Thriving Nutritional Supplements Ecommerce Brand with Amazon FBA and Subscribing Customers
This private label eCommerce business offers over 160 SKUs of custom-formulated nutritional supplements aimed at people looking to boost their health and wellness. With a focus on customer feedback and consumer trends, the company’s market research and proprietary formulas ensure that its products are in high demand. Well-executed marketing campaigns have resulted in 38% of the company’s sales coming from repeat customers. With a current year established of 2014, the business has had steady employment with a team of highly experienced employees with a cash flow of $1,395,934 and gross income of $4,935,101 in 2020.
OPERATIONS
The company’s dietary supplements are manufactured in the US and supplied through fulfillment by Amazon to offer Prime members one- and two-day shipping. Subscription sales through Amazon’s Subscribe & Save program have increased to 38%, with 24% of their target being older adults aged 55 to 64. The company utilizes well-established SEO tactics and paid media through Amazon’s Sponsored Ads to increase its organic traffic.
The company analyzed consumer trends and developed custom formulas designed to fit their customers’ dietary needs. They have added products in gummies, liquids or powders to increase its customer offerings.
MARKETING AND KEY METRICS
The company utilizes targeted SEO advertising to appear in search results for people interested in improving their health. With a customer base averaging between 50,000 USD to 149,000 USD, the company advertises through word-of-mouth and is set to expand with social media accounts and PPC ads to direct attention towards its website.
The company has shown stability and continues to grow, with subscription sales from the Amazon Subscribe & Save program increasing to 38%. With an Amazon storefront as their main sales channel, the business offers products from its Shopify website. The company is working towards expanding the diversity of their sales channels through email marketing campaigns and PPC ads on Google and Facebook.
The business has seen an increase in recurring orders, with repeat customers accounting for 38% of sales. They have managed to maintain a 100% positive customer rating based on over 1,300 Amazon reviews. With a diverse customer base, the company’s popular products see over 200 daily orders alone and an average order value of $23.
The company has a diverse customer base, with customers averaging between 50,000 USD to 149,000 USD. While the largest target age group is 55 to 64-year-olds, the company has customers of all ages requiring a range of diverse offerings of nutritional supplements.
BUSINESS MODEL & RESOURCES NEEDED
The company has a team of highly experienced employees, including a general manager, a customer service manager, a marketing and data analyst, and two full-time assistants. The employees have been with the company for some years and offer turn-key operations if bought.
THE INDUSTRY
The global nutritional supplement market is worth over 14.29 billion USD and is projected to reach 230 billion USD by 2027 at a CAGR of 8%. With the health and wellness trend growing exponentially, the company has managed to succeed with highly diversified multilingual products. The company has developed a variety of proprietary formulas to solve a wide range of health problems, focusing on women’s health and eventually pets’ health.
OPPORTUNITIES TO SCALE
The business offers even more potential with a wide range of scale opportunities, such as expanding more well-liked formats for its supplements, such as gummies or liquids, or expanding into international markets, most notably Amazon’s international platforms such as Amazon Canada and Europe. The company can also begin creating social media accounts and add PPC ads to direct attention towards its Shopify website.
Asking Price: $7,600,000
Gross Income: $4,935,101
Cash Flow: $1,395,934
Year Established: 2014
Employees: 4
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