Disrupting GXL

Thought this might interest:

"Greencross operates Petbarn and City Farmers retail stores. We recently researched petcircle.com.au which we believe is an emerging disrupter. Petfood is the most important component in a Pet retailer’s inventory. It is the staple that draws consumers back to the store, and that foot traffic leads to additional purchases of high margin items (think $15 plastic dog sticks LINK. We wonder why people bother with the monthly burden of making a separate trip to a Petbarn store when they can buy their petfood online and get it delivered direct from Petcircle.com.au. Petcircle.com.au offers Petfood that is around 20-30% cheaper than Petbarn. Delivery is free. Petbarn also offers online Petfood but you pay for delivery. Petbarn offers a free bag of Petfood for every 10 bags purchased (i.e. 10% off) but only if you buy it in store, not online, this reflects how much they need the foot traffic. We believe more and more people will appreciate the relative merits of Petcircle.com.au over Petbarn and as they do so this will severely disrupt Greencross’ s business model. (Avoca Investment Management)"

From Livewire.