Website closers® presents a flourishing brand in the leathercrafting space—the brand services a niche, growing community of consumers in the DIY leather vertical. Strong relationships with suppliers in the US, Mexico, Brazil, Guatemala, and Turkey allow them to source high-quality products at great prices with predictable lead times. No products are sourced from China, so the company has avoided most supply chain and pricing challenges that countless others have experienced. Consistent year-onyear growth, top-selling products on Amazon, and established multiple sales channels that include Amazon, Walmart, Etsy, eBay, and their Website are all key selling points of this acquisition. The company is primed for exceptional short-term growth in the coming years. It will do phenomenally well in the hands of a capable new owner.
This business comes packed with 289 product listings, all sold under the company’s brand name, with no heavy concentration of sales on any given items, and annual revenue and margins that are increasing consistently at a steep pace. They also do not suffer a great deal from seasonality in sales. The products sell yearly, peaking in Q1 and Q4, with many repeat customers. International expansion, particularly on Amazon, would almost certainly see revenue increase during slower months and possibly double in a short time.
The company uses a 100% stock inventory model with all listings. It keeps a few hundred SKUs in stock while the remainder is cut to order. As a result, 75-150 orders are shipped daily from a 3PL and around 10-30 from Amazon FBA.
The customer base is broad and is relatively consistent across ages 18 to 55 and between men and women. They spend on average $35 per order, and many are repeat buyers. 85% of sales are made on Amazon, with the remainder split across their other channels.
Managing Team Setting business priorities and strategies Creating, managing, and following up on projects New and existing listing management Sales Management & Forecasting Managing Ordeers & Shipping Status Reviewing any customer issues and special requests Purchasing Cashflow management Reviewing and approving social media content Overseeing accounting and bookkeeping Advertising management New business development opportunities The owner has excellent relationships with suppliers and sources products astutely. He first looks at what is currently selling in the marketplace, then at competitors and price points. From there, he aims to launch products that either compete directly or are more enticing because of additional options available. These include sizes, colors, types of leather, and thicknesses. He also looks at what is available from current vendors that can be added quickly and easily to the catalog.
The owner spends his time on several tasks, which include:
Many of these tasks can be outsourced or handled by an operations manager if a new owner wishes to spend less time on the business or focus primarily on scaling the operation. The company employs contractors in the following capacities:
All contractors are willing to stay on under new ownership.
The digital marketing strategy is focused on growing sales, finding new customers, and reselling to existing customers across all channels. The primary focus is on Amazon PPC and DSP, which the business outsources to a third-party technology provider to manage. This is the most considerable investment, revenue stream and shows the most significant return on investment.
The other marketplaces all have a PPC strategy tailored to them that is more simplified. For example, advertising on Google, Facebook, Instagram, Pinterest, and TikTok is in the testing phase, trying to get ROI to drive new customers to the Shopify store. These marketplaces are given smaller budgets and require more resources and investment to expand sales.
As successful as the business is, they have not yet tapped into the industry’s colossal influencer marketing opportunities or focused extensively on paid social media advertising. Both options have shown a great return on investment with focused campaigns for businesses like it. They enjoy a healthy average order value with D2C sales, and wholesale seems like a highly lucrative opportunity, particularly for a new owner with expertise in the field.
There is immense opportunity for a new owner to scale the operation with mass retail. The brand hasn’t yet dipped its toes into the massive wholesale market in this vertical; however, a focused campaign could create an entirely new and significant revenue stream, increasing repeat business. Additionally, a buyer with an established sales or buying network can take this company to new heights via this channel.
This business has the demand, customer base, and service values that consumers love and appreciate and tremendous growth enticing to any prospective new owner. In addition, no specialized systems or skills are needed to operate the company besides general business and operational experience. However, expertise in marketing, advertising, and SEO would be a great advantage and could result in tremendous scalability.
This eCommerce Brand is Represented by:
Tech, Internet & eCommerce Business Brokers