Modern Animal needs local clinic density

This is the core tradeoff in Modern Animal’s model, growth only works when each city gets dense enough to spread fixed staffing and support costs across a large member base. The company runs a centralized virtual care center, app, and clinic network, so a market that stalls at two or three clinics can carry the cost of doctors, technicians, and real estate without reaching the visit volume and pharmacy revenue that make the membership economics work.

• Modern Animal’s revenue mix shows why weak markets matter. Membership is only about 12% of revenue, while about 88% comes from exams, diagnostics, procedures, and pharmacy. That means a clinic cannot live on subscription fees alone, it needs repeat in person utilization and local scale.
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• Austin is a concrete example. Modern Animal announced in July 2025 that it would close its North Austin clinic and shift members into its South Lamar and Mueller locations. That is what under target economics looks like in practice, fewer boxes, more concentration, and some risk that convenience drops for members.
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• The bar is rising because rivals are also building clinic density while competing for the same veterinarians. Bond Vet has scaled past 55 clinics, Chewy opened eight Chewy Vet Care clinics in 2024 and tied them to its pharmacy and ecommerce base, and industry staffing remains tight with AVMA reporting a 0.7% veterinarian unemployment rate in 2024.
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Going forward, the winning veterinary chains will look less like single clinics and more like local networks. Modern Animal’s next leg of growth depends on filling existing markets faster, lifting doctor productivity with software, and adding pharmacy and specialty revenue so each new city reaches break even with fewer clinics and less time.