Website Closers® presents a Nutritional Supplements Brand that is growing strong after 8 years in Business. Their TTM Adjusted Net Income through May is 29% over their 2021 results. The company primarily sells on Amazon (Amazon FBA), but they are also currently selling on their Shopify website, Walmart.com and eBay; however, Amazon FBA sales make up 97% of their current total revenue. DTC and other marketplace sales offer low hanging fruit for future growth.
Operating in the lucrative Dietary Supplements vertical, the company’s organic formulas and brand name products have given them an industry leading 40% Repeat Customer Rate, and 15,500+ Subscribe & Save Members on Amazon. The company has tapped into the public’s desire for nutritional supplements that are made from natural ingredients – all of their formulas use herbal ingredients. Customers have responded to these products strongly, showering the company with high praise and 5 Star product reviews.
The industry itself is not only a very healthy one but is getting stronger by the day. The global dietary supplements market was valued at $151.9 billion in 2021 and is projected to grow by 8.9% through 2030. A rising interest among consumers in their personal health and well-being is fueling the industry’s growth, along with the easy availability of these products and the fact that they can be purchased without a prescription. Busy work schedules have also contributed to the growing appeal of supplements that can fulfill daily nutrient requirements. Once a customer has come to trust and appreciate a particular supplement, the likelihood is it will become a part of their normal daily routine, making them lifetime buyers.
The company has grown since inception. Since the company’s founding in 2014, it has continued to grow by developing formulas that have at least one ingredient validated in clinical studies. The company uses a combination of custom formulas formulated by product development specialists and private label formulas that have been reviewed for ensure they work as intended. In other words, their success doesn’t come solely from creative marketing, but from products that actually work as intended for boosting human health and welness. That has enabled them to draw the kind of word-of-mouth recommendations and glowing reviews that attract new customers and boost repeat sales.
As a direct-to-consumer supplement company, the company has used Amazon as its main sales channel, and there still remains a vast amount of opportunity on Amazon.
The company utilizes the services of Contract Manufacturers to source their products, and all products are conveniently shipped directly to Fulfillment by Amazon, which also handles customer service inquiries. Their 36 SKUs, which have an Average Order Value of $22 on Amazon and $40+ on their own website, are sold under their brand name and manufactured for them. This company has set itself apart by using scientific standards for all products so customers get real results.
Amazon is a strong platform for them. As noted above, 97% of the company’s revenue comes from Amazon, with the remaining percentage divided between their Shopify website, eBay and Walmart.
The company has effectively used PPC ads on Amazon, and one of their strongest tools for growth has been the Subscribe & Save Program. Offered on both Amazon and their website, their increasing loyal customer base has responded to it enthusiastically, with more than 15,500+ subscribers and more than 40% of revenue coming from repeat buys.
The company’s customer base continues expanding, and they now have more than 35,000+ subscribers in their email database.
Sales are divided across numerous SKUs so profits are not dependent on a single product, with their top 2 sellers representing 23% and 22% of sales.
There is low seasonality to the business, as customers use these products on a daily basis and purchase them frequently. Their customer demographics are strong, divided between women (53%) and men (47%), who are looking for natural remedies to assist them with specific medical conditions. They also appeal to health-conscious consumers eager to maintain their health. Their customers tend to be educated with strong income levels and disposable income.
Marketing and daily operations run smoothly. In addition to PPC ads, the company uses Facebook advertising and email marketing campaigns to attract new customers and promote upsells.
Their SEO program includes an educational blog on their website, and they effectively use their social media platforms to boost organic traffic, having attracted 23,000+ Facebook subscribers and 10,000+ on Instagram.
These marketing tools are working and bringing the company 40,000+ unique monthly visitors.
This turnkey operation does not require a heavy workload from the current owner, who now spends less than 20 hours per week operating it, since so much of the fulfillment, marketing and customer service are handled by Amazon. The company uses independent contractors to handle operations, Amazon PPC management, customer service and other daily tasks.
Having the trust of your customer base is important to any business, and it’s particularly crucial for any company operating in the field of health and dietary supplements. This company’s success in building up an exceptionally loyal customer base gives them enormous scale options in their future, particularly with proprietary formulas that customers can’t find anywhere else.
This company is truly at the tipping point of a powerful growth curve.
Contact Website Closers today to learn more about how this company’s financial health and terrific future prospects that make it an unbeatable acquisition.
