Thriving Amazon FBA Nutritional Supplements Brand: Over 5 Years of Profitable Growth and Over 100,000 Reviews on Amazon
This eCommerce company operates mainly on Amazon.com and has developed a large and loyal customer base for their nutritional supplement products. With over 100,000 4.5-star average product reviews on Amazon, they offer a range of products designed to assist buyers with daily health concerns such as gut health, weight loss, hair growth, and skin care. All products are shipped via Amazon FBA, ensuring a seamless delivery process for customers.
OPERATIONS
The company has experienced strong profit growth since its inception 5 years ago. They have a strong focus on recurring sales, with 20% of customers on Amazon in their Subscribe & Save Program and 43% of customers on their website being repeat customers. The brand has a 5-star seller rating on Amazon with over 8,000 glowing customer reviews, demonstrating the effectiveness of their supplements.
All products are shipped through Amazon FBA, ensuring efficient and reliable delivery to customers. The company has established relationships with suppliers, allowing them to access certain ingredients typically limited to larger sellers. All labeling and shipments go through rigorous FDA compliance standards.
MARKETING AND KEY METRICS
The company employs a multi-faceted marketing strategy to reach customers. They run PPC ads on Amazon and Google, create and schedule email marketing campaigns, and produce monthly newsletters. Their team also writes informative blogs on their website, which are shared on various health websites. They have an active SEO program and maintain a social media presence on platforms like Facebook, Instagram, and Pinterest.
The company primarily sells through Amazon, with 98% of their revenue coming from this platform. They also have a Shopify website to diversify their sales channels. The company has strong sales throughout the year due to the daily nature of supplement consumption. They have the potential for growth by expanding sales onto Amazon’s overseas platforms, launching B2B sales, and exploring partnerships with retailers.
Key metrics for the company include over 100,000 4.5-star reviews on Amazon, a 5-star seller rating, a 20% customer subscribe and save rate on Amazon, a 43% repeat customer rate on their website, and an average order value of $50.34 on their website.
The company has a large and loyal customer base, with over 100,000 4.5-star reviews on Amazon. They appeal to customers of all ages, with the majority falling in the 45-54 age range. The brand appeals to both men and women, with about 65% of their customers being women. Customers seek assistance with general health, weight loss, skin care, digestive health, and the aging process.
BUSINESS MODEL & RESOURCES NEEDED
The company currently has 12 staff members, including a director of operations, graphic designers, a marketing director, product managers, customer service specialists, business analysts, and digital content strategists. The owners spend no more than 5 hours per week on the business thanks to their experienced team.
THE INDUSTRY
The nutritional supplements industry is valued at $33 billion in the US and is projected to reach $300 billion globally. The company operates in the niche health and wellness vertical, offering products that address customers’ health concerns. With a focus on customer research and understanding evolving needs, the company has developed a range of top-selling products that appeal to customers of all ages.
OPPORTUNITIES TO SCALE
The company has several scale opportunities, including expanding operations and sales into China through a licensing and distribution agreement with a Chinese biotechnology company. They could also explore scaling onto Amazon’s overseas platforms, expanding their product line into new categories, and launching B2B sales. Retailers have already expressed interest in distributing their products.
Asking Price: $13,500,000
Gross Income: $12,145,286
Cash Flow: $2,934,667
Year Established: 2017
Employees: 12
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