Inside The 38% Market Share Of Drools In Pet-Care Industry

A little introspective! 

In the last 36 editions, we’ve shed light on how certain brands have exemplified aggressive growth. 

And rightfully so! As a D2C founder, you should look up to these brands and draw actionable insights from their growth ‘hacks!’

But then there are brands that have taken their industries by storm, completely dominating from day 1.

Case in point? Drools, a Bengaluru-based D2C brand is taking the INR 25,000 Cr pet-care market by storm.Backed by a recent INR 500 Cr investment from L Catterton (the private equity firm backed by LVMH Moet Hennessy Louis Vuitton), Drools is now valued at INR 4900 Cr and on track to bag the coveted unicorn status in the next two years.

Let’s dive into Drools’ growth playbook!

The Pawsome Pivot!

“Why should your pet consume something you wouldn’t eat yourself?” This core belief drove the company’s focus on quality, with real chicken being the first ingredient in many of their products.

As per AAFCO (Association of American Feed Control Officials) the definition of real chicken is the clean combination of flesh and skin with or without accompanying bone, derived from the parts or whole carcasses of chicken or a combination thereof, exclusive of feathers, heads, feet and entrails.

Initially, Drools catered to a B2B market, but with India’s pet ownership growing at an 11% annual rate and the rising awareness of pet nutrition, Drools quickly pivoted to a D2C model, and the rest is history!

🔷 INR 500 Cr revenue in FY23

🔷 INR 4900 Cr valuation as of February 2024

🔷 38% market share in volume

🔷 17% market share in value

🔷 70% CAGR between FY20 & FY22

Under The Lens: Drools’ Growth Levers

The growth journey of Drools is a case study in itself.

Manufacturing Powerhouse

Drools operates three manufacturing facilities in India, selling around 5,200 tonnes of pet food a month.

But it’s not just about volume. Drools ensures that every ingredient used meets the highest standards of nutrition and safety. This commitment has helped Drools build trust among pet owners.

“Pet owners today treat their pets as family, and they want to provide them with the best,” says Shashank Sinha, CEO of Drools. “This trend towards grain-free and garden-inspired pet food is on the rise, and Drools is perfectly positioned to meet this demand.”

Tapping The Untapped Markets: Tier-II & Tier-III Cities

While pet ownership was always blooming in metro cities, a huge opportunity afloat in India’s smaller cities like Bhubaneswar, Patna, Guwahati, and Surat.

More than 90% of pet owners in these areas either preferred home-cooked food for pets or did not have the option to buy good-quality packaged foods for their pets.

And, Drools jumped right into this opportunity!

They expanded their distribution network, covering over 34,000 points of sale, both online and offline, ensuring that pet parents from every corner of India have access to their products.

Riding the Cat Wave

While dogs still account for a larger portion of the Indian pet food market, the cat segment has exploded—jumping from 15% of the market before COVID-19 to 35% today.

Drools capitalised on this trend by expanding its range of cat food, from kitten-specific formulas to adult cat nutrition.

In cities like Mumbai, 65% of revenue from pet-related products now comes from the cat category.

Celebrity Endorsements With A Purpose

Drools’ partnership with celebrities like Hrithik Roshan, Kareena Kapoor Khan, and Kartik Aryan, amongst others isn’t just for glamour—it’s a strategic move that has helped them claim a larger market share.

“Celebrity endorsements can be incredibly influential in India,” says Shashank. “But we make it a point not just to sell the brand, but also to enlighten our customers about the importance of proper pet nutrition.”

These campaigns have helped raise awareness about packaged pet food.

Mastering The Digital Play

With 90% of its business coming from online channels, Drools has mastered the art of digital marketing. Their collaboration with Amazon has been a game-changer, allowing them to reach pet parents across India, from metro cities to smaller towns.

Drools has also embraced quick commerce, working with quick-commerce platforms to cater to last-minute pet food orders.

This focus on digital has allowed Drools to spend 11% of its revenue on marketing, primarily on digital platforms, where they see better returns compared to traditional mass media.

The Billion-Dollar Dream Of Drools 💰

Drools isn’t just focused on India—the company already exports to 22 countries, including the UAE, Australia, and Israel.

The ambition is clear: become a unicorn within the next two years. And with the pet-care market growing at a CAGR of 16.5% until 2030, Drools is on the right track.

Until the next one!