Petco to buy Drs Foster Smith
- Thread starter Cujo13
- Start date
lhm nole
New member
I worked for a mom and pop company and they were bought out by a national company and in our first merger meeting they stated the reason they bought us was to learn from us and how to better deal with the customer base.. Well that lasted about 3 months and everything went the corporate way.. Not saying this will happen with foster and smith but odds are it will
I get the concern. However, like politics, animal husbandry is local. There's a PetCo near me and nearly nothing else for miles. So I'm there if I need something quick, small tanks, bottle of PraziPro frozen food etc. Always look at the small salt water section more out of curiosity than anything. Last time in I was pleasantly surprised at how well maintained it was and how good the overall condition of the livestock was. I mentioned this at check out and the assistant manager grinned, "We have a new employee in the department who is really good." I do think that people care. And often its knowledge and effort. Perhaps one reason PetCo bought DFS is to gain that knowledge and culture?
Reefer07
New member
You all gotta realize somthin, when a large company like dfs is bought out the quality just isn't gunna go to ****. Yah, in general it may go down but it very well may not. When Petco or any company buys a large well established company it is in their best interest to let the current employees stay and continue to do what they've been doing. DFS has a good thing going and Petco would be stupid to break that up or change their ways and products drastically. This very well could mean a higher quality now in Petcos line an they'll just be makin the money with DFS under them.
Just my .02
Just my .02
I for one look forward to hearing about what new venture Kevin Kohen will be moving onto. Hopefully again he will be involved a new retail establishment so we have someplace to.buy quality fish from. I don't know hime personally but his reputuation is well known. I'm willing to bet a $1 that as soon as he recieves his retention bonus and is released from his contract/gag order/ noncompete clause we will here new and bettet things coming from him
phenom5
Member
IDK, seems pretty clear that Petco saw a chance to swallow up some competition (DFS) and grab a big player in a space they don't operate (LA/DD). It'd be pretty stupid to make sweeping changes to a successful company in an area they have little to no experience...which isn't to say it can't or won't happen.
If you have some personal line in the sand against Petco, fine...but to me it seems silly to stop shopping at LA/DD based on the conditions of a tank at your local Petco.
If you have some personal line in the sand against Petco, fine...but to me it seems silly to stop shopping at LA/DD based on the conditions of a tank at your local Petco.
the only thing I purchased was a clean up crew from LA twice and they were great in the response when one package had all dead snails and was promptly refunded no questions asked.
The concern I have is the pricing of the products sold at through DFS is much cheaper than Petco since I purchase more dry goods. A box of IO is $45 while Petco is $60~ and not including shipping and tax now! Unless DFS remains a separate entity, at least tax will not be charged.
I can't imagine Petco not raising the dry items because they would be hurting their own sales from the stores. I do purchase marine fish from Petco, usually in the under $20 range only since I can deal with a loss if it doesn't pass through quarantine. Even then that's not really too often unless it's a really good deal or only to replace things that died which isn't often when my tank only had at most 3-4 fish.
The concern I have is the pricing of the products sold at through DFS is much cheaper than Petco since I purchase more dry goods. A box of IO is $45 while Petco is $60~ and not including shipping and tax now! Unless DFS remains a separate entity, at least tax will not be charged.
I can't imagine Petco not raising the dry items because they would be hurting their own sales from the stores. I do purchase marine fish from Petco, usually in the under $20 range only since I can deal with a loss if it doesn't pass through quarantine. Even then that's not really too often unless it's a really good deal or only to replace things that died which isn't often when my tank only had at most 3-4 fish.
phenom5
Member
I stand corrected.
Petco isn't concerned about your fish money. I don't mean to be rude, but if you think the reason Petco wanted to buy DFS is because they weren't selling enough Yellow Watchmen Gobies, then you're mistaken.
My guess is that Petco wanted the DFS line of other animal care products, prescription medication capabilities. You can't order prescription medication for your pet through Petco's website right now. Once they've brought DFS into the fold you will.
I'm not sure what kind of revenue is generated through fish sales company wide, but for just over $15,000 you could buy every single fish in the Diver's Den right now. And that's with a $3000 Conspicuous Angel. I'm guessing Diver's Den never even made the conversation about what was a good business reason for Petco to buy DFS.
I've never had any problem with the fish I buy from Petco. Just like with my LFS, I have eyes and can look at the fish to see whether they appear to be healthy or not before I make a purchase. I happen to have had, past tense since they shrunk the store, a great saltwater section at my local Petco. The guys who ran that department are hobbyists like us and it showed. Their tanks were often cleaner than other SW fish stores I've been in.
What if it's just the opposite of what everyone here is afraid of? What if Petco allows DFS's fish guys to take what they do best online to the retail side of the world. Wouldn't you all love to think that you could go get fish from DFS in any major city around the country? Think about the positive impact DFS could make on that specific department at Petco.
If you read the press release about the purchase, DFS and Petco both said they don't see any disruption in their business with the purchase. No layoffs. No change in business procedures. Petco isn't a publically traded company who have to answer to shareholders. That's where you typically see the kind of business change you're describing.
I'm not changing the way I do business either. I'll continue to shop at LA, and my LFS, and Petco.
That's my $.02 FWIW.
Yeah, its pretty much unknown. I know purely due to working in the industry and having deep knowledge of livestock movement globally.
My personal opinion: The purpose of being in business is to make money without spending a ton more in the process and driving customers away. The Doctors also cater to markets other than Salt water fish, which I have heard nothing adverse or bad in these areas dealing with PETCO. Bottom line, if you think that Saltwater fish are the focus of the merger, then you will be sadly UN-surprised the next time you visit PETCO's Saltwater fish section. You cannot miss what you never had.
????? There have been plenty of threads about Petco SW online right here on RC. Their prices can be good and they now have a 30 day guarantee on livestock.
oseymour
Euphyllia Addict
I'm baffled by the speculation that I see beeing posted here. How about we wait and see how the purchase/merger goes.
My opinion is that Petco knows that they lack saltwater expertise and they needed an acquisition to get more expertise in the market. I don't think Petco is going to spend considerable resources to "destroy" DFAS and it's reputation in the market, in such a tight-knit hobby, reputation is important. It's more likely that Petco will take knowledge from Drs Foster and try to apply it to their stores.
I'm speculating too but I'll just wait and see.....
My opinion is that Petco knows that they lack saltwater expertise and they needed an acquisition to get more expertise in the market. I don't think Petco is going to spend considerable resources to "destroy" DFAS and it's reputation in the market, in such a tight-knit hobby, reputation is important. It's more likely that Petco will take knowledge from Drs Foster and try to apply it to their stores.
I'm speculating too but I'll just wait and see.....
Didn't their 'teaming up' with the people from the 'Tanked' TV show, teach them all they need to know?
hogfanreefer
Active member
I don't think they bought DFS with any consideration of LA or DD. It's insignificant in this buyout. If DFS is a 100 gallons of water, DD/LA is a thimble full. The prescription med business, food, etc. is what they were after. I just don't see much business reason for them to spend a bunch of capital and effort on it. That may work for the best though as long as LA and DD don't LOSE money. Maybe they will leave them alone because they are so small.
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