HCBE Faculty Articles

The leader of the pack: how Chewy became the alpha figure

Document Type

Article

Publication Date

8-22-2023

Publication Title

Journal of Business Strategy

ISSN or ISBN

0275-6668

Abstract/Excerpt

Purpose

Chewy, Inc. is a direct-to-consumer seller of pet food and supplies. Their approach involves a deep understanding of pet owners’ needs and behaviors to provide personalized product recommendations and exceptional customer service. This case study aims to describe Chewy’s growth strategies and how the company can remain a market leader.

Design/methodology/approach

Using the customer value assessment tool, the authors examine Chewy’s value proposition, including service, quality, image and price strategies.

Findings

Chewy has built a loyal customer base that values the company’s commitment to their pets’ health and well-being. Future opportunities include focusing on pet wellness products and services, collaborating with veterinary providers in telemedicine and international expansion.

Research limitations/implications

This work is largely conceptual and presents a descriptive case study which reviews Chewy’s marketing strategy based on industry research as well as a customer value assessment via the service-quality-image-price framework.

Practical implications

Corporate leaders must adapt to market change and create business strategies to deliver superior value for customers. This requires innovative products, services and processes. The strategic insights are applicable to retailers, service and technology firms and entrepreneurial companies seeking to scale their businesses.

Originality/value

Chewy’s highly competitive market includes Amazon, e-commerce pet supply companies and big-box pet stores. But it has dominated the online sector and has substantial growth prospects. This paper concludes with recommendations for management and questions for consideration.

DOI

10.1108/JBS-06-2023-0111

ORCID ID

0000-0002-3076-7785,

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Peer Reviewed

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