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Auto Lighting & Auto Grill Accessories Brand – YOY Sales & Earnings Growth – Sales Channels: Website, Amazon, Walmart & eBay – $100K of Inventory Included

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Website Closers® presents an eCommerce Brand that is sure to bring light into your life. This automotive brand specializes in selling powerful fog lights for several popular vehicle lines, including Ford, Dodge, and Honda. However, they also offer a range of other popular automotive aftercare products such as headlamps and grills, providing customers with many of the essentials they need when improving their car. They have nearly 480 SKUs available on their website, as well as several eCommerce marketplaces, including Amazon, Walmart, and eBay.

The company sources from multiple trusted suppliers, keeping them from being dependent on any one manufacturer, or experiencing any major interruptions in inventory. All of their products are sold under their brand name, and thanks to consumers needing repairs and maintenance for their cars regardless of the time of year, they experience low seasonality risk. They have an Average Order Value of $99 and strong gross margins for their flagship fog-light products. They have no one SKU that dominates their sales thus reducing the risk of concentration.

Their reliable shipping times, effective products, and presence within a highly evergreen niche have all contributed to their rapid-fire growth and strong product reviews. Within the past 3 years, they have sold nearly 20,000 products, and become well-known and well-liked among many of their customers. They have a 15% Repeat Order Rate that is only continuing to grow and an astoundingly high rate of word-of mouth traffic. Approximately 55% of their sales are organic, with the rest being derived from their PPC campaigns.

Outside of word-of-mouth traffic, their advertising plan consists of the following:

  • Posts on Instagram, Twitter, and Facebook
  • Amazon advertising campaigns and coupons
  • eBay advertising campaigns

The simplicity of their marketing campaign means that they have very little in the ways of ad spend, and also presents a great opportunity to scale if the buyer invests into improving it. They could develop a stronger paid marketing campaign by partnering with affiliates and well-known influencers, or by running PPC on Google and other locations. They could also establish an SEO plan on their site and product listings and improve their search ranking further by creating a blog. This blog could focus on automobiles and vehicle improvements, appealing to their consumer base and attracting even more vehicle enthusiasts to their website.

While the company does make use of their social media platforms, they are currently underutilized. Posting more actively on these accounts, and creating a more developed social media marketing plan would let them better connect with their customers and increase their Repeat Order rate. Social media could also be used to announce new product lines or special events, which may work to promote upsells and cross-sells.

The industry that the company is based in is incredibly promising. The global automotive aftercare market was worth $693.8 billion in 2020, and it’s expected to reach $950.1 billion by 2027, rising by a CAGR of 4.61% within the forecast period. As environmental rules and regulations enforced by the government grow stricter and technology become even more advanced, more consumers are expected to be in demand of products from this market. Automotive aftercare products allow customers to stay up-todate with the latest restrictions, and if they happen to be savvy enough to do so, perform their own repairs and maintenance to save money on a mechanic.

In the hands of the right buyer, the company is in a prime position to scale within the next several years. They could easily see an influx of customers by adding new SKUs to cover additional top-selling vehicles. At the moment, they only cover 7 to 8% of the market for cars within the North American market, which offers no shortage of possibilities for them to add to their product listings.

The European vehicle market is also underserved, and supplying new SKUs catered towards it will likely generate a sharp rise in sales. A buyer could make the business itself easier to run by hiring employees, as outside of the owner, there are currently none needed at the moment. The owner spends 20 hours per week primarily checking inventory and preparing shipping, which are tasks that could be passed along to new hires. This move would significantly lighten the load upon the buyer’s shoulders, give them more time to focus on scaling and keep the business running smoothly even as it grows.

The future is looking bright for this company. Their products are undoubtedly successful among their customers and will become even more profitable as demand grows around the world. By expanding on their existing marketing campaign and adding the right SKUs, they would have no trouble thriving.

This Company is Represented by:
Tech, Internet & eCommerce Business Brokers
WC 2891

Asking Price
$ 425,000
Cash Flow
$ 139,013
Gross Income
$ 750,467
Year Established

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