Q&A: Woof Gang CEO talks pet trends, expansion plans
With roughly two-thirds of American households owning at least one pet, the pet care sector has been one of retail's most resilient categories.
Ricardo Azevado, CEO of dog grooming and treat chain Woof Gang, recently spoke with Chain Store Age about how the company is weathering a challenging economic environment while still planning on expanding its footprint of stores in the near future.
What is the current state of the pet product industry, and how has Woof Gang adapted to the changing trends?
We see significant opportunity in the pet industry, especially in North America where there continues to be more and more pets and pet owners. From 1996 to 2025, the population of dogs in the United States has grown by more than 35 million. Today, more than 50% of American households own a dog, and in particular, we are seeing an uptick in ownership among younger generations.
What’s even more exciting is that increasingly, we have seen that pet parents are focused on providing their pets with the same love and care as they do with other humans. Dogs are truly a part of the family these days as the humanization of pet trend continues to gain momentum. This movement has helped lead to a significant increase in demand for one particular area of the pet industry: premium grooming services.
Looking ahead, pet services are expected to be the main driver of growth for the pet industry, more than doubling to $112 billion in 2030 from $48 billion in 2019. While Woof Gang originally started out focusing on baked dogs treats, we have evolved with the market and pet grooming has become our flagship business which now makes up more than 70% of our business today.
[READ MORE: Woof Gang hits 300 locations]
We have increased our focus on our grooming business over the past few years and will continue to prioritize it moving forward. This enables us to capitalize on the growing need for premium pet services. In addition to grooming opportunities, we are still focused on expanding our retail experience with new fun product lines to cater to the more traditional retail market, which is the largest segment today at more than 40%, as Woof Gang is a trusted one-stop-shop for pets.
Have economic pressures impacted the business?
Woof Gang has made tremendous progress in recent months. Since the fall, as the business continues to grow, we launched a consumer app as part of advancing our fully integrated technology stack, expanded into new states, achieved record revenues and crossed our 300th store milestone. In the current macroeconomic backdrop, we are seeing continued demand for both our grooming and our private label products. We are also proud of the deep connectivity we have established with our franchise partner network and the communities we operate in.
After recently opening its 300th location, what growth trajectory does the brand see moving forward?
Looking ahead, Woof Gang plans to scale to approximately 450 stores across North America by 2027, advancing our vision to bring premium pet care to neighborhoods all over America, as the nation’s largest grooming brand.
In addition to progressing with our growth strategy, we plan to continue to expand our portfolio of proprietary private label treats and enter into new categories that reflect evolving customer needs as our products are always inspired by our pet parents and franchise partners. While it’s early in the year, we are on track to open 60-70 locations this year, which positions us to achieve our longer-term vision in 2027.
What types of markets does Woof Gang see as the best fits for expansion?
Woof Gang sees significant opportunities to grow in both new and existing markets. In terms of future expansion, the largest opportunities for our brand are in pet-dense communities where Woof Gang does not yet have a strong presence — particularly on the West Coast, in the Midwest, and in the Northeast. At the end of the day, wherever there are dogs, it’s likely a good market for a Woof Gang.
What size stores and what types of retail properties does the brand targeting for expansion?
Woof Gang’s ideal retail space is 1,200 to 1,800 square feet and typically we target properties in pet friendly communities that have high traffic. We have a strong network of commercial real estate brokers to help our franchise partners find the right space, and support them every step of the way when it comes to picking the location for their Woof Gang.
