The target is an eCommerce Retailer offering a fully branded, proprietary line of Premium Kitchen Knives that have been carefully designed in-house. The primary sales channel is Amazon.com US and UK, but there is ample room for growth both on and off Amazon. The company designs and creates all its own products, making it highly unique in the marketplace. Our review of the products, and their associated reviews, show an array of high end knives that are both visually stunning and of the highest quality. In business for almost three years, the company has already achieved TTM sales in excess of $3 million, with TTM earnings of over $950,000. Given the proprietary nature of the consumer products offered by this business, this is NOT your average internet company.
This eCommerce Retailer is the embodiment of how to properly create a brand – not just private label – but wholly owned and designed by in house staff so that the products offered are unique in the marketplace – not off the shelf products with a designer label. The beautifully-designed products are 100% proprietary and are crafted from only the finest materials. The Company has created an exciting and profitable niche in the Chef Knife space. Since inception, the company has developed and launched 5 distinct series of knives (45 designs in all) with a total of 89 SKUs (45 USA, 44 UK) with a variety of additional knives and other related items in development. A full 48 of the current 89 SKUs have been introduced since January 2018 alone. The Seller has strategically planned this period of rapid product deployment, working to almost double total SKU count, so that all SKUs will be velocitized well in advance of Q4, leading into an explosive holiday season.
Because the company also owns all associated knife tooling, these products are only manufactured for the company. Therefore, the knife design cannot be offered by any other company.
Sales are currently limited entirely to Amazon US and Amazon UK. This means that there are numerous immediate scale opportunities including the expansion into a huge market of untapped buyers via Amazon’s other markets. Additional growth opportunities include promotion of the company’s website storefront, the introduction of new products targeting both current and lateral categories, using the value of the brand to grow an affiliate base, as well as additional marketplaces such as Walmart, eBay, and Bed, Bath and Beyond, to name a few.
The company stores and ships all products through the Fulfilled by Amazon (FBA) program. Therefore, the new owner will have no warehousing needs, making this company easy for transition as well as a 100% relocatable opportunity. This business has three performance factors that make it stand out from the eCommerce crowd:
1. Scale. The Business is selling ONLY in the Amazon US and UK marketplaces, leaving a wealth of other markets untapped, including Amazon Canada, Germany, France, Italy, Spain, Mexico and Japan, dotcom, retail, etc.
2. Branding & Design. The products are proprietary, and all are excellently branded with eye-catching designs and high-end packaging. These attributes can be used to scale the ecommerce storefront, especially on major search engines, while also opening doors to Big Box retailers.
3. Appeal. Because the Seller has chosen to use only the finest materials and the highest quality production standards, any consumer with even the most basic culinary knowledge will immediately appreciate the product quality.
In the hands of the right marketing-savvy buyer, this company will be a stellar bolt-on opportunity to any business in this vertical, or a fantastic standalone brand to scale both on and off Amazon, keeping the company’s existing growth patterns on-target and climbing for years to come.
