Website Closers® presents a family owned and operated Amazon FBA eCommerce Business that has taken just 3 years to establish a solid niche in the lucrative field of Home Goods, which is worth a whopping $232 billion in 2021. This company has six SKUs, but their wine glasses, coffee mugs, and lid organizers for Tupperware products are their top sellers. Offering uniquely designed products, this company stands out from the crowd by selling and based on their own designs and mold. These exclusive SKUs have given this company an unshakable foothold in this field and more than 1,000+ highly enthusiastic reviews from customers.
This business is an excellent example of how relatively new businesses can successfully use Amazon to establish a strong customer base and grow sales at lower customer acquisition costs. While the company has its own website, sales are directed to their highly lucrative Amazon shop, where they have received more than 1,000+ glowing reviews praising the quality and craftsmanship of the products, speedy delivery, and first-rate customer service.
Launched in 2017 by a father and daughter team who shared a passion for the great outdoors, their goal was to create products that people could utilize while they were outside enjoying what nature has to offer. The team did a search for products that were selling well on Amazon, could be sourced from Asia, and had the potential to be profitable. They settled on some common products but gave each one their own unique design. This portfolio includes wine glasses made of stainless steel, ideal for not just wine but cold drinks; double wall extra-large coffee mugs that can be used for any hot or cold beverage; lid organizers for organizing different types of food storage lids including those that are eco-friendly, offering reusable stainless-steel straws and straw tips.
Both the coffee mugs and lid organizers are their own design and mold, and their products are sold in the popular and high-selling Kitchen/Dining Category. These products are unique in several ways. The coffee mugs are the largest and heaviest on the market, while the lid organizers are much sturdier than what competitors are selling and include measuring cups and spoons designed by this team. These proprietary items have been a key selling point for the company.
The wine glasses make up 60% of sales, the coffee mug brings in 25% and the lid organizers and straws are 15%. Women make up a large percentage of their customer base and are typically middle income and upscale. While sales remain solid year-round, sales of the wine glasses soar during the holiday season in November and December and are successfully marketed as great Christmas gifts.
Virtually all the brand’s sales are conducted on Amazon, where they use Fulfillment by Amazon (Prime 2-Day) for shipping. The company does get occasional requests for bulk shipments, which they handle on their at their warehouse.
Their marketing has been a mix of different approaches. The brand runs PPC ads on Amazon and does email marketing as well. The brand has active social media accounts on Instagram and Facebook to drive organic traffic. One of their most innovative approaches to marketing has been the blog on their website, which is devoted to providing customers with recipes for the ideal drinks to put in their wine glasses or coffee mugs. That includes drinks such as Pumpkin Pie Protein Smoothie, Homemade Shirley Temples, Orange Creamsicle, Coconut Chai Iced Coffee, and Watermelon Lemonade.
In addition to helping drive traffic to their website and develop brand recognition, readers are also invited to stay up to date with the company’s latest recipes by signing their email up for new posts, which helps the brand boost its email marketing efforts. The company also recently installed a Live Chat feature on their website to boost customer satisfaction.
So far, this business has done exceptionally well using these methods to advance sales and increase their customer base. They have a 4.8 Seller Rating on Amazon and have received a lot of 5 Star reviews, quite a few of them focusing not just on the quality of their products, but on the company itself and the pleasure of using them to make purchases.
This is an efficient and highly automated business that requires very little in the way of a time commitment from the owners, who now spend between one and three hours a week running it. Their tasks include submitting orders to their suppliers, tracking shipments to the U.S., monitoring inventory levels, working on marketing and handling periodic customer inquiries. The team has no employees and can handle operations on their own. They now receive just a few customer service requests each week, which are handled by email.
They do tend to stock up to $40,000 in inventory, especially of the coffee mugs and wine glasses. They now order new inventory two to three times a year on those items, and once a year for the lid organizers and straws.
Their Amazon platform has helped make this company a seamless one to operate, and this eCommerce giant offers the company several paths for scaling quickly.
One option would be to add to their modest level of SKUs, particularly new products under their own brand that customers can’t find anywhere else. The team has already considered adding double wall insulated wine glasses and smaller sizes of coffee mugs to the mix. This business could increase its PPC ads to more effectively promote their SKUs, while also expanding internationally. All sales are now in the U.S., and the company could use Amazon’s platforms in Canada and the European Union to boost sales as well.
An increased emphasis on their social media and email marketing campaigns could be highly effective, particularly if the company does launch new SKUs and then works to promote and upsell them to their existing customer base.
With their emphasis on the pleasure of using their products while exploring the great outdoors, enjoyable drink recipes and unique product designs, this company has demonstrated how well customers will respond to innovation. A buyer has the ability to take full advantage of this sophisticated approach and use it to scale this brand into an ever-bigger player in the home goods market.
