How VetRxDirect Unleashed the “Ultimutt” Subscription Program

3,000

active subscription customers within the program’s first year

20%

of monthly revenue driven by recurring orders

34%

of customers purchase additional, one-off items

Founded in 2006 by a long-time Midwestern veterinarian, VetRxDirect is a trusted online pharmacy for prescription medications and premium pet supplements that are delivered straight to consumers’ doors.

Challenge

As an emerging company in the pet care industry, VetRxDirect wanted to grow their business by developing a recurring relationship with their customers and establishing themselves as an innovative, customer-centric brand. Among the company’s goals was to stand out in a crowded marketplace filled with entrenched players.

Solution

To address these goals, VetRxDirect partnered with Ordergroove to launch a new subscription program with auto-ship and auto-replenishment. The subscription program targeted customers purchasing pet over-the-counter medications such as vitamins and supplements.

VetRxDirect’s subscription program features:

  • Easy sign up by selecting the Auto-Delivery option from a product page or in the shopping cart
  • Custom delivery schedule that can be modified through the customer’s online account
  • Email notification 10 days prior to shipment, providing customers an opportunity to review and modify their orders
  • Ability for customers to add one-time purchases to a subscription order
  • A 5% discount on customer’s first order and a 10% discount on all Auto-Delivery orders
Results

VetRxDirect’s subscription program was an instant success. The company quickly grew their subscriber base while adding a predictable, recurring revenue stream. Compounded annual recurring revenue has grown at 5% and compounded activation revenue has grown 3.3%. The program also made VetRxDirect’s customers’ lives more convenient by ensuring their beloved pets always have the products they need.

Our business is primed for Auto Delivery and guided selling. The customer need is there, and by leveraging Ordergroove’s technology, we’ve made it easy for customers to join and use, leading to positive outcomes for our business.”

Wes Hepker

Director

VetRxDirect

Results

VetRxDirect’s subscription program was an instant success. The company quickly grew their subscriber base while adding a predictable, recurring revenue stream. Compounded annual recurring revenue has grown at 5% and compounded activation revenue has grown 3.3%. The program also made VetRxDirect’s customers’ lives more convenient by ensuring their beloved pets always have the products they need.

Partnering for Future Growth

Looking toward the future, VetRxDirect plans to continue innovating and striving to offer frictionless and engaging experiences to busy pet owners. To make this possible, Ordergroove is constantly evaluating their subscription program and considering new features, promotions, and more.

ABOUT

Founded in 2006, VetRxDirect is an online pet pharmacy focused on delivering high-quality pet medications and premium veterinary supplements at affordable prices.

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