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2 Ecommerce Stores. $98,000 revenue. Huge potential for growth. No SEO done.

tengaflip.com This site has been listed previously

Sold at Public Auction

$14,000

Bidding History: 8 bids
Started:
Tue, 27 Nov 2012 10:07:49 EST
Completed:
Fri, 07 Dec 2012 11:12:47 EST

Website Statistics and Collected Data

External Ranks

Google PageRank 0
Alexa Rank 3,846,293

Backlinks

Links in Google 0
MajesticSEO Inbound Links 53

Other Stats

SEMRush Keywords in Google 10
Domain Registration Date 6 Jan, 2011
View extended due diligence data for this listing

Description

SALE INCLUDES TWO E-COMMERCE STORES:

WWW.TENGAFLIP.COM

WWW.LELOLELO.COM

We hold no inventory so no overhead - all drop shipped.  Please contact us forGoogle analytics info, expenses etc.  We are working on getting a verified google analytics PDf added.

**BOTH ARE WELL DESIGNED AND PROFITABLE STORES.  The founders of these sites have since both taken full time positions and no longer have the time to devote the proper attention to these sites, which is why sales have leveled.  However with some SEO and some loving care, there is a big upside to these websites.  We just don't have the time right now! Our loss is your gain.**

This sale includes two e-commerce websites; all products are drop shipped and both sites require a VERY small time commitment. TengaFlip.com is the most legitimate site in the US for customers to buy Tenga products.  Compare the quality of the site, product descriptions and pricing to the other products selling Tenga in the US.  LeloLelo.com is the same.  We have positioned ourselves as the go to place to purchase these product lines in the US, since they are both products produced and mostly marketed overseas.  There are no US websites marketing these two specific products lines as well as we are, making it very easy to SEO.

Details :

$5100+ in gross revenue per month on average with a high of $12,500.

Net profit of $2000+ per month - with a bit of SEO optimization that number could very quickly grow exponentially.

The sites are relatively new and they will continue to age and move up the Google ranks with time.  With some love, the potential is huge.

Average margin after all expenses is 25%+ of gross revenue.

Based on typical business standards, projections and historical data, this site should easily sell for 6 figures.

Both websites utilize the same distributor and share the same web ordering portal.

There are over 250,000 Google keyword searches on 'Tenga' related keywords per month, not including the word 'Tenga' alone which gets over a million per month. Again, lots of potential to improve on our current Adwords campaigns.

Current distributor offers 1000s of other products that we arent currently selling.  The potential to add these products to the existing sites is huge.  We built the Tenga site first and then realized we could build another site based on their other offerings, which is how the Lelo site was born and how we doubled revenue.  This could be replicated over and over with their other product lines.

Email list of all past customers and subscribers.

Please contact us directly for Google Analytics #s - we are working on getting a verified PDf added.

We receive 4-5 emails every month from other e-commerce sites/brick and mortar stores that want to purchase product from us in bulk; they believe we are the source in the USA for Tenga and Lelo.  There is huge potential for the buyer to build out a wholesale program and begin selling to other e-commerce sites.  Currently, we have a wholesale portal built with wholesale pricing - it is password protected and only accessible to buyers with permission.

Average order size : $104

It requires literally a few minutes per day to operate.  Simply pass any incoming orders on to our distributor and reply to customer service emails. 

Both sites built on Magento.

Includes established YouTube and Twitter accounts.

Includes Google Adwords campaigns which are pretty well built out - as mentioned above they could be developed further.

Includes MailChimp account with email blast campaigns set up - just enter the product you want to promote.

Refunds : Because of the nature of the products you will NEVER have to handle returns.  We state on our site that customers cannot return products regardless if they have opened the product or not.  That eliminates lots of headaches on your end!

We receive inquiries monthly from investors interested in investing in TengaFlip.com that would enable you to quickly grow the company.  Many have the understanding that WE are the exclusive US dealers of the products.

REASON FOR SELLING:

Original founders of sites have since taken full time jobs and no longer have time to progress these sites.

Additional Revenue Details

As you can see there was a large spike in sales, which directly correlates with AdWords spend we made at the time.  There has been no SEO done on the sites so there is huge potential there.  You can see from the sales there is a market - someone just needs to take these sites to the next level to capitalize on it.  We have spent less and less time on the sites in the last months, which has caused it to slowly trail downward. 

Comments

  1. Noavatar
    Posted by:
    blueboxer ( new )
    Date:
    Wed, 28 Nov 2012 02:02:27 EST

    In the previous listing, someone addressed the use of the name in the URL. Have you taken any steps to obtain clarification on the use?

  2. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Wed, 28 Nov 2012 02:11:41 EST

    We havent proactively addressed it however I can say that we have not been contacted in any way by the companies.

  3. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Wed, 28 Nov 2012 02:17:54 EST

    With both companies being overseas and our sites operating in the US, we don't foresee any issues.

  4. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Wed, 28 Nov 2012 03:29:22 EST

    *Update* We just contacted the distributor directly and they confirmed they have absolutely no issue with our domain names and have had no issues with other websites named similarly in the past. Hopefully that clears up any questions.

  5. Noavatar
    Posted by:
    blueboxer ( new )
    Date:
    Wed, 28 Nov 2012 04:04:47 EST

    Thanks for the follow up. Does the distributor own rights to the name? The manufacturer usually holds the trademark to it. So the distributor cannot grant rights.

  6. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Wed, 28 Nov 2012 14:25:39 EST

    It hasn't been and issue in the past 2 years and all indications point to it not being an issue in the future. Thanks:)

  7. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Thu, 29 Nov 2012 03:57:24 EST

    Answers to a few questions we've received.
    Regarding the drop in sales and traffic:

    The traffic and sales have dropped significantly because we have severely neglected the sites. We essentially turned off adwords and havent updated with new product offerings (which are more keywords that adwords could target). We also discontinued any SEO we were doing, which was not much. The pricing on the sites could also be adjusted to better reflect the market, they are probably a bit high now. That would take all of 10 mins.
    Regarding the submission of orders to supplier:

    Order processing is incredibly simple - you receive email that order was placed, you log onto the distributors website and enter the order into their portal. They have your CC on file and process the order from there. You do nothing else. You could potentially automate with process with a simple script, if you had a decent programmer. Suppliers ship from US. They offer a large number of other items that you could easily add to the sites or build new sites for.
    Regarding granting access to our Adwords/Analytics accounts:

    Honestly, we are little hesitant to share access to these, as the last time we listed on Flippa we had some knucklehead steal our website content and duplicated our site based on some info we provided. So we have been badly burned once. But I will answer any questions you do have - we want to sell these sites honestly and move onto other things. Once we start getting offers closer to our reserve and we see commitment from willing and able buyers, we will consider granting access to this information.
    Thanks again for looking!

  8. Noavatar
    Posted by:
    blueboxer ( new )
    Date:
    Fri, 30 Nov 2012 13:04:11 EST

    Is there any relation to the "possible copies"?

  9. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Fri, 30 Nov 2012 13:08:46 EST

    Yes, in fact, but I won't name which...

  10. Noavatar
    Posted by:
    blueboxer ( new )
    Date:
    Fri, 30 Nov 2012 13:14:46 EST

    So you currently own another site that sells the same products?

  11. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Fri, 30 Nov 2012 13:17:24 EST

    I'm sorry I misunderstood. I thought you were referring to my comment of someone hijacking our content with the question about the copies. The answer is no, we have no relation to the possible copies.

  12. Noavatar
    Posted by:
    jcaren ( | $3.14K )
    Date:
    Sat, 01 Dec 2012 00:43:57 EST

    Can you PM your reserve. Also what is your conversion rate on both sites to date.....thank you.

  13. Noavatar
    Posted by:
    seansodds ( new )
    Date:
    Mon, 03 Dec 2012 06:45:14 EST

    why is the revenue dropping so quickly?
    are you using email campaigns to drive the traffic into the store?
    thanks

  14. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Tue, 04 Dec 2012 02:12:02 EST

    Revenue is dropping due to our lack of attention to the site, which is why we are selling. And no, we do not take advantage of email campaigns to drive traffic and repeat business. Obviously this would increase revenue as the Tenga line of products are one time use consumable items. This would be the first thing I would do as the new owner of these sites as there are hundreds of past customers you could remarket to.

  15. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Wed, 05 Dec 2012 02:19:40 EST

    *NOTE* Currently these 2 website market, sell and ship only WITHING THE USA. We have started prelim talks with other distributors in other countries about selling the product there, but we havent fully gone through the process with them. Opening up sales to other countries could greatly increase revenues with a very limited amount of work.

  16. Noavatar
    Posted by:
    blueboxer ( new )
    Date:
    Wed, 05 Dec 2012 16:34:42 EST

    What caused the peak in traffic in Feb?

  17. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Thu, 06 Dec 2012 07:39:42 EST

    Peak in traffic was direct result of AdWords spend - which was subsequently cut off completely in the last months. AdWords could easily be restarted and increase revenues once again.

  18. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Thu, 06 Dec 2012 07:40:46 EST

    We are willing to provide a week of training to the winning bidder to get them accustomed to the system - it is very simple so it will be picked up quickly. Please PM us with any other questions related to the transfer of the websites. We want to make it as smooth as possible.

  19. Noavatar
    Posted by:
    blueboxer ( new )
    Date:
    Thu, 06 Dec 2012 07:44:34 EST

    Did you have conversion tracking installed in Analytics in February? How much revenue resulted in that PPC campaign?

  20. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Fri, 07 Dec 2012 01:47:46 EST

    We did not have conversion tracking installed - just another way these sites could be very quickly improved. The baseline revenues based on organic traffic with no adwords/other marketing hover around $4,000/mo. The addition of a adwords campaign (as haphazard as it was) brought revenue up to $12,000 very easily, so it had a +300% impact on revenue - more than enough to cover the cost of the marketing. This could be increased easily with a few tweaks, see below. Even if the adwords campaigns were a break even proposition, I would argue its well worth it as you have captured a new customer that can be remarketing to and will be a return customer for as long as you market to them - the products are very high quality and we have never had a complaint.
    A few related comments from a previous question :
    Adwords had a big impact on our sales, and pushed revenue to much higher than the average we are showing on the site. I personally am not an adwords expert and therefor did not always have the highest quality scores - with that said our clicks typically were in the $0.75 ea range, which made it more than profitable for us, as our average order size was $100+. Our conv rates were generally very good as the keywords/products we targeted were very niche/brand specific. We did not target ads based on time or any other metric besides only running in the US (see post regarding this). We also lost track of which keywords we were actually targeting - there are many products on the site that we werent even pushing adwords traffic to. With improvement of quality scores, addition of keywords, better targeting of ads, remarketing campaigns (huge) you could really capitalize on AdWords (we did not even use AdCenter at all).
    Currently we arent pushing anyway adwords or any other marketing of any kind - relying solely on organic traffic and I think we sold close to $1000 in the last 7 days on the Lelo site alone, one of those sales being a multi product order at $300+.
    I sincerely think that will some SEO etc there is money to be made with this site. Ive moved on to a much larger ecommerce project with 10K+ skus in our inventory and simply dont have the time for this anymore. Otherwise I would have kept at it. The products have a reasonably high price point and the Tenga products are consumable meaning the opportunity for repeat business is huge, if marketing is handled correctly.

  21. Px48x48
    Posted by:
    MnGroup ( | $14K )
    Date:
    Fri, 07 Dec 2012 06:50:39 EST

    Please see adwords spend as image attachment for the month of Feb 2012.

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