How would you picture the quintessential LA millennial woman? Perhaps she drinks iced matcha, and coordinates her Stanley Cup to her Pilates outfit. She takes her supplements religiously, and is concerned about clean ingredients in her food and beauty products. Most of all, she loves her dog.
That’s certainly true for It-girls Cara Santana Leto and Stephanie Suganami, who have been close friends for a decade through the LA scene and have three beloved dogs between them: Suganami’s extra-large Yorkie with “supermodel legs”, Sir Binxington Bon Jovi Jackson (who goes by Binx); Leto’s toothless chihuahua, Shepherd (Sheppy for short), who she rescued from the side of the road in Mexico; and her 85-pound golden doodle, Mercer, who she describes as a “miniature goat who creates total wreckage wherever she goes”.
On 26 August, the duo will launch their new petcare brand, Lil Luv Dog, starting with a plant-based dry shampoo available in two formats: a home compostable bamboo shaker (retailing for $36) and a travel-friendly water-soluble sachet (for $25).
Petcare is a growing opportunity for consumer investors, as pet owners trade up for quality and are moving from primarily valuing function to seeking identity and community. Some of the most notable deals this year include Indian pet food brand Drools gaining unicorn status after receiving minority investment from Nestlé in May, and dog longevity startup Loyal’s $135 million fundraise earlier this month. A number of brands sell upscale pet perfumes, including Dolce Gabbana, genderless perfume brand Dedcool and dog fragrance brand Preshies, while Dog by Dr Lisa sells a range of coatcare products.
The petcare market has been booming since the pandemic, and Morgan Stanley expects pet industry growth to reach 7 per cent annually by 2030, outpacing many other retail segments. Leto and Suganami believe there is a gap in the market for a premium offer whose branding is more akin to that of millennial-favourite beauty and wellness labels such as Rhode, attracting a consumer who is just as likely to invest in their dog’s health and well-being as their own.
“There hasn’t been a petcare brand that speaks to us the way we’re looking to market Lil Luv Dog — we want something aesthetically engaging that fits into our lifestyle, that’s elevated and sophisticated,” says Suganami. “We really are marketing this like it’s beauty or selfcare for dogs.”
Hence starting with dry shampoo — a product not commonly associated with pets. “It’s about the user experience: how can we make this the easiest way possible for a pet parent to use these products in a way that doesn’t slow them down?” says Suganami. The dry shampoo market is a $4 billion business. “We wanted to take what’s working in personal care and apply it to the petcare category,” says Leto.
Lil Luv Dog has 10 more SKUs in development, which it aims to roll out over the next year, all with a focus on innovative formulation and attractive packaging. The brand will initially be sold direct-to-consumer (DTC) to build brand awareness and equity, before partnering with independent retail chains. “We’re using the same model as the biggest beauty brands that are creator-led and independent,” says Leto.
Both actors alongside other entrepreneurial ventures, Leto and Suganami bring expertise in digital, entertainment, fashion and beauty. Leto, who is married to Thirty Seconds to Mars drummer Shannon Leto, launched her first startup, The Glam App, in 2015. It applied a marketplace model to the beauty industry, connecting consumers with hairstylists and makeup and nail artists. After scaling and exiting in 2018, she joined her largest competitor, Glamsquad, leading product development as global engagement officer.
Suganami entered the spotlight via her position as Kim Kardashian’s right-hand woman at KKW brands, from 2013 until 2017, where she eventually became chief operating officer. Since then, she has grown her own platform, partnering with Tatcha as an ambassador and Adanola on a capsule collection, and writing a column for Poosh, Kourtney Kardashian’s wellness website. She is also an environmental advocate, having co-founded climate education platform Future Earth.
Leto and Suganami are now using their experience in digital storytelling to market Lil Luv Dog in a way that appeals to the modern woman — who controls spending in most consumer categories. The brand is adopting a social-first approach and has already filled its Instagram with chic vintage photos of dogs and their owners, sleek aesthetics and captions that are funny without veering into cheesy. Binx, Sheppy and Mercer will all be making appearances throughout the marketing materials, too.
“[The petcare industry is] not targeting what women want, especially the modern millennial or the Gen Z woman who is looking for thoughtful packaging, social impact, messaging and clear, transparent ingredients,” says Leto. The idea is to create a product that Lil Luv Dog’s customers want to display on their shelves. “People don’t just buy products, they buy into brands because there’s an emotional connection. When you buy into Lil Luv Dog, you’re buying into the lifestyle. What’s missing from the shelves is a level of sophistication, so we wanted to be more thoughtful and create something more visually refined.”
Lil Luv Dog closed a $1 million pre-seed, pre-revenue round last year, led by pet-focused venture capital (VC) fund Ani VC, with participation from early stage VC funds Halogen Ventures and Twenty Two Ventures, as well as angel investors Daniel Rotman (founder of health monitoring and colour-changing cat litter brand PrettyLitter, which he exited in 2021 for a reported $1 billion) and Steve Ball (former CEO of dog supplement brand Zesty Paws, which he led to a $610 million sale in 2021).
“We look for founders who can build not just a product, but a cultural movement. What starts with a single product like dry shampoo, if done with passion and direction, can turn into a mega-brand we all love,” says Ani VC managing partner Anna Skaya, who is known for founding cat DNA testing startup Basepaws, which became the largest exit ever on ABC’s Shark Tank. “With Lil Luv Dog, Cara and Steph are building a beautiful, clean brand that focuses on sustainability, design and storytelling, which we so need in the pet wellness space. This level of care and quality is what we usually see in human lifestyle brands. We believe Lil Luv Dog will define a category.”
The brand has been over four years in the making, and the founders have spent significant time sourcing and researching ingredients. Lil Luv Dog is certified by the Environmental Working Group (EWG), who Suganami has been collaborating with since 2018 alongside Kourtney Kardashian. The non-profit pushes for research and advocacy in the areas of agricultural subsidies, toxic chemicals, drinking water pollutants and corporate accountability. “The petcare industry is so under-regulated. There’s currently no oversight on any marketing claims or ingredients that go into grooming products outside of medical claims,” says Suganami. Lil Luv Dog is also certified by Leaping Bunny as cruelty-free.
Long term, the vision is to redefine petcare, spanning categories beyond grooming. “We really want to make Lil Luv Dog that gold standard of what petcare should look like,” says Suganami. “We’ve created a solid foundation to innovate in this space, so this is only the beginning.”
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