NEW YORK — Direct-to-consumer pet nutrition brand Spot & Tango announced March 22 it has received $51.75 million in investments through recent Series A and Series B funding rounds, which netted $13.25 million and $38.5 million respectively. Both rounds were led by Valor Equity Partners.
Following 250% growth of Spot & Tango’s subscription-based services in 2021, the brand will leverage this new funding to expand its product portfolio and further R&D.
“We fundamentally believe that health and wellness for pets is a right, not a luxury,” said Russell Breuer, founder and chief executive officer of Spot & Tango. “Our mission is to lead the market in innovation by building a platform of products, services and community content that meet the needs of pets and their parents nationwide. Our partnership with Valor has been pivotal as we have scaled our team, supply chain and operations to support rapid growth.”
According to data from the American Pet Products Association (APPA) shared by Spot & Tango, pet ownership in the United States has surged to 23 million new pet owners since the start of the pandemic. Pet food and treat sales have grown 9.7%, and it is estimated that direct-to-consumer brands like Spot & Tango will exceed 55% of total pet food sales in the United States by 2025.
To continue meeting this increased demand and an accelerated shift toward omnichannel and e-commerce purchasing preferences in the pet market, Spot & Tango will expand its UnKibble line to include a new Cod & Salmon recipe for dogs with food sensitivities. The company first launched its UnKibble line in 2020, and also offers fresh formulas for dogs.
In January 2022, the company announced plans to invest $20 million in its first in-house manufacturing facility in Allentown, Pa.
“Spot & Tango is building a brand that meets growing consumer preferences for pet health and wellness, convenience and personalization,” said Jon Shulkin, partner and co-president of Valor Equity Partners. “The company is a pioneer in new product development, creating solutions that solve real problems for pet parents. We are thrilled to partner with the Spot & Tango team at this key inflection point, as they expand their portfolio and build out the supply chain to address the needs of dogs and consumers across the country.”
All Spot & Tango formulas are developed with help from animal nutritionists. The minimally processed diets contain high-quality fresh and whole ingredients and are free from artificial additives. Pet owners can personalize the proportions of their subscription-based Spot & Tango orders based on their dogs’ individual needs.
The company also supports animal shelters and rescue organizations through its new program launched this year, which aims to reduce the cost of quality pet food for shelters, foster pet owners and new pet owners.
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