How to Start a Pet Transportation Business
Pet Transportation Services are needed as the number of pets in
the U.S. has grown tremendously over the past few decades.
According to the U.S. Pet ownership and Demographics sourcebook,
there are an estimated 60 million dogs and 70 million cats in
American homes today. Apart from that, households which own pets
have been recorded to spend 36% more in 2001 as compared to
1996. With this, owning a business that caters to the pet
market, including a pet transportation service has lots of
potential for healthy growth.
This is due to the fact that many Americans move around the
country yearly and thus would require pet transportation
services to move their pets as well. On a smaller scale, pet
transportation services can also cater for local residents who
require these services to transport their pets to and from the
vet, within a local area or even to the crematorium for pets
which have died.
Start Up Costs and Financing Sources:<
Starting a pet transportation business really depends on the
scale that you want your business to be. If you want to start on
a smaller scale, all you really need is probably a pickup truck
that has been modified to be safe and suitable for the transport
of animals. Of course, you will need to set up an office or
operate from your home with just a telephone, email and a fax
machine. All of these will cost you less than $20,000.
On a larger scale, especially when you are considering cross
border transportation, you will probably need to invest on a
larger truck that can accommodate a few pets at the same time.
Apart from that, the insides of the truck will need to be made
suitable, safe and clean for pets, with adequate ventilation and
cleaning facilities. In order to make this business viable, you
may need to quickly expand your business to include sales agent
offices in various locations. This way, you can build up
business volume in order to increase profitability. All of these
may cost you anywhere from $200,000 to $500,000 in initial start
up costs.
Financing can be obtained from investors who may be interested
in the potentials of such a business. Other than that, lending
institutions such as banks can be approached to obtain a loan
for the business. As with any business start-up, an impressive
business plan must be developed for potential investors and
financiers, indicating the potential growth as well as the
estimated annual costs and revenue of the business.
Pricing Guidelines for Service:
The pricing strategy for a pet transportation service business
fluctuates based on the fixed and variable cost of the business,
as well as the nature of the service provided. Local
transportation services may start with a minimum charge of $20
to $40 for the first 20 miles and an additional $10 for every 10
miles after that.
As for interstate transportation or transportation between
cities, the distance between the origin and the destination will
be the major price determinant. With this, prices may range from
$100 and up, depending also on the size of the animal and the
pet carrier.
Advertising and Marketing:
As you are targeting pet owners, the best marketing approach
would to advertise in locations where pet owners would go.
Reading material for pet owners as well as events that are
attended by the same target group. Placing brochures within pet
stores and probably awarding pet stores with commissions for
every customer they recommend to you would be a good idea.
Advertising in pet magazines or getting a write up on your
services would be helpful. Of course, classified ads in the
Yellow pages are a must in order to make it easy for customers
to locate you.
Other channels of promotion would be participation as a vendor
in dog shows or exhibitions. Doing this will help increase
awareness on the existence of the business. Additionally,
working with associations such as the American Kennel
Association would create and improve visibility to pet breeders
and pet store owners. Especially when you participate in events
organized by these associations.
Launching a website and allowing potential customers to get
instant price estimates from your website would also be a great
idea.
Essential Equipment
This business requires a fair amount of equipment, in which the
most important would be the vehicle that is used to transport
the animals. Apart from that, other equipment such as crates,
kennels and carriers may be required as some customers do not
have these items with them. The size and usage of these crates
must be according to the guidelines set by the Independent Pet
and Animal Transport Association (IPATA).
Handlers and drivers will need to be employed to care for the
animals while they are in transit. Other equipment required
would be built-in sinks within the vehicle to allow for easy
cleaning and water refills.
Recommended training, experience, or needed skills:
There is no extensive training required for a pet transportation
service business. However, good and responsible drivers and
animal handlers need to be engaged. It would be best if you have
a background and experience in handling animals during travel so
you can train your staff and ensure that they are handling
animals in the correct manner. Apart from that, your staff must
also know what to do if they encounter problems during the
journey, and should also be equipped with the latest kennel and
vet location information in case of emergencies.
Apart from that, the business owner must be well informed on all
legal requirements pertaining to pet transportation. For
example, there are IPATA guidelines on the size of crates and
wire crates that are required by law. Moreover, all pets must be
accompanied by an inter-state travel certificate that has been
certified by a veterinarian.
Income potential:
The income potential of this business is dependent on how large
the business grows to. A larger business with multiple offices
and destinations will be able to sustain a higher sales volume.
With this, the pet transportation business will be able to
generate at least a six- figure income each year.
Target market:
Pet owners, pet stores and animal breeders.
Success tips:
A pet transportation business requires investment and a passion
for welfare of animals in order for it to be successful. As it
is also a niche market, lots of marketing and advertising need
to be invested into the business in order to create the
awareness of the services.