Hockey Training Equipment and Accessories Brand: Ecommerce Retail with 41% Repeat Order Rate and Diverse Channel Mix
Website Closers presents the world’s largest and premier supplier of hockey training equipment and accessories. As a 7-year developed company, this business has a strong industry reputation as a trusted and reliable brand that cares about its vast consumer base. Leveraging an impactful 41% Repeat Order Rate, this company carries a wide variety of SKUs and maintains an Average Order Value of $207 across all channels. The majority of all items sold by this company are proprietary and have been designed for this business specifically along with 8 owned molds. Currently utilizing a partner network for the majority of marketing efforts, this company has an average ROAS of 400%.
OPERATIONS
While already impressive, this opportunity is aligned for growth through international expansion, SKU line extensions, improved marketing, and hockey training facility partnerships. A highly lucrative and immensely promising investment, this brand is in a great position to bring phenomenal and lasting success to the lucky new buyer.
With current ownership not active in the day to day, the managing director oversees the business growth strategy and is supported by warehouse operations for inventory planning, receiving, stocking, and shipping in the US as well as to FBA. The company also relies on a 3PL for logistics and fulfillment of both website and Amazon orders. The business is ready for an operations team to take over with the managing director willing to transition out of the business or stay on to support the next phases of growth – buyer’s choice.
MARKETING AND KEY METRICS
While this company does focus 90% of its efforts across its popular digital channels, they also carry strong strategic relationships with brick-and-mortar retailers which has led to their products selling in more than 300 physical locations. Additionally, this company operates on a 100% inventory stock model that utilizes a leased warehouse in Minnesota and a 3PL in Canada, as well as Amazon FBA shipping. At peak season, the necessary inventory of this company regularly spans 5000 ft of storage space.
The sales channels for this business include both eCommerce and retail. The eCommerce channel includes the company’s website and online marketplace platforms such as Amazon. The retail channel includes brick-and-mortar stores where the company’s products are sold. The company has experienced steady growth in both channels, with plans to expand internationally and form strategic partnerships with hockey training facilities for further growth.
Demanding very little ownership involvement at this point, this company requires an average of 2 hours each week for maintaining the current revenue and growth rate. The current owner spends this time ensuring that initiatives are on track and providing strategic direction. There are 2 FT employees also working at this company including 1 managing director and 1 operational personnel who ensure that orders are being filled with an additional 2-3 resources during November & December. Inventory planning and customer service is done half time by a shared resource.
The customer base of this business consists of hockey players of all levels, from beginners to professionals. The company’s products cater to individuals who are passionate about hockey and are looking for high-quality training equipment and accessories to improve their skills. The customer base spans across different age groups and geographical locations, including both individuals and teams. The company has built a loyal customer base with a 41% repeat order rate, indicating customer satisfaction and trust in the brand.
BUSINESS MODEL & RESOURCES NEEDED
Every aspect of this unique and promising company is designed for both efficiency and profitability, driving jaw dropping return customer rates, incredible customer lifetime values, tremendous revenue, and reliable traffic generation. A sustainable and unparalleled offering, this company can be a reliable and scalable success to any qualified buyer.
THE INDUSTRY
The hockey training equipment and accessories industry is a highly competitive market that caters to hockey players of all levels, from amateurs to professionals. The demand for high-quality training equipment and accessories continues to grow as the popularity of hockey increases globally. This industry encompasses various companies that manufacture and sell products such as hockey sticks, skates, training aids, protective gear, and apparel. Some prominent examples of companies in this industry include Bauer, CCM, Warrior Sports, and Sherwood Hockey.
OPPORTUNITIES TO SCALE
There are several scale opportunities for this business. Firstly, the company can expand internationally and enter new markets to reach a wider customer base. Secondly, the company can introduce new SKUs and product line extensions to cater to different customer needs and preferences. Thirdly, investing in improved marketing strategies, such as influencer marketing and paid social media, can enhance brand awareness and attract more customers. Lastly, forming partnerships with hockey training facilities can provide a channel for direct sales and brand exposure.
Asking Price: $2,500,000
Gross Income: $3,450,164
Cash Flow: $454,578
Year Established: 2013
Employees: 6
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