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Automotive Performance Modification Parts & Tools eCommerce Retailer – Primarily Amazon Sales – Dropship Inventory Model

Website Closers® presents an eCommerce business in the Auto Parts & Tools vertical focused on the Performance Modification of Cars and Trucks. They have become a go-to marketplace for all things mod with an extensive customer base, strong cash flow, a solid reputation for world class customer service, fast shipping, and more than 170,000+ SKUs drop shipped from multiple suppliers directly to the customer. The drop ship nature of this business helps ensure that ownership is not buried in cash flow constraints associated with inventory purchasing, storage and pick/pack/ship overhead. Coupled with impeccable service and a stunning Amazon business, this brand is smoking the competition at every turn.

Operating in evergreen and recession-resilient industries, this Internet Retailer keeps its edge by offering an array of auto parts that are in high demand amongst a car-dependent customer base. The company’s products, which include parts for brakes, exhaust systems, gauges, belts, and fluids, just to name a few, are wildly popular with do-it-yourself (DIY) customers. The global market for auto parts surpassed $390 billion in 2020 alone, driven by the desire among auto drivers to enhance their vehicle performance in terms of sound, speed, appearance, and safety. Environmental rules regulating noise emission levels as well as air pollution standards are also contributing to rising auto part sales across the country. Quite simply, many people love their cars and want to be certain they’re getting them the very best parts available.

Launched 4 years ago as an eCommerce website,  this brand has expanded beyond their proprietary website and now generates 99% of sales via the Amazon platform. Tight relationships with multiple domestic suppliers and expertly negotiated, rock-bottom prices allow them to regularly win the Amazon Buy Box. All products are ordered through Amazon and are fulfilled directly by the supplier, which ships the items straight to the customer. This means the company holds zero inventory and pays no fulfillment or storage fees to Amazon. Their top selling product represents just 1.7% of total sales with no hero SKUs, leading to massive sales diversity and extremely low risk. With over 170,000 SKUs available and an average order value of $197, their sales remain consistent throughout the year. Their customer base spans across all age groups, races, and income levels – literally, anyone who drives a car and needs parts for it. The company typically sells over 125 parts per day. With no inventory to store and no warehouse needed to store it, working capital requirements are non-existent and overhead expenses are minimal.

This company could benefit tremendously from a digital marketing plan, something the company hasn’t utilized so far, relying instead on price point alone to drive sales. Considering their already impressive reach, scaling the business through a Business Facebook page, Instagram account, and even a DIY-catering blog could be tremendous. These marketing strategies can be effective in developing customer relationships and interactions, as well as powering up a stronger online presence for the business. The potential growth of the company is limitless, and  the organic traffic opportunities available through further outreach speak to that. The use of paid media could help grow sales on both the company’s Amazon platform and its website

This is a hands-off business for the Seller, with all customer service duties outsourced to VAs. There is also one General Manager that oversees all daily management activities. This is a simple business and an easy one to learn, especially for a buyer who has any eCommerce experience. All orders come in from Amazon to a centralized Sales Register via a connection with Zappier. Those orders are then sent for fulfillment to the supplier with the lowest price for the particular item.

It’s difficult to imagine a time when mass transportation reduces the number of autos on the roads, and until that’s the case, the demand for auto parts will remain high. This company has a massive customer base, strong sales trends, and has built a reputable name for itself. The new owner would have endless avenues to succeed, and unbridled capacity for company expansion— This company is firing on six cylinders and ready to accelerate into a new stage of growth.

This eCommerce Retailer is Represented by:

WebsiteClosers.com

Tech, Internet & eCommerce Business Brokers

Listing ID: WC2506

Asking Price
$ 2,250,000
Cash Flow
$ 539,949
Gross Income
$ 9,398,732
Year Established
2017
Employees
1

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