Diversified Pet Supplement Business w/Strong Growth and USA Supplier
Last Updated on November 6th, 2019
Launched in 2015, this dog supplement business is established and growing. The selling multiple is 4.64x which is based on Trailing Twelve Months (TTM) earnings. Because of the recent addition of Chewy.com the business has exploded in the last 6 months. To more accurately reflect the value we have priced it at a 3.5x multiple of the Trailing Six Months (T6M) earnings annualized.
The business has 3 revenue channels. Amazon.com is the primary channel with approximately 83% of the revenue. Shopify is accounting for 9% of the sales. Chewy.com is accounting for 8% of sales so far but in 2020 that number should double to 16% of sales.
The seller has developed, with the help of a USA based supplier, 6 natural herbal based products to help dogs with various health issues while protecting them from the adverse effects that many of the drugs carry.
The product diversity is ideal with the top 5 SKU’s holding 28%, 21%, 18%, 15%, and 14% of the revenue respectively. The sixth SKU was launched in the last 12 months.
There are many growth opportunities to tap into with this brand. First, the seller is just now starting to work on ranking for specific keywords on Amazon and has seen the first test become “Amazon’s Choice”. Building this out further and achieving additional top 10 positions would increase sales. Secondly, expanding product SKU’s would provide an immediate boost to revenue. The manufacturer has products that could be sold under this brand name that would be easy to add. Third, increasing communication with customers could charge growth. Currently, the brand is not soliciting reviews which most sellers do through automated services. They are also not including product inserts which have become a go-to strategy for
The seller enjoys starting new businesses and believes this brand could perform better under new
ownership which would also allow her to focus on a new venture.
This listing is managed by Brad Wayland.
More about this listingContact with broker Contact More businesses from this broker Businesses from this broker More about broker
Leave your e-mail to be the first to know new businesses for sale
You can unsubscribe with 1 single click, at any time