Espresso Machines & Accessories Retailer – $800 Average Order Value
This eCommerce retailer specializes in providing high-quality coffee and espresso machines and accessories to both B2B and Direct-to-Consumer customers. With an average order value of $816.81, the company has a strong market standing and leverages Google AdWords and Facebook to boost ROI. The company’s 100% drop-ship model ensures that high-profit margin products are efficiently delivered to customers throughout the year.
OPERATIONS
The company’s streamlined business model is built for swift scaling through a variety of methods. The current vendor ties and strong relationships are one of the advantages of the business. The owners currently spend 5-8 hours per week running and scaling the company, and their responsibilities include placing orders, managing inventory, and communicating with customers.
The innovative retailer’s 100% drop-ship model ensures that zero cash flow is invested in inventory, storage, warehouse employees, and warehouse costs. The model is efficient, especially during the holiday seasons, where sales are higher than at other times of the year.
MARKETING AND KEY METRICS
The company mainly uses Google AdWords and Facebook for advertising, providing excellent ROI. The addition of SEO tactics, organic and paid media, and an extension to platforms like Amazon.com and specialized coffee hubs could improve the company’s marketing approach.
The company reaches customers through its Shopify enabled website, Google AdWords, and Facebook. The business plan could be improved through an expansion into other selling platforms like Amazon and Target.
The company maintains an Average Order Value of $816.81, and its current gross income is $275,746. With an asking price of $190,000, the current cash flow is approximately $47,878. The company has been running since 2017 and has only one employee.
The company focuses on selling high-end coffee makers, espresso machines, coffee grinders, and espresso accessories via its Shopify enabled website.
BUSINESS MODEL & RESOURCES NEEDED
The eCommerce retailer currently has no employees or contractors.
THE INDUSTRY
Coffee is a staple of the beverage economy and remains the primary driver of hot drinks globally. The company’s niche offering has given it a prominent market position in the coffee maker, espresso machine, coffee grinder, and accessory market.
OPPORTUNITIES TO SCALE
The business could scale through the extension to other SKU lines, such as in-house coffee and espresso products. Improvements to its marketing plan, updated SEO tactics, and extensive organic and paid media growth could increase revenue.
Asking Price: $190,000
Gross Income: $275,746
Cash Flow: $47,878
Year Established: 2017
Employees: 1
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