Scaling eCom Brand of Hoverboards and Electric Scooters

  • Found: Sun Dec 5 15:40:13 2021
  • Updated: Sun Dec 5 15:40:13 2021 (GMT)
  • Source: Bizquest
Price

10,800,000$

Type: On sale
Sale method: Classified
Sale status: Open

Contact seller
Financials (verified)

Revenue per month: 511,308$
Profit per month: 173,074$

Traffic

Uniques per month: —
Views per month: —

Summary

Year founded: 2018

Description

Website Closers® presents a booming business that is scaling as swiftly as their products move. Capitalizing on the spanning reputation of hoverboards and electric scooters as eco-friendly, lightweight, easy to carry, stylish, and fun to ride; this company has seen staggering results since its inception. This eCommerce business has designed multiple in-house products and brands that specialize in Hoverboards and Electric Scooters to generate phenomenal sales. There’s no question that as the hoverboard market continues to expand and attract new buyers, this company is well-positioned to use its dominance in the market to continue to grow with the industry.

This company operates entirely on its Shopify website, offering direct-to-consumer sales in 48 states. Initially launching this eCommerce site two and a half years ago, the current owner started off treating it like a hobby, with products stored in local storage units for shipments. As sales began to pick up, this company became a true game changer, evolving swiftly into a well-oiled machine that requires a whopping 6,300 square foot warehouse to keep up with demand. By the second year, sales had skyrocketed, and the company is now enjoying a growing list of glowing reviews from satisfied customers eagerly touting the quality of their products. In addition, the domain that the company operates off of generates a strong amount of exact match traffic to help with organic sales.

The business has four main sizes of hoverboards, from 6.5” to 10” and also sells a really cool off road hoverboard. In addition, there are a number of chargers and accessories offered to round out the complete offering associated with these products. For Electric Scooters, they offer one high quality product that is currently only available in one size and color. There’s a wide variety of options to grow this side of the business.

The company’s SKUs have developed a reputation for being sturdy and far more durable than cheaper models that are not built to last. This brand also offers longer lasting battery packs and a wider selection of custom and unique color options. The products keep customer coming back, especially with numerous accessories available.

Offering 50+ SKUs at an average order value of $210, this company’s sales remain strong, even as the company markets exclusively to U.S. customers in all states except Alaska and Hawaii. Products are sourced from a supplier in Asia, and all products are manufactured according to this brand’s unique specifications and color options. The company is continuously expanding, with a new Hoverboard model soon to be introduced that will be marketed at a lower price and aimed at young children and beginners; there are also new color options being introduced in the fall. While the electric scooters make up a smaller percentage of the company’s overall gross revenues, sales of those products are steadily increasing. Sales remain robust year-round, but the holiday season has proven to be the most profitable.

Most of the brand’s audience is made up of parents that have purchased these products for their children or grandchildren. They have been able to address their customers’ top concern, safety, through the high quality of their products shown through highly enthusiastic reviews that built up their name recognition and made them a leader in this space. The company now ships 40 packages per day that number is easily doubled as additional growth opportunities are borne out.

Shipping has been streamlined. Products are stocked at their warehouse and all shipments are from this location. The company stores up to 3 months’ worth of product at all times. This has become a full-time profession for the owner, who works 20-30 hours per week depending on sales volume, and 60+ hours during the peak holiday season. Two part-time employees assist with customer service and responding to emails. The company handles up to 40 customer service inquiries each day, which rises to 100+ at peak season.

To boost sales, the company has run PPC ads on Google and a limited amount of Facebook ads, but the brand also has organic traffic, which is highly valuable, especially as products in adjacent verticals are added to the site to offer the current traffic while on site.

Launching additional SKUs and expanding onto other eCommerce sites offer two almost guaranteed models for rapid scale, while marketing on social media as well as through their email database are low hanging fruit as well. Increasing its lineup of scooters and offering several different color, size, and type variations in the same way they do with the Hoverboards could prove phenomenally profitable as well. The scooter market is growing each year and more and more cities are approving them over high polluting motorized vehicles.

Another way to tap into scale is by branching into popular eCommerce sites such as Amazon, Walmart, Target, and eBay. Growth could likely be quick by exposing the company’s 50+ SKUs to the massive audiences on these established eCommerce giants.

Another untapped speedway to incredible growth lies in international sales. Hoverboards have become as popular across Canada and Europe as they have in the United States, and there are massive profits to enjoy from expanding sales beyond the U.S. This initiative balances perfectly with the extension of this brand onto Amazon as they operate across the globe to draw in incredible market potential.

There are huge growth opportunities through digital marketing as well. Until now, this market leading brand has relied on PPC ads to boost sales, along with word-of-mouth growth from satisfied customers within the fast-growing field of hoverboard and electric scooter enthusiasts. The company has a huge email database of 70,000+ subscribers but hasn’t yet used it for email marketing campaigns, a massive, untapped channel. While the company has run limited ads on Facebook in the past, they have not done anything on social media within the past 12-months. This approach could dramatically boost organic traffic to the company’s website, bolster brand recognition, and send sales skyrocketing.

Launching its first SEO program is another promising path to growth that could help drive home their reputation as experts in delivering high quality and sturdy hoverboards. The company hasn’t invested in SEO at all so far. A final option would be to market to big box retailers, exploring the opportunities with wholesale B2B channels. Aiming these options at larger retailers such as Walmart, Costco, and Target, may be game changing opportunities.

This is a company with tremendously powerful assets. They appeal to consumers across a wide range of ages and demographics while cultivating strong relationships with their suppliers to bring efficiency and reliability to the entire product lifecycle. This is a one-in-a-million turn-key operation with huge growth potential. For a buyer, it’s an amazing investment that is ready to bloom in all directions.

This eCommerce Brand Represented by:

Website Closers
Tech, Internet & eCommerce Business Brokers
Listing ID: WC2411