Featured Listing: Shopify Store in the Jewelry Niche with Insane Scaling Potential

About the business

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

I am an engineering graduate who completed my studies in 2021. The reason I started PrittiJewelry was that when I saw this product ad on Instagram, I was quite amazed by the wow factor, that this necklace contains a photo inside it and that really got my heart racing to start this.

We were able to easily demonstrate the WOW factor in the video, which was another important factor in my decision to go with this product. Also, there was only one brand in this category, so it was easy to stand out, and today we are number 2 under this category on TikTok.

Throughout the past four years, I have started a variety of e-commerce businesses, tested a lot of products, sold a few businesses, and closed the rest.

PrittiJewelry has been my most successful business, focusing solely on influencer marketing. It has been 4 years since I am active in Instagram Influencer marketing and 1 year since I started TikTok Influencer marketing, and in these 4 years after many failed and successful promotions, I have learned a lot of valuable lessons and developed strategies that have helped me to grow this brand from zero to six figures.

As an eCommerce business, where are your products made?

The products are made by our private supplier in China, who ships directly to the customer and has access to over 2000 different custom jewellery products.

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

5.69% of our total customers are the ones who placed more than one order with us. Our average order value is USD40.90. Our CAC varies based as different campaigns perform differently, however, based on the past 12 months’ promotion expenses, our CAC is USD 7.13. Sorry if I am unable to answer the CLV part correctly as I am not sure how to calculate that, if that is not what you need please feel free to email me.

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

Yes! All of our sales come from paid influencer campaigns (by influencers I mean celebrities/personal profiles), and before May 2021 I was primarily doing Instagram influencer marketing. Beginning in May 2021, we have started using Tiktok influencer marketing, and in the last 12 months, we have been able to increase our sales by more than 100%. Ninety percent of our customers are from the US while the remaining 10% are from the UK, Canada, and Australia

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 have partially automated this store. The tasks, like managing customer service (1-3 emails a day), sending order details to suppliers, and fulfilling orders are handled by my VA. Although I could perform these myself as I have a lot of time remaining; however, since I live in a different timezone, I do not do this myself, I spend 6-7 hours per week finding influencers and working with them.

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

The new owner needs to find and collaborate with more Influencers to promote the product, we send order details to our supplier via CSV files and customers’ personalization images via email and then fulfil orders once shipped (we have an app that fulfils all orders in one click), answering customer queries (1-3 each day). I will cover each and everything in detail during 30 days training period.

Growing the business

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

We have built relationships with multiple influencer marketing agencies which handle influencers, so once the new owner gets momentum, they can scale the business with the help of the agencies and also use Facebook ads and google ads to grow the business.

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

We have improved our product quality and added new variants, now we have our custom packaging. Our processing and delivery time is faster, and we are able to beat our oldest competitor (near felicity) in our quality and shipping time. We have good credibility and authority and we are a reputed brand, as we have worked with a lot of Micro and Macro Influencers in the past two years.

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

Our revenue comes from Influencer Marketing, we send products to Influencers and pay them to post on their social media by following our creative brief.

What marketing channels are most profitable for the business?

Tiktok is the most profitable and then Instagram

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

We acquire new customers using influencers/celebrities, and our 100% marketing cost is spent on Influencers/celebrities.

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

Currently, it’s me and my VA, one person alone can easily manage this business until the orders are less than 30 per day, however, once they start getting 30+ orders a day, it’s better to hire a VA who can manage time-consuming tasks like managing customer queries.

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

Since I am managing this business remotely from India, the time difference between USA and India is significant, so for the past 3+ years I have been sleeping very late at night, usually at 2 AM, and during peak times it’s 3-4 AM. This has affected my physical health a lot, and I would like to focus now on improving my health by handing over this store to the new owner.