This week’s deals feature 3 Amazon FBA businesses for sale from Empire Flippers in the Children’s and Automotive niches.
For domains, we share findings on 4 aged SEO domains and 5 branded domains live at GoDaddy auctions.
5-Year-Old Children Crafts Amazon FBA Making $6,436/mo on Empire Flippers
Niche: Children, Hobbies
Source: Empire Flippers (see listing)
Profit: $6,436/mo from Amazon FBA
Asking Price: $276,762 at a 43X multiple using a 12-month average
Here is the Helium10 screenshot for the products offered. The business offers 5 different products all in the same niche.
- Strong review structure with 1,000+ reviews and 4.7 star average rating
- Small and lightweight products allow the use of air shipping reducing out of stock time
- Optimized TACoS (7.6%) and low COGS (16.67%)
- Low average price products ($8.99) are highly susceptible to increased Amazon fees and increased Amazon advertising costs
- Hard to differentiate product – competing on price and value
- Listing optimization – current images and Listing SEO is outdated and could be easily updated to improve conversion rate
- Introduce additional variations of existing products
- Opportunity to introduce custom artwork to differentiate product more
This Amazon FBA brand features a simple product selection in a growing niche. The products are lightweight, small, and low cost which makes this business logistically simple.
The business is well optimized already with low COGS and low TACos. However, the listings could be optimized more to increase conversion rate and overall revenue. One drawback of the current business is the lack of a moat preventing competitors from popping up. Introducing custom artwork and obtaining copyrights could be one way to build defensibility in this niche.
Aged Domain: GlistenCamping.com
Source: SerpDomains (see listing here)
Age: 2013 (10 Years)
Listed Price: $1,449
Notable links: The Guardian, Glamping.com, CT Insider, Wanderlust UK
This domain was used for a luxury camping (glamping) destination in southern France that closed due to the pandemic.
Here’s what the site looked like:
The history of this domain and brandable name provide a good opportunity to grow an eCommerce site that curates the best luxury camping products.
Here’s what I would do:
- Relaunch the website as an eCommerce site with a homepage that focuses on luxury camping (a.k.a. glamping)
- Launch a premium site design that generates a strong first impression of a luxury camping experience
- Publish articles about glamping and luxury camping gear to attract search traffic to the website
- Publish articles about starting a glamping rental business to attract potential customers
- Work with popular campers on social media to promote the site and add their camping gear testimonials and photos to product pages
You could partner with high-end camping gear companies and luxury tent manufacturers to drop ship products to customers. CanvasCamp is a luxury tent manufacturer in Kansas that offers drop shipping. Alibaba can drop ship luxury dome tents similar to the tents pictured on the original website.
🚀 Other Businesses For Sale
$15K/mo Apparel and Accessories Children FBA Brand (new listing) – Valued at $616,143 at a 41X multiple. 2-year-old FBA business with $74.9K in monthly revenue. Only 8 active SKUs so simple to operate. Highly seasonal business with the bulk of revenue occurring from March – July. Opportunity to close quickly and takeover before the high season occurs. View on Empire Flippers
$13.3K/mo Automotive and Electronics FBA Brand (Price Reduced): $520,716 valuation at a 39X multiple. 8-year-old FBA business with $456K annual revenue and $160K annual profit. Strong profit margins of 35% and TACos of 5.27% could indicate opportunity to increase advertising to grow the business more. Asking price was recently reduced by $130,011. View on Empire Flippers
🚀 Aged & Brandable Domains
Aged domains currently bidding from $116 to $970 at the time of writing.
- PeakNootropics.com: A nootropics e-commerce store started in 2013. With a DR of 36, ranking for 410 KWs and backlinks from TechCrunch, LifeHacker and PopSci.
- Joyeur.com: The tech blog for cloud provider Joyent starting in 2004 with a DR of 52. Not currently ranking for any keywords but has backlinks from cNet, TechCrunch, VMWare.
- Kutoa.com: An energy bar manufacturer and children’s charity started in 2011. It has a DR of 47 and ranks for 2 KWs with backlinks from Fortune and Crunchbase.
Branded domains bidding from $17 to $10,000 at the time of writing.
👉 Additional Resources
Make sure to perform detailed research and due diligence when acquiring any eCommerce businesses.
Such businesses have many moving pieces. You should “practice” your due diligence skills by analyzing the listings we provide in this newsletter.
Keep these in mind:
- Understand the ins and outs of the business model (eCom, Amazon FBA, etc)
- Before you buy, you should build from scratch a business (ideally)
- Understand how to read a P&L statement
- Understand the metrics in Amazon Seller Central
- Understand the logistics of ordering product overseas