Online Luxury Candles Specialising in High-end Home Fragrances Business for Sale
Confidentially offered for Sale
Ref Number: ECA-022
Asking Price: £45,000
Location: Fully Relocatable
This business is fully relocatable, offering flexibility for the new owner. It is pre-revenue but ready to trade- it has not yet launched due to personal circumstances.
The asking price includes UK-manufactured luxury fragrances, branded stock, packaging, website. The net asset value is actually £58,000.00 after a thorough review of all incurred costs. This accounts for stock, packaging, branded accessories, website design and development, photography, videography, business processes, customer support, logistics, and other associated expenses to launch the business.
Business Overview
This business specializes in the creation of a luxury fragrance brand that offers an exquisite range of scents, aimed at customers seeking sophistication, quality, and elegance in their fragrance choices.
The business was founded out of the owner’s personal passion for luxury fragrances, which evolved from a hobby into a fully-fledged business venture.
While it has yet to launch, it is positioned to compete with renowned luxury fragrance brands like Jo Malone London, Floris, and niche names such as Ormonde Jayne and Penhaligon's.
These prestigious brands are known for their unique, high-quality scents and strong appeal to discerning customers.
Key Factors for Success:
1. Personalized Experience: The business focuses on providing an emotional and sensory journey, with fragrances that truly resonate with customers.
2. Unique Offerings: Featuring carefully selected, high-quality scents that are not commonly found in mainstream retail.
3. Attention to Detail: Every product is thoughtfully crafted and beautifully presented, ensuring a luxurious experience.
4. Customer-Centric Approach: Emphasis on providing excellent service, ensuring customers feel valued and supported.
5.Sustainability: Committed to eco-conscious practices in sourcing and packaging, appealing to customers who prioritize sustainability.
Business Reputation:
The brand has been developed and recognised for its elegance, refinement, and sophisticated aesthetic, positioning itself as a premium choice in the luxury fragrance market. It resonates with those who appreciate high-end, meticulously crafted products.
Technology and Operations:
- E-commerce: Shopify platform for seamless online shopping.
- Email Marketing: Utilises Klaviyo to engage customers and drive sales.
- Collaboration and Communication: Google Workspace is used for efficient teamwork and communication.
- Logistics and Stock Management: A custom logistics and shipping module ensures efficient stock management and delivery within the UK.
- Analytics and CRM: Data-driven marketing and customer relationship management (CRM) tools for exceptional service and operational efficiency.
Customer Service:
The business is built on responsive, detail-oriented customer service. It prioritises clear communication, personalised support, and creating smooth, hassle-free experiences at every stage to ensure customers feel valued and well cared for.
Key Strengths:
- Luxury Expertise: A deep understanding of luxury fragrances and their emotional impact on customers.
- Elegant Branding: A sophisticated, visually appealing brand that resonates with discerning consumers.
- Seamless Operations: Advanced technology and logistics ensure smooth operations and excellent customer experiences.
- Customer-Centric Approach: Focus on providing exceptional service and building lasting relationships.
- Sustainability: Commitment to eco-conscious practices in sourcing, packaging, and overall operations.
Key Opportunities:
- Digital Marketing: There is potential to grow the brand’s online presence through social media, paid advertising, and influencer collaborations.
- Untapped Markets: Opportunity to expand into international markets or introduce complementary luxury product lines, such as home fragrances or limited-edition collections.
- Brand Partnerships: Collaborating with other luxury brands or retailers could boost visibility and reach.
- E-commerce Optimization: Enhancing the website’s SEO, functionality, and user experience would increase online sales.
- Customer Retention: Introduce loyalty programs, subscription services, or exclusive offers to foster repeat business.
- Growing Luxury Fragrance Demand: The expanding market for niche, high-quality fragrances presents significant growth potential.
Market Outlook:
The luxury fragrance market is thriving, with a growing demand for high-quality, niche products. This presents an excellent opportunity for growth and profitability, with the business well positioned to take advantage of this expanding market.
Financial Information:
- Net Asset Value: £58,000
- Projected Revenue: Based on a projected retail price of £50 per product and an annual sales target of 5,000 units, the business could generate £250,000 in revenue.
- Gross Profit: With a 40% cost of goods sold (COGS), the estimated gross profit is approximately £150,000.
Strengths of the Business
- Premium Positioning: Appeals to affluent, design-conscious consumers in the growing luxury home fragrance market.
- Exceptional Quality: High-end materials and sustainable practices enhance customer satisfaction and loyalty.
- Customer Retention: As a consumable product, candles encourage repeat purchases.
- Strong Branding: Storytelling, videography, and luxury unboxing create a memorable customer experience.
- High-Profit Margins: Premium pricing supports high profitability.
Growth Opportunities
- Product Expansion: Introduce diffusers, room sprays, and gift sets.
- Global Reach: Expand international shipping and partner with luxury retailers.
- Subscription Model: Build a recurring revenue stream.
- Corporate Sales: Offer custom candles for events and corporate gifting.
- Targeted Marketing: Leverage influencer partnerships to boost brand exposure.
Transition and Support
- Training: Full training and support will be provided during the handover process to ensure a smooth transition.
- Familiarization: The new owner should be able to familiarize themselves with the business operations in a few weeks.
- Non-Compete: The owner will agree not to compete with the business.
Reason for Sale
The owner is moving abroad and is unable to continue managing the business.
Why Buy This Business?
This business offers an exceptional opportunity for someone passionate about luxury products and the growing demand for high-quality, niche fragrances. The brand, infrastructure, and logistics are already in place, making it ready for immediate launch. With the right strategic approach, this business is primed for significant growth and profitability in the expanding luxury fragrance market.
To Register Interest or to seek additional Information, please contact Abercorn Business Sales e-mail: [email protected] or telephone: 0800-246-1313
Commercial Finance:
Abercorn Business Sales are specialists in highly confidential off-market business sales. Should you require commercial finance, we have a panel of leading commercial finance brokers with access to the whole market to enable you to source the best possible terms.
Call today on 0800-246-1313 or email at [email protected] or visit our website www.abercornbusinesssales.com
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