This article was written by our expert who is surveying the industry and constantly updating the business plan for a veterinarian.
Wellness plans represent a significant revenue opportunity for veterinary practices looking to stabilize income and improve client retention.
Understanding the financial mechanics of wellness plans is critical for new veterinarians who want to build a sustainable practice model. These subscription-based preventive care programs generate predictable monthly revenue while increasing client compliance and lifetime value.
If you want to dig deeper and learn more, you can download our business plan for a veterinarian. Also, before launching, get all the profit, revenue, and cost breakdowns you need for complete clarity with our veterinarian financial forecast.
Wellness plans in veterinary practices generate substantial revenue increases, with enrolled clients spending 57% more annually on medical services compared to traditional fee-for-service clients.
These subscription-based programs create predictable monthly income streams while driving practice growth of 10% in the first year and potentially tripling revenue within three years.
| Revenue Metric | Benchmark Value | Impact on Practice |
|---|---|---|
| Additional Revenue Per Client | $287 per patient annually | 57% increase in medical services spending compared to non-plan clients |
| Monthly Plan Pricing | $20-$78.95 per month depending on tier | Multiple tier options allow segmentation and upselling opportunities |
| Client Visit Frequency | 5.5 visits per year (vs 3.3 for non-plan clients) | 67% increase in visit frequency drives additional service revenue |
| Contribution to Total Revenue | 10% or more initially, growing over time | Provides stable, predictable income stream with growth potential |
| Incremental Product Sales | 28-29% higher spending on non-plan items | Plan members purchase additional diagnostics and treatments during visits |
| Client Retention Rate | Significantly higher than non-plan clients | Nearly double visit frequency improves loyalty and long-term relationships |
| First-Year Revenue Growth | 10% increase in first year | Can triple revenue growth within three years with proper management |

What is the typical annual revenue generated from wellness plans in veterinary practices?
Veterinary practices offering wellness plans generate an average of $287 in additional revenue per enrolled patient annually, representing a 57% increase in medical services spending.
National Veterinary Associates documented this substantial revenue lift across their network of practices implementing wellness plan programs. Practices typically see 10% revenue growth in the first year after launching wellness plans, with the potential to triple that growth within three years when programs are well-managed and actively promoted.
The revenue impact extends beyond the monthly subscription fees themselves. Wellness plan clients visit the veterinary practice approximately 5.5 times per year compared to 3.3 visits for traditional clients, creating multiple opportunities for additional service sales and diagnostic procedures during each visit.
For a practice with 500 active wellness plan members, this translates to approximately $143,500 in additional annual revenue from increased medical services spending alone, not including the recurring monthly subscription revenue.
How many clients typically enroll in wellness plans annually, and what percentage of the total client base does this represent?
Veterinary practices implementing wellness plans report attracting 30 to 40 new clients monthly specifically due to the availability of these subscription programs.
This enrollment rate translates to 360-480 new wellness plan clients per year for practices actively marketing their programs. The percentage of total client base enrolled in wellness plans varies significantly based on practice size, marketing efforts, and the length of time the program has been available, but successful programs often achieve enrollment rates of 20-35% of active clients within the first few years.
Enrollment rates are influenced by factors including plan pricing structure, the comprehensiveness of included services, staff training on promoting plans, and the practice's client demographics. Practices that integrate wellness plan enrollment into their new client onboarding process and train staff to discuss plans during routine appointments see higher adoption rates.
The growing segment of wellness plan clients tends to become a practice's most valuable client base, with higher visit frequency, better treatment compliance, and stronger retention rates compared to fee-for-service clients.
What are the typical price points per wellness plan tier, and how many tiers are offered?
Veterinary practices typically offer 2 to 4 tiers of wellness plans with monthly pricing ranging from $20 for basic preventive care to $78.95 for comprehensive multi-pet or premium plans.
| Plan Tier | Monthly Price Range | Typical Services Included |
|---|---|---|
| Basic/Puppy-Kitten | $20-$35 | Annual exam, core vaccinations, basic parasite prevention, fecal testing, and nail trims. Designed for young, healthy pets with minimal healthcare needs. |
| Standard/Adult | $35-$50 | Two annual exams, all vaccinations, comprehensive parasite prevention, annual bloodwork, dental cleaning, microchipping, and routine diagnostics. Covers most preventive care needs. |
| Premium/Senior | $50-$65 | Multiple annual exams, advanced bloodwork panels, dental care, expanded diagnostics including urinalysis and blood pressure monitoring, geriatric screening, and chronic condition management support. |
| Multi-Pet | $65-$78.95 | Combined coverage for multiple pets with discounted rates per additional animal, including all standard services with volume pricing benefits for households with multiple pets. |
| Specialty/Breed-Specific | $45-$70 | Customized plans for specific breeds prone to particular health issues, including targeted screening tests, specialized preventive care, and condition-specific monitoring protocols. |
| Wellness Plus | $55-$75 | Enhanced plans including everything in standard tier plus additional services like behavioral consultations, nutritional counseling, advanced imaging credits, and telemedicine access. |
| Emergency Add-On | +$15-$25 monthly | Optional rider to any base plan providing discounted emergency visit fees, after-hours care credits, or priority scheduling for urgent situations. |
You'll find detailed market insights in our veterinarian business plan, updated every quarter.
What is the retention rate of clients enrolled in wellness plans compared to non-enrolled clients?
Clients enrolled in veterinary wellness plans demonstrate significantly higher retention rates, with visit frequency nearly doubling from 3.3 to 5.5 annual visits compared to traditional fee-for-service clients.
The subscription model creates continuous engagement throughout the year rather than sporadic visits driven by illness or emergencies. Monthly payment commitments psychologically reinforce the client-practice relationship, encouraging clients to maximize the value of their investment by utilizing included services and maintaining regular preventive care schedules.
Wellness plan clients show increased compliance with veterinary recommendations, with some practices reporting up to 99% compliance rates for specific preventive care measures like dental cleanings. This high compliance stems from the "already paid for" perception that removes the financial barrier at point-of-service, making clients more likely to follow through with recommended treatments.
The enhanced retention translates directly to higher lifetime client value, as wellness plan members maintain active relationships with the practice for longer periods and generate more revenue per year through both plan fees and additional services purchased during their increased visit frequency.
What percentage of total practice revenue typically comes from wellness plans?
Wellness plans contribute approximately 10% or more of total practice revenue initially, with this percentage growing substantially as enrollment increases over time.
This revenue contribution includes both the direct monthly subscription fees and the indirect revenue generated through increased visit frequency and service utilization by plan members. Practices that have operated wellness plans for three or more years often see this percentage climb to 15-25% of total revenue as enrollment matures and word-of-mouth referrals drive new member acquisition.
The revenue from wellness plans is particularly valuable because it provides predictable, recurring income that stabilizes cash flow throughout the year. Unlike traditional fee-for-service models where revenue fluctuates seasonally, wellness plan subscriptions create a baseline monthly revenue that helps practices better manage expenses, staffing, and inventory planning.
Beyond the direct percentage contribution, wellness plans drive significant indirect revenue through increased compliance with recommendations for additional services not included in the base plan, such as advanced diagnostics, specialty treatments, and surgical procedures that arise from the more frequent preventive care visits.
What is the average lifetime value of a client enrolled in a wellness plan?
Clients enrolled in veterinary wellness plans have substantially higher lifetime values compared to traditional clients, with typical pet owner relationships lasting 10+ years and generating significantly more revenue per year through increased visit frequency and service utilization.
A standard fee-for-service client visiting twice annually and spending approximately $250 per visit generates roughly $500 in annual revenue, totaling around $5,000 over a 10-year pet ownership period. In contrast, a wellness plan client paying $40 monthly generates $480 in subscription revenue annually, but visits 5.5 times per year and spends an additional 28-29% more on non-plan services and products.
When factoring in the monthly plan fees ($480 annually), increased visit frequency driving additional service revenue (estimated at $150-200 per year from non-included services), and the extended relationship duration due to higher retention rates, wellness plan clients can generate $650-750 or more annually. Over a 10-year relationship, this represents $6,500-7,500 in total lifetime value, a 30-50% increase over traditional clients.
The lifetime value calculation for wellness plan clients also benefits from higher referral rates, as satisfied plan members are more likely to recommend the practice to other pet owners, creating additional value beyond their direct spending.
This is one of the strategies explained in our veterinarian business plan.
What are the most common services bundled into wellness plans and how do they influence revenue?
Veterinary wellness plans typically bundle essential preventive care services that drive both client compliance and practice revenue through increased utilization and upselling opportunities.
- Annual or semi-annual physical examinations: These comprehensive wellness checks form the foundation of preventive care, allowing veterinarians to detect early signs of disease and recommend additional diagnostic testing or treatments. Regular exams create opportunities for client education and relationship building while identifying conditions that require services beyond the plan coverage.
- Core and lifestyle vaccinations: Including rabies, distemper combination vaccines, and lifestyle-specific immunizations like bordetella or leptospirosis ensures compliance with vaccination schedules. Bundling these services eliminates the price sensitivity that sometimes causes clients to delay or skip vaccines, improving herd immunity and pet health outcomes.
- Parasite prevention and testing: Monthly heartworm preventives, flea and tick control products, and annual heartworm and intestinal parasite testing represent high-value, recurring needs. Including these in plans ensures consistent compliance while generating opportunities to discuss additional parasite control measures for specific risk situations.
- Wellness blood work and diagnostics: Annual screening panels including complete blood counts, chemistry profiles, and urinalysis help establish baseline health parameters and detect subclinical diseases. Early detection often leads to more extensive diagnostic workups and treatment plans that generate significant additional revenue.
- Dental care services: Including annual dental cleanings or discounted dental procedures addresses one of the most commonly neglected areas of pet health. Practices report up to 99% compliance with dental recommendations when included in wellness plans, compared to much lower rates for fee-for-service clients, and dental procedures frequently reveal conditions requiring additional treatments.
- Microchipping and identification: This one-time service adds value to the plan while representing a low-cost inclusion for the practice. It enhances client perception of plan value and contributes to the overall preventive care philosophy.
- Nail trims and basic grooming: Including routine nail trims or ear cleanings provides ongoing touchpoints with clients throughout the year, creating additional opportunities to discuss pet health, identify emerging issues, and recommend services beyond plan coverage.
How much incremental revenue comes from services not included in wellness plans but purchased by plan members?
Wellness plan members spend an additional 28-29% more annually on non-medical products and services not included in their plan compared to their base spending, representing significant incremental revenue for veterinary practices.
This incremental spending occurs because increased visit frequency creates more opportunities for veterinarians to identify health issues, recommend advanced diagnostics, and suggest treatments that fall outside plan coverage. During routine wellness visits, veterinarians may discover conditions requiring radiographs, ultrasounds, specialized laboratory testing, or surgical interventions that generate substantial additional revenue beyond the monthly plan fees.
Common sources of incremental revenue include advanced diagnostic procedures (specialized blood tests, imaging studies, biopsies), treatment of acute or chronic conditions (medications, therapeutic diets, supplements), dental procedures beyond basic cleaning (extractions, advanced periodontal care), and specialty services (behavioral consultations, physical rehabilitation, acupuncture).
For a practice with 500 wellness plan members each paying $40 monthly, this 28-29% incremental spending on additional services can translate to approximately $67,200-69,600 in extra annual revenue beyond the $240,000 in subscription fees, demonstrating how wellness plans serve as a gateway to comprehensive care relationships rather than merely discounted service bundles.
What is the typical gross margin of wellness plans after accounting for costs of included services?
Veterinary wellness plans maintain healthy gross margins when properly structured, with the bundled service costs typically representing 60-75% of subscription revenue, leaving 25-40% gross margin before administrative expenses.
The key to profitable wellness plans lies in accurate calculation of included service costs, including direct costs (supplies, medications, laboratory fees) and allocated overhead (staff time, facility costs, equipment depreciation). Practices must price plans to cover these costs while maintaining margins sufficient to justify the program's administrative requirements and account for utilization variations among plan members.
Successful practices structure plans so that highly compliant clients who utilize all included services receive good value while the practice still maintains profitability through several mechanisms: increased visit frequency driving additional service sales, higher client retention reducing acquisition costs, improved practice efficiency through predictable appointment scheduling, and volume purchasing power for medications and supplies included in plans.
The gross margin calculation improves significantly when factoring in the incremental revenue from non-plan services purchased by plan members, as this additional spending often carries higher margins (60-70% for many services and products) and occurs specifically because of the increased engagement created by the wellness plan relationship.
What are the average administrative and marketing costs associated with running a wellness plan?
| Cost Category | Typical Investment | Key Considerations |
|---|---|---|
| Initial Setup and Planning | $2,000-5,000 one-time investment | Includes plan design, pricing analysis, software selection or integration, policy documentation, and legal review of terms and conditions. Higher costs for custom software solutions or extensive consulting support. |
| Software and Technology | $100-500 monthly depending on platform | Wellness plan management software with automated billing, client portal access, utilization tracking, and integration with practice management systems. Some platforms charge per-member fees while others use flat monthly rates. |
| Staff Training | $1,000-3,000 initially, $500-1,000 annually | Comprehensive training for veterinarians, technicians, and front desk staff on plan details, enrollment processes, client communication strategies, and handling common questions or objections. Ongoing training for new staff and plan updates. |
| Marketing Materials | $500-2,000 initially, $300-800 annually | Printed brochures, waiting room displays, website content, social media graphics, email templates, and client education materials explaining plan benefits and enrollment options. Digital marketing typically more cost-effective than print. |
| Client Communication | $200-600 monthly | Automated appointment reminders, service utilization notifications, renewal reminders, educational newsletters, and personalized outreach campaigns. Includes email service costs, SMS messaging fees, and client portal maintenance. |
| Administrative Labor | 3-8 hours weekly per 500 members | Time dedicated to enrollment processing, billing issue resolution, plan utilization monitoring, client questions, renewal management, and program performance analysis. Often distributed among existing staff rather than requiring dedicated personnel. |
| Promotional Activities | $1,000-4,000 annually | Special enrollment events, referral incentives, social media advertising, local community outreach, partnership development with shelters or breeders, and seasonal promotional campaigns to drive new member acquisition. |
How do wellness plan revenues compare seasonally and by client demographics?
Wellness plan revenues demonstrate greater stability across seasons compared to traditional fee-for-service models, providing consistent monthly recurring revenue that reduces the financial volatility veterinary practices typically experience.
Traditional veterinary practices see revenue fluctuations with peaks during spring (vaccination season, parasite prevention starts) and summer (increased pet activity leading to injuries), and troughs during winter holidays when clients reduce discretionary spending. Wellness plans smooth these seasonal variations because subscription fees remain constant regardless of season, and the bundled preventive services encourage year-round engagement rather than crisis-driven sporadic visits.
Enrollment patterns do show some seasonality, with increased sign-ups occurring during traditional high-traffic periods (spring, back-to-school fall) and around New Year when pet owners set health resolutions for their animals. Practices can leverage these natural enrollment peaks with targeted marketing campaigns while also promoting plans during slower periods to stabilize new member acquisition throughout the year.
Demographically, wellness plans attract specific client segments more readily. Younger pet owners (millennials and Gen Z) who are accustomed to subscription models for various services show higher adoption rates. New pet owners, particularly those acquiring puppies or kittens, represent prime candidates as they're establishing care patterns and appreciate the budgeting predictability of monthly payments. Multiple-pet households find particular value in wellness plans when practices offer family or multi-pet discounts that reduce per-pet costs.
We cover this exact topic in the veterinarian business plan.
What benchmarks or industry standards exist for profitability and growth of wellness plans in veterinary practices?
Veterinary wellness plans that achieve optimal performance demonstrate measurable benchmarks across multiple key performance indicators that define program success and profitability.
| Performance Metric | Industry Benchmark | Significance for Practice Success |
|---|---|---|
| First-Year Revenue Growth | 10% increase in total practice revenue | Establishes baseline expectation for immediate financial impact of wellness plan implementation. Practices achieving this benchmark demonstrate effective enrollment strategies and staff buy-in to program promotion. |
| Three-Year Revenue Growth | Up to 3x initial growth rate | Reflects compounding benefits of increased client retention, word-of-mouth referrals, and program refinement over time. Sustained growth indicates long-term viability and competitive advantage in the market. |
| Client Visit Frequency Increase | 69% increase (from 3.3 to 5.5 annual visits) | Demonstrates improved client engagement and preventive care compliance. Higher visit frequency creates more revenue opportunities through detection of conditions requiring additional services beyond plan coverage. |
| Revenue Per Plan Member | $287 additional annual spending on medical services | Measures the incremental value each wellness plan client brings beyond subscription fees. This metric validates that plans drive meaningful financial impact through increased service utilization and treatment compliance. |
| Enrollment as Percentage of Active Clients | 20-35% within first 2-3 years | Indicates market penetration and program acceptance among existing client base. Higher percentages suggest strong value proposition, effective marketing, and staff commitment to enrollment conversations. |
| New Client Acquisition | 30-40 new clients monthly attributed to wellness plans | Reflects the competitive advantage wellness plans provide in attracting new clients who specifically seek subscription-based preventive care options. Strong acquisition rates validate plans as effective marketing differentiators. |
| Preventive Care Compliance | Up to 99% for specific services (dental care) | Measures effectiveness of wellness plans in achieving their primary goal of improving preventive care adherence. Higher compliance leads to better pet health outcomes and increased client satisfaction, driving retention and referrals. |
| Incremental Non-Plan Spending | 28-29% higher spending on additional services | Quantifies the halo effect of wellness plans on overall client spending behavior. This incremental revenue often carries higher margins and demonstrates that plans serve as gateways to comprehensive care relationships rather than merely discounted bundles. |
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are encouraged to consult with a qualified professional before making any investment decisions. We accept no liability for any actions taken based on the information provided.
Wellness plans represent a transformative revenue model for veterinary practices, generating predictable monthly income while improving client retention and pet health outcomes.
By implementing properly structured wellness plans with clear pricing tiers, comprehensive bundled services, and effective marketing strategies, new veterinarians can establish sustainable practices that grow revenue by 10% or more in the first year and potentially triple that growth within three years.
Sources
- AAHA Trends Magazine - Wellness Plans Offer Substantial Benefits
- IDEXX - The ROI of Pet Wellness Plans in Veterinary Practice
- Covetrus - Why Wellness White Paper
- DVM360 - Everything You Ever Wanted to Know About Wellness Plans
- Pawlicy - Banfield Pet Wellness
- MarketWatch - Pet Wellness Plans
- The Vets - Pet Wellness Plan Guide
- HappyDoc AI - Three Financial Metrics Every Veterinary Practice Owner Should Track
- HappyDoc AI - Understanding Client Lifetime Value and Its Importance for Veterinary Clinics
- White Cross Vets - Complete Wellness Plan
-How to Open a Veterinary Practice
-How Much Does It Cost to Become a Veterinarian
-Revenue Tools for Veterinarians
-Veterinarian Business Plan Guide
-Complete Guide to Starting a Veterinary Practice
-Veterinarian Clinic Operating Costs
-Veterinarian Surgery Revenue Analysis
-Veterinarian Equipment Investment Guide


