Tell us a little about yourself. What’s your background? How did you start the business?
I started doing SEO about 10 years ago and started creating/buying websites that I can improve and flip. Some people like to own companies and grow them. I like the development aspect.
This business was purchased from someone who wanted to keep things passive. He didn’t bother fixing the website, changing the platform, improving customer service or any of that. I thought this was a great opportunity so I gave this business a new home with a new foundation.
As an e-Commerce business, where are your products made?
The business has a hybrid model with dropshipping and products I self-fulfil.
How have you marketed the product and where are your customers originating from?
Most of my traffic comes from organic search. I also get a ton of traffic from paid ads. I get a decent amount of social media traffic too.
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?
This is owner-operated but it doesn’t require much. Dropship orders take seconds to a couple of minutes to place. Orders to self-fulfil also take a minute to fulfil. All in all, with marketing, I do about 5-15 hours per week.
What does someone need to do to continue operating the business in its current form?
Make sure you’re taking custom orders and replying to emails. Wholesale inquiries are important and there are a lot of inquiries coming in for them. Submit dropship orders as they come in.
Can you list a few opportunities for a potential new owner to continue growing the business?
– Partner with wholesalers and distributors in the industry.
– Work with more affiliates
– Make compelling creatives and spend more on paid ads
– Call smoke shops/dispensaries/vape shops to sell them wholesale trays.
– Create new lines of products like stash boxes, new rolling tray designs.
– Partner up with more eCommerce smoke shop/head shop stores to have them purchase wholesale/dropship trays from you
– List on Marketplaces like Amazon, Walmart, eBay, Etsy, OfferUp and more
– Find a better social media strategy than my current one. I only do IG but there is room to utilize TikTok, Pinterest and Facebook.
– Start doing YouTube videos. There is a good opportunity in that.
What has been the evolution of this asset since its launch?
This website has been running very passively for the first few years. When I took it over, it was doing about $1,000 a month in revenue. Since taking over, it’s doing about $22k in revenue. A 22x increase in one year.
How does this business make money? What are the current revenue streams?
This business takes custom orders for cannabis accessories and dropships. The business is mixed between retail orders and wholesale orders.
What marketing channels are most profitable for the business?
2. Paid Ads
3. Social Media
How does the business currently acquire customers and what is your breakdown for marketing costs?
Most of the customers are through organic traffic.
My marketing costs are broken down by either ad spend or content/backlinks for SEO. I also have some marketing dollars allocated to social media by doing giveaways.
How big is your current team? How many people does it take to run this business?
It’s only me. I pay one person to do my ads but that’s it.
What’s the reason for selling your business on Flippa?
I am looking to get into Amazon FBA. The sale of this business will help me get into real estate and buy an Amazon FBA brand.