14 Year Interior Design Furniture Wholesaler – 65% Repeat Customers – International Brand – $1,636 AOV – 1,200 Products – Strong Growth
ValleyBiggs® presents a highly profitable home goods brand that has established itself as a market leader in the interior design industry within Australia … and growing fast globally. In its early stages, the company exhibited at furniture trade show events to raise awareness, and over time, quickly developed a strong and established client base of wholesale clients that love the brand, resulting in a sticky 65% Repeat Order Rate.
The brand’s core values are focused on ESG … being eco-friendly and socially and sustainably responsible. The team seeks out materials that are often overlooked to create outstanding pieces of furniture and decor. Reclaimed and plantation timbers are frequently used in the designs, and management strives to incorporate naturally weathered materials and off-cuts otherwise discarded as part of its design features.
Having these elements complement the more contemporary offerings has allowed them to deliver a brand that is unique in look and feel. In doing so, it has established a powerful brand identity that has become highly sought after in the market. The focus has always been on the client experience with strong attention to customer service. By not having a sales-targeted process, they have proliferated. Relationships with clients are the top priority, and the team is particular when assessing trade applications. By being selective and only accepting qualified clients to work with, the company has found a successful formula.
The aim is to continuously evoke an emotional response from the products, services, and marketing content that encourages clients to connect to the brand and identify with it on a deep level.
A 100% stock inventory model is used. Most orders are shipped from a domestic warehouse. However, some larger orders are shipped directly from international factories via full container loads. On average, 15 national orders of all sizes are dispatched daily.
The business enjoys strong sales throughout the year, with peaks in May and June when they have a highly popular annual clearance sale of freshly discontinued lines and again from October to December during the holiday shopping season.
Manufacturing & Sourcing
The owners have developed strong relationships with their manufacturing partners, and most products are created exclusively for the brand. This established, extensive network of manufacturing partners is based throughout Southeast Asia, India, Africa, and other parts of the world.
The sourcing process involves various steps. Firstly, the team regularly attends international trade fairs to discover new ranges. They travel to factories and remote areas of Southeast Asia with their partners in the regions to purchase products directly from the source as well as the cottage industry. Additionally, an in-house product design and development team constantly
works on innovative designs that the network of production partners from around the globe develop into new product offerings.
Notably, the brand does not utilize any paid marketing. Instead, the strategy revolves around creating excellent content, including in-house photography and videography. In some cases, the in-house marketing team collaborates on carefully selected projects, and the return on investment is measured by ongoing sales results. These are derived from posting content on primarily Instagram, Pinterest and also Facebook, from where existing and prospective customers like and share the content, driving brand awareness growth and ultimately sales. The company also sends newsletters to its email database showcasing new products, special offers, and information.
Typical customers are returning trade clients with whom the company has built relationships, resulting in ongoing repeat orders. They also work with selected retail stores that focus on quality products and interior design. The end user is usually from the higher-end demographic with more disposable income and often uses an interior design service or is shopping for high-end products.
The strategy has clearly been highly effective, with 753 active trade customers. That number fluctuates depending on the date of the last order; however, the company has over 2,000 qualified businesses in its CRM that have requested trade login and have met the criteria to purchase from the brand.
The two working owners focus on a variety of tasks, including:
- Authorizing Bill Payments
- Disbursing International Payments
- Meeting With Managers to Give Direction
- Analyzing Data and P&L
- Setting Monthly Targets for the Client Relations Director
- Product Selections and Developments
28 staff work in four main department categories: marketing, customer service, administration, and warehousing.
Few special skills are required for a buyer to run the company. Good taste, an appreciation for interior products, and sound people management skills would be beneficial. However, given the tenure of the business, its highly adept team, and the systemized nature of operations, a new owner can transition seamlessly with guidance from the existing owners, who are motivated to ensure the continued success and growth of the brand.
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