Organic Skin Care & Health Beauty Business for Sale on Amazon FBA
This company operates in the high-growing organic health & beauty category. It has a fully branded line of skin care, health, and beauty products, with eCommerce as its primary sales channel through branded websites and Amazon.com. The company has shown tremendous growth and scalability within a short amount of time due to its proprietary product line and margins, which are far higher when selling its own product lines. There are plenty of scale opportunities available to this company, including adding more products, beginning to sell products internationally, and adding a full network of affiliates. The company’s supply and logistics are managed by Fulfilled By Amazon (FBA).
OPERATIONS
The company has a proprietary, fully branded line of skin care, health, and beauty products, and it sells almost all of it through the Amazon platform. All shipments are managed by Fulfilled By Amazon (FBA), and the company has kept clean records. As the company solely relies on branded and proprietary product lines, there is an opportunity to be present on the Amazon Brand Registry, own the Buy Box, and prevent ASIN merges of the products it sells on the platform.
Fulfilled By Amazon (FBA) manages the company’s supply and logistics. The company orders bulk quantities of its proprietary line of products from its third-party manufacturer and sends them directly to Amazon’s FBA warehouse from where the products are fulfilled to customers.
MARKETING AND KEY METRICS
The company primarily sells its fully branded line of skin care, health, and beauty products on the Amazon platform and its branded website. The company enjoys higher margins and control when selling its proprietary product line versus others. Branded products that do well on Amazon also tend to do well in Google’s search algorithm for keywords associated with product lines. As a private label, a full network of affiliates could be added to help sell the products, which could also be sold to distributors and retailers at wholesale.
The primary sales channel for the company is eCommerce through Amazon, with 99% of the company’s products being sold via Amazon. To scale up the business, the company can expand its product line, sell its products internationally through Amazon’s international platforms, and add a full network of affiliates to sell its products.
Clean records of sales and shipments are maintained by the company. The company has high margins and better control due to its ownership of the production of its proprietary skin care, health, and beauty products. It can also enjoy the advantages of branding and visibility upon joining the Amazon Brand Registry. The company has shown scalable growth within a short amount of time due to its successful eCommerce sales.
As an organic, health, and beauty company, the customer base comprises eco-conscious consumers seeking natural, organic, and clean beauty products. The customers can be categorized as those who prefer to shop on Amazon’s platform, those who prefer to shop on the company’s branded website, and those who make purchases from distributors and retailers.
BUSINESS MODEL & RESOURCES NEEDED
The company has three employees that manage the day-to-day operations. However, the company’s growth can easily accommodate personnel expansion as it scales up to fulfill its myriad growth opportunities.
THE INDUSTRY
The organic health and beauty category of the cosmetics industry has been seeing tremendous growth in recent years. Customers are increasingly interested in natural, organic, and clean beauty products that do not contain any harmful chemicals or ingredients. Large corporations like L’Oreal and Unilever have acquired smaller, independent organic beauty companies due to the sector’s high profitability and fast growth. Sephora has also increased its organic beauty section to promote more eco-friendly and natural beauty products.
OPPORTUNITIES TO SCALE
The company can scale up in various ways, such as adding more products to its existing line, expanding its sales channels to international markets through Amazon’s platform, and adding a full network of affiliates to sell its products. As a private-label business, the company can benefit from selling its branded line of skin care, health, and beauty products to distributors and retailers at wholesale prices.
Asking Price: $395,000
Gross Income: $480,000
Cash Flow: $98,800
Year Established: 2014
Employees: 3
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