Is a Pet Food Delivery Service Franchise a Good Investment for You?
You love pets, and you’ve got business acumen. You’ve got good interpersonal skills and an entrepreneurial spirit.
The pet food delivery industry appeals to you. Globally, the industry is forecast to grow at an incredible 15% CAGR per year through to 2028. In the United States, pet owners spent a colossal $107 billion on pet products and services in 2020.
Could a pet food franchise be the perfect business for you?
It could be a terrific idea if you are looking to build a business out of your passion for animals and pets. And you’ll recognize a few business names, too. Like Husse, Perrousa, and Pet Supplies Plus. Such well-established names could offer you low startup costs and excellent platforms to develop and grow a profitable business.
Here we examine the advantages and disadvantages of owning a pet food delivery franchise.
The pros of owning a pet food delivery franchise
Doing work that you’re passionate about makes owning a business a real pleasure. But, let’s face it, you’re in business to make money ─ and some of the benefits of running a franchise business should help you combine both business and pleasure to make handsome profits. Here are the main benefits you could take advantage of:
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A franchise offers a tried and tested business model
When you buy a franchise, you’re buying into a business that has honed how it works over many years. A business doesn’t grow without knowing its market and how to make money from it. Over the years, it has evolved practices and processes that are replicated in each of its locations, because they work so well. You don’t have to worry about taking risks to try out new tactics and strategies ─ just follow the process.
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Minimal startup work to open your business
A pet food franchise offers a low-cost way to get into the pet food delivery market. And you’ll leverage the systems and controls that the franchise operates ─ meaning it’s easier to start your business.
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You’ll benefit from the franchise’s brand recognition and marketing
The brand recognition of the franchise is a huge benefit for the franchisee. It gives you an advantage in marketing and helps you stand out from your competitors. The outcome is that you should reach profitability faster.
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New to business or the franchise model? Welcome to training and support
If you are a new entrepreneur or franchisee, you’ll benefit from the training and support that the franchisor provides ─ though not all franchisors are the same. Why do they provide such training? Your success is in their best interests. They make money when you do.
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Supplies and transport are already solved for you
Top-quality supplies, delivered to your door for you to deliver to your customers. It couldn’t be easier, could it? Maybe, if you own a franchise where the franchisor delivers the food, too.
Pet owners want to know that they will be feeding their pets quality products all the time. And that’s what they get from well-established brands in the franchise space.
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Franchise businesses tend to have higher success rates
Add all the above together, and you’ll understand why new franchises tend to be more successful than businesses started from scratch.
What about the disadvantages of owning a franchise business?
If owning a franchise business was for everyone, then everyone would own one! There is always a flip side to a coin, and there are disadvantages to consider:
You will need to pay the franchisor initial fees to trade under its name. You wouldn’t have this cost as a do-it-yourself startup. Even so, pet food delivery franchises are among the lowest-cost franchises available.
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Expensive/ongoing royalties and fees
The franchisor will command royalties or commissions from your business. This could eat into your profit margins. On the other hand, you could receive a lot of training and ongoing support that you wouldn’t otherwise receive without paying if running an independent business.
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Not receiving enough support
As we said earlier, not all franchises are the same. So, it’s best to make sure you know what support and training you’ll need and ensure you buy a franchise that provides it.
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No room for flexibility/creativity
You’ll be expected to follow the franchisor’s business model, processes, and procedures, and use its systems. If you’re the creative type who wants to try something different and outside of how the franchisor operates, then a franchise business isn’t for you. But then why would you want to try and ‘fix something that isn’t broken’?
There will be legal documents to work through, and contracts to sign. If you break the clauses in these, the ultimate penalty could be that you lose your franchise business.
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Bound to operate on a limited area
When you buy a pet food delivery franchise, the franchisor will offer you a set area. Usually, this is as a radius from your location, but it may also be decided by how many potential customers are within your reach. Your potential to expand and sell outside of this area is prohibited ─ unless you buy another franchise, of course!
Is success as a pet food delivery franchisee beckoning you?
Franchising is a popular option for entrepreneurs and first-time business owners. Many who invest in a franchise continue to do so and become multiple franchise unitholders.
Is franchising a business model for you? If you love pets and want to start a business, then the pet food delivery service industry could be great for you ─ and what better way to start a business than by investing in a franchise?
You’ll be operating under an established name that has proved its business model works. Low startup costs, training, and support, the benefit of brand recognition… but can you mitigate the disadvantages? Can you operate to strict franchisor guidelines, for example?
Take our free franchise aptitude assessment today. It’s the first step to benefiting from all the advantages of owning a franchise business and mitigating the disadvantages.