Australian consumers continue spending on pets despite cost-of-living pressures, as Melbourne-based pet care company Pawlab expands into new product categories with plans to scale to $30 million.
The growth reflects the ‘pet parenting’ economy, with consumers increasingly treating pets as members of the household.
Founded in 2020 with an enzyme-based cleaning product, Pawlab, formerly Petlab, now generates about $9.5 million in annual revenue, maintains positive EBITDA and remains fully self-funded under co-founders Selwyn Lazar and Tyron Lazar-Tromp.
The business originated during Selwyn Lazar’s time at retailer Godfreys, where he identified demand for pet odour solutions. After working with a biochemist to develop an enzyme formula, Lazar began bottling the product in his garage and selling it at local markets.
Repeat purchasing behaviour and online search data helped validate the direct-to-consumer model. Starting with a $10,000 credit card, Pawlab generated around $663,000 in revenue in its first year before reaching $9.5 million in annualised revenue without raising external capital.
The company later expanded with the addition of Tyron Lazar-Tromp, a former senior manager at King Kong, who introduced a performance marketing strategy. Pawlab has since expanded into grooming, supplements and preventative care, moving beyond cleaning products.
“We are seeing pet care follow a similar trajectory to human wellness,” he said. “Customers are looking for solutions that support their pets across multiple stages of life, not just a single use product.”
Unlike many consumer startups focused on expansion, Pawlab prioritises profitability and capital efficiency. The company increases customer acquisition spending only when return on ad spend and contribution margins support sustainable growth.
Production has shifted from manual bottling to semi-automated processes, while the business has limited retail distribution to maintain margins and retain ownership of customer data.
