Inkless Printer Products Manufacturing Brand with Impressive Financials: 75 AOV, 23% Repeat Order Rate, 15% Net Margins
Website Closers presents a popular and profitable eCommerce company in the inkless pocket smartphone printer niche. What started in 2020 as a DropShipping business quickly transitioned into an established brand due to immediate customer loyalty and a robust and well-nurtured community. And with an exclusivity agreement in hand with the manufacturer, the overall market for these products has a lower competitive landscape than in other verticals.
OPERATIONS
All products are sold internationally on the Shopify-built website and Amazon.com. Shopify accounts for over 90% of sales, and the site is highly optimized for maximum conversion. Notably, there is no concentration on any given SKUs—with ten responsible for 64% of sales. Amazon presents an enormous opportunity to boost sales significantly, particularly with the massive advantage of exclusivity. The company can also optimize logistics by utilizing Amazon fulfillment centers in the US and Europe.
Inventory is ordered from China with the assistance of a sourcing agent. Orders are either purchased in bulk to send stock to the overseas fulfillment warehouse or are DropShipped to some destinations. The hybrid model is convenient for international sales, while 95% of US orders are fulfilled using the Amazon Multi-Channel Fulfillment (MCF) service.
MARKETING AND KEY METRICS
Lead generation is primarily achieved through paid advertising on social media platforms. Facebook, Instagram, Pinterest, and Google have all shown an excellent return on ad spend of between 4.1 and 5.5. Additionally, promotional offers are sent via SMS, email, and Facebook messenger. The brand has 129,000 email subscribers, 49,000 SMS subscribers, and 83,000 Facebook messenger subscribers. The social media community is kept active with giveaways, a few paid collaborations, and affiliate partnerships with micro-influencers.
The company primarily sells its products through its Shopify-built website, which accounts for over 90% of sales. However, there is a significant growth opportunity in expanding sales on Amazon, leveraging the exclusivity advantage and utilizing Amazon fulfillment centers. By increasing the brand’s presence on Amazon and introducing additional products, the company can further boost its sales and market reach.
Partial SBA Approved eCommerce Brand of Inkless Printer Products – Manufacturing Exclusivity – $75 AOV – 23% Repeat Order Rate – 15% Net Margins
The typical customer is a woman between 18 and 35 interested in crafts and DIY. The products have gained popularity internationally, with significant sales from Australia (20.5%), Canada (5.3%), Continental Europe (18.2%), the UK (32.9%), and the US (22.7%). The company has a 23% repeat order rate, indicating a loyal customer base.
BUSINESS MODEL & RESOURCES NEEDED
The owner works only ten hours weekly. His primary tasks include supervising the freelance staff in customer support and operations, paying suppliers, and managing paid advertising accounts when necessary. Freelance staff work between 5 and 20 hours each weekly and comprise two customer support agents, a social media manager, an operations agent, and a graphic designer.
THE INDUSTRY
The inkless pocket smartphone printer industry is a niche market that offers a unique and convenient printing solution for smartphone users. It caters to individuals who value portability, simplicity, and the ability to print photos directly from their phones. This industry has seen significant growth in recent years, driven by the increasing popularity of smartphones and the demand for instant photo printing. Examples of similar businesses in this industry include Polaroid and Fujifilm Instax.
OPPORTUNITIES TO SCALE
The business is well-systemized, straightforward to operate, and easily transferable to a buyer. A new owner without experience would have no difficulty, while one with a strong digital marketing background could scale the brand dramatically. Scale opportunities include increasing the brand’s presence on Amazon, introducing additional products to existing customers, leveraging exclusivity rights, and scaling the US market.
Asking Price: $950,000
Gross Income: $1,782,975
Cash Flow: $261,304
Year Established: 2020
Employees: 5
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