Cat-sitting startup Meowtel clawed its approach to profitability regardless of bother elevating from dog-focused VCs


Canines are the most well-liked pet within the U.S.: 65.1 million households have one, in accordance with the American Pet Merchandise Affiliation. However whereas cats will not be far off, with 46.5 million households with one, a number of innovation within the pet class has centered completely on canines. And even when the service serves each species, the main target is extra prominently on canines.

Sonya Petcavich, the founding father of cat-sitting app Meowtel, thinks that cats, and cat individuals, deserve extra.

When Petcavich’s cat Lily died in 2015, she realized she may not have been one of the best cat mother. Petcavich traveled quite a bit for her job in gross sales for Philip Morris and wasn’t residence as a lot as she thought her senior cat might need wanted. She knew that pet-sitting companies existed, however she didn’t suppose they did sufficient for feline pals.

“There must be a service for cat individuals particularly; they’ve very completely different wants,” Petcavich informed TechCrunch. “Rover had been round for just a few years, and Wag was selecting up steam, however they had been so canine centered. I stated, ‘Fuck it, I’m going to be the loopy cat one that does this.’”

She took $100,000 of her personal cash, discovered a developer group and launched Meowtel in 2015. The startup is a market for cat house owners to seek out cat sitters and solely hires individuals who have direct expertise with issues like giving cats drugs (cats are particularly susceptible to power sickness as they grow old) and caring for cats with particular wants. Potential sitters undergo a rigorous six-step course of till they’re allowed to affix the app. This features a 30-minute name with the Meowtel group to confirm that they’re an actual particular person, one thing different sitting websites don’t do. Petcavich joked it’s simpler to get into Harvard than it’s to change into a Meowtel sitter.

The corporate has been working largely in stealth since its founding. Petcavich stated the corporate solely got here out of stealth now as a result of for the final 9 years, the group has put within the work, constructed up its model and gotten its consumer expertise the place it wished it to be.

Meowtel is worthwhile and its gross reserving quantity income is rising 50% 12 months over 12 months. The corporate has greater than 2,200 sitters on the platform, a few of whom have been with Meowtel for all 9 years. The corporate has accomplished greater than 95,000 sitting requests and has largely centered on larger cities, together with New York and Los Angeles. It’s trying to increase its paw print to smaller cities, too.

Meowtel has made it thus far elevating just below $1 million in enterprise capital. Of that complete, $500,000 got here from angels, together with Jason Calacanis’ Launch and Elizabeth Yin, a common associate at Hustle Fund. Extra capital got here from accelerator packages, together with Tech Wildcatters and Sputnik ATX. The corporate’s most up-to-date funding was in 2020.

Petcavich stated that elevating from VCs was powerful as a result of the enterprise capital group is extra dog-centric and many individuals didn’t get why cats wanted their very own sitting service. Petcavich stated that even nonetheless, she wished to pursue enterprise funding for Meowtel due to its market enterprise mannequin, which she thought made it a superb match for VCs. Additionally, as a result of capital-heavy nature of market companies, she thought VC cash made essentially the most sense.

She’s proper that there appears to be considerably extra venture-backed corporations centered on canines than there are on cats. There are a number of startups centered on areas corresponding to higher pet food, equipment and even ones centered on well being. Butternut Field, a U.Okay.-based pet food firm, has raised greater than $466 million in VC funding. ImpriMed, a canine oncology startup, raised $23 million in November, and Fi, a sensible canine collar, has raised greater than $40 million in enterprise capital.

As for the cats, there are noticeably fewer. Recent pet meals firm Smalls is among the few venture-backed corporations within the class. It raised $19 million final 12 months, and its founder Matthew Michaelson informed TechCrunch’s Christine Corridor that he additionally thinks innovation within the pet class has largely been centered on canines.

However does the market actually need, or have the flexibility to assist, a sitting service only for cats? Petcavich says sure, and her firm’s success up to now and progress trajectory appear to again that up.

“Within the period of 2020, there’s a model that caters to each particular kind of viewers that exists,” Petcavich stated. “These species are completely different, however nobody is making that distinction. I feel it’s the psychology of the cat proprietor, the medical wants of the cat itself, that actually opened up this blue ocean.”

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