Website Closers® presents an established importer and distributor of decorative home décor products, including portable decorative fans. Products are designed in America and then sourced and manufactured overseas. All fans are manufactured exclusively for the company and adorn its brand name.
Top-selling categories include outdoor and indoor utility fans, complemented by indoor décor offerings. The business utilizes a hybrid inventory model. DropShipping, stocked inventory, and Amazon FBA are all methods used to save costs based on order volumes and storage fees. Approximately 20% of the stock is maintained at Amazon at any given time.
Quality control is a priority. All products are QA inspected at the factory level before packing and again upon receipt in the 3PL warehouse. Inspections include motor testing, painting and finish, and all parts being present before shipping. Carton damage or signs of wear or tear from transit are inspected on arrival.
The business places seasonal bulk-stock orders based on projections in August/September each year. As needed, management will place supplemental stock replenishment orders during the season to meet any increases beyond forecasts or made-to-order opportunities that arise. Terms are payment upon shipment.
The typical customer is a middle to high-income female aged 25 to 55. She takes great pride in her home décor appearance as it relates to “utility” or “appliance” purchases. Design is important, as is the ability to match any home décor setting.
Notably, the company has several sales channels. These include Wayfair, Target, Pottery Barn, Bed, Bath & Beyond, Macy’s, Home Depot, Wal-Mart, and many resellers. Additionally, various brick and Mortar wholesale accounts exist.
The brand enjoys strong D2C sales through its website and Amazon storefronts, where there is immense scale potential.
The owners focus primarily on accounting, production, sales, product development, and logistics. Additional staff includes a customer service specialist and a production manager in China.
A 3PL warehouse in Santa Fe Springs ships an average of 25 orders daily; however, this number increases during peak season.
Marketing encompasses sponsored ads, coupons, SEO, and PPC advertising. The owners admit they need more digital marketing expertise, which presents an enormous opportunity for a new owner to scale the business vastly. Despite shortcomings, the brand collection continues to have organic success due to its unique niche in the fan marketplace. Innovative designs in appearance and functionality combined with solid manufacturing with limited production or quality issues drive sales. Consumers love the products, and it’s purely a matter of making more people aware that they exist.
New ownership has the option to focus on D2C sales through eCommerce platforms with an aggressive marketing initiative. Amazon accounts exist, and paying more attention to them and focusing on secondary sales platforms across multiple countries, offers an excellent opportunity for expansion. For sales to ignite, millions of existing users need to be introduced to the already successful products.
As prosperous as the business is, scale opportunities are plentiful. A new owner has tremendous opportunities both on and off Amazon for growth. Due to the lack of advertising knowledge of the owners, this brand can be scaled drastically with astute promotion on the proper channels. Additionally, the Shopify-built website presents a huge area for growth and the opportunity for a new owner to increase margins while driving new customers to the website.
Outsourcing the Amazon storefront to an experienced agency would likely see an enormous improvement in TACOS, a boost in revenue, and the benefits of marketing expertise that the current owners don’t have. Moreover, given its tenure on Amazon, this business can quickly sell into additional lucrative markets, such as parts of Asia and South America and other market segments, expanding the product offering into different verticals.
Expanding into digital advertising beyond Amazon is an apparent next step. Affiliate marketing and added focus on secondary sales channels can be implemented. This brand’s niche lends itself to influencer marketing on social media, particularly Instagram and TikTok. They should look to influencers and collaborations to build more awareness and loyalty. This will drive traffic to their Shopify website, and they can look to expand to big box stores. In addition, a strong email campaign for sales and promotions should be created.
This company enjoys a highly profitable period between March and September, looking to add non-seasonal products to supplement sales in the quieter months.
This brand has already demonstrated that it has what customers want when decorating their indoor and outdoor spaces and fulfilling their lifestyle needs. There are other product categories they could profitably expand into. The business has a phenomenal track record which would be easy for any buyer to use as the starting point for incredible growth.
This company has the history, systems, customer base, and relationships that any new owner would value. A buyer with experience in wholesale outreach and eCommerce could scale this business quickly and exponentially.
