Chewy CEO Sumit Singh is seen outside the New York Stock Exchange (NYSE) ahead of Chewy Inc. from New York, June 14, 2019.
Andrew Kelly | Reuters
Chewy CEO Sumit Singh said on Tuesday that calls to his customer service line have prompted the online pet supply retailer to speed up plans to launch a virtual veterinarian service – even if that had been a few years away from the company’s roadmap.
“We started getting calls to our customer service centers, where customers were sitting at home saying, ‘Hey. My dog just ate chocolate and I can’t get the vet,'” Singh told a virtual center. conference hosted by the National Retail Federation.
The executive said his weekend mornings are spent reading customer reviews.
“A healthy level of anxiety is actually good because it keeps you paranoid,” he said. “It keeps you on your feet and keeps anticipating you.”
The virtual veterinary service, launched in October, is an example of how the company is trying to continue to build on the momentum it saw during the pandemic.
He dropped the idea that pet owners will return to buying more dog food, cat bedding or pet toys at the store after the pandemic, saying customers have formed new habits.
“We’re stuck for 10, 11 months now, most of the year,” he said. “Customers have had the opportunity to try models online not only with pets, but with a lot of services, whether they are home delivery, food delivery, shopping or pets. That, in my opinion, really offers a mental change for customers. “
Chewy shares have risen more than 265 percent in the past year, as more Americans have adopted pets and shopped online during the pandemic. The company’s market capacity is over $ 44 billion.
However, its rapid growth during the global health crisis has led some investors and analysts to question whether it can keep up with that growth rate and its long-term customers. UBS downgraded Chewy and Peloton to sell them on Tuesday. He said the online seller of pet products and the exercise equipment company were both beneficiaries of Covid-19 and could see that these tail winds are fading.
UBS has not changed its $ 75 price target for Chewy, a drop of almost 30% from where it currently trades. Shares fell about 1% on Tuesday afternoon.
Sumit said he is monitoring trends for the next three to five years, including accelerating more online shopping, reliance on tools and technology to improve customer service, and whether people return to offices, work from home or they will do both.