Website Closers® presents a thriving eCommerce Agency that has become an authority in its niche across Europe. The company assists eCommerce business owners with automation and logistical support to propel their ventures to new heights. It boasts strong financial performance, a recurring revenue model, and an enthusiastic and broad customer base. The owners have strategically positioned the company for global expansion, presenting a buyer with an enormous opportunity to realize a swift return on investment and limitless scale potential.
Business Broker Takeaway
Our analysis of this business shows that the value propositions are strong for a buyer looking to enter this space. We are excited about this business for three important reasons:
- Market Demand: Individuals worldwide have become increasingly interested in eCommerce, especially given the attention the sector has gained online, specifically through social media. As a result, many are attracted to the idea of launching ventures of their own to supplement income and grow their wealth but lack the expertise to begin. This agency solves the problem by creating cost-effective Shopify stores for its customers and assisting them with running them through an innovative business model.
- Recurring Revenue: The owners have identified customers’ desires and skillfully enhanced the business model to create recurring revenue, boosting profitability and lifetime value. A recent shift has removed the emphasis on high-ticket closes exclusively and introduced a membership model. Customers now pay a monthly fee, which grants them access to a private community that offers support and coaching for their Shopify stores, which the agency creates. This long-term approach bodes well for enhanced profitability and international expansion while driving consistent monthly income and reducing acquisition costs.
- All-In-One Service: The agency has a competitive edge in the niche through its offerings and diverse revenue streams. After creating stores for clients, the team provides them with products and utilizes a streamlined logistical arm to fulfill orders. By doing so, customers receive an autonomous business that requires minimal time commitment, and the agency monetizes each step of the process.
Additional Valuation Points
Unlike alternative options, the company is highly attractive to ambitious prospective entrepreneurs because it supports them throughout the process of opening and running a business. This has led to higher conversion rates and customer retention. The agency retains up to 15,000 monthly customers and a similar volume requiring logistical support.
A proficient team is in place that comprises numerous managers with an intimate understanding of day-to-day operations. Subsequently, the owners endure a light workload of fewer than ten hours weekly, enabling a buyer to focus their energy on scale initiatives.
All processes have been systemized extensively, positioning the business for seamless expansion in both existing regions and new countries.
A stellar reputation has been cultivated through testimonials from satisfied clients and word-of-mouth referrals. Combined with a highly effective advertising strategy, the company’s websites now attract 100,000 monthly visitors.
Competition is minimal since the company provides a full-service offering from store development, product sourcing and fulfillment, logistics, and performance marketing. Others offer assistance in certain aspects but are unable to provide new entrepreneurs with a full suite of services.
Marketing & Revenue Generation
A highly fruitful marketing strategy has been employed, primarily comprising advertising on Facebook and YouTube. These two channels drive 80% of sales and boast healthy returns on ad spend, especially given customer longevity with the new model. Additional income is derived from email campaigns designed to upsell supplementary services to existing clients. The remainder is obtained organically and via a robust affiliate program. The program is incredibly cost-effective since affiliates receive 30% of the sale for each new customer or one month of free agency management. Because of customer lifetime value, this has proven lucrative, and the owner is now in the process of onboarding over 500 new customers without having spent excessively on advertising.
Revenue is diversified further through two websites catering to different audiences. One serves prospective new customers by offering them automation training. Here, they book a call to receive more information and are guided through the funnel by a proficient team that has demonstrated excellent conversion rates. The other focuses on existing clients and continual education. The membership-based community is proliferating and has contributed to making this company the largest automation agency in Italy.
Workload & Personnel
The founders’ ingenuity is evident in how they have dramatically grown the company while reducing staff. By implementing effective systems and a management team, they have condensed employees from 40 to 12 contractors. Additionally, the owner now dedicates as little as ten hours weekly to the business, focusing on overseeing automation customers.
Opportunity
Many individuals are entering the eCommerce landscape daily, needing more expertise and experience to succeed. Subsequently, they seek a comprehensive solution and continuous guidance to assist them. The stage is set for dramatic international expansion and unlimited scale. A buyer can operate this company from any location and could quickly tap into the vast US customer base while continuing to dominate the European market.
