WebsiteClosers® presents an Amazon FBA Brand in the Food Jars & Canisters subcategory of Kitchen & Dining. Their highly successful products consist of premium herb containers and viewing jars, with each product made exclusively for them. Their premium packaging and products feature their trademarked logo, are sold under their brand, and have an AOV of $16.87.
The work the company has put into protecting their products has paid off, as the brand’s products have proven highly popular on Amazon. This popularity has fueled their 53% YoY revenue growth rate and remarkable 98% YoY profit growth rate. While they see consistent sales throughout the year, their profits increase during the holiday season of November and December.
Business Broker Takeaways
1. 100% Organic Growth. The company is unique in that they do not use any form of paid advertising. Instead, all their sales have come from organic rankings on Amazon. The only form of advertising they do explore is through SEO with detail page optimization, rebate flows for product launches, and re-ranking.
Not only does their high organic traffic serve as evidence to their products’ popularity, but it also offers an excellent opportunity for a marketing savvy buyer. The new owner could invest in paid Google advertising or expand on their strong organic growth through social media marketing.
2. Turnkey Operations. Current ownership spends a minimal 4 hours per week handling operations. Their responsibilities consist of ordering inventory from manufacturers, creating shipment plans in Seller Central, and researching new products and manufacturers.
The company has no employees outside of ownership, with customer support being handled through Amazon Seller Central messages, and all SEO efforts being handled in-house.
3. Streamlined Stock Model. Their orders are handled through Amazon FBA, with the company typically placing new inventory orders every 45 to 60 days.
The company stocks 2 to 3 months of inventory based on historical sales volume for each SKU, and, as all shipments are sent directly from the manufacturer to the Amazon FBA warehouse, they save the time and money other companies spend on managing their own stock.
Scale Opportunities
Outside of active marketing efforts, a buyer could easily scale this brand by releasing new products. While current ownership was solely focused on creating a simplified business model, a buyer could increase profits and broaden the company’s target demographic by introducing new products in their market.
A buyer could also expand outside of Amazon for additional, diversified revenue. The company could develop their website and begin selling D2C, and, from there, explore other online storefronts for an even wider reach.
Conclusion
This acquisition has seen rapid popularity within a short period of time and has experienced strong growth despite their lack of a proper marketing campaign.
The company’s turnkey operations require very little work to maintain, and the popularity of their products means that, with the right advertising strategies, they could quickly attract waves of new customers.
This Company is Represented by:
WebsiteClosers.com
Technology, Internet & eCommerce Business Brokers
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