What Are Dogtopia’s Multiple Revenue Channels for Franchisees?
When you take on the title of franchise owner, you want to feel assured that your investment is going toward a business model that can offer you as much stability, growth, and financial success as possible. But how can you predict this, especially early on in the process as you navigate your franchising options? One way is to look to the franchise’s revenue opportunities.
When a franchise system offers diverse revenue streams, meaning there are several opportunities to generate profit (i.e., through products and/or services), it creates an opportunity for their franchisees to grow and reach a wider customer base, helps set them apart from the competition in their community, and leads to more consistent cash flow. In comparison, a franchise business that focuses primarily on one product or service risks the possibility of a decline in public interest or a period of stagnation during an economic decline that can make it more difficult to maintain a profit.
At Dogtopia, we have offered our franchise owners multiple revenue channels for more than two decades and have spent years refining our business model to create multiple strong and profitable revenue channels. With years of knowledge and real-world experience behind us to back up our choices, our franchisees offer pet parents a range of services to provide exceptional care for dogs across North America. Now set to open 400 Dogtopia centers by 2025, we are the fastest-growing franchise in the pet industry.
Below we have outlined what revenue channels we offer our franchisees, how they can provide a steady stream of revenue, and what makes Dogtopia stand out in each area. If you have any questions about becoming a Dogtopia franchisee, we encourage you to review our FAQ page, which is full of details regarding the process, the pet industry, the investment, and more.
Strictly from a revenue standpoint, our daycare service offers recurring, steady cash flow, since many pet parents enroll their pups for full daycare options at least two to three times a week. With many of our franchise locations offering loyalty plans, franchisees have greater revenue stability on a consistent basis. Our pricing model for doggie daycare also avoids issues like inflation, as teams across all of our locations can better schedule their daycare days to ensure there is income coming in while offering a pricing model that provides savings and benefits to pet parents.
It is important to note that there is a steady rise in the desire for pet parents to spend more on their furry family members on various types of dog services, including daycare. Therefore, it comes as no surprise then that the pet daycare and lodging market is experiencing a compound annual growth rate (CAGR) of 7%, and is expected to grow by $8.24 billion between 2020-2024.
What makes dog daycare such an appealing channel of revenue for our franchisees is that it naturally helps promote our other services, increasing opportunities for revenue. For instance, when our pet parents bring their pup to a Dogtopia location for daycare, our franchisees and their team build relationships with them and get to know the dogs on a personal level. Over time, this creates long-term relationships and a steady customer base who are more trusting to try out other services we offer, such as for an overnight stay, long-term boarding and/or our doggie spa.
Daycare provides a wide-open day for pet parents to add a brush out or a nail trim from our spa to their dog’s daycare plan, which allows for multiple revenue channels to combine and provides a major opportunity for our franchisees to gain profit in several areas, even in a single day.
Our overnight stay or boarding services tie into our daycare services, as overnight stay pups can enjoy the benefits that our daycare has to offer during the day, in addition to experiencing quality care overnight and for extended stays. This is what helps us stand out from the boarding or kennel competition who may deal in mostly “one-off” transactions, as pet parents want to know that their pup is experiencing a fulfilled day, rather than a singular service at a time.
Similar to our daycare, our overnight stay offers pricing options for pet parents to choose from, we offer both home-style crates for boarding pups to stay in as well the opportunity to upgrade to private suites (available at select locations).
Another revenue channel our franchisees have to offer pet parents is spa services. While Dogtopia offers the opportunity for stand-alone treatments, many pet parents add services to their dog’s daycare and/or overnight stay. Having an opportunity to have their pup feeling and smelling like a million bones is something that many pet parents find appealing. Pet care and wellness is a growing industry that many pet parents are investing in, which is something our franchisees can find immense opportunity and growth in.
Dog Training or Grooming (by location)
Some of our Dogtopia locations offer dog training or grooming options as additional channels for revenue, as it ties in nicely with the daycare and spa services we offer. Dog training services are offered to pups who enroll in daycare for several weeks, and we also offer package deals like puppy preschool that includes the days in daycare and the training sessions all in one, making this a great opportunity for pet parents and franchisees alike.
Grooming is also a service some of our locations offer that helps make our facilities a “one-stop shop” for pet care needs. It also adds additional offerings to our spa, making this revenue channel highly profitable because it can be easily added to daycare and/or boarding packages. Grooming is a popular industry right now, as it is expected to reach $11.2 billion by 2027 and has the highest CAGR in the pet services market overall.
Subscription and Membership-Based Daycare Products
Within many of our services, we offer subscription and membership-based opportunities for our pet parents, which makes it not only appealing to them financially since it can often come as a better deal, but it allows franchisees stable and reliable cash flow for a consistent period of time.
Our pricing models provide franchisees more financial security because they can better plan how much revenue they will receive from the pet parents who pay for subscription and membership-based services. In turn, this helps them form a better strategy to increase profit each month to pay for additional recurring fees.
Franchising with Dogtopia
With several channels for revenue, our franchisees have the opportunity to take part in the multi-billion-dollar pet industry with a brand that is leading the way in multiple pet care services. If you are interested in becoming a franchise owner with us, check out our Next Steps page for an overview of the process, and fill out our online inquiry form to help jump-start the process.