THE JOEL MANGILIT REPORT

Email: joel@webphil.com

Tel: (632) 522-6912

 

How Two People Made $ 1.2 Million In Sales

During The First Year 

From A Simple Web Site

     While looking for a suitable online storefront service for one of my clients based in the USA, I stumbled upon Yahoo storefronts. One thing that caught my eye is the success story of one Web site called www.sneetch.com, run by two people, generating $1.2 million in total sales during its first year.

     I wanted to find out more, but the article in Yahoo was just a short marketing copy. Fortunately I stumbled upon a site called www.powerhomebiz.com and saw an in depth article about sneetch.com. To save you time, here is my summary of the 7-page article:

  • Founded by Sean Lundgren and Todd Livdahl in February, 2000

  • Online store that sells videos, games, and DVDís

  • The founders operated the business from their homeís during the first year

  • Generated $ 10,000 in orders on February 2000, their first week online at Yahoo

  • Gets 2 Ė 3,000 orders per month

  • Generated $1.2 million in total sales during the first year in operation

  • Started the online store with 50 products

  • Competitive because of the low overhead costs

  • DVD and video retailing is a low margin industry, profits are generated by selling large quantities of products

  • The site is mainly marketed by being a store in Yahoo Shopping

  • Does not believe in click-thru advertising

  • They do not run an affiliate program, but are thinking about it

  • Success 1 came from being well advertised by Yahoo

  • Success 2 was the low price, beating the competition

  • Success 3 was taking care of the customers

     I would like to thank the people at www.powerhomebiz.com, for their free but valuable articles. 

                                                                         Sincerely,
                                                                         Joel R. Mangilit
                                                                         Joel R. Mangilit

Back to the home page.

     P.S.   If you know of someone who would find this article useful, let them know about www.webphil.com.  

     P.P.S.  You may freely publish or distribute this article provided that you cite the source and include the text below:

Copyright ©  2002  Joel R. Mangilit
The Joel Mangilit Report - http://www.webphil.com
email: joel@webphil.com
phone: (632) 522-6912