Seven-Brand Amazon Supplement Portfolio
Amazon brandSeven small wellness brands, 11 products in all, sell mostly through Amazon, shipped by a hired warehouse while the owner puts in a few hours a week.
Ask $620K · Profit $282K · 2.2x · Empire Flippers
Oct 27
- Ask
- $620K
- Revenue
- $577K
- Profit
- $282K
- Margin
- 49%
- Multiple
- 2.2x
- Age
- 2 yrs (Apr 2024)
- Label
- Worth Studying
- Reason
- Profitable at a 49% margin and growing, but it first made money in April 2024, too young to rate as a purchase.
Why it's interesting
- $282K profit on $577K revenue over the last 12 months; the listing says margins have run around 50% and revenue grew year over year (no growth figures given).
- The owner works 4-6 hours a week with no employees: a California fulfilment company ships orders, and freelancers handle packaging design and listings as needed.
- Products span energy, metabolism, weight management and general wellness, and the listing says direct-to-consumer sales and several other marketing channels have not been fully developed.
What to watch
- 86% of sales come from Amazon, and the listing itself names rising Amazon ad prices and account suspension as risks; supplements also tend to draw extra Amazon policy scrutiny.
- One supplier (US offices, manufacturing in China) makes all 11 products, and only 1 of the 7 brands is trademarked, so most brand names may be hard to protect.
- A 49% margin is far above the 15-20% the broker, citing Amazon, gives as typical for the niche, and inventory (about three months' worth) is normally extra on top of the $620K ask.
Who it fits
A buyer with Amazon supplement experience and cash for the ask plus inventory, comfortable managing one overseas-producing supplier and an outside warehouse part-time.
Ask the seller
- What are monthly revenue figures for the last 24 months, and how much of the growth came from products added during that time?
- What does monthly Amazon ad spend run as a share of sales, and how has it changed as ad prices rose?
- Do the six untrademarked brands have applications pending, and is a second supplier qualified to make any of the products?
Growth plays
- File trademarks for the six unregistered brands and enrol them in Amazon Brand Registry, which unlocks A+ content, brand stores and protection against listing hijackers.
- Move the fastest reordering supplements from merchant fulfilment to Amazon FBA to earn the Prime badge and qualify for Subscribe & Save repeat orders.
Oct 27Added to Acumen Wire