Pet supply startup Petpal raises capital via equity crowdfunding to expand e-Commerce operations in India
Pet supply startup Petpal has developed a one-stop platform for pet owners to get the food, medicine, and accessories they need to keep their pets happy and healthy. Through its website, Petpal serves customers in 100 cities who can choose among 1,000 products in every category from food to toys and even medication. Top notch customer service coupled with free shipping and doorstep delivery enhances the buying experience.
As a nation, India has experienced a rapid increase in pet ownership. Between 2012 and 2017, the country's dog population saw a compounded annual growth rate (CAGR) of 77%. Now, with roughly 23 million dogs and 4 million cats, as well as 600,000 adoptions each year, India is expected to experience increased growth in its pet care industry. Over a forecast period of 2019 to 2024, the Indian pet care market is expected to grow at a CAGR of 17%, outpacing growth in the worldwide pet care market by more than three times over the same forecast period.
Across the world, the COVID-19 pandemic has caused decreased economic activity in many industries and sectors. Despite this economic slowdown, it appears that the pet care industry has witnessed increased sales due to the crisis. According to Nielsen, between March 15, 2020 and March 21, 2020, dog food and cat food sales were up 54% and 52% respectively relative to the same period last year. Further, it appears that e-commerce pet care companies are benefiting as people purchase goods from their homes. According to Moody's, online pet supply retailers like Amazon and Chewy have seen increased demand, with Chewy hiring an additional 6,000 employees to keep up with demand.
Unlike most equity crowdfunding campaigns that are pre-revenue, Petpal is generating revenue and is perfectly positioned to grow as they tap into the lucrative pet retail market. They have launched pet protection plan "K9care" for dogs between 2 months to 8 years and planning to introduce telehealth for all pets.
Investors can consider this investment opportunity here.