Pet health insurer Trupanion intends to enter the food and wearable technology markets and expand farther overseas as part of a 60-month strategic plan to become a multifaceted, $1.5 billion-a-year company by 2025.
The initiatives unveiled by founder and CEO Darryl Rawlings in a report to shareholders are designed to “expand the reach of our core Trupanion product globally and begin the growth of new pet care brands in the animal health arena.”
The report was accompanied by news of Trupanion’s 2020 performance. The Seattle company ended the year with at least two record highs: 862,928 enrolled cats and dogs and $502 million in revenue. Trupanion also posted a $5.8 million net loss.
The shareholder report highlighted six initiatives, or what Rawlings called “building blocks,” tied to the 2025 deadline and $1.5 billion revenue goal. All the projects will “build on our current business model and expertise” and “leverage the same skills and knowledge to expand into new and exciting opportunities,” the report stated.
They include:
- A new pet food brand, Landspath, to be sold directly through the veterinary channel starting in 2021. The diets were developed in partnership with therapeutic food manufacturer Rayne Clinical Nutrition. “If our hypothesis is true, members with pets eating Landspath will enjoy the benefits of savings on our insurance products because we will have data to demonstrate that they are less prone to illnesses,” the report stated.
- A GPS tracker managed by a start-up business unit. “Our solution is to enable pet owners to instantly locate their pet using an app on their phone through a self-charging, patented GPS unit which attaches to the pet’s collar.”
- Selling Trupanion insurance not just in the United States, Canada and Australia but also in Japan and beyond. “We anticipate potential expansion into countries such as the U.K., Brazil and potentially parts of Western Europe.”
- Two more subscription insurance brands: Furkin and PHI Direct. “These are new pet medical insurance products designed to be offered primarily online. They will offer the same high-value proposition as the Trupanion product but at different price points.”
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