Lamporia is an eCommerce store that has been around for over 3 years and is making over $2,100 in net profit each month. The owner has put a lot of time into building a really impressive website featuring hundreds, if not thousands, of drop-ship home decor items (primarily lighting) and is selling through their own site, but primarily finding success on Houzz.
Tell us a little about yourself. What’s your background and how did you come to start this business?
Having a background in retail, I have owned and run multiple startups and became very successful in online retail business. Lamporia was an outcome of my 10+ years experience in the industry.
How and where is your product made? Is it coming from a single supplier or multiple?
Lamporia’s business model is based on drop-shipping. We do not own or have any inventory. We also do not have any major overhead like brick & mortar businesses do. We have wholesale contractual agreements with multiple vendors and suppliers – Big Box Manufacturers i.e., Monarch Specialties, ELK Group Intl etc – based in the US and Canada who are willing to ship the order to our end-customer when placed and paid with them.
How have you marketed the product in the past? What has worked? What hasn’t? What’s your average Return On Ad Spend?
I did not have too much success with paid marketing like Google Ads and FB Ads. The reason is the high cost of PPC and other expensive methods. Most of the sales came through online marketplaces i.e., Houzz – almost 80% sales/orders – and Google Actions etc. Also SEO was used to bring more organic traffic to the store.
How much time does it take to run the business, who else is needed on the team, and what is automated?
It is important to spend 2 to 3 hours a day on the desk to manage the operation of the business. Of course that time can be increased or decreased depending on the requirements of the business. The most important element of the automation tasking is the live syncing of the suppliers’ inventory. To achieve that, we use an app called stocksync that automatically updates the inventory for most of our vendors.
What is the average order value? How many orders are coming through each month?
Last year, the average order value was $367.89 with a total order count of 224/year
Can you list a few opportunities for a potential new owner to continue growing the business?
Sure, when I started Lamporia.com, I did not have any intent to sell it in many coming years. I was so obsessed with my brand that I even sacrificed my personal comfort and family obligations – I have an eight year son now! -. But life happens. I strongly believe that Lamporia has the potential of becoming another Wayfair if smartly marketed. Another thing, I think the new owner could hire a good team in the area of marketing and use that force to push the brand even further.