Multi-Branded Ecommerce Retailer in the Health & Wellness Industry with 70% Repeat Customer Rate
This company specializes in two successful brands that offer skincare and nutritional supplements under unique proprietary formulas. They’ve built up a following domestically and internationally, with an impressive Repeat Customer Rate for both brands. Their targeted demographics consist of women and men aged 33-70 looking for high-quality skincare and dietary aids for neurological health. The industry comprises a global market with rising demand as more people become aware of the importance of personal hygiene and supplements. The company has ample opportunities for growth through influencer and affiliate marketing, expanding their products lines, and joint ventures with established beauty product distributors and online sellers.
OPERATIONS
The current owners spend 35 hours per week overseeing sales, marketing, and strategizing. A team of 5 employees manages most of the work. To date, they’ve managed to maintain an excellent reputation for customer service, shipping an average of 19 orders daily between the two brands.
The brands’ SKUs are available on their website, Amazon, and as professional-sized and B2B SKUs for spas and salons, pharmacies, and specialized retail shops. All products are manufactured in UL-listed, FDA-inspected facilities, and NPA member facilities within the United States. The brands’ formulas are unique and formulated to provide ultimate skin and neurological health.
MARKETING AND KEY METRICS
Their marketing plan is an ongoing strategy consisting of social media channels, including Instagram and Facebook. They also advertise with PPC on Amazon, Bing, and Google, reaching a broader audience and boosting visibility. They have opportunities for expansion through influencer and affiliates marketing, partnering medical associations and clinics to solidify brand credibility and bring in even more customers.
The company’s current strategies include PPC ads on Amazon, Bing, and Google, a strong social media presence, and a well-positioned SEO optimization. They could look at expanding their sales channel strategy through influencer marketing and medical partnerships to solidify brand credibility and reach a broader audience.
70% Repeat Customer Rate, Average Order Value of $110 USD for skin care and $230 for supplements DTC. The average customer makes 6 annual purchases, and wholesale customers order every 6 weeks, with Average Order Values of $500 USD.
The customer base for this brand consists mainly of women aged 33-55 and men aged 50-70 looking for high-quality skincare and nutritional supplements for improved brain function, skin health, joint health, and immunity support.
BUSINESS MODEL & RESOURCES NEEDED
A team of 5 employees handles the bulk of the operations, providing high-quality customer service fulfilling an average of 19 orders daily.
THE INDUSTRY
The health and wellness industry is expected to reach $207.3 billion by 2027. Factors driving growth of the market include increasing awareness about personal hygiene, changing lifestyles related to diet and nutrition, growing elderly population worldwide, and increasing disposable income.
OPPORTUNITIES TO SCALE
There are several scale opportunities for both brands, including expanding their product lines and supplement SKU’s to include more products supporting cognition, memory, and other medical conditions. The brands could also look to partner with established retailers, online beauty product distributors, and joint ventures to further penetrate the market.
Asking Price: $1,990,000
Gross Income: $1,408,025
Cash Flow: $466,611
Year Established: 1992
Employees: 7
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