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Location
London, United Kingdom
Business Hours
24-hour response
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Phone
US: +1 415 992 5980 | UK: +44 (0) 7904401910
Skype
larry.afriyie_1

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Buy a Business/Popular Arts & Crafts eCommerce

Popular Arts and Crafts eCommerce

$50,000.00

Executive Summary

 

Established in 2017, warmcrochet.com sells premium Crochet and Knitting accessories and is well a well-known brand among Crochet & Knitting lovers.

 

The business derives the majority of its sales through Influencer marketing and newsletter campaigns. 

 

All products are branded (engraved with the brands' logo) and shipped with private label packaging which should make it easier for the store’s new owner to set up an Amazon FBA account.

 

Highlights

 

Strengths

 

  • Streamlined processes

  • Low-risk Business

  • Strong Social Media following

  • Positive reviews

  • High-Quality Products

 

Opportunities

 

  • Expansion into other platforms (e.g. Amazon FBA)

  • Expand product offering

  • Implement different inbound marketing strategies for SEO (e.g. Content marketing (blogs, videos etc.)

 

Operations

 

In addition to orders being directly drop shipped from the supplier (mainly wholesale orders), the seller also uses a US fulfilment centre and a VA (also based in the US) who deals with stock management as well as the processing and fulfilment of orders. 

 

A carefully streamlined process ensures that orders get processed on the same day they are placed to guarantee the timely delivery (customers usually receive their orders within two days).

 

The business is currently 95% automated with the owner only being required to take care of the following;

 

  1. Customer Support (handled by VA) – 2 to 3 customer queries received per day which is managed by a virtual assistant. General queries such as estimated time of delivery. 
     

  2. Order Fulfilment (handled by the supplier and VA) – Processing orders/mailing orders and sending tracking number to customers.
     

  3. Social Media and ad campaigns (2-3 hrs p/wk) – Maintaining ad campaigns and scaling the campaigns as and when required (e.g. during the holiday season) 

    All advertising accounts (e.g. FB pixel account) and ad campaign data will be transferred to the new owner.

 

The supplier of the store's products is based in China, and the seller has been working with the same supplier since the store's inception. New inventory is shipped directly to the stores US fulfilment centre within 48 hours of a new order request.

 

NOTE: Products cost $3.20 to produce and sell for $16.90 ($13.95 price + $2.95 shipping & handling) - A Profit Margin of 436%

 

The current marketing initiative consists of shout outs/promotion from top Instagram influencers and reviews from top bloggers within the Crochet and Knitting community.

 

Due to their love of the products, influencers and bloggers promote the brand for free. The seller sends samples of the product to influencers to review and promote on their pages/blogs.

 

In addition to the above, the seller uses a mailing list that has proven to be a great marketing strategy to promote Black Friday sales. The mailing list helped to generate over $6K in revenue for last year’s Black Friday event. 

 

Returning customer rate during this period was very high at 30.6%, and the store's conversion rate also increased to 16.22% (The average conversion rate for all Shopify stores is 1%) - The seller is happy to share revenue verification and statistics for the Black Friday event with serious buyers.

 

Customers

 

Customers are acquired organically and through the use of social media marketing (FB ads and influencer marketing).

 

Broker's Notes

 

This opportunity presents the new owner flexibility concerning active or passive management. The new owner could easily take on all tasks with little prior experience or expertise, (which currently do not exceed 10-15 hours per week) or delegate the responsibilities to trusted contractors of their choosing.

 

This business will be a great acquisition opportunity for an individual or company looking to break into or expand their presence within the arts and crafts niche with an established brand and proven business model.

 

The seller has decided to sell the business because he and his team are starting a more significant project and won't be able to keep focusing on or scale the store. 

 

The sale of the store will include 30-days post-sale support and training (if required).

 

List of Assets

 

The sale of this storefront will include everything owned by the business including, but not limited to;

 

  • All sites, domain names and technologies associated with the business (including all textual and graphical content)

  • Transfer of all supplier accounts (or introductions and assistance in setting up new accounts, if applicable)

  • All associated Social Media accounts (Instagram: 31,000+ followers; Facebook: 1,500+ followers;

  • Mailing List: 14,000+ subscribers

  • List of top Knitting and Crochet influencers on Instagram to allow the new owner to continue marketing initiative/strategy.

  • Associated Etsy store (The stores URL will be shared with serious buyers).