American pet e-commerce company Chewy released its second quarter financial report, with online sales reaching US$2.2 billion!

According to foreign media reports, in the second quarter of 2021, the sales of Chewy, an American pet e-commerce company, reached nearly 2.2 billion US dollars, a year-on-year increase of 26.8%. Chewy said that this growth was due to the increase in its customers and the improvement in customer purchasing power.

It is learned that although the company's sales have continued to grow since 2018, it is still in a loss-making state. In 2020, Chewy's net loss was US$92.5 million, half of that in 2019. This year, its net loss was US$16.7 million, a year-on-year decrease of about 50%.

Chewy's losses are reportedly due to the fact that in the past year, Chewy has invested more than $500 million in marketing expenses to acquire and retain customers. It will still take some time for the company to become profitable.

Chewy CEO Sumit Singh said that although Chewy did not achieve profitability this quarter, the number of users on its platform has increased over the past 10 years, and he believes that it will soon achieve profitability in the near future. It is reported that Chewy's customer growth in 2021 is 20% higher than in 2019, and it is continuously expanding its share in the online market.

It is learned that although digital marketing is one of the biggest obstacles for Chewy to achieve profitability, it is also the main reason for its sales growth. Unlike retailers that are eager to seek rapid development in home furnishings, clothing or other product categories, Chewy's customers will buy its products regularly, and its products are more guaranteed in quality and safety.

Editor ✎ Nicole/

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