23-Year Established B2B Ecommerce Business: Custom Promotional Products, 80% Repeat Order Rate, Strong Supplier Relationships, Easily Run From Home
With 23 years of industry-specific experience, this well-established B2B eCommerce business produces custom-labeled bottled water for clients, with a focus on increasing brand recognition through logo display. The company benefits from superior market knowledge, tight supplier relationships, and an unbeatable distribution model to thrive in the custom promotional products vertical.
OPERATIONS
The company enjoys impeccable relationships and longstanding deals with US-based suppliers, which allows them to receive rock-bottom prices and fast production times. They work with ten different distributors throughout the US, enabling them to cut shipping costs and ensure efficient shipping on a consistent basis. The current workflow consists of taking orders, commissioning label art from a third-party, and sending the designs to their distributors for printing and shipping, making this an easy business to learn and operate.
Impeccable relationships and longstanding deals with their US-based suppliers has allowed the company to receive rock-bottom prices and fast production times. This ultimately provides customers with the best possible prices for these goods.
MARKETING AND KEY METRICS
Current advertising strategies have been modest, but a new owner could increase sales dramatically by taking a more hands-on approach to customer outreach and driving traffic. While many custom merch companies often print T-shirts, stress balls, and other knickknacks, this company’s products stand in a clear advantage, as clients can drive sales by passing out promotional products that their targets actually want—Bottled water being a major one.
The majority of their customers come through PPC ads on Google, Facebook, Bing, and Twitter. However, the company could improve ROI by incorporating more targeted campaigns, including social media advertising.
Thanks to an outstanding 80% Repeat Customer Rate, this brand has insulating against market fluctuations and keeping income streams evergreen. This consistent flow of returning customers ensures brand stability, while aggressive pricing models drive sales volume and help corner the market with superior distribution techniques.
Their typical target customers are businesses looking to increase brand recognition through logo display, leading to a broad potential client base.
BUSINESS MODEL & RESOURCES NEEDED
The company requires only one employee to operate its easy-to-learn business model.
THE INDUSTRY
This custom promotional products eCommerce business is a leader in the industry due to its laser-focused, industry-specific experience in producing custom-labeled bottled water for clients. This product is popular among businesses looking to increase brand recognition through logo display. In an age where marketing and advertising are crucial to a company’s launch, success and continual growth, these custom promotional products can build clientele and further network with others in the field.
OPPORTUNITIES TO SCALE
With current limited advertising strategies, there are many scale opportunities for this eCommerce business. PPC ads on multiple platforms, utilizing a B2B lead generation service to target businesses within their niche, and implementing a graphic visualizer could help increase traffic and profitability. SKU expansion into similar products like koozies and coasters could also increase sales and expand the business.
Asking Price: $492,000
Gross Income: $516,168
Cash Flow: $123,760
Year Established: 1998
Employees: 1
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