E-commerceSubscriptionAustin, TX
PetCrate Co.
Curated monthly boxes for dog owners
Subscription dog-supply box business targeting premium pet owners. Hand-picked toys, treats, and accessories shipped monthly. Built on Shopify + ReCharge with a $42/mo price point and 68% gross margin.
Monthly Revenue
$74K
+8% MoM
Gross Margin
68%
of revenue
Team Size
4
people
Founded
2020
6 years ago
First Revenue
8 weeks
from idea
Founders
2
co-founders
How it makes money
$42/month subscription. Bulk product purchasing from 6 suppliers keeps COGS at 32%. Upsells (add-on items in the monthly portal) add ~$6 average revenue per subscriber per month.
Day-to-day operations
Key metrics
Monthly revenue
$74,000
↑ Trending up
Active subscribers
1,760
↑ Trending up
Churn rate
4.2%/mo
↓ Trending down
CAC
$38
→ Stable
LTV
$310
↑ Trending up
Real challenges
!
Monthly churn erodes subscriber base — constant acquisition needed
!
3PL quality control issues during peak season
!
Meta ad costs rising 15% YoY
Key Takeaway
Subscription boxes create predictable MRR but require continuous acquisition to offset churn. The unit economics hinge on LTV:CAC ratio — keep CAC below $45.