Product Category Pivot

Ramon pivoted his pet products business (AlphaPaw) during COVID shipping crisis by expanding into a new product category. When shipping container costs increased from $3,000 to $20,000, making his original dog products unprofitable, he adapted by:

Key Points:

  • Original Business:

    • Company: AlphaPaw
    • Products: Dog products including dog ramps
    • Distribution: Direct-to-consumer
  • Crisis & Pivot:

    • Trigger: COVID shipping crisis
    • Challenge: Container costs increased 6x (from $3k to $20k)
    • Impact: Unit economics became unsustainable for large products
  • Strategic Pivot:

    • New Product: "Genius Litter" (cat litter product)
    • Key Success: Secured nationwide distribution deal with PetSmart
    • Strategy: Moved from dogs to cats within pet category
  • Outcome:

    • Business recovered and expanded
    • Gained major retail distribution
    • Successfully navigated through supply chain crisis

The pivot demonstrates how staying within a related category (pets) while changing specific products can help navigate business challenges.

16:48 - 17:53
Full video: 53:26
SP

Shaan Puri

Host of MFM

Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.

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