Yarn Knitting Craft Retailer – Ready for the Next Level
This eCommerce company specializes in the high growth knitting craft niche offering a branded line of knitting storage bags and yarn bowls. The products are handmade and can be purchased in multiple customized colors through Amazon. With a steady stream of repeat buyer traffic and highly desirable ticket values, this unique retailer has little direct competition and offers low overhead with little workload. The company is currently focused on the domestic market, but has significant potential for international scale and diversification into other sales channels. The business can be expanded by tapping into email marketing, launching a social media campaign, and expanding into crossover categories such as quilting, sewing, and embroidery.
OPERATIONS
Due to the Amazon Seller Central storefront and Fulfilled by Amazon (FBA) model, this company requires little human capital and is a turnkey opportunity with low overhead. Amazon handles all warehouse and shipping operations matters as well as most customer service inquiries.
This company operates through the Amazon Seller Central storefront and Fulfilled by Amazon (FBA) model, which allows Amazon to handle most of the supply chain and logistics. Therefore, the business can be operated from anywhere in the world and requires minimal human capital.
MARKETING AND KEY METRICS
This company has not yet tapped into email marketing, but has a strong database of 7,000 which gives the buyer a favorable edge on market share expansion at a low cost and excellent ROI.
This company has the potential to scale by expanding into email marketing, launching a successful social media & SEO campaign, and expanding into crossover categories such as quilting, embroidery, and sewing. Marketplace diversification into new sales channels such as Wal-Mart, eBay, Etsy, Pinterest, and more, is also an excellent growth potential that has not yet been exploited.
The company’s highly desirable ticket values are currently at $29.00 and they are seeing a steady stream of repeat buyer traffic with little direct competition in the niche. Their Amazon storefront is well-ranked and organically showcased.
The customer base of this company is made up of knitting enthusiasts, craft lovers, and DIY enthusiasts. The company has a database of 7,000, providing a suitable leg-up on market share expansion at minimal expense and excellent ROI.
BUSINESS MODEL & RESOURCES NEEDED
This company requires little human capital, as most operations are handled by Amazon under the Fulfilled by Amazon (FBA) model.
THE INDUSTRY
The DIY Craft and Hobby industry has been on a steady rise since the onset of the COVID-19 pandemic. With the rise of the work from home and stay at home culture, the industry has blossomed into a multibillion-dollar industry. Unique DIY Craft Retailer in Yarn & Knitting Segment is particularly focused on the knitting craft niche but has substantial potential to diversify into crossover categories such as quilting, embroidery, and sewing.
OPPORTUNITIES TO SCALE
This company offers an incredible opportunity for the fast-paced entrepreneur or as the perfect addition to their craft/hobby platform, as it has tremendous potential for scale by expanding into categories such as quilting, embroidery, and sewing. The business can also diversify into new sales channels such as Wal-Mart, eBay, Etsy, and Pinterest.
Asking Price: $120,000
Gross Income: $178,815
Cash Flow: $46,675
Year Established: 2016
Employees: 1
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