Understanding Market Dynamics & Strategy in Veterinary Care with Brett Holloway | Industry Consolidation, De Novo Growth & Payer Challenges

Host Roy Bejarano sits down with Brett Holloway, CFO of Veterinary Emergency Group (VEG), to discuss the rapid transformation of the veterinary industry, private equity consolidation, de novo expansion, and the challenges of veterinary payer models.

In this episode, Brett shares insights on how the veterinary care sector differs from human healthcare, why emergency veterinary services resemble urgent care, and the impact of rising costs on pet healthcare access. The discussion also covers market consolidation trends, challenges in staffing and workforce development, and how insurance—or the lack of it—is shaping the industry’s future.

Timestamps:

• [00:01] – Introduction to Brett Holloway, CFO of Veterinary Emergency Group (VEG)
• [04:30] – Veterinary Industry Evolution – Private equity’s role in consolidation
• [12:00] – Innovation Gaps in Veterinary Care – Why the sector lags behind human healthcare
• [18:30] – The Veterinary Investment Boom & Bust – How acquisitions created a bubble
• [24:00] – Pet Insurance & Fee-for-Service Challenges – Why insurance hasn’t taken off
• [30:00] – Rising Costs & Workforce Shortages – The impact of supply-demand imbalances
• [36:00] – Payer Market & Subscription Models – Can veterinary care adopt a sustainable structure?
• [42:00] – De Novo Growth Strategies – Why some groups are shifting away from acquisitions
• [47:00] – International Expansion in Veterinary Care – Is the U.S. market ready for global growth?

Key Takeaways:

• Private Equity Has Reshaped Veterinary Care. Over the past decade, massive consolidation has taken place, leading to higher acquisition multiples, a fragmented workforce, and concerns over sustainable growth.
• Veterinary Care Lacks a Strong Payer Model. Unlike human healthcare, insurance penetration is low (2-5%), leaving veterinary practices to rely on out-of-pocket payments and fee-for-service models.
• Inflation & Workforce Shortages Are Driving Costs Up. A shortage of veterinarians and rising costs of care have led to consistent price inflation, making pet healthcare less affordable for consumers.
• De Novo Growth is Becoming More Attractive. As acquisition prices have skyrocketed, some veterinary groups are shifting to organic growth strategies, opening new locations instead of acquiring practices.
• The Future of Veterinary Care is Uncertain. With rising costs, slowing demand, and no unifying payer system, the industry must find innovative ways to structure care delivery and pricing models.

Connect with the Guest:

• Website: Veterinary Emergency Group (VEG) https://www.veterinaryemergencygroup.com/
• Email: b.holloway@veg.vet
• LinkedIn: Brett Holloway https://www.linkedin.com/in/brett-holloway-89483414/

About Brett Holloway:

Brett Holloway is the Chief Financial Officer of Veterinary Emergency Group (VEG). With a background in investment banking and private equity, he has helped scale one of the fastest-growing veterinary emergency care companies in the U.S.. Brett has played a pivotal role in de novo expansion, financial strategy, and operational development in the veterinary healthcare sector.

Veterinary Care, Veterinary Industry Trends, Roy Bejarano, Healthcare Innovations, Market Consolidation, Private Equity in Veterinary Care, De Novo Veterinary Growth, Veterinary Insurance, Veterinary Economics, Healthcare Real Estate, Veterinary Workforce Challenges, Pet Healthcare, Payer Strategy, Veterinary Practice Management, Brett Holloway,