And it’s all because of Petsmart. Some big players like Champion Petfoods, Fromm, and Tuffy’s Pet Foods are leaving the online giant in light of the merger. With the purchase of Chewy.com, Petsmart’s around the country now have the ability to act as fulfillment centers for all Chewy.com orders; much in the same way Amazon is looking to utilize Whole Foods.
However, the question is, why are these brands leaving? That bag may be mixed…
Since Petsmart owns Chewy, manufacturers are now by association, selling through Petsmart…which could trigger a breach of contract if they have agreements to sell with a singular major brick and mortar like Walmart. They also may just be pulling out in support for their independent retailer community. While both may or may not be true, one thing is clear from a simple Google search; they’ll still be selling on other large e-tailer sites like Walmart and Petflow.
Either way it’s good news for brick and mortar retailers. These brands have built a need within their consumers for their products on Chewy.com, and now those consumers have to shop elsewhere.
After hearing about the departure of Champion from Chewy.com, Anne, owner of Calling All Pets in Manhattan said, “I hadn’t smiled in a long time till I found that out because the very next day this woman came in and asked for a Champion product…either Orijen or Acana…and she said “oh no, they(Chewy) don’t sell it anymore”. I was like “Yes! Finally! Someone’s on our side!”
While these brands will continue offer products on other online marketplaces as well as their own websites, that’s one goliath down and a score for local retailers.
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