Talking Shop with... David Leonardo

Talk about Pet Supplies Plus. 

David Leonardo: Pet Supplies Plus is a stand out in the fast-growing pet retail sector, offering a wide selection of food, toys and pet products. That includes natural foods, an extensive assortment of U.S.-made pet consumables and a culture focused on making it easier to get better products for pets. 

Founded on the idea that convenient, quality service for busy neighbors was lacking in the pet industry, retail veterans Jack Berry and Harry Shallop opened the first Pet Supplies Plus store in Redford, Mich. Since then, the neighborhood-style pet store has become a household name in 26 states.  Pet Supplies Plus is a portfolio company of the private equity firm Irving Place Capital.

Talk about the health of the pet category and pet retailing in general.

The pet industry flourished in 2015 with more than $60 billion in expenditures, up from $58 billion in 2014, and is only expected to continue growing. The high demand in the pet industry is attributed to conscious pet owners looking for natural, organic and better-for-you products, an increase in the amount of households with pets and the humanization of pets. 

Here are some quick facts:

•    According to the 2015-2016 American Pet Products Association’s (APPA) National Pet Owners Survey, 65 percent of U.S. households own a pet.

•    It is estimated that 70-80 million dogs are owned in the U.S. 

•    Approximately 37-47 percent of all households in the U.S. have dogs.

•    Sixty percent of every dollar spent in the pet industry is on dogs.

•    The No. 1 expense for pets in the U.S. is by far food at $22.26 billion

•    Consumers spend $330 million on Halloween pet costumes alone.

How does the Pet Supplies Plus franchise process work? 

Our franchise owners are business savvy individuals who understand retail and are very service-oriented. We share our customers’ belief that pets help people live better, happier lives. So we take pride in bringing the Pet Supplies Plus brand to more people and the pets that love them.

Qualified individuals must have a net worth of at least $750,000 with a minimum of $150,000 to $250,000 in liquid, unencumbered assets. Initial investment levels range from $549,400 to $1,097,400.

An ideal Pet Supplies Plus franchise will align with our company’s mission to be America’s favorite neighborhood pet store. For a cultural fit, we look for individuals that are values-oriented and have some of the following traits: hard working, fair, honest and caring. Successful candidates will understand the value of providing exceptional customer service. Franchisees will have an intrinsic, service orientation and a natural desire to provide excellent customer service. Franchisee candidates should have the ability to train and lead their employees in providing and meeting these service standards.  

Pet Supplies Plus has a team of franchise development consultants who determine if the geographical location is available, discuss personal and financial goals, review the business model and the take the time to answer any questions interested candidates have about the franchising process. 

How does the future look for pet retailers?

Pet retail is proving to be an anti-cyclical industry, which has seen more than 20 years of positive growth. It even saw some of its highest sales growth throughout the recession. Industry experts are projecting demand for pet products will continue to grow at a very steady rate regardless of economic climate, building on the $60 billion pet industry. 

Pet Supplies Plus will also continue franchise growth into new territories across the country, while building on its presence in already established markets. Recently, the franchise announced its first opportunities in California that will allow the brand to expand into new markets that have high demand for pet retailers. Additional markets of focus will be Atlanta, St. Louis, Denver and South Florida.