Superfoods and Supplements Brand for Sale: 6 Year Ecommerce Retailer, 38% YOY Growth, and Recurring Revenue
Scaling & Sticky Supplements is a 6-year-old, rapidly growing eCommerce brand focused on health supplements, superfoods, and other health-focused products. Boasting a 100% positive Amazon Seller rating, the company offers more than 130 branded SKUs of organic, vegan-friendly, and high-quality nutritional supplements. The company excels in the nutraceuticals market, leveraging the wellness trend and Natural Products Association’ Diamond Awards. Their goal is to dominate the health and wellness market by providing unique quality products along with eco-friendly packaging and outstanding customer service.
OPERATIONS
This dynamic eCommerce retailer is primarily using Amazon FBA with only 3% fulfilled by the seller. A fully developed stock system and a distribution center based in Colorado lead to swift and impactful deliveries, high-quality fulfilments, and excellent customer service. The daily tasks of the owner and their four subcontractors include inventory tracking, order processing, and consumer relations management. The company’s unique selling proposition is the organic manufacturing of goods in the USA and regular inspections by the Federal Drug Administration.
The company stock system has created a dynamic framework for their streamlined logistics operations. The sourcing, manufacturing and storing are carried out with efficiency in mind to facilitate smooth shipping. All of the company’s inventory is maintained in a stock system, leading to swift, impactful orders filled on time. Their primary distribution center is in Colorado, with goods stored both in Amazon warehouses and a small space in Austin, Texas.
MARKETING AND KEY METRICS
At present, the company’s marketing strategy relies mainly on Amazon and PPC advertising supplemented by some initiatives on Facebook and Instagram. However, the company sees considerable scale opportunities by fostering relationships with other wellness companies such as gyms, nutritionists, yoga studios, and spas. They can leverage other social media platforms such as TikTok and Target.com to broaden their reach. Growing their ecommerce brand by expanding their SKU lines to increase revenue and their audience is a top priority.
The company plans to focus on stronger social media practices, incorporating such diverse platforms as Instagram, Facebook, TikTok, and Target.com. The acquisition of influencer partnerships and empowering affiliate marketing practices are other areas of growth. By expanding to other global Amazon Platforms, such as Amazon Japan and Amazon Europe, the company could increase revenue and tap into broader audiences.
The company has an impressive 70% year-over-year growth rate along with an average order value of $27.67 and a gross income of $1,682,860. The cash flow for the last year was $359,315. The company has 97% Amazon FBA fulfillment and an amazing 100% positive Amazon seller rating due to its impressive customer service, reliability, and quality products.
The company caters to a diverse audience of health-conscious consumers with its offerings of organic, vegan, and GMO-free supplements and other nutritional products. They have a strong customer base and an exceptional customer engagement rate thanks to their unique selling proposition of eco-friendly packaging, high-quality standards, and excellent customer service. With the right marketing and promotion, there is immense potential for acquiring new customers in this rapidly growing industry.
BUSINESS MODEL & RESOURCES NEEDED
The company’s focus on efficiency led to seamless HR practices. The ownership spends an average of eight hours daily on taking care of their responsibilities while a maintenance day typically consists of only two hours. They work with four subcontractors, including a Seller Central Manager, Social Media Manager, and one Customer Care Representative. For the most part, HR currently involves managing the sales operations, developing lucrative business relationships, creating marketing plans, and designing new advertising collateral.
THE INDUSTRY
The health and wellness market, and specifically nutraceuticals, is a booming industry projected to grow to $278 billion by 2024. The nutraceutical market is vast, with products such as dietary supplements, functional food, and beverages. Supplement sales have seen rapid growth with increasing numbers of health-conscious consumers seeking preventative and quality supplements. In this market, brand loyalty reigns supreme. Unique selling propositions such as organic, vegan, and GMO-free are essential to capturing the increasingly health-conscious market. Similarly, offering eco-friendly packaging, maintaining high-quality standards, and providing excellent customer service creates a high level of trust and contributes to a strong brand image.
OPPORTUNITIES TO SCALE
This company has huge potential for scaling with several opportunities, including subscription development, bundling, social media growth, adding more products, marketing via tactical partnership building with wellness companies and influencers, international expansions, affiliate marketing, and additional advertising efforts. Continuously increasing SKU lines, expanding their retail offerings, and acquiring new store locations as a growth strategy will also help the company to scale quickly.
Asking Price: $1,400,000
Gross Income: $1,682,860
Cash Flow: $359,315
Year Established: 2014
Employees: 4
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