This is a very exciting opportunity for anyone looking to go big in the eCommerce space. Focussed on smart watches and other tech wearables, this business is busy targeting buyers in the 55+ age bracket and making over $26,000 profit each month in doing so.
The business, albeit already quite strong, has a number of opportunities for a new owner to take advantage of, potentially building this in a multi million dollar brand.
Tell us a little about yourself. What’s your background? How did you start with this company?
My name is Mitch and I’m a serial entrepreneur who has made multiple exits in the past, using Flippa for those opportunities as well. I built a wallet and accessory store and also a business that sold fully licensed pro and collegiate rugs.
This business was started based on some deep research and learning, realizing that there was a huge gap in the industry for affordable wearables and also a gap in advertising, leaving the baby boomer generation without much targeting. Between the product and the audience, I was able to build a rather incredible following in short time.
With people staying inside more, how did you fare during stay-at-home orders?
We actually saw our orders grow by 77% during the month of May and our net profit grow by 83%. So, it seems that perhaps people were shifting money from their gym memberships into home fitness regimes.
Selling affordable smart watches from China can be tough. How have you handled customer service?
When you’re selling affordable smartwatches from China, admittedly, there will be ups and downs with customer service. It’s a necessary evil, however, as many customers are very grateful to be able to purchase watches in this price range. We have worked hard to make improvements, including a responsive customer service team (which can continue to work for the new owner), a warranty that can easily be applied to customers that choose to purchase it, and a process in place to get reviews and improve the Facebook Feedback score
What are some of the largest opportunities for growth?
- Maintain US stock
- Brand Packaging (including instruction manual)
Simply put, I have not had the funds to invest in the stock necessary to maintain shipment from the US. So that is step one. Currently our top product ships from a US fulfillment company, and we use a private line shipping company that delivers the rest of our products from China in 3-7 business days. Making the investment to bring the top 5-10 products to a US fulfillment center is one issue. We just cant keep up with stock.
● All products need to be branded with the FitTech logo. Branding on the watches, boxes, instructions even the app and software is possible with our manufacturing connections.
● The instructions for each individual watch should be rewritten for the customers. Simple, 3 step instructions in big bold letters so that customers do not have to read the tiny print provided.
● We have the manufacturing connections in China to take this as far as you want. The app can be created custom for FitTech, as can the technology of the watch.
● There is no ceiling or limits on what you can do as a company with FitTech. Keep it as is, or scale it to a top player in the wearable space,
Why are you selling this business?
As a solo, bootstrapped entrepreneur, I build eCommerce stores and take them as far as I can. This one has gone further than I ever thought, but its ceiling is immense.
A small (comparably) infusion of capital after purchase can turn this into a $10mm+ business. There is opportunity for customization. So much can be done. I’m ready to level up both FitTech, and myself as an entrepreneur. And Right before Q4, no better time than to sell, and see the business hit PEAK sales for the new owner.