Website Closers® presents an eCommerce company operating in the evergreen and booming field of Kids Toys and travel products and accessories, with award-winning products that parents are eager to buy for their children. Parents can be very discriminating buyers in this vertical, and the brand has gone a step further, winning their loyalty through their Entertainment Packs which have proven to be ideal for keeping little ones active during long travels, weddings, and other special occasions.
That’s given the brand fast rising sales thanks to their appeal to parents who are strapped for time and want fun ways to keep their children engaged. Their products were created to offer solutions to parents traveling with children, and their products have drawn strong reviews from satisfied customers for helping to reduce the stress of staying on schedule while keeping their kids happy. With a strong SEO program built around keywords related to traveling with kids and a blog read by thousands of interested parents, the company quickly became a trusted authority on family travel issues. Their already large customer base keeps expanding.
With six years of experience building up their customer base, the company now enjoys 42% net margins and around a 70%+ gross margins across the store, partly from a social media marketing campaigns that has delivered 100,000+ engaged followers. That not only helps drive organic traffic to their website but also gives them a rising 28% Repeat Purchase Rate. With a minimal workload for the owner, this business provides a new owner with a secure footing in the prosperous toys industry. The global toys market is projected to grow from $141.08 billion to $230.64 billion by 2028, a 7.30% growth rate, and this company has major scale opportunities moving forward.
In addition to the toy industry, it’s become very profitable for companies to market products and services to traveling families. One reason this company’s blog is so popular is because this brand is empowering families to add more travel into their family life and make it a great trip for everyone involved. Within this niche space, the company has an impressive reputation for addressing the challenges that pop up while traveling with little ones.
In addition to their customer base, this company also does well attracting B2B contracts and has solid relationships with several large corporations. The company has a smart story to tell about how they built up this company.
Launched 6 years ago, the company has designed several entertainment packs for traveling kids, for both car and plane rides, with variations on each pack, and even a few designed for kids to use at home. With the items being different with every order, that’s helped to keep their Repeat Purchase Rate increasing, and their Average Order Value of $65 (and $160 for the plane kits) has enabled the company to grow to 100 items that can be put into their packs.
For their DTC customers, the company appeals to a diverse customer base, with orders coming from parents, grandparents, other relatives such as aunts and uncles, and even friends of the family. Women between the age of 25 to 60 make up their top demographic.
With the exception of a slowdown in January, sales remain healthy throughout the year, often busiest in the summer months and then again around the holidays in November and December. Sales quickly ramp up again in February as Easter purchases come in.
While 90% of their sales are DTC, their wholesale accounts have been rising, with those contracts now at 60% net margins. The company is projecting that their B2B sales will double by next year.
The company has opportunities to expand their B2B sales in numerous ways, including by launching collaborations with travel agencies, expanding the B2B product offering which gives them the ability to reach new customers every time someone books a family vacation, and by collaborating with hotels, resorts and restaurant groups to further promote their fun travel packs.
The company sells exclusively on its Shopify store, and there is huge scale potential for expanding their listings onto platforms such as Amazon and Walmart, which would dramatically expand their customer base.
In addition to their popular products, the company has a narrative to share about how the Royal Family and celebrity customers have used their products, most notably when the company supplied packs for the Royal Wedding in 2018. The Royal Family has been a faithful customer ever since.
SEO and social media marketing have been the cornerstone of the company’s marketing efforts, with their weekly blog becoming one of their greatest strengths for boosting organic traffic. The blogs are used to post about family traveling, offering advice and smart tips for readers. On their social media platforms, they employ both video marketing and influencers to drive sales higher, and they now have 100,000+ followers across those platforms.
These campaigns are effectively bringing the company up to 50,000 unique monthly viewers, and their affiliate program is giving the company several thousand dollars worth of passive revenue each month.
That’s not their own marketing strengths, however. With 75,000+ email subscribers and 8,000+ customers signed up for their SMS text messaging, they are effectively getting between 50 and 100 new submissions a day, and their email marketing alone generates 31% of their total revenue. PPC ads are run on Facebook and Instagram to help attract new customers.
Inventory for their items is sourced within the UK, through eight main suppliers. These products are shipped from their 3PL, with 50 shipments being made daily. It’s an efficient system, and the current ownership spends no more than 8 hours per week operating the business, The company uses the skills of one experienced virtual assistant, and the owner’s tasks could easily be outsourced to a second VA.
The pent-up demand for family travel time is sending millions out on the road or to the airports to visit popular destinations, and studies show that travelers today are more willing to splurge on travel plans, including 32% who said they would splurge on things that take a trip from good to great. Operating within the two phenomenally popular verticals that this company does – kids’ toys and travel accessories – will prove to be the right ticket to financial success for any buyer.
