Website Closers® presents an eCommerce business that sells General Consumer Goods on a number of online platforms, boasting an 85% positive seller rating on Amazon and a 98.5% positive seller rating on eBay. The company identifies popular products and works closely with its trusted suppliers to bring them to customers with excellent customer service. Its mission is simple: Provide high-quality products at reasonable prices and maintain customer retention while continuously growing and reaching a new audience. They have intelligently done this on eCommerce giants such as Amazon, eBay, and Walmart, marketing their range of SKUs to the hundreds of millions of buyers already existing on those platforms.
The business comprises 700+ SKUs and enjoys a healthy average order value. Management has astutely systemized the operation to minimize workload and streamline business across its four platforms. As a result, they maintain year-long sales. The revenue is split between the platforms as follows:
Top selling products include, but are not limited to, candy, groceries, pillows, and tennis balls. Across the sales channels, different products receive varied demand, allowing for no concentration on any given SKUs and an evergreen cash flow.
The business uses a 100% stock inventory model, and all Amazon orders are FBA. As successful as the business is, there are plenty of scale opportunities. Upselling and cross-selling SKUs on the DTC website is an obvious step. At the same time, launching branded products on the site could also prove highly lucrative. In addition, creating bulk deals would appeal to the price-conscious customer base. Finally, expanding into wholesale could produce an entirely new and enormous revenue stream.
Marketing is simple but effective. Being on Amazon, the company has relied on PPC ads on that platform to help drive sales, which has been effective so far. Sales have surpassed $4 million, and the figures appear to be picking up again post-pandemic. So digital marketing does offer this company some excellent scale options. However, the company does not fully employ social media or email marketing, which are great options for expanding its customer base.
Email marketing presents a colossal proliferation opportunity. With over 300,000 subscribers, the brand should look to take advantage of that database daily to offer specials and new products, create brand loyalty with a customer incentive program, and keep its name in the minds of consumers. Setting order minimums for free shipping will increase the cart value of shoppers, and launching internationally on Amazon seems like a shrewd move, given their success in the U.S. Of course, expanding the product line by continually adding popular new SKUs goes without saying.
Tapping further into digital advertising beyond Amazon is easily attainable. Affiliate marketing and an added focus to secondary sales channels can be implemented. This brand’s niche lends itself extraordinarily well to influencer marketing on social media, particularly Instagram and TikTok. They should look to influencers and collaborations to build more awareness and loyalty. Subscription boxes are also an excellent model in this industry, providing high margins, little follow-up marketing, and consistent cash flow. Recurring subscription options can produce and maintain repeat orders, and new partnerships and additional SKUs could quickly add an entirely new customer base.
This company’s operation is simple and easy to learn because of practical and manageable processes. The owners have systemized the business well to the point where employees take care of most day-to-day tasks. The owner works just 20 hours weekly and focuses on overseeing employees who manage warehouse operations and technical support.
Additional employees take care of warehouse management and logistics, technical support on all online software and marketplaces, and day-to-day management. The technical staff handles all online activities, including purchasing, and the warehouse staff handles order fulfillment and inventory management.
The current ownership is available to continue providing the technical support required to manage and operate the business post-acquisition.
This business has the history, systems, customer base, and service values that consumers love and appreciate. It’s an enticing proposition for new owners who can enjoy a successful and stress-free business or focus their energy on vast expansion in a multitude of ways, depending on their expertise.
Call Website Closers and find out how you can acquire this unique business.
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Tech, Internet & eCommerce Business Brokers