A cofounder of Hims dismissed his entire marketing team for AI, and now his tele-vet is experiencing 20% monthly growth.

A cofounder of Hims dismissed his entire marketing team for AI, and now his tele-vet is experiencing 20% monthly growth.
Summary
Joe Spector founded Dutch after struggling to find urgent vet care for his corgi.
Dutch offers video vet visits for $100 annually, expanding to 35 states since launch.
The company shifted to in-house marketing, increasing content production and reducing costs significantly.

Share

Bookmark

Newsletter

When Joe Spector's corgi, Eddie, ingested four M&Ms, the co-founder of Hims faced a frantic challenge finding an emergency veterinarian to help. A clinic directed him to a pet poison hotline, while another option was over an hour away with a wait time of four hours. Ultimately, the vet bill totaled a staggering $2,000.

This distressing experience in 2021 led Spector to realize, "it doesn’t have to be this way," as he recounted in an interview with Fortune.

This revelation prompted the creation of Dutch, a veterinary telehealth platform launched by Spector on July 1, 2021, following his success with Hims & Hers, a direct-to-consumer telehealth company recognized for addressing issues like hair loss and sexual health. Both businesses have since expanded significantly to encompass a wider range of health matters.

Dutch recently celebrated its fifth anniversary, providing members with telehealth services that allow video consultations with veterinarians for a subscription fee of $100 annually, which covers up to five pets. This fee is comparable to the price of a single visit to a conventional veterinary practice. With operations now stretching across 35 states—up from just eight at its inception—Dutch is benefiting from a more favorable regulatory environment for veterinary telemedicine. The platform has facilitated millions of consultations and boasts over 100,000 active members, as reported by the company. In early 2022, Dutch secured $20 million in funding to further enhance its platform, with the investment led by Forerunner Ventures.

While the company did not disclose its current revenue or valuation, Spector noted significant revenue growth, with an increase of 5.5 times from 2022 to 2023, followed by a 2.2 times rise from 2023 to 2024, and a further 1.8 times boost anticipated between 2024 and 2025.

In a strategic shift to invigorate the business, Spector made a bold decision last year to terminate the services of an outside marketing agency that had been costing the company around $50,000 monthly for just five creative pieces, which averaged $10,000 each.

"This approach was both costly and restrictive, especially since marketing new products is all about testing what resonates," Spector explained.

He then assembled an in-house marketing team that utilizes AI tools to generate diverse content types, including static ads and fully animated commercials. This shift has allowed Dutch to produce about 50 pieces of content monthly—a tenfold increase. The internal operation now costs approximately half a million dollars less than the previous agency arrangement, facilitating more effective testing to engage pet owners, many of whom may be unaware of telehealth options for veterinary care.

"We need to enhance trust and educate consumers on how this service functions and its benefits," Spector emphasized.

Dutch's advertising strategy has evolved, with its investment on Meta increasing from 5% of ad spending to around 25%. The efficiency of the new team has already yielded a 20% reduction in customer acquisition costs from January 2026 to April and an impressive 20% audience growth per month between February and March, according to company data. AI is also being harnessed for measurement tasks such as A/B testing, brand-lift studies, and refining the search strategy.

Spector is quick to credit his marketing team for these advancements, stating, "It’s not just the software—it's the people behind it that drive success."

The aim for Spector is to elevate Dutch’s market presence. Initially, Dutch capitalized on immediate needs through bottom-funnel Google searches targeting pet owners in crisis. The next step is to enhance brand awareness so pet owners consider Dutch before emergencies arise.

To further this initiative, Dutch enlisted former Olympic figure skater Tara Lipinski as a brand ambassador. Lipinski, who became a customer after losing her home in the Los Angeles fires and needing veterinary care for her dog, connects emotionally with the brand's mission.

"I want our customers to feel a sense of relief,” Spector concluded.

Loading comments...