Website Closers® presents a unique eCommerce business that offers Gift Baskets & Gift Sets on the Amazon platform, all via Amazon FBA. The Gift Sets are built around themes that make gift-giving more pleasurable and send a strong message to the recipient, making for exactly the type of product to draw repeat customers. The company is growing well on products that are fully trademarked and appeal to customers year-round since these popular gift sets cover multiple special occasions. For instance – even though Q4 was huge for them – this Q1 2022 could easily set records. Their sales have grown rapidly on an Average Order Value of $36, with an impressive 30% year-over-year growth rate.
Sales have grown as the brand has expanded its product line to appeal to a wider audience mix: coffee and tea lovers, customized gifts suitable for different people (family, friends, coworkers), and occasions/celebrations. The brand even has a variety of Get-Well gift boxes that have become popular sellers.
Their Gift Sets can be presented to someone celebrating a joyous occasion, such as a birthday, graduation or anniversary, or as a gift to boost the spirits of someone who just suffered through a traumatic or painful event. The inclusion of gourmet foods in these gift packages, at a very reasonable price, has only made them even more appealing to buyers looking for higher quality in their purchases.
From a global perspective, the brand has become a niche leader in a scaling, lucrative field The global personalized gifts market was valued at $26.3 Billion in 2020 and is projected to reach $41.3 Billion by 2026, a 9% growth rate. Customization is an important aspect of this profitability. When people believe they can send a stronger, warmer, and more personal message to someone they care about, those products are going to sell considerably better than more impersonal items.
That’s been a strategically important factor in this brand’s rising success rate.
Sales are vibrant on their Amazon platform.
Some KPIs to consider about their platform on Amazon:
- The brand has been awarded numerous Amazon’s Choice Badges for important associated keywords;
- They maintain a 4.9 Seller Rating;
- They have received a large number of 5 Star Reviews;
There is no “typical” customer since the brand appeals to people looking for a unique gift, regardless of age, gender, or income.With their products sold exclusively on Amazon, the brand is offering a specialized gift package that customers can only get from them.
Their products are well researched. Their SKUs were not selected by chance but underwent careful research and testing before being launched.
The company chose products to put into their gift baskets that demonstrate strong search volume on eCommerce sites (including Amazon) or match keywords related to gift packages and gift-giving. Many of these items are classified under Gourmet Food and Grocery items on Amazon and have demonstrated strong sales and a wide appeal to people looking to make gift purchases.
By the time their gift packages are assembled, given unique themes, and then launched, it’s clear who their target audience is, and PPC ads on Amazon have helped expand their customer base and bring exactly the kind of buyers they’re targeting happily onboard. Their success has enabled the brand to expand beyond gift sets to now include towel sets and Halloween items that are not gift wrapped. That product diversification is helping to boost sales. The towel sets are made from the brand’s designs.
Three of their listings have become top sellers, including their Tea Gift Set which is 37% of gross revenue, their Get Well Set (25%), and the Mom’s Tea Set (13%). Their products make up a healthy mix of sales because each one has been tested to correspond with what customers are looking for.
The brand uses the services of a kitting company to make attractive gift baskets and this kitting company is the key to growing the SKU for this business to any level a buyer would like. The sky is literally the limit once you have this team in place. This is a smooth, automated operation. A buyer has the advantage of taking ownership of a company that has a highly automated system. Shipments are efficiently handled by Fulfillment By Amazon, and the company maintains $300,000 in inventory at all times to guarantee incoming orders can be quickly met.
Currently, it takes 20 hours a week or less to maintain this business, with tasks that include product development, inventory management, logistics, and accounting.
The company has two part-time assistants who work on kitting the gift baskets that aren’t handled by the 3rd party kitting company, and another who handles the administrative side of the Amazon account.
This company has some clear scale opportunities that would set them on a great path in the future. That includes continuing to expand their SKUs to offer new gift sets for different holidays or special occasions, expanding sales internationally, launching their SKUs onto additional sales platforms, and creating the brand’s first social media marketing campaign.
Their gift products are ideal for photo postings on sites such as Instagram and Facebook, which would likely drive an immense amount of new organic traffic to their platforms.
The market for gift sets is only getting stronger each year and this brand has been a trailblazer in recognizing that personalized gift sets are in the highest demand. Contact Website Closers today to learn how this acquisition is set to become a nationwide leader in the niche space of specialized gifting.
