Explosive Branded Arts and Crafts Retailer – 250% YOY Growth – Pens, Markers, Watercolor and More!

This online retailer specializes in branded consumer products in the Arts & Crafts space. With a focus on multiple specific niches such as pen & ink, watercolor, and marker art, the company offers a laser-focused lineup of 30 SKUs. They have a website tutorial content on demand that is accessible to its customer base at all times. Currently enjoying 250% Year-Over-Year (YOY) growth, the seller has an average ticket value of $18.00 on their eCommerce storefront and has earned an Amazon’s Choice Badge for their leading Marker SKU. Leadership focus on expanding the product line, both on current sales channels as well as other channels, both domestically and internationally.

OPERATIONS

The company has a fully developed, turn-key operation and requires little physical overhead or human capital. Using a 100% 3PL fulfillment platform, Amazon stores, picks, packs, and ships all inventory – allowing management to focus solely on growing the business, rather than day-to-day operations. They already have a pipeline for new product R&D, making this a true turn-key acquisition.

Since their entire inventory is stored, picked, packed, and shipped by Amazon, little human capital is required. This setup offers incomparable ease-of-use for the company.

MARKETING AND KEY METRICS

This retailer utilizes multiple marketing channels, including Amazon, SEO, and social media marketing campaigns, email campaigns, and other direct marketing initiatives.

The company has proven success with sales channels on Amazon and by direct sale to its customers. There is ample room for further growth by utilizing more digital marketing campaigns and direct email marketing campaigns. Utilizing more of these channels is essential for scaling the business, which would aid the company’s long-term revenue growth rates.

The seller experiences an impressive 250% Year-Over-Year (YOY) growth rate and has an average ticket value of $18.00 on its eCommerce storefront.

The company has a dedicated, niche customer base for its Arts & Crafts products.

BUSINESS MODEL & RESOURCES NEEDED

The company currently has only one employee. However, handling day-to-day operations isn’t required due to the nature of their operation where inventory is handled by Amazon. A new owner would be able to function optimally without having to worry about handling team members.

THE INDUSTRY

In the Arts & Crafts industry, the online retailer has a very potent position in a trending segment. The Arts & Crafts consumer segment has been blossoming over the past few years, with market revenue forecasted to grow 2.4% annually to reach $43.2 billion in 2023. As such, online Arts & Crafts retailers are likely to continue to experience growth in the upcoming years.

OPPORTUNITIES TO SCALE

Plenty of avenues for growth exist – branching out to international markets with Amazon, implementing a strong SEO and social media marketing strategy, tapping into direct email campaigns with an existing database of 4,000 opt-in subscribers, and expanding the product line.

Asking Price: $625,000
Gross Income: $715,790
Cash Flow: $181,406
Year Established: 2015
Employees: 1

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Amanda Stanley

Amanda has been a professional writer since 2010. She writes during the day and reads by night. She has accumulated knowledge by scouring the internet and reading informative books. Concurrently, she developed a passion for educating people through her blogs and web tutorials. She is an earnest believer that knowledge is power.

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