- Avg. revenue /month$154,241
- Avg. sessions /month154,121
- Avg. profit /month$19,711
- Inventory value$500
Why this business was started
I started this business because I saw a lot of potential in the niche. Before I start a new store I research the niche to make sure there is an abundance of product to roll out. I also check Facebook audience insights to make sure there are several 5 million + audiences that I can start advertising too. A secondary reason was to start selling on Instagram more. In my career 90% of my sales have come from 45-65 year olds (who are on FB). With this store almost half of the sales came from Instagram stories and feeds with an average age of 18-24. This store furthered my experience selling to a younger demographic and how to capitalize on Instagrams fast moving platform.
The reason of selling this business
I've decided to sell this business so that I can focus all my efforts on the brand I've been running since late 2016. Right now my team and I are in the process of staging the business to sell for 7 figures in the next 6-12 months. While this store showed a lot of promise and brought in some quick profits, I no longer have the time to keep it running at the same volume.
What's involved in running this business
For the amount of revenue/profit this business model generates, it involves a surprisingly little amount of work. At scale, lets's say 20k/day, you will need 1-2 full time customer service agents. These agents can handle all tickets, FB messages, PR etc. There will need to be 1 full time person that understands the selling model. This includes running the FB ads and optimizing the store and the backend offers. This means optimizing conversion rates, prices, product copy, average cart value, and split testing the offers that are being sent out to leads. Most of the work associated with this business comes at the front end of a new product launch. After a new launch there is typically a 2 week period where you're gathering results and changing things. After you find what's working, the work load decreases and it's about stabilizing spend and revenue.
Other expectations from someone running this business: - communicating with sub contracted designers to edit pictures or make designs - hiring/managing 10/hour sub contractors for customer service - product dev using online ranking tools - managing relationships with suppliers overseas (getting samples, negotiating terms, placing orders)
Traffic and Performance
- Avg. revenue /month$154,241Verified
- Avg. sessions /month154,121Verified
- Avg. profit /month$19,711
- Inventory value$500
- Profit Margin9%
- Avg. sales /month10,455
- Shopify plan
- Inventory warehouse
Logo and branding assetsWe will prepare a file of all advertisement and product photos along with all legal work we've had done for the company. Our lawyer will work with yours to arrange the transfer of any business assets.
Personal support after saleYou'll receive 30 days of full time work and support from my team and I to ensure a smooth transition. With the asset purchase you're also getting all the proprietary knowledge we have from our other businesses. Me and my partner will fly out to wherever you live and dive into the business for 7 days. We will build out product collections, talk about strategies we're running, and set you up with a game plan to murder in Q4. After the transition we will provide a monthly consulting call for 3 months. After that our consulting is available at $1000 an hour.
Product photosWe will share all product photos and descriptions and share those via dropbox or some other agreed upon service.
How to grow this business
Since I started selling in 2014, the online selling landscape has changed a lot. With more competition coming in, there are 2 things sellers NEED to do if they want to see growth. Invest in unique product and invest in customer leads. Sorry to break it to you...but the days of making scalable, direct return money selling average product are over. To see growth I'd start by selling something that most other people aren't selling. Not only should they be unique, they should be harder to source (meaning don't just source things from the first page of ali baba or ali express). On the Facebook ad side of things, I would invest in leads from 3 different categories: email leads, FB messenger leads, and FB private group joins. With the rising ad cost, scaling up cold purchase campaigns is more and more unrealistic. While customer acquisition costs are rising, lead costs are staying the same. So in summary, my growth plan is to pay for leads and then follow up with a series of unique product offerings. And of course giving every lead a MASSIVE, never seen before, time sensitive VIP discount.
I would also focus on REAL social media campaigns. What I mean by this is campaigns that have a social or humanitarian goal. Facebook is perfect for scaling these types of messages and it's a great outward facing look for the company. Take TOMS the shoe brand for example. The first thing that everyone says about them is they are the company that gives a pair of shoes away every time a customer buys a pair. The biggest growth potential I see with an ecom brand on FB is creating a mission like that and tying your product in where it fits. If your campaigns are mission focused and product second, FB and your customers will love you.
Skills to have
The new owner needs to have skills in facebook marketing and a team that can manage customer service, VA teams, and fulfillment.
Our features for a secure experience
- Verified revenue and traffic
- Secure messaging platform
- Escrow payment system
- Dedicated migration team
Why use Exchange?
Exchange is the largest and fastest-growing marketplace for Shopify e-commerce stores
Verified listing data
The revenue and traffic data that you see on each listing is pulled directly from its Shopify account. This means that the data has been verified. Exchange reviews and monitors listings for thorough and accurate information.
Secure messaging platform
You will be able to communicate with sellers via a secure messaging platform. After you log in and request information from a listing, sellers are notified and have the ability to respond. When you are ready, you can make an offer.
Encrypted payment capture
Exchange and Escrow.com have partnered together to provide you with safe transactions that have bank encryption, making sure that payment is securely captured. Escrow.com ensures that its users pass verification checks before transactions can proceed.
Take time to inspect the business
Once you submit payment to Escrow.com and the payment has been secured, the funds are held until you confirm that all assets received are as negotiated. You can use the inspection period to ask the seller any extra questions about the business.
Safe store transfer
When the transaction is finalized, the dedicated migration team at Exchange will begin the process of making you the new owner of the store. Buyers and sellers will be notified via an email from the Exchange team once store transfers have been completed.
Post-purchase 24/7 Shopify support
Once you log into your Shopify account for the first time and choose a subscription plan, Shopify Support Gurus are available 24/7 to help you with the settings of the store.