Chewy
How Ryan Cohen built fanatical customer loyalty by sending flowers when a pet died and turned an online pet store into a three billion dollar acquisition.
Ryan Cohen launched Chewy in two thousand and seven as a pet supply e-commerce site. Amazon was growing but hadn't dominated pets. PetSmart controlled physical retail. Cohen faced a problem every subscription business faces: how do you make people come back? When a customer's pet died, Chewy sent flowers. Not automated. Handwritten cards. Five million per year. The company staffed a twenty-four-hour customer service team that answered calls from people grieving over their animals at three in the morning. The autoship subscription locked customers in. Place an order once, it arrives automatically. But the real lock-in wasn't convenience. It was emotional.
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