The global pet food market has become increasingly competitive, with an estimated market share of $103.3 billion in 2023 and still growing. This growth has led many companies to target pet owners who are willing to invest in quality food to enhance their pets’ well-being and longevity.
In a move to distinguish itself in the crowded market, Ollie, the ‘human-grade’ pet food subscription service, is venturing into a new territory: AI-powered pet diagnostics. The company announced on Thursday its acquisition of DIG Labs for an undisclosed sum, a pet health tech startup that touts its proprietary dog stool image scanning and analysis capabilities.
Founding Story: DIG Labs
DIG Labs was founded in 2019 by Tara Zedayko and Jessica Chu, two passionate entrepreneurs who aimed to revolutionize the way pet owners manage their pets’ health. The company developed its flagship app, Health Check, which allows users to take a picture of their dog’s stool and receive health insights about their pet.
How Health Check Works
The Health Check app utilizes a vast amount of data, including over 10,000 dog stool samples and more than 50 million other data points such as images of skin, coat, teeth, gums, body condition, and eyes. This extensive dataset is vetted by a veterinary advisory board to ensure the accuracy and reliability of the app’s health insights.
The Acquisition: Ollie and DIG Labs
With the acquisition of DIG Labs, Ollie introduced a new service called Health Screening, which lets pet owners submit photos through the app and receive expert feedback on their pet’s health within 24 hours. The new tool currently offers four types of AI health screenings:
- Dental: Detects issues such as tartar buildup
- Digestion: Identifies abnormal stool color or texture
- Skin & Coat: Diagnoses irritated skin and other coat-related concerns
- Weight: Monitors weight-related concerns
These screenings can help pet owners identify potential health issues early on, reducing the need for frequent vet visits.
Ollie’s Strategic Move
The acquisition of DIG Labs is a strategic move by Ollie to enhance its subscription service and make it more appealing to new members. Compared to traditional dog food that owners can buy at the grocery store, delivery services like Ollie are on the pricier side. However, with the introduction of Health Screening, users get more than just the convenience of pre-packaged dog food shipped to their house every eight weeks; they also get a convenient screening tool that allows them to monitor their pet’s health easily.
The Future: Ollie’s Plans
Ollie plans to introduce new offerings such as portion control, weight programs, customized experiences for puppies, and more. The company is also leveraging the acquired technology to develop its proprietary ‘Foodback Loop’ process, which utilizes over 20 million data points to refine and enhance its recipes.
"We get really excited about providing personalized plans for dogs that are overweight or obese," said Tara Zedayko, Ollie’s chief executive officer. "Our goal is to make it easier for pet owners to provide the best possible care for their pets."
Conclusion
The acquisition of DIG Labs by Ollie marks a significant step in the company’s mission to revolutionize the way pet owners manage their pets’ health. With its AI-powered Health Screening tool, Ollie aims to enhance its subscription service and make it more appealing to new members.
As the global pet food market continues to grow, companies like Ollie are poised to lead the charge in innovation and customer experience. By leveraging cutting-edge technology and a deep understanding of pet owners’ needs, Ollie is well-positioned to become a leader in the fiercely competitive pet food market.
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