WebsiteClosers® presents a high growth Amazon FBA eCommerce company in the Women’s Fashion Accessories market. The business has captured a fast-growing and enthusiastic audience for its line of Women’s Fashion Handbags and Laptop Totes … products that manage to look expensive but without a high price tag. At an Average Order Value of $40, the company is enjoying 75% Gross Margins on products that are designed in-house and manufactured directly for them.
The business has focused on designer-inspired styles of handbags that can be purchased for less than $50, and this has been a winning combination on their Amazon store, particularly since there are no direct competitors on Amazon offering anything similar in terms of price or style. This has not only given the company strong sales throughout the year but also a very low return rate and plenty of highly enthusiastic 5-star reviews on Amazon from their increasingly loyal customer base.
To keep their customers coming back, the company has been actively adding new products to its catalogue to grow their revenue and boost upsells and cross sells. Their goal has been to produce quality handbags at competitive pricing while actively looking for new styles that excite their existing customers and attract new ones. The company closely monitors customer feedback as a means of constantly improving each handbag and tote bag and upgrading its products.
The company has been achieving its goals. Sales are not dependent on a few products. Their top seller, the original laptop tote bag, has seen its percentage of sales continuously decrease as new products are added to their catalogue and pick up a rising percent of new sales.
Amazon has been a strong platform for the company, which uses FBA for fast shipping and deliveries and expert customer service. This has enabled the current owner to operate this highly automated business without needing to hire any employees to manage daily tasks. Sales have been so strong on Amazon that the company expanded its sales channels to include a new TikTok shop and has explored the possibility of launching its own website on Shopify as well.
As the company continues designing new products, with the aim of becoming a leader in the Women’s Fashion Accessories niche, it operates in a highly lucrative vertical. The global handbag market was valued at 456 billion in 2024 and is projected to reach $104 billion by 2023, making it both a highly profitable and evergreen niche. This company is well positioned to grow as the industry does, and for the buyer of this business, there are opportunities to quickly accelerate that growth.
This business is a great opportunity for a strategic buyer to acquire it and scale it rapidly. The new owner could focus on the company’s existing strategy of continuing to launch products with a new and unique style and expanding sales channels. Launching a Shopify site would enable the company to use an SEO program and blog on the site to build brand recognition and rank higher in search engines, and to collect emails that could be used for an email newsletter campaign. The company could also add sales to popular platforms such as Walmart, Etsy, and eBay.
Business Broker Takeaway
We are excited about this business for 3 important reasons:
1. Strong Demographics. The business has performed well with women in the middle-income range who like luxury items but don’t want to pay expensive prices to obtain them. The company has given these customers a solution, which has become one of their biggest selling points. The company’s longer-term goal has been to triple its current revenue in the next 12-18 months by adding new products and adopting new sales channels.
2. Unique Designs. The business creates its own designs and brings those concepts to its suppliers. One of the owners of this business is not only the account manager but also a specialist in leather goods. The company starts with a target cost price and then looks for options for achieving that goal. The company has been able to consistently produce the desired quality products, and with a price that is far more appealing than what luxury designers are offering. This has given the brand a highly competitive edge on Amazon. The company is now exploring ways to scale the business by offering as many styles as possible across different handbag verticals, including work bags, clutches, fashion bags, and more.
3. Marketing Opportunities. The company now uses paid media on Amazon to direct their shop to customers on that platform, and it’s worked well, with their ad ROAs coming in 4 times higher than what they spend. The ads carefully target the right keywords that buyers are searching for in this vertical. This also leaves the company with plenty of options for additional digital marketing tools that could drive sales higher. If the company launches a Shopify website, it could collect emails and then send out weekly newsletters to subscribers while also having the site fully optimized for SEO. The company could also launch a social media marketing campaign on popular platforms such as Facebook and Instagram and partner with influencers in the handbag and women’s fashion verticals to build brand recognition and drive sales higher.
Conclusion
With a sharp understanding of what its customers are looking for and the ability to design products that look expensive but are not, the company has enjoyed strong growth for its designer-inspired styles of handbags that are not available anywhere else on Amazon.
As an Amazon brand, this business can be operated anywhere, and the new owner won’t need to hire or maintain employees to keep it running smoothly on a daily basis. The seller has been eager to grow this business, and with new products in the pipeline, this is the perfect opportunity for a new owner to step in and take advantage of the company’s recurring revenues to send profits skyrocketing.
