Growing a Successful Multi-Category Ecommerce Brand in Kids, Pets, Sports, Home, and Office
This eCommerce brand operates primarily as an Amazon FBA retailer and specializes in selling products in the Sports, Kids, Pets, Home, Kitchen, and Office categories. They offer over 60 private label products with high margins, low competition, and easy rankability. The company is positioned for growth and has opportunities to expand to additional sales channels and international markets. With a low necessary workload, this business is scalable and ready for expansion. The owner is open to selling 100% of the company and is willing to remain involved for a seamless transition. The asking price is $13,500,000, with a cash flow of $2,949,306 and a gross income of $10,319,116. The business was established in 2016 and has 7 employees.
OPERATIONS
The eCommerce brand operates primarily as an Amazon FBA retailer, utilizing Amazon’s Fulfilled by Amazon program for pick, pack, and shipping needs. The company has a low overhead model and requires no office or warehouse overhead. With a low necessary workload based on current sales, the business is already scaling organically. Opportunities for growth include expanding to other sales channels and international markets.
The eCommerce brand utilizes Amazon’s Fulfilled by Amazon program for all pick, pack, and shipping needs, eliminating the need for a physical location, large employee count, or a warehouse. The low overhead model reduces costs and streamlines supply and logistics operations.
MARKETING AND KEY METRICS
The company currently focuses on the Amazon sales channel but is well-positioned to expand its marketing efforts to include driving more traffic to its branded website, other online retail channels, and Amazon International. The brand stands out with carefully crafted packaging, excellent customer service, and support, as well as high-profile videos, product images, and content.
The business is currently focused on the Amazon sales channel but has opportunities to expand to other sales channels, such as driving more traffic to its branded website, other online retail channels, and Amazon International. This multi-channel approach will contribute to the growth of the business.
Key metrics for this eCommerce brand include high margins, low competition, easy rankability on page 1, sustainable profits through moats and barriers to entry, longevity of products, patents and trademarks, top-quality imaging and videos, and seasonality handled through diversification.
The eCommerce brand has a diverse customer base due to its wide range of product categories. The target customers include parents, pet owners, sports enthusiasts, and individuals looking for home and office products. The brand’s products cater to various age groups and interests.
BUSINESS MODEL & RESOURCES NEEDED
The business has 7 employees and operates with a lean team, minimizing office and employee expenditures. The owner is willing to remain involved after the sale and work with the buyer as partners to further scale the business.
THE INDUSTRY
The eCommerce industry is booming, with online retail sales increasing year over year. This business operates in the Kids, Pets, Sports, Home & Office categories, which have high demand and offer a wide range of products. Examples of companies in this industry include Amazon, Chewy, Nike, and Wayfair. The industry is competitive but also presents many opportunities for growth and innovation.
OPPORTUNITIES TO SCALE
There are several scale opportunities for this eCommerce brand. One example is expanding to other sales channels, such as wholesale brick & mortar, distribution to other online retailers, and segment-leading channels like Target.com and Wal-mart.com. Another opportunity is international expansion, particularly to the Amazon Europe and Asian markets. The business is also launching 17 new products, which will contribute to future growth.
Asking Price: $13,500,000
Gross Income: $10,319,116
Cash Flow: $2,949,306
Year Established: 2016
Employees: 7
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