Jun 30, 2021, 13:48 PM
Covetrus to acquire VCP, a market-leading platform administering veterinary wellness plans to approximately 1,000 veterinary practices.
Today we announced a definitive agreement to acquire VCP, a market-leading platform administering veterinary wellness plans to approximately 1,000 veterinary practices. This planned acquisition allows us to arm our veterinarian heroes with tools they need to create accessible, highly tailored, veterinarian-administered wellness plans for today’s pet parents.
How Do Wellness Plans Work?
Pet wellness has grown to an estimated $50 billion market in the United States and is currently experiencing rapid acceleration as modern pet parents seek new ways to care for their pets.
Wellness plans feature personalized bundles of products and services that create a membership-style experience for pet parents. Administered by veterinarians, these plans offer more holistic care for animals, including more predictable costs and flexible convenience.
VCP’s technology equips veterinarians to deliver wellness, treatment, and lifestyle plans, featuring:
- Preventative services
- Dental care
- Boarding and grooming services
Integrating the VCP platform with Covetrus’ robust practice management software creates greater opportunity to meet the unique needs of every family, as well as support an enhanced veterinary practice and pet parent experience.
How Do Wellness Plans Benefit Veterinarians?
Today’s veterinarians are looking to drive better business outcomes for their practices and better health outcomes for their patients, especially as more people have adopted pets during the pandemic. This is especially important as veterinary practices compete with large online retailers intent on distancing them from their patient’s care.
Tech-driven wellness plans such as those administered by VCP deliver exceptional experiences that encourage customer loyalty and deliver recurring revenue for veterinarians. Practices who have adopted the VCP platform reported up to 10% revenue growth in the first year, with ongoing YoY growth and significant increases in spending per pet over time.
The planned acquisition of VCP’s market-leading wellness technology platform further accelerates our ability to drive deeper engagement with customers and better outcomes for their patients. We believe that VCP’s solution coupled with Covetrus’ deep industry expertise and robust services will allow our teams to deliver enhanced patient care, empower veterinarians to run better businesses, and create an unparalleled experience for the pet parent.
We will be sharing more on integration efforts in the coming months.