Insights

Amazon Wags Its Way into the Pet Food Business

Wag-Amazon

Amazon has rolled out a new private label pet food brand, Wag, that is now available on Amazon.com. This is significant for pet brands and retailers alike.

A little backstory

Back in 2011, Amazon acquired Quidsi, owners of Soap.com, Diapers.com, BeautyBar.com, Casa.com, YoYo.com, and Wag.com. Fast forward to 2017 — Amazon pulled the plug on each of these sites, and used them as a redirect to a custom landing page on Amazon.com. Here’s what I see when I go to Wag.com today:

The same is true for each of the Quidsi sites. After reporting that these e-commerce sites were unprofitable, Amazon decided to consolidate the traffic from remaining loyal customers to their homebase, the Amazon marketplace.

Wag Dog Food

Reports of Amazon’s private label dog food started filling news feeds late last night, although Vine Voices reviews (trusted Amazon customers that write reviews in exchange for free products) have been populating Wag products for the last few months. Wag, which currently offers a handful of dry dog food options, is currently only available to Amazon Prime subscribers. As Fortune reports, Amazon has plans to expand the offerings in the future.

The current line of Wag products, Amazon.com

In light of Amazon’s product launch, pet food brands and retailers alike have reasons to keep their ears perked. Different products have different needs, and pet food is historically a difficult item for e-commerce: it’s big, bulky, expensive to ship, and (in certain cases) perishable. The situation can be viewed as Amazon taking critical issues into their own hands. Brands can do the same by taking a close look at item level profitability, and start pulling the appropriate levers: pack sizes, fulfillment models, packaging, and other factors that drive cost and convenience.

For advice on combating private labels using content, read Substance, Storytelling, and E-commerce Authenticity.

This article is part of a series of daily posts called Quick Bites.