- Avg. revenue /month$10,720
- Avg. sessions /month18,560
- Avg. profit /month$3,000
Why this business was started
We decided to start an e-commerce business using the dropshipping model as we craved the flexibility to be able to work from anywhere, at any time. 2 partners met one day and after a short chat discovered that both worked in online marketing; one in paid marketing and one in SEO.
We discussed starting an e-commerce business using the dropshipping method. I then then met with my brother Mark, with whom I own a Marketing business. After some discussions, we decided to look into starting a dropshipping e-commerce store.
After a number of ideas, Laura (secretary) suggested a product to begin with based on needs and wants. We also needed an evergreen product that is purchased in multiple quantities, which would increase average order value. After extensive and intensive research, into products suppliers and marketing, we had decided on our product. We noticed from friends and family that people like to change the product to fit with seasons and changing trends, which we believe has contributed to our success and makes this product evergreen.
There are also very few competitors which has contributed to the growth of the brand becoming an industry authority. We realised quickly that we could source a large number of styles and variants, and grew the styles and stock to around 2000. We decided the best and most cost effective way to supply the product would be to use the dropshipping model. Once established, we could then look into buying in the stock if needed. Over the past 12 months, we have developed good relationships with suppliers and receive discounts.
Based on customer demand, we have tested a second product on the store which compliments our product, which returned an ROI of 4. This has the potential to increase revenue by 50%. The brand began in a spare bedroom and quickly grew to a 6 figure business with its own office in Hoylake, Wirral, UK.
The reason of selling this business
We are currently operating as a partnership business (Ltd company). One of the directors is moving overseas to look after a personal project with his family.
The business has grown every month since we started but the 3 persons involved have other businesses, so feel that we cannot continue to manage the ongoing growth of the website. In addition, the 3 persons have moved to different areas, in and out of the UK, so selling the business would be the most beneficial decision moving forward to continue and manage the huge growing potential of this brand.
What's involved in running this business
Anyone buying this business would need to fulfil orders daily. This usually takes 45 minutes to an hour per day. We have good relationships with suppliers and receive discounts. Other tasks include: responding to any customer emails, processing returns and refunds. However, these tasks can be completed by a VA. As the business is marketed using paid advertising, then you would need to manage this each day. Training will be given. The ad accounts are running at a steady pace with a profitable ROI of 3 and above. We've had over 12 months of identifying and scaling profitable keywords and ads. So it requires much less management. We would recommend hiring a VA to cover customer service tasks and also order fulfilment in order to focus on marketing the business.
Traffic and Performance
- Avg. revenue /month$10,720Verified
- Avg. sessions /month18,560Verified
- Avg. profit /month$3,000
- Profit Margin30%
- Avg. sales /month500
- Shopify plan
- Oberlo, Sales Countdown Timer Bar, Bulk Product Edit by Hextom, Google Shopping Feed, Frequently Bought Together
- Google Bing Facebook
Physical inventoryNot Included
Logo and branding assetsAll logos banners, social media photos and any graphics will be transferred via email in png and .ai file format.
Personal support after saleWe will offer support up to 3 months but can be longer if needed. This will include product ordering, paid ads support and any other support needed.
Product photosAll product photos are on the website. All banners and logo's are also on the website.
How to grow this business
We would grow immediately by adding Facebook marketing with remarketing. We only run ads in the UK so we would test marketing campaigns in other countries.
We would grow our email list and launch an email marketing campaign. Social media marketing via content across Facebook, Instagram and Pinterest.
Influencer marketing is a huge convertor in this niche, we have tried this with one Micro Influencer which led to an ROI of 12. We would look to private label the products. We have looked into buying stock in and using fulfilment centres but this is not essential. Branding would beneficial. We know that if we provided quicker delivery, sales would also increase.
We would hire a VA to look after fulfilling orders and customer service tasks, which would allow our time to be spent on marketing.
Skills to have
We recommend having paid advertising skills and knowledge. The ads are running with a steady positive ROI. Although organic traffic and sales are growing, the key is paid advertising. Full training and support will be provided to the new owner.
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.