Expansive Ecommerce Marketplace Connecting Third-Party Sellers with Millions of Customers
An emerging online eCommerce marketplace that offers third-party sellers a highly customizable and user-friendly platform to market their products. It has 20+ million products available for sale across thousands of categories. The platform boasts a commission-based model that enables sellers to sign up for free and never pay upfront fees. The marketplace has demonstrated impressive growth due to its pay-as-you-go advertising on Google Shopping, customer remarketing tools, and fully customizable web stores. The appeal of this platform is attracting an increasing number of small businesses entrepreneurs, and it currently has 4 million monthly website visitors with a 33% repeat customer rate.
OPERATIONS
The developing company focuses on providing a user-friendly platform for sellers to broaden their reach and drive sales on their platform. The platform uses state-of-the-art technology to help sellers increase their reach on Google Shopping ads. They have also made their systems highly automated to keep customer support inquiries flowing and to detect and remove fraudulent sellers and copyrighted content promptly.
There is no information provided about the supply and logistics process of this online business.
MARKETING AND KEY METRICS
The marketing of this platform focuses on appealing to sellers who have become dissatisfied with other sales platforms such as eBay and Etsy. This platform allows sellers to publish their listings to eBay alongside Google Shopping and Bing Shopping. Additionally, the platform’s SEO program is geared toward search engine results for “best Etsy alternatives” and “best eBay alternatives”.
This online business focuses on making its platform user-friendly and intuitive to both sellers and buyers alike. To scale quickly, the platform could experiment with their Google Shopping bid strategies to capture a larger segment of categories that help them build repeat buyers and launch a mobile app version of their website. They could also direct their marketing efforts towards disenfranchised Etsy sellers who are looking for a new sales platform.
The platform has a 33% repeat customer rate, a high organic traffic rate, receiving 4 million monthly website visitors. The platform generates $3 for every $1 spent on Google Shopping ads and targets a growing number of small business entrepreneurs who are looking for sales platforms to capture a wider audience.
The customer base of this platform consists of small business entrepreneurs who are looking to broaden their reach and drive sales through a user-friendly platform. The repeat customer rate is at 33% and is expected to grow as more sellers continue to use the platform.
BUSINESS MODEL & RESOURCES NEEDED
The owner employs an experienced team that includes six full-time workers, including the director of Human Relations, Large Seller Specialist, Low-Risk Specialist, Office Manager, and several customer support representatives. The current owner only spends 5 hours per week running this business.
THE INDUSTRY
As the demand for online shopping continues to surge, eCommerce is a growing industry expected to reach $6.54 trillion by 2022. As a result, there is a growing number of digital marketplaces emerging to provide new advantages to sellers. This platform positions itself to capture a significant market share by offering sellers a commission-based model, fully customizable web stores, pay-as-you-go advertising on Google Shopping, and customer remarketing tools. Popular verticals that operate on the platform include Home & Garden, Heath & Beauty, Fashion, Parts & Accessories, Collectibles, and Sporting Goods, among many others.
OPPORTUNITIES TO SCALE
The platform offers significant opportunities for scaling. They could capture a larger market share by expanding into more niche markets and streamlining their technology to make the selling process intuitive to both seasoned and novice sellers. Additionally, the platform could expand into other countries, grow their social media presence, and set up a rewards program to incentivize repeat buyers.
Asking Price: $2,000,000
Gross Income: $4,059,129
Cash Flow: $522,747
Year Established: 2008
Employees: 6
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