WebsiteClosers® presents an Amazon FBA Brand in the Men’s Hair Grooming vertical with a unique emphasis on DIY grooming. The company has built up a thriving and loyal customer base among men who enjoy grooming themselves at home and women who love their quality hair clippers, trimmers, and shavers as the perfect gift for the men in their lives.
Sales are booming, and the company has enjoyed 30% year-over-year revenue growth since 2021 for products sold under its brand name. Their grooming tools, designed to their specifications and models, were carefully selected based on thorough market analysis and competitors’ research. The business looked for gaps in the market to create products capable of doing things that rival businesses weren’t providing. This has enabled the company to enjoy skyrocketing growth as more customers discover their Amazon platform and SKUs, which are sold at an Average Order Value of $89. Sales remain vibrant throughout the year, while women — now 41% of their buyers — have given the company impressive peaks in sales around Father’s Day, Amazon Prime Day, and over the holidays as gifting sales.
The business has also received thousands of positive reviews on Amazon from men who said their grooming products help them feel and look good, thanks to the professional hair clippers this company provides. This has enabled the company to continue growing as they attract more individuals who groom at home and aspiring barbers looking for affordable, reliable, and high-quality tools, and as they launch new SKUs, while maintaining trademarks in the U.S., Canada, EU, UK and China.
The company maintains exclusivity contracts for most of its products and models, with 90% of their inventory being stored in Amazon warehouses for fast shipping and deliveries by Fulfillment by Amazon. The business has its own Quality Control inspection team responsible for releasing products only after they have been tested to ensure they’re not excessively noisy or have a tendency to overheat. The products also go through tests to ensure the blades are sharp and cut effectively.
The men’s grooming at home trend has been increasing dramatically in the past few years, and the Global Male Grooming Market is projected to be worth $115 billion by 2028. For millions of men, this has become a natural routine, and this trend is increasing the demand for specialized products designed just for men.
This company has done its research into products that these DIY enthusiasts are looking for but sometimes struggle to find, and as a result, has been able to capture a significant part of this customer base on their Amazon shop.
With sales now made in the U.S. and Canada, a global expansion is one of multiple ways for an investor to scale this business quickly.
There are plenty of clear opportunities for a U.S. Buyer to acquire this company and then scale it quickly. That could include continuing to launch new and unique products that are in high demand, starting a global launch on Amazon’s foreign platforms, expanding sales channels to include popular sites such as eBay and Walmart, and exploring B2B sales to wholesalers and retailers that market hair styling and grooming products.
Business Broker Takeaway
We are excited about this business for 3 important reasons:
1. Strong Team in Place. While Amazon manages shipping, the current owner has in place an experienced team that includes a full-time operations manager, two full-time customer service representatives, a full-time customer service/account health manager, and a part-time paid media manager. These are remote positions, and the business can be operated anywhere. With this team managing daily tasks, the current owner works as little as 5 hours per week in this highly automated business. The owner’s current tasks include checking KPIs, approving payments, and researching new marketing and expansion opportunities.
2. Diverse Marketing. Three digital marketing tools have enabled the business to drive sales higher and continue expanding its customer base. One is paid media on Amazon, which has given them very strong margins. The company continues to refine its approach to these campaigns. They also have a successful affiliate marketing program that contributes 15% of total revenue, while a thriving social media marketing plan on YouTube and TikTok has brought in 20% of total organic traffic and sales.
3. Hard-to-find Find Products. The business works with its manufacturer to plan and design products selected after figuring out where their competitors are lacking, and they continue testing prototypes until they find the right version. These are products designed for men’s everyday needs, pro-tested, and created for everyone. The company’s website even provides a video tutorial on tips for men who want to cut their own hair and unlock their best look. The company launched several new SKUs in June 2024, which are quickly becoming a higher percentage of their annual sales. These products are also known for their versatility and ease of use, and the business consistently refines its products based on customer feedback to offer superior value.
Conclusion
Launched in 2021, the business is enjoying higher annual revenue growth and gross margins as its customer base continues to expand. The business has demonstrated that the DIY market for home grooming is a very popular and rapidly growing vertical, and the business now has a solid brand reputation for providing professional-grade grooming at an affordable price.
With the right experienced team in place to manage daily tasks, the new owner can make a seamless transition and quickly find ways to scale this business. The company’s consistent sales growth indicates it is fully ready for that.
