Featured Listing: Expansionvideos.com and Animeradreklamfilm.se

About the business

Tell us a little about yourself. What’s your background? How did you start the business?

I have been working within sales my whole life, I’ve been in IT and also been selling cars for 10 years in total, also have had my own car sales business for 3 years.
I burned out/stressed out about 7 years ago, I was working too much and had too much stress and suffered from heart arrhythmia and had to restart my heart. When the doctor came to my bed while I was waking up from the restart, he said that this happened only because of stress. That was my wake up call. So I knew I needed to make a change, so I found an online course on how to create a life of more freedom, fun and adventure. This was the start of my animated video business Expansionvideos in 2015. With a focus on Swedish clients in the beginning, later in 2018, I started to reach out to the UK and US markets with good success. In August 2020 I bought animeradreklamfilm.se, a video business that has been active since 2012, with a focus mainly on the Swedish market but also making videos for companies in Finland, Norway and Denmark. Mainly creating videos for clients from one-man small companies to clients such as Ikea, NCC etc.

As an eCommerce business, where are your products made?

Our videos are created by our animators and all are working remote. One animator is in Sweden, one is in Egypt and one is in Serbia.

What can you tell us about your Customer Lifetime Value (CLV) and Customer Acquisition Cost (CAC)

Not sure about our CLV and CAC haven’t really gone into the numbers to find this out.
About 40% of our clients buy more than one video.

How have you marketed the product and where are your customers originating from?

We are active on social media with two social media updates per week, Instagram, Facebook and LinkedIn.
To find Leads we do Google ads, Bing ads and Facebook ads. We also do cold email outreach to find new clients and leads.
Most of our clients are from Sweden. But we also have made videos for clients in Norway, Finland and Denmark. We have made videos for clients In multiple different languages, Turkish, Indonesian, Arabic, Spanish you name it.

Is the asset on your listing owner-operated, how much time does it take to run the business, who else is needed on the team, and what is automated?

I put in about 2hrs per day on the business. I reach out to potential clients and do sales calls/video calls. The rest is automated, from that, an order comes in, our project manager handles the order.
A scriptwriter writes the script, then when the client has chosen their voiceover, the voiceover artist records the voiceover. During this time the animator creates a storyboard so that the client can see the graphics of the video. When this storyboard is approved the animator animates the video and also add background music etc and delivers it to the client in full HD. So the whole production process is automated.

What does someone need to do to continue operating the business in its current form?

Continue taking care of leads coming in, with sales calls. Or to find someone that can do the sales calls, Preferably a Swedish and English speaking person to be able to sell to different markets.

Growing the business

Can you list a few opportunities for a potential new owner to continue growing the business?

New markets that we haven’t gone into yet is Denmark, Norway and Finland. We have already made videos for clients in all 3 countries, so we have a portfolio already, also the website is already in the 3 different languages.
Would also put in extra focus on the US and UK market with Expansionvideos, those two are huge markets that we have only just tapped into. Plus find one or two salespeople that can focus on these above markets.

What has been the evolution of this asset since its launch?

Mainly it has been about creating videos for more and more companies and getting more reference clients. This has helped in a huge way when bringing in new clients.
We have been working hard with SEO and google ads which have shown to have great results during the last year.

How does this business make money? What are the current revenue streams?

By selling animated videos to different businesses. Current revenue streams are only the animated videos plus the extras, such as subtitles, extra language, speedy delivery or images of the video to use on websites or on social media.

What marketing channels are most profitable for the business?

Google ads and Facebook ads.

How does the business currently acquire customers and what is your breakdown for marketing costs?

Google ads, Facebook ads, bing ads and also cold emails.
All ad costs are pretty consistent when it comes to both costs and the number of leads it brings in.
Marketing costs per month with the above is around $1k.

How big is your current team? How many people does it take to run this business?

The team is about 4-5 people, depending on how much work we have. They are paid mostly per project, the project manager is paid by the hour.

What’s the reason for selling your business on Flippa?

Because of an investment opportunity that came up.