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THE INNER WORKINGS OF A SUBSCRIPTION BOX COMPANY. From a $4k purchase on reddit to $100,000 in sales in the first 6 months. How we did it! /thread 
So I came across this thread from a guy looking to sell a website he owned: https://www.reddit.com/r/startups/comments/1zn089/i_am_looking_for_some_advice_on_selling_a_website/
I contacted him and found out that it was a shaving subscription box.
I contacted him and found out that it was a 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 which came to $4,000
I reached out to redditor I had been talking to on skype. We had never met, but this is a guy that does not play around when an opportunity presents itself. Case in point a few weeks later he drove from California to Florida to work on this project. His Facebook post....
So let's go:
Step 1: Website Rebranding
The original website needed some work and we set out to change the look and feel of it. Design is critical, and even more so with a consumer product.
Full rebranding album: https://imgur.com/a/HZJqP
Step 1: Website Rebranding
The original website needed some work and we set out to change the look and feel of it. Design is critical, and even more so with a consumer product.
Full rebranding album: https://imgur.com/a/HZJqP
Step 2: Expanding the Product line and raising prices
So the original service only delivered soaps and at a price of $12 per month. We had to double that price to make this worthwhile. In order to do this we had to expand the product line from this to this.
So the original service only delivered soaps and at a price of $12 per month. We had to double that price to make this worthwhile. In order to do this we had to expand the product line from this to this.
Step 3: Box Rebranding
Since we were now shipping more products (and we had rebranded the site), the next effort was to find a box that worked. Here's the before and after on the box.
Since we were now shipping more products (and we had rebranded the site), the next effort was to find a box that worked. Here's the before and after on the box.
Step 4: Increasing prices and adding annual option
Everything so far took us about 2 months of balls-to-the-wall work, but things were starting to shape up. We were then able to increase prices to $29 for the monthly box instead of $12 while incentivizing annual subs.
Everything so far took us about 2 months of balls-to-the-wall work, but things were starting to shape up. We were then able to increase prices to $29 for the monthly box instead of $12 while incentivizing annual subs.
Step 5: Marketing
So with our conversion rates up, and our box at a higher price point we were able to unleash the hounds. You’ll see that most of what we do is completely free marketing. We ran contests, had influencers and more. Full album: https://imgur.com/a/CUDIH
So with our conversion rates up, and our box at a higher price point we were able to unleash the hounds. You’ll see that most of what we do is completely free marketing. We ran contests, had influencers and more. Full album: https://imgur.com/a/CUDIH
Step 6: Ordering, Warehouse and Shipping
So with the results of our efforts, we needed space. We were shipping from our living room and while I had a small office, there was no way we could do it from there any longer. So peep the warehouse: https://imgur.com/a/Gf3LP
So with the results of our efforts, we needed space. We were shipping from our living room and while I had a small office, there was no way we could do it from there any longer. So peep the warehouse: https://imgur.com/a/Gf3LP
And with things rolling and us hiring we ended up getting this office space. All Ikea!
Results of all of this work, a sweet $100k in the first 6 months and this biz went on to do a little over a million dollars. Some Takeaways and resources coming up.
The companies that made this happen:
http://Cratejoy.com
http://Salazarpackaging.com for our box
http://Sonicprint.com for our inserts
http://99designs.com for our design work
http://Uline.com for our warehouse shelving
http://Shipstation.com : Shipping
http://Cratejoy.com
http://Salazarpackaging.com for our box
http://Sonicprint.com for our inserts
http://99designs.com for our design work
http://Uline.com for our warehouse shelving
http://Shipstation.com : Shipping
The companies that made this happen cont'd:
http://Endicia.com : print labels
http://Stripe.com : Payments
http://Perfectaudience.com : Re-targeting
http://Kabbage.com : LOC
http://Gleam.io : Contests
http://Endicia.com : print labels
http://Stripe.com : Payments
http://Perfectaudience.com : Re-targeting
http://Kabbage.com : LOC
http://Gleam.io : Contests
Lots of work, but super fun project that can be nailed by anyone with some serious hustle. Next thread, will be on another business I built that anyone can start. You can't depend on one source of income in these streets!
@cratejoy @sonicprint @99designs @ShipStation @Endicia @stripe @PerfectAudience @KabbageInc @gleamapp
This thread is on how I used a combo of your services to build a company to a million dollars. See above. Thanks for all you do.
This thread is on how I used a combo of your services to build a company to a million dollars. See above. Thanks for all you do.
If you're new here, check out my other thread on getting to a multi-million dollar exit with my first saas company after being turned down for an investment. https://twitter.com/rohangilkes/status/1256264500501594112
