Overview
Eterna is a Spanish-based, fashion-forward jewelry brand operating primarily through a dropshipping model. Launched just over a year ago, the business has generated $459,000 in revenue with $127,000 in net profit, reflecting a 29% profit margin. Positioned toward a Spanish-speaking millennial and Gen Z audience, Eterna emphasizes affordable, expressive jewelry with a boho-chic aesthetic. The store has built a customer base of over 41,000, operates leanly through automation tools like DSers, and requires minimal daily involvement.
Despite being relatively young, Eterna has already proven demand for its offering and shown signs of scalability, especially through untapped marketing and potential product expansion. However, recent trust issues, revenue instability, and performance inconsistencies present meaningful risks that must be weighed against its scalability and low operational demands.
Key Insights
Website Performance & Brand Presentation
Website Speed: Generally acceptable but not optimized. Mobile load speeds could benefit from CDN optimization and app reduction.
Product Offering & SKUs: Moderate variation. The store offers a focused but limited catalog of boho-style jewelry. There’s room to diversify into rings, seasonal bundles, and personalized accessories.
AOV & CLTV: Estimated AOV appears modest, likely between €25–€35 based on product pricing. CLTV is unclear but likely low due to dropshipping model and low repeat customer incentives.
Repeat Customer Rate: Data not disclosed; however, limited loyalty mechanisms and one-off nature of purchase suggest a likely low repeat rate.
Conversion Rate: Not provided. Judging by standard dropshipping averages and visual UX, conversion is likely around 1–2%.
Website Design: Aesthetic, well-branded, and visually cohesive for the target audience. Imagery is sharp and resonates with current fashion trends, especially among younger demographics.
Brand Positioning: Clear and aligned—boho, accessible luxury for expressive women. However, Trustpilot reviews reveal significant dissatisfaction that undermines positioning.
Customer Sentiment: Over 129 Trustpilot reviews with a majority being 1-star signals a critical customer trust and retention issue.
Marketing & Efficiency: Organic social media (Instagram) and light paid ads on Meta platforms are used. There is evidence of minimal paid ad testing, meaning acquisition has mostly relied on organic and influencer-driven strategies.
Customer Acquisition Cost (CAC): Not disclosed. Given the low-effort paid acquisition setup, current CAC is likely low but unsustainable at scale without deeper marketing infrastructure.
Scalability Potential: High. Strong potential for brand growth through TikTok, paid ad expansion, and email marketing optimization.
Repositioning Opportunity: Moderate. While the aesthetic and niche are trendy, the negative sentiment may require a reputational pivot or rebranding effort to regain trust.
Financial Analysis
Annual Revenue: $362,163
Annual Profit: $106,424
Monthly Average Revenue: $30,180
Monthly Profit: $8,868
Profit Margin: 29%
Revenue Multiple: 0.2x
Profit Multiple: 0.6x
These multiples are favorable from an acquisition standpoint, indicating undervaluation relative to the standard eCommerce market (where typical multiples range from 1.5–2.5x SDE). However, there’s revenue volatility—fluctuations show signs of decline in recent months, which could point to reduced marketing efforts, brand fatigue, or customer distrust.
Marketing Overview (Paid & Organic)
Organic: Instagram-driven with strong visual content and some influencer collaboration. SEO efforts are minimal but present through blog content.
Paid Ads: Very light testing has been done via Meta Ads. Scaling paid campaigns is an untapped growth channel.
Email Marketing: Setup via Klaviyo or Mailchimp with standard flows (abandoned cart, welcome series). No indication of segmentation, upsell flows, or deeper lifecycle marketing.
This brand is heavily underutilizing paid and email marketing relative to its potential.
Operational Efficiency
Model: Fully automated dropshipping using DSers or AutoDS.
Daily Operations: 1–2 hours per day including order management and light customer support.
Fulfillment: Suppliers in China, shipping to Spain within 6–12 business days.
Stock: No inventory held—zero capital tied in physical goods.
Customer Service: Email-based with 5–10 minutes/day required.
This lean operation is a double-edged sword: it’s efficient, but reliant on third-party performance, which may be contributing to customer dissatisfaction.
Customer Data & Relationships
Email List: 41,994+ contacts
Engagement: Unknown; potential for segmentation and reactivation campaigns is high.
Trustpilot Reviews: 129+ reviews with a concerning majority being 1-star. Complaints likely stem from shipping times, product quality inconsistency, or poor customer support.
Customer Lifetime Value: Likely low due to weak retention strategies and current negative sentiment.
The customer database has volume, but questionable quality and poor loyalty due to damaged brand trust.
Legal & Compliance
Business Model: Dropshipping with no inventory risk.
Supplier Contracts: None disclosed; introductions will be provided.
Refund/Replacement Policy: Stated to be clear, but review sentiment suggests poor enforcement or communication.
Trademark/IP: Not specified. Due diligence required to confirm brand ownership and whether "Eterna" is trademarked or legally secure in Spain and globally.
Compliance: GDPR compliance assumed due to EU customer base, but privacy policy and T&C documents should be audited.
No major legal red flags visible publicly, but further review of IP ownership and supplier agreements is necessary.
Challenges Identified
Damaged Customer Sentiment
The poor Trustpilot ratings represent a serious red flag and pose a challenge for retention and long-term brand value.Revenue Instability
Recent performance shows fluctuations, possibly driven by inconsistent ad spend, saturation, or operational bottlenecks.Dropshipping Limitations
While efficient, fulfillment from China results in 6–12 day delivery, which is misaligned with modern customer expectations and could be harming repeat sales.Low Brand Defensibility
Aesthetic-based jewelry is easily replicable. Without a strong IP or exclusive products, the brand risks being commoditized.Limited Paid Growth
The business is not maximizing its marketing potential. Email flows, ad scaling, and funnel optimization remain underdeveloped.Unknown CAC and Repeat Rate
Lack of clarity around key KPIs (CAC, CLTV, conversion rate) makes future projections speculative without seller cooperation.
Recommendations
Request Key Metrics from Seller: Including CAC, repeat purchase rate, conversion rate, and revenue/profit over the last 6 months to validate financial trajectory.
Clarify Trust Issues: Investigate the root causes of 1-star reviews and determine whether they stem from fulfillment, product quality, or support responsiveness.
Rebrand or Refresh: Depending on the severity of sentiment, consider rebranding, refining policies, or tightening customer experience protocols.
Test Local Fulfillment: Explore Spanish-based warehouses for top-selling items to reduce shipping times and rebuild trust.
Aggressively Scale Paid Channels: Invest in TikTok, Meta Ads, and influencer partnerships to unlock growth potential.
Email Strategy Revamp: Segment the email list and build reactivation and upsell flows to extract more value from existing users.
Assess Supplier Agreements: Confirm fulfillment reliability, backup options, and exclusivity (if any) to reduce risk.
Conclusion
Eterna is a visually strong, culturally relevant jewelry brand with a profitable and efficient backend—but suffers from critical weaknesses in customer trust, retention, and scalable infrastructure. For an experienced operator with marketing expertise and resources to rebuild customer confidence, it presents a high-upside, low-entry-cost acquisition.
However, it’s imperative to conduct further seller discussions to understand recent revenue declines, customer acquisition metrics, and the true scope of negative reviews. If these concerns can be addressed or mitigated, Eterna offers a solid foundation for expansion across Spanish-speaking markets and beyond.
This is a value opportunity for the right buyer—but one that requires tactical repositioning and strategic investment post-acquisition.
