Website Closers® presents an eCommerce Brand focused on the niche category of Women’s Protective Underwear. In less than 3 years, this company has become the clear leader and top seller in this vertical in their native Germany, and they now maintain a very loyal customer base giving them a 22% Repeat Customer Rate.
This business represents a clear opportunity for a US Buyer to acquire this company, expand it into the United States and the UK, and also begin crossselling their products to the building audience in Germany. And since the audience is female, there are a number of products that would be excellent cross sells.
Company sales have been driven by a clear vision to support women through
every stage of their lives with innovative products, and they matched that with a vigorous digital marketing campaign that includes exclusive arrangements with many of Germany’s top trusted influencers. That provided this company with rapid market penetration for their proprietary products that are sold under their brand name, and their solutions-oriented approach sent demand for their 19 SKUs skyrocketing. The company wisely recognized the need for women’s period underwear by delivering highquality and affordable alternatives to what was currently on the market in
Germany.
The company’s inclusive underwear products, an innovative product range that includes numerous top sellers, have generated strong brand awareness in just a few years. Demand for their products is rising sharply in Germany thanks to excellent customer reviews and testimonials, and the fact that these products are not available elsewhere. This rapid ascent has convinced the company to focus on expanding its product line to now include men’s leakproof and functional sportswear.
This turnkey operation represents a significant investment opportunity for a shrewd buyer. The brand’s formula for success in Germany would be an easy one to replicate in other parts of Europe and the United States, including by expanding their sales channels to include eCommerce titans such as Amazon and Walmart. The company additionally benefits from well-established and exclusive relationships with key suppliers, and a stunning database of 488,000+ email and SMS text subscribers that ensures they can successfully engage with customers and grow their audience in the future.
Business Broker Takeaway
Our analysis of this business revealed several key value propositions for a buyer looking for an online company enjoying soaring profits in an evergreen and high-demand vertical, with proprietary products and the ability to scale quickly. We anticipate buyers will recognize that value for 3 important reasons:
- Innovative Product Range. The company has successfully developed numerous functional and Inclusive products for women, enabling them to deal with common issues such as incontinence while their products also put a focus on sustainability. The comfort of each buyer has also been a major priority for the brand. Several of their SKUs have become top sellers, at a time when the global women’s night and underwear market has soared to $96 billion and is growing at a rate of 4.8%. The company’s plans to expand into men’s clothing will surely send profits skyrocketing.
- Strong online presence. Influencer marketing has been this brand’s core marketing strategy, and it has enabled the business to scale rapidly. The company has developed long-term exclusive deals with its influencers and has an influencer marketing team that analyzes the bond between an influencer and the targeted audience. This has been a boon for the company since period underwear is a product that consumers need to trust, but once they’ve developed that trust, they
remain loyal over the long run. The company also runs Facebook ads which have also been a major driver of increased profits.
- Growth Opportunities: In addition to an international expansion into the US and UK markets, and the diversification of products, this brand is remarkably well-positioned to use a wide assortment of effective tools to grow rapidly. That would include developing a wholesale strategy to shift from DTC sales to B2B, targeting both brick-and-mortar and online retailers that sell related products. With a rising Repeat Customer Rate, the company could introduce a subscription
service for its loyal buyers and tap into new marketing channels such as TikTok and Facebook sales to expand its customer base.
The Company
Launched in 2021, the company has been providing its women customers with underwear designed to replace tampons and pads, in a way that is hygienic, comfortable, organic, sustainable, and affordable. The company has also launched accessories including leakproof nursing bras and period care products such as heating patches.
All products are sold under their brand name and logo, and with an Average Order Value of 61 Euros ($65.51 in U.S. dollars), their 19 SKUs enjoy brisk sales year-round and no seasonal impacts. However, sales do rise in the summer months thanks to the company’s introduction of leakproof period beachwear.
In addition to Germany, the company enjoys sales in Switzerland and Austria. Their customer demographics are strong: women between the ages of 25-35, and most are moms looking for products that make them feel good about their bodies. They are also interested in sustainability and protecting the environment, which is a key factor in how the company’s products are designed. The company ships its products in a biodegradable plastic bag. The loyalty and trust of their customer base are also apparent in the fact that the brand has received more than 9,000+ reviews and maintains a 4.3 average rating, the highest on Germany’s version of Trustpilot.
Operations & Marketing
The current owners employ a large and experienced team that includes seven full-time and 17 part-time employees who work as general contractors and handle all daily tasks, ranging from customer service to the coordination of influencer marketing to supply chain management and product designs. This team has been instrumental in helping to maintain the company’s high success rate.
The company stocks its products in a 3PL, with new orders placed at least every two months.
In addition to influencer marketing and Facebook ads, the company also runs PPC ads on Google and takes advantage of a large subscriber database of 488,000+ people, which includes 285,000+ email subscribers and 244,000+ SMS text message subscribers. The email newsletters are a mix between educating subscribers on their products, and special offers. Their goal has been to use the email list to create a sense of community with their buyers and newcomers.
Social media marketing on sites such as TikTok and Instagram has helped to create a brand preference among people visiting their pages. And those posts drive higher levels of organic traffic. An educational blog on the company’s website also attracts new viewers to their online shop. This has worked exceptionally well, giving the company a massive 358,400+ unique monthly visitors and online store sessions.
The company’s model for success in Germany is now ready to be expanded to other countries, sales channels, and B2B campaigns under the right buyer.
