5 Year Highly Automated DropShip Business – $55 AOV- Low Working Capital Required

Asking Price:
$761,000
Sales:
$1,802,572
Profit:
$380,472
Year Established:
2018
Multiplier:
2.0x

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SellerForce® presents a fully DropShipping company that is the proud owner of not just 1, 5, or even 10 domains, but 21 thriving online brands with their own organic traffic and authorities. This strategy has allowed them to flourish across an astoundingly wide number of industries, including, but most certainly not limited to, anime products, posters, party supplies, and even reptile care products. Throughout the span of the last five years, they have accumulated well over 280,000 SKUs distributed across these various domains, developed a marketing strategy that provides them with over 500,000 total visitors every month, and a respectable Average Order Value of $55.

The company sources their abundance of products from three key suppliers, whom they have developed strong, trustworthy relationships with since their founding. Because the business has such strong diversity in their SKU offerings, they experience far less risk associated with selling any one product and are able to derive profit from several different consumer bases rather than restricting themselves to just one. Their portfolio alone, as well as the in-demand offerings they offer within their niches, have led to them having a fantastic 35% organic traffic rate, as well as an average ROAS falling between 400% and 500%.

Alongside the natural flow of sales that the company’s domains generate, they have also recently started adding blogs and automated product descriptions to some of their websites to improve their organic traffic. As they haven’t yet established an SEO campaign for their domains, a buyer could quickly and effectively improve the search rankings of these websites using keywords and polished product listings. Several of their domains, such as their anime and pet care brands, would also flourish through the use of social media marketing, as these niches often have tight-knit communities that are perfect for word-of-mouth referrals. These methods could then be used to gather subscribers for email and SMS marketing purposes, both of which are effective organic strategies across many different businesses and fields.

However, the best way for them to improve their marketing campaign would be to build upon their paid advertising. At the moment, the only paid marketing that the company runs is through Google Ads, which, while effective enough to be responsible for 65% of their total sales, still has plenty of room for growth under the right buyer. Paid ads on Facebook, TikTok, Pinterest, and even YouTube are all great ways to bolster the growth of any of their websites, seeing just how popular these platforms have become among the average consumer.

Their 100% dropship structure has afforded the company no shortage of benefits, not including their overwhelming number of products and strong multi-industrial reach. They have little working capital requirements to speak of, and their owners work less than 20 hours per week. One owner focuses on operational and software development for the business, while the other manages their Google Ads.

Outside of the owners, the company employs 1 VA and 1 FTE, who have helped the business become highly automated for its size. Though this model can be carried on sustainably by the buyer if they wish to keep the company as is, hiring on more FTEs to handle day-to-day operations and management would be incredibly beneficial for the company as they scale. The new owner could also choose to hire employees specifically to take over some of their daily responsibilities, lightening their workload and making this already-automated company far more hands-off and comfortable to run.

Working to improve and maintain their supplier relationships would also be beneficial for the company’s long-term growth and prosperity, as well as seeking out new manufacturers to connect with. These additional manufacturers will allow the company to easily add even more SKUs to their product rosters across the board, making their domains all that more appealing to the customers in these different niches, and building up their smaller stores to be more profitable overall.

This acquisition is incredibly unique, having put their plethora of URLs and storefronts to effective use across their 5 years of growth. Their management and daily operations have been automated to the point that, despite their massive size, a buyer won’t have to worry about overworking themselves post-purchase and can focus on strengthening their footholds within the many niches that they operate within.

If you’re interested in purchasing this expansive network for yourself, then contact SellerForce today to learn more from our brokers.

Listing ID: SF132

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