Exciting news has emerged from the Brazilian market with the announcement of the merger between two retail pet industry giants, Cobasi and Petz. This new amalgamation could potentially generate revenue exceeding 7.5 billion reais (about $1.4 billion USD) in 2024. The merger prompts a discussion about the changing demographics of pet ownership, notably with Gen Z taking the lead according to the APPA National Pet Owners Survey 2023-2024.
Gen Z’s shopping habits differ significantly from previous generations, potentially posing challenges for the merged Cobasi-Petz entity on both physical and online fronts. Considering Gen Z’s preferences, the impact can be examined in two key areas:
Physical Stores:
– Emphasis on Experience: Gen Z prioritizes experiences over mere products. Should Cobasi-Petz expand beyond selling pet supplies to offer unique experiences.
– Sustainability Focus: Gen Z is environmentally conscious. Should the merged company emphasize its commitment to sustainable practices in its operations?
Online Shopping:
– Seamless Omnichannel Experience: Gen Z expects a seamless shopping experience across online and physical stores. Should Cobasi-Petz ensure their online platform is user-friendly, with features like real-time stock checks, click-and-collect options, and easy returns?
– Social Media Engagement: Gen Z is highly active on social media. Could Cobasi-Petz leverage this by maintaining a robust social media presence with engaging content, influencer collaborations, and responsive customer service?
This merger presents an opportunity to create a retail powerhouse in the Brazilian pet market. By aligning with Gen Z’s preferences for experiential shopping, sustainability, and strong online engagement, Cobasi-Petz can navigate these challenges effectively and excel in the evolving landscape of pet ownership.
While this news focuses heavily on the Brazilian market, the strategies outlined for Cobasi-Petz in adapting to Gen Z’s preferences hold valuable insights applicable to businesses globally, especially in sectors where demographic shifts and changing consumer behaviors are shaping industry dynamics.
Mauri Ronan Moreira
English (United States) 
Portuguese