Innovative Luxury Services: What Sets High-End Dog Care Franchises Apart
With more than 65 million American households embracing dogs as beloved family members, the demand for high quality pet care services has never been higher. Especially for dog owners, juggling busy schedules or travel plans can lead to concerns about leaving their pets alone without adequate care and stimulation.
In response to these needs, doggy daycare facilities have emerged as a valuable solution, helping bolster unprecedented growth in pet care spending. According to the American Pet Products Association (APPA), Americans spent $136.8 billion on their pets in 2022, following a trend of consistent, multi-decade growth in the pet care industry. The services segment in particular, which includes dog walking, grooming, and boarding, grew by 20% year over year.
Entrepreneurs and established brands alike are attempting to take advantage of this record growth, with over 20,000 doggy daycare facilities in the U.S. alone. In such a large and rapidly growing industry, future entrepreneurs run the risk of establishing a business that blends in with their competition. This is where luxury brands can set themselves apart.
“We don’t want [to be] what everyone has in mind when you think of a traditional dog kennel. We want to be a five-star luxury oasis for dogs,” says Steven Parker, Co-Founder and Co-CEO of K9 Resorts, a luxury pet hotel franchise.
Consumer spending data at the individual level reinforces the value of Parker’s perspective—swimming upstream in an increasingly saturated environment. Those with annual incomes exceeding $100,000 stand out, spending over three times as much on their pets compared to those earning less, with the $100,000 to $150,000 income bracket representing the single largest share of pet-related spending.
Founded in 2005, K9 Resorts has pioneered the luxury pet hotel model, drawing inspiration from giants like Disney and Ritz-Carlton, with a focus on higher-margin services like overnight boarding. Significant time and investment has also been dedicated to the development of state-of-the-art facilities and operational processes. These help ensure guests have an exceptional experience while simplifying procedures for franchise owners and their employees.
K9 Resorts franchisee Michael Dore echoes this sentiment: “The services we offer are so above and beyond [the competition]. It gives [customers] a lot of confidence when they’re leaving their dog with you.”
The brand has also experienced substantial growth on both a macro and micro scale. As of 2023, over 138 locations are currently open or in development. At the per-unit level, on average, K9 Resorts franchised locations grossed $1,798,576 annual revenue with an EBITDA of $552,627 per location, exceeding that of competitors such as Dogtopia and Camp Bow Wow.
In an environment where pet ownership, sentiment, and spending are at an all-time high, luxury brands such as K9 Resorts are well positioned to take advantage of these trends. By focusing on customer service, quality, and franchisee success, they have also been recognized with numerous awards, including the prestigious Top Pet Care Franchise in the Nation award.
Upon presenting the award to Co-CEO Steven Parker, IBSPA founder and CEO Carmen Rustenbeck remarked, “Pet owners should have a gold standard to look to when choosing a pet care provider and K9 Resorts is helping set that standard.”