Overview
This is an 11-month-old direct-to-consumer supplement brand pioneering the ingestible tanning category. Positioned at the intersection of beauty, health, and wellness, the company has leveraged TikTok virality and content-first marketing to quickly generate $428,076 in revenue and $226,324 in profit since inception, maintaining an impressive 53% profit margin.
The business operates with a single SKU, supported by a subscription model (8,000+ subscribers, $6K monthly recurring revenue), and streamlined fulfillment via a Utah-based 3PL. It has generated strong traction in a niche market underserved by traditional tanning products (sprays, creams, and UV exposure). The founder is selling due to shifting focus to new ventures, with post-sale support offered.
Despite its novelty, the brand is showing early-stage volatility with revenue swings month-to-month. While there is significant upside through Amazon reactivation, SKU expansion, and aggressive scaling of Meta/TikTok ads, the business faces executional and credibility risks that must be carefully considered.
Key Insights
Website Performance & Brand Positioning
Website speed: Shopify storefront loads relatively fast, though optimization for mobile checkout could improve conversions.
Product range: Single SKU (tanning gummies). Opportunity exists to expand into adjacent supplements (drops, capsules, sprays).
AOV & CLV: Average order value is $34, supported by subscriptions. Limited product line constrains CLV growth, but subscription retention offers a stable base.
Repeat customers: No disclosed repeat purchase rate, though subscription volume suggests early signs of loyalty.
Conversion rate: Not provided, but reliance on viral marketing suggests spikes tied to TikTok campaigns rather than steady funnel optimization.
Design & presentation: Modern, Gen-Z-friendly branding. Messaging is clear and positioned toward the "beauty-from-within" movement.
Customer sentiment: Limited transparency. Only one review on Trustpilot exists, which is negative (UK order never delivered). This lack of social proof raises credibility risks for scaling internationally.
Financial Performance
The business shows both strong profitability and heavy fluctuations:
Observations:
December 2024 was a breakout month ($161K revenue, $117K profit), but sales dropped sharply thereafter, stabilizing below $10K/month by May–June.
The financial record suggests that success to date has been campaign-driven (likely seasonal + viral bursts) rather than steady baseline demand.
Profitability is high (53%), yet sustainability remains questionable without consistent acquisition strategies.
Asking price ($70K) represents ~0.3x profit multiple and 0.2x revenue multiple significantly discounted, indicating market skepticism about durability.
Marketing & Acquisition
Paid: Heavy reliance on Meta and TikTok. Scaling potential remains high given 70% gross margins, but effectiveness will depend on creative refresh and CAC control.
Organic: Strong brand voice on TikTok with viral appeal, but limited credibility on Trustpilot or wider review platforms. Scaling organic SEO/email remains underdeveloped.
CAC & scalability: Not disclosed, but virality suggests acquisition cost advantages may not be replicable consistently. Future growth will depend on structured ad campaigns and diversified channels (Amazon, TikTok Shop).
Operations & Supply Chain
Lean operations: single SKU, 3PL-managed fulfillment, founder only 5 hours/week.
Supplier relationship stable with favorable terms and short lead times.
Inventory currently $22K (4,447 units). Stock levels support reactivation on Amazon and TikTok Shop.
Customer Data & Relationships
Customer base: 13,530 buyers, 12,527 on email, 2,153 engaged with subscriptions.
Subscription system via Loop provides recurring revenue but limited in scale.
Poor external review footprint: must build more trust before pursuing international expansion.
Legal & Compliance
Supplement category entails FDA compliance risks, especially in claims around tanning efficacy.
Brand positions gummies as "beauty-from-within" supplements, but regulatory scrutiny may increase as ingestible beauty grows.
No reported disputes or legal challenges, but diligence should confirm supplier certifications and FDA labeling compliance.
Challenges Identified
Revenue volatility: Sales have plummeted since the December spike, raising concerns about sustainable demand.
Customer trust: Only one public Trustpilot review exists and it is negative. The lack of positive customer feedback is a reputational risk.
Product concentration: Reliance on a single SKU limits CLV and increases vulnerability to trend fatigue.
Marketing dependence: Growth has been campaign/viral driven; acquisition costs and repeat rates need verification.
Regulatory risk: Ingestible tanning is a new category that could attract FDA or consumer watchdog attention.
Paused Amazon channel: While promising, the pause highlights potential operational or compliance challenges that need clarification.
Recommendations
Verify customer acquisition metrics: Request CAC, ROAS, and subscription retention data from the seller.
Understand revenue sustainability: Engage seller on reasons behind post-December decline and strategies to re-stabilize sales.
Audit compliance: Review supplement labeling, certifications, and FDA adherence before scaling.
Rebuild customer trust: Actively grow verified reviews (Trustpilot, Amazon, TikTok Shop) to offset negative sentiment.
Diversify SKUs: Introduce complementary products to increase CLV and reduce reliance on single-product novelty.
Reignite Amazon/TikTok Shop: Leverage inventory and 3PL integration to tap high-volume platforms.
Negotiate earn-out or inventory-adjusted deal: Given volatility, structure acquisition terms to mitigate downside risk.
Conclusion
The shopify store on sale represents a unique, high-margin niche player in the beauty-from-within market with strong viral proof of concept. At its $70K asking price, the multiples suggest a bargain acquisition provided risks around sustainability, compliance, and brand trust are addressed.
For the right buyer with capital and operational expertise, the brand offers scalable upside through Amazon reactivation, SKU expansion, and structured paid campaigns. However, careful diligence into customer data, compliance status, and the reasons behind revenue decline is essential before moving forward.
