Globally, nutraceuticals are gaining prominence and becoming a part of the average consumer’s daily diet. The key reasons for this have been the increased incidence of lifestyle diseases the world over, increase in life expectancy and inadequate nutrition, due to depleted, nutrient deficient soils. A market research report produced in 2012 projected that the worldwide nutraceuticals market would reach $250 billion by 2018.
This ecommerce business offers its own manufactured high quality, nutraceutical supplements as well as other doctor and naturopath developed vitamins, supplements, functional foods, herbs and minerals, health books, along with natural and certified organic skin care and makeup. About 84% of products are stocked and fulfilled at the Amazon warehouse with the remaining 16% being drop shipped from their key suppliers. The average inventory value in the last 12 months is about $40,000. With physical inventory being stored/managed at an Amazon warehouse, this website business is run from a home based office. The site is easily relocateable and can be operated from any location with internet access.
The website is successfully operated by one owner working about 5-10 hours per week handling product development, overseeing operations, market analysis, working with bookkeeper, banking and financials, marketing, and development of marketing materials. A contractor works approx 30 hours per week handling customer service, inside sales, web content and maintenance, and liaisons with suppliers and manufacturers.
Launched in 2005, this website is well established and successful in this industry. With many industry recognitions, it has become not only a trusted source for nutraceutical products but an authority site in its niche! This website business is an outstanding business opportunity for any buyer looking to acquire a home based, efficiently run ecommerce business in a growing, unique niche market with lots of future growth potential!
This business is well positioned to capture a key segment of this exploding market! Some strategies to continue business growth and profitability include adding new products, developing Affiliate programs with complimentary online businesses and hiring a Pay Per Click Management Company.
This business has a competitive advantage in the industry by producing their own line of excipient-free nutraceuticals without adding chemical additives, not simply a private labeler. Also, the site eliminated and minimized their overhead expenses by outsourcing manufacturing operations to a contract manufacturer, focusing on innovative and quality products designed to reflect the customers’ value.