Petco Stores Are Coming to Nearly 300 Lowe’s Locations

The
Petco
stores will offer access to pet supplies, including toys, food, and flea and tick solutions, as well as veterinary services at select stores once a month, the companies said.

“Our initial pilot program with Petco resonated with our existing, loyal shoppers and introduced new customers to Lowe’s,” said Bill Boltz, Lowe’s executive vice president of merchandising. “Partnering with top brands that our customers know and trust, like Petco, allows Lowe’s to continue elevating and localizing our curated assortment to ensure we have the right products in the right markets.”

Most of the Petco stores will be located in rural areas across the country, playing into Lowe’s broader strategy to tailor its assortment to rural communities. The rural assortments will include feed, outdoor products, expanded trailer selection, and farm supplies.

The store-within-store strategy has been a popular one among retailers looking to draw customers back into stores following the pandemic.
Target
(TGT), for instance, has embraced partnerships with many brands throughout the years, including
Starbucks
(SBUX) and
Levi Strauss
(LEVI). The big-box retailer is currently expanding on its recent partnership with
Ulta Beauty
(ULTA) to tap into the increased demand for beauty and skin care products. Department store
Kohl’s
(KSS) announced a similar store-within-store alliance with Sephora.

Shares of both Petco and Lowe’s wavered following Thursday’s announcement, suggesting that investors aren’t convinced the strategy will move the needle on sales. Petco stock was up 0.3% in early morning trading, while Lowe’s dipped 0.6%.

Write to Sabrina Escobar at [email protected]