The Inner Workings of a Subscription Box Company. From a 4k Site Purchase On Reddit To Close to $100k in Revenue in Less Than 6 Months – How we did it, and what’s next! [Reddit]
TLDR: I bought a site on reddit for 4K, partnered with another redditor, and together we spent 2 months completely retooling the business. We followed this up with 3 months of marketing, and we’re now less than 30 days away from $100K in revenue.
This is a post on how we did it.
(Read time: ~15 minutes).
Grab a cup of coffee and get comfy! I’ll get right to it.
THE INNER WORKINGS OF A SUBSCRIPTION BOX COMPANY.
So about 6 months ago, I came across this thread from a guy looking to sell a website he owned:
I contacted him and found out that it was wetshaveclub.com, a wet shaving subscription box. I felt like I could make it work given the fact that dollar shave club had proven out the model. “Ok, Let’s do it!” This was the extent of my analysis on this. The site owner sent me a screenshot of his revenue, I offered about 15X his monthly profits, and we wrapped everything up that same weekend. We skipped the usual back and forth dance people go through when they’re buying websites. I sent over the money, he sent over the passwords, and that was that.
I reached out to redditor u/kaster who I had been talking to on skype for some time. He had read my original series of posts, followed it to launch and grow a local business to 40k/month, sold it, and spent a few months in Costa Rica on vacation. We had never met, but I felt like he would be the perfect person to work on this with me. This is a guy that does not play around when an opportunity presents itself. Case in point: A few weeks later he was in his car for a 5-day drive from California to the east coast so we could work on this. (Kevin’s Facebook post as he was hitting the road).
Ok, so here’s what we did to get moving:
Step 1: Website Rebranding
Step 2: Expanding the Product line and raising prices
Step 3: Box Rebranding
Step 4: Increasing prices and adding annual option
Step 5: Marketing
Step 6: Ordering, Warehouse and Shipping
TAKEAWAYS FROM ALL OF THIS!
This is hard work and we made a lot of mistakes and will continue to make more. We’re working every day on providing a better customer experience and trying to improve the product line. We went into this not knowing a thing about selling and shipping products, logistics, inventory, warehousing, or even wet shaving for that matter. But we live in the information age. Anything under the sun can be figured out if you’re resourceful enough and willing to bust your ass until you make yourself an expert in that thing. We’re not well connected, nor do we access to a gazillion dollars in VC funding. We just work. Hard. And we’re just getting started.