Website Closers® presents an eCommerce Brand that has established a strong presence in the aftermarket performance parts industry. They are now a leading provider of MK5 A90 Toyota Supra vents, mirrors, deflectors, and various other parts. They handle their stock through a 90% DropShip model, and source their products through solid top tiered dealer accounts with some of the biggest suppliers on the market.
The strength of the brand’s reputation and working relationships is such that they enjoy priority distribution over MADE Motorsports parts. Axis Parts, Ewerks, and Illumo. The company also has several parts that are sold solely through their storefront, with DSG Lighting making a part exclusive to the brand, and they have their own line of products available for sale. Their Average Order Value (AOV) is $1,029.
Business Broker Takeaways
1. Strong Position in Niche. One of the brand’s biggest strengths has been their choice to focus on one auto brand and model. By honing on the MK5 A90 Toyota Supra, they have won over the niche, but sizable and highly dedicated, community that surrounds the vehicle. The brand’s trademarked name, logo, and site buildout have all worked in tandem to attract this natural audience, which has paid off in the large number of passive SEO sales they enjoy without direct investment in advertising.
2. Minimal Marketing. As touched upon earlier, the company requires very little in the ways of active marketing efforts. Most of their sales are generated passively through their strong brand and website SEO, which they supplement through various additional organic marketing strategies. These include social media marketing across Facebook, TikTok, Threads, and Instagram, the last of which the brand gives the most investment.
They spend between $400 and $500 a month boosting posts and reels for added attention or interest on certain parts. They also spend $200 on monthly management for their private shop app, which includes shopping, full store access, a forum, messaging between members, reward points, and so on.
3. DropShip Focused. The brand’s products are handled through a 90% DropShip inventory model, with the remaining 10% being stock. Depending on buyer needs preference, the brand could be switched to a 100% DropShip model, which was initially how the business operated when they first launched. The brand relies upon one large international distributor that DropShips parts for them from many different manufacturers, and also holds direct relationships with top brands that allow for priority purchasing, shipping, and other perks.
All the company’s sales are done through their website and app, and while they sell DTC, they have a growing wholesale channel that provides them with additional revenue to work with. The company also boasts the appeal of being one of only 9 HKS Master Pro dealers nationwide, encouraging individual customers and businesses alike to go to them to get their hands on those parts.
Scale Opportunities
While the brand has already been working to drive up their revenue, there are many ways that an ambitious buyer could take them to the next level. They could carry the momentum that the seller left behind by continuing to grow their wholesale and B2B business, and expanding their presence on social media. The company could also build upon their already highly successful SEO and online community by making weekly blog posts discussing subjects such as automobiles, parts, and repairs.
The brand could further improve their marketing by starting paid Google advertising and ad word integration, and diversify their revenue by expanding to an Amazon storefront. A new storefront and improved marketing would also allow them to better promote any new parts that they introduce and sell under their brand, improving their profits and broadening their reach.
Conclusion
This acquisition was owned and started by a pediatric ultrasound specialist with no business management experience, leaving no shortage of potential for a buyer who knows their way around the ins and outs of running and growing a business. Their SEO loadout puts the brand in the position to be run in auto pilot if needed, with their website being polished to the point where other eCommerce professionals have claimed it should be a “case study”.
The seller and team are willing to stay with the brand post-purchase to provide guidance, support, consulting, and other help, which will make the transition process easier for the new owner.
This Company is Represented by:
WebsiteClosers.com
Technology, Internet & eCommerce Business Brokers
WC 3407