launched the retail brand Pet & Fácil, smaller 400-600 sqm pet shops as opposed to the average 1,000 sqm Cobasi stores. As can be expected, it has an online platform where customers can buy products they later pick up at a Cobasi store. It also offers subscriptions, as well as additional services like bathing, grooming and a veterinary clinic.
The most stores: Petz
The Petz mission is: “to create value in interaction with pet lovers,” says Sergio Zimerman, the company’s president. Petz opened its first store in 2002 in São Paulo, as Pet Center Marginal. “After a decade of operation, we decided to expand nationally, and in 2013 we partnered with the Warburg Pincus fund. This was instrumental in driving network growth. The change of name was necessary to operate in other states,” explains Sergio.
The company works with a megastore concept. In 2018, Petz launched its first veterinary hospital with the creation of the Seres Veterinary Center. Sergio explains that the idea of the project is to combine scientific knowledge with the latest equipment, and he hopes to eventually open a Seres in each Petz store.
Biggest online platform: Petlove
Petlove is Brazil’s largest online subscription platform. Over 31 years, the brand has moved from bricks-and-mortar stores to online, shifting from PetSuperMarket to Petlove. “There is a greater purpose behind our business decisions: to contribute to the health and happiness of pets,” explains the brand founder, veterinarian Marcio Waldman.
As a subscription platform, Petlove’s challenge is to present their e-alternative as having more advantages than other sites. “At Petlove, it is not only possible to buy single products, but also to receive them at the desired frequency and always with a 10% discount.”
Marcio is looking to a bright future. “In 2020, we want to launch new services and increasingly enhance those we already offer. With the innovations and improvements we plan to introduce, we believe that growth will be even faster in the coming years,” he concludes.
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