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Turn-Key Dropship ECommerce Store - 30K Net Profit - Great Opportunity

nuerafitness.com

Sold at Public Auction

$22,000

Bidding History: 10 bids
Started:
Wed, 05 Dec 2012 14:24:09 EST
Completed:
Mon, 31 Dec 2012 16:35:13 EST

Website Statistics and Collected Data

External Ranks

Google PageRank 1
Alexa Rank -

Backlinks

Links in Google 0
MajesticSEO Inbound Links 2,744

Other Stats

SEMRush Keywords in Google 48
Domain Registration Date 20 Feb, 2010
View extended due diligence data for this listing

Description

Description

NuEraFitness.com is a premier website for Strength & Conditioning Equipment for CrossFit, the fastest growing fitness movement in the United Sates.  The website is highly profitable, has significant SEO and SMM potential, and grew from $62,000 to over $123,000 annual revenue in two years with little effort or web expertise.  Nu Era Fitness has strategic partnerships with two of the largest fitness equipment manufactures in the U.S. to handle all inventory and shipping logistics making business operations hands off.  Nu Era Fitness has made large investments in website design, branding, and an integrated operations framework to reduce the online time by owner.  NuEraFitness.com has been operational for just over two and half years and is positioned to see continued growth as the CrossFit customer base continues to see rapid growth.

Financial Details

Income

The website’s source of income is through direct sales of “functional fitness equipment” to customers.  Customers include, but are not limited to: CrossFit athletes, CrossFit gyms, Military bases, Fire /Police Departments, YMCAs, and general at home fitness enthusiasts.  Annual revenue since inception has been $62,184, $116,964, and $123,593 respectively (2.5 years).

Full documentation for all income will be made available to serious potential buyers. Please note that because of the simplified format of Flippa listings, the "Claimed Financials" heading displays the revenue as estimates, but the numbers above are actual figures, not estimates.

Expenses

The major annual expense for NuEraFitness.com has been paid online advertising.  Owners are not well versed in SEO or SMM and have had to rely on Pay Per Click (PPC) advertising through Google AdWords. Average annual AdWords expense is $6000. 

Other recurring annual expenses that you can expect are (annual totals):

-        eCommerce Shopping Cart, hosting, and domain fees: $479.40

-        Optional Customer Service APIs/Tools:

  • Online Chat (Olark): $204.00; 1-800 Number/Fax/Voicemail (Grasshopper): $198.00

-        Bankcard Fees: Varies depending on sales volume and merchant account agreement (est. 1-2.5% of total sales)

All other major website related expenses seen in P/L Statements were reinvestment decisions by owners to use 3rd party services to: improve website design, improve website architecture/flow, optimize GoogleAdWord campaigns, develop website blog, and develop improved site SEO.  Depending on buyer technical background and web expertise, the majority, if not all of the above listed expenses could be significantly reduced or eliminated altogether. 

Business History

Traffic

NuEraFitness.com started in June 2010 as an e-commerce website for strength and conditioning equipment tailored to CrossFit gyms and individual CrossFit athletes.  Nu Era Fitness focuses on a simple, yet comprehensive mix of equipment products.  Products range in price from $9.99 to over $4,000 for a single item, and from $700 to $25,000 for complete packages.  NuEraFitness.com operates on a commercial off the shelf (COTS) e-commerce shopping cart for all supply chain management and customer processing.  Since June 2010, Nu Era has had $302K in sales revenue on 471 orders through its site. NuEraFitness.com had 59,336 unique visits (80K+ total visits) at www.nuerafitness.com from Jun 2010 through Nov 2012 equating to $5.10 revenue per unique visitor.  Over the last twelve months as reported by Google Analytics, the average number of monthly unique visitors is 2,300, the average number of monthly visits is 3,050, and the average number of monthly page views is 14,428.

Assets and Ownership Transfer

The sale includes: customer database, and existing agreements/accounts with suppliers, website, domain name, branding rights, Google AdWords account, Google Analytics account, Facebook Page (320+ likes), fully customized Twitter account (76 followers), eBay account (direct cart plug-in).

To ensure a smooth transition, the owner is willing to remain a consultant to the buyer for 60 days after the sale.

Reason for Selling

The owners are active duty military members who have been running the business as a “hobby” on nights and weekends. Because of military service commitment, owners have been unable in recent months to provide the energy the business deserves, let alone keep up with the latest trends in Internet technology, marketing, promotion, and SEO. Of necessity the owners have stepped back from work to focus on military service. The time has come to turn the keys over to a tech-savvy buyer able to walk into a lucrative, high-growth market, and serve this important market.

Future Prospects

Future prospects for an investment in this domain name and business have significant upside. The domain name alone ensures the website will remain highly profitable for the foreseeable future, even if left to run only at its current, largely passive pace. Although the website can be operated from anywhere and requires no special knowledge, the opportunity is especially expansive for a tech-savvy buyer that can leverage lean online marketing tactics.

Search engine rankings remain stable because of the domain name history, but lack of attention has caused them to decline somewhat in the last few months. Renewed creativity and energy to modernize the website’s blog, SEO, Social Media Marketing and take advantage of the latest technologies and marketing methods no doubt would increase ranking, traffic, and profits substantially. Domain names are an integral part of the way the Internet functions, as they directly represent the name of a web site.  Long term growth in value is tied to the solid domain name of Nu Era Fitness that contains the three basic factors that directly contribute to the domain name: memorability, keyword/SEO optimization potential, and the value of the attached site, blog, and social media outlets.  Having a domain name tied directly to specific markets (eg. Fitness, Cars, locations) are especially valuable.

 

 

Comments

  1. Noavatar
    Posted by:
    blueboxer ( new )
    Date:
    Thu, 06 Dec 2012 00:11:58 EST

    Why such a long auction for a site that is priced fairly low?

  2. Noavatar
    Posted by:
    rapidtransit ( new )
    Date:
    Thu, 06 Dec 2012 01:33:15 EST

    Why are you not showing profit in your graph between March and August? I might not be reading it correctly. thanks

  3. Noavatar
    Posted by:
    marketingheather ( new )
    Date:
    Fri, 14 Dec 2012 06:27:12 EST

    Are you able to provide proof that you can use the crossfit name in your website content?

  4. Px48x48
    Posted by:
    chriswyattseo ( | $566 )
    Date:
    Sun, 16 Dec 2012 14:10:56 EST

    1. Are you drop-shipping?

    2. Stocking Inventory?

    3. Looks like avg total product margin is about 10-15%? Can you verify please?

    4. What's net profit per month after product cost , PPC cost, shipping costs, etc, etc. ?

  5. Noavatar
    Posted by:
    BMOBILE ( | $130 )
    Date:
    Mon, 17 Dec 2012 01:20:38 EST

    why no replys ?

  6. Px48x48
    Posted by:
    NuEraFitness ( | $22K )
    Date:
    Mon, 17 Dec 2012 16:24:38 EST

    Hi Everyone,

    I will try to address everyone's questions above. The majority of our communication so far has been through PM, so I apologize for not getting to these questions sooner.

    @Blueboxer: Based on the fair market valuation of Nu Era Fitness and a careful analysis of the company assets and business infrastructure, we feel we have priced the company very competitively at the BIN price. The auction will allow time for interested parties to perform all due diligence and thoroughly evaluate the opportunity.

    @Rapidtransit: I'm not sure why the automated Flippa graph shows our profit trend like that, but feel free to PM me your email address and I can send you a copy of our P&L.

    @Marketingheather: CrossFit is a registered trademark, and we cannot use it as a selling strategy to market our products. Therefore, we can't sell "CrossFit Kettlebells," but we can sell Kettlebells used for CrossFit. Subtle difference, but an important one. We continue to market to the CrossFit community because it's still a relatively small market with a lot of growth potential.

    @Chriswyattseo: we DO dropship, do NOT carry inventory, average product margin is closer to 20%-25%, and net income is approximately $1200/monthly. Please PM me your email and I can send you the P&L.

  7. Noavatar
    Posted by:
    ianwhiteman ( | $77 )
    Date:
    Fri, 28 Dec 2012 08:34:28 EST

    Hi,
    I have sent several PM's asking to see a P&L but have not received anything. I also sent my email address if you cannot PM it. Are you able to provide the requested information?
    Thanks in advance.

  8. Px48x48
    Posted by:
    NuEraFitness ( | $22K )
    Date:
    Fri, 28 Dec 2012 15:49:43 EST

    Hey ianwhiteman,
    Just sent you a PM to address your questions.
    Thanks!

  9. Noavatar
    Posted by:
    jgwhite33 ( new )
    Date:
    Sat, 29 Dec 2012 04:47:29 EST

    How much time would you say is spent in a day dealing with customers? (questions, orders, etc...) Thanks.

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