Award-Winning Kids’ Toys Brand: Ecommerce, B2B Sales, Entertainment Toys, and Much More!
This award-winning kids toys brand offers a wide range of entertainment toys and packs for children to enjoy while traveling or during family events. With a focus on keeping kids occupied and having fun, this brand has become well-known for its customizable entertainment packs, which include stickers, coloring books, crafts, educational games, puzzles, and snacks. The business operates in both the eCommerce and wholesale channels, with the ability to scale into additional marketplaces and retail partners. With a 35% net margin and a $65 average order value, this brand has a strong customer base and repeat orders. The supply chain is well-established, sourcing inventory from the United Kingdom and maintaining around $120,000 worth of inventory throughout the year. The business utilizes digital marketing, affiliate marketing, and email campaigns to acquire and retain customers. With a solid infrastructure and efficient operations, this business offers scale opportunities for growth and expansion.
OPERATIONS
The operations of this award-winning kids toys brand are well-systemized, allowing the owner to work only six to eight hours per week. Primary tasks include ordering stock, liaising with the 3PL (third-party logistics provider), and overseeing a virtual assistant. The company utilizes a highly proficient virtual assistant based in the Philippines who handles tasks such as liaising with the 3PL, ordering stock, and customer service inquiries. The business generates 90% of its revenue through eCommerce on its Shopify-built website, with the remaining revenue derived from B2B wholesale clients at a 60% margin. The owner believes that advertising in the US and stocking products with a logistics company there could increase revenue by 500%. The business has a broad customer demographic, including parents, grandparents, friends, and family members of children. Marketing efforts include digital marketing, affiliate marketing, and email campaigns.
The supply chain for this award-winning kids toys brand is well-established and efficient. The inventory for the entertainment packs is sourced from the United Kingdom via eight primary suppliers. The company maintains around $120,000 worth of inventory throughout the year to ensure swift delivery times and avoid supply chain issues. All suppliers are CE-registered large corporations that supply leading toy stores. The products are packed into a simple recipe for each SKU to avoid discrepancies and duplicates. The company utilizes a UK-based third-party logistics provider (3PL) for order fulfillment and has the potential to replicate the same process in the US for exponential revenue growth. Two products are manufactured in China, and the owner has a strong working relationship with the vendor.
MARKETING AND KEY METRICS
The marketing efforts of this award-winning kids toys brand are broad and highly effective, achieving a combined 4.6 return on ad spend. The brand utilizes an agency to run TOF (top of funnel), MOF (middle of funnel), and BOF (bottom of funnel) ads on Facebook and Instagram, as well as Google PPC (pay-per-click) ads. Social media posts are made daily on Instagram, Facebook, YouTube, and TikTok. The business also employs affiliate marketing to bring in passive monthly revenue and utilizes SEO strategies with weekly blog posts on its website. Additionally, the company focuses on acquiring customers through its email list, which accounts for 31% of total income.
The sales channels of this award-winning kids toys brand include eCommerce and B2B wholesale clients. The business generates 90% of its revenue through its eCommerce website, and the remaining revenue comes from B2B wholesale clients. The B2B channel is projected to double in the next year, presenting significant growth opportunities. The owner believes that advertising in the US and stocking products with a logistics company there could increase revenue by 500%. With a wide customer base and a strong online presence, this brand has the potential for continued sales channel growth.
This award-winning kids toys brand has impressive key metrics, including a 35% net margin, $65 average order value (AOV), and 28% repeat orders. The business generates 90% of its revenue through eCommerce on its Shopify-built website and is projected to double its revenue from B2B wholesale clients in the next year. With a well-established supply chain, efficient operations, and successful marketing strategies, this brand has the potential for significant growth and scalability.
The customer base of this award-winning kids toys brand is broad and includes parents, grandparents, friends, and family members of children. The target demographic is typically women between 25 and 60 years old, based worldwide. The business has a strong customer retention rate, with 28% repeat orders. This loyal customer base contributes to the brand’s recurring revenue and growth potential.
BUSINESS MODEL & RESOURCES NEEDED
The human resources of this award-winning kids toys brand include a highly proficient virtual assistant based in the Philippines who has been with the company since 2018. The virtual assistant handles tasks such as liaising with the third-party logistics provider, ordering stock, and customer service inquiries. Additionally, the business works with email marketing and digital marketing agencies to handle those specific areas of expertise.
THE INDUSTRY
The kids toys industry is a highly profitable market, with a wide range of products and brands catering to children’s entertainment and education. This award-winning kids toys brand operates in the eCommerce sector, offering a variety of entertainment toys and packs designed to keep kids occupied and engaged during travel and family events. The industry is characterized by strong demand for innovative and high-quality products that provide entertainment and educational value for children. Examples of other successful companies in this industry include LEGO, Hasbro, and Mattel.
OPPORTUNITIES TO SCALE
This award-winning kids toys brand offers scale opportunities for growth and expansion. The owner believes that by advertising in the US and stocking products with a logistics company there, revenue could increase by 500%. Additionally, the business has the potential to replicate its successful supply chain and fulfillment process in the US, further boosting revenue. The brand can also expand into additional marketplaces and retail partners, reaching a wider customer base. With a well-systemized operation, efficient operations, and successful marketing strategies, this business is poised for scalable growth.
Asking Price: $1,300,000
Gross Income: $883,725
Cash Flow: $379,960
Year Established: 2017
Employees: 3
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