Back to Listings Listing #44003: Outdoors

Asking Price : $374,062

Annual Gross Revenue : $515,112

Annual Net Profit : $154,788

Profit Multiple : x2.42

Inventory Value: -

R-Index : 149

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From the Broker

This listing is for a 2-site dropshipping business package with sites created in November 2016 and April 2017 in the outdoors niche. Although the sites are both in the same niche, they cater to separate sub-niches. Instagram influencer marketing is responsible for 98% of the sites’ traffic and revenue, with Facebook ads bringing in the other 2%. The seller works with a team of 4 VAs to handle the work involved in running the business.

  • VA #1 handles social media account management, Instagram influencer management, product research, scheduling, and keeping master documents updated.
  • VA #2 handles order fulfillment.
  • VA #3 handles email/phone support.
  • VA#4 handles assistant Instagram manager and email campaigns.

It’s up to the new owner whether or not they want to continue using the VAs, although the VAs are 100% willing to continue working with and further educate the new owner on daily processes and routines.

There are a lot of valuable assets included in the sale of this business including a Facebook and Instagram account for each of the sites. Since a lot of marketing is done via Instagram, the 2 Instagram accounts for the business have a combined total of over 75,000 followers. Maintaining and building these Instagram accounts is important for organic sales. The Facebook accounts have a combined total of over 3,000 followers.

Each site also includes an email list. There are over 7,000 subscribers on one list and over 1,200 on the other. The seller uses these lists to send out product promotions a couple times a week.

For April, May and June 2017, the business had multiple hot selling products from both stores going simultaneously from the entire network of Instagram influencers. One of the stores caters to more of a summer crowd so the timing of selling related products during those months was spot on. Combining that with a couple of winner products from the second store lead to these higher earning months.

The longevity of these hot selling products with Instagram Influencers last a certain period of time (usually 2-4 months depending on the product). After a break however, reusing the same product and advertisement works just as effective because the Instagram pages have grown with new followers.

During October 2017, the seller and the team slowed down the advertising spend and started mass testing new products to more so setup the incoming months. They have dedicated more time to the business since November in order to push the income level back up.

*To prevent competitors from spying on the sites’ top selling products, redirects have been set up. Images and content on both sites cannot be copied/pasted as well.

Site Highlights

Average Monthly Revenue: $42,926

Average Monthly Expenses: $30,028

Average Monthly Net Profit: $12,899

* We are using the last 12 months to determine the averages.

Assets Inlcuded in Sale

Included in the sale of this business are:

  • 2 domains
  • site contents/files
  • social media accounts for each site (1 Instagram and 1 Facebook each)
  • Facebook Pixel for each site (sitewide retargeting for past 180 days on each)
  • email lists for each site
  • email accounts for both sites
  • over 50 ready-to-market video ads covering products from both stores
  • master Instagram influencer list with information on over 200 Instagram pages the business has worked with in the past or currently working with
  • master Instagram schedule
  • Clickmeter account
  • KIK Chat messenger account with a library list of influencer page contacts that the business regularly reaches out to for buying ads
  • Slack account for team communication with VA’s
  • some supplier introductions

Work/Skills Required

Since 4 VAs are working on this business, the seller concentrates mostly on product research, finding new Influencers to work with, marketing material such as video or image ads and also email marketing.

The seller’s daily routine first begins with setting up product email promotions to both stores, which takes about 15 minutes. A VA was doing this task, but the recently started taking over to find ways to further improve ROI. These responsibilities could be given back to VA once more of an outline has been established.

Next, the seller plans out the next day’s influencer schedule. This is pretty much the most important task as it determines which product(s) the business will be promoting, who will be promoting it and at what time during the day. This normally takes between 30 minutes – 2 hours depending on how heavy of an ad budget they are going with.

Any other work the seller does daily is almost always geared towards more product research, finding new Influencer pages or working on marketing material.

Reason for Sale

A side business with one of the seller's partner is scaling faster than they anticipated, so they are looking to devote more time and focus towards that. Also, they'd like to put some more money into local real estate and take their parents on a nice vacation!

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Listed By

Sale Pending: No

First Seen: Mon, Dec 4th 2017

Last Updated: Tue, Feb 20th 2018

Rhodium Weekend 2015
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