From an initial purchase of 3,000 Belkin rucksacks in 2013, to projected sales of over £30 million in 2019, Velocity Commerce are eBay Millionaires and previous winners of the eBay for Business Grassroots award.
eBay give a unique opportunity for everyone young and old alike and regardless of where in the country you are situated. It’s all about spotting an opportunity and have the guts to carry it through and that’s what work colleagues Eddie Latham and PJ Scott did when they founded Velocity Commerce and opened their eBay shop.
Their initial strategy was to wipe out the competition before it started – they aim to buy up all remaining inventory of product lines as this then means they don’t have price wars with other sellers undercutting them and this is why, whilst still working full time, they had 25 pallets of Belkin Rucksacks turn up at PJ’s house. By their first Christmas they achieved sales of £140,000 in a month and at the time they were still both working their full time jobs. (Yes, soon after they both quit working for other companies!)
Branching out from selling other manufacturer’s goods, Velocity Commerce now have their own brand of DAB radios and audio devices – Majority. Majority is now the second largest brand of DAB radios in the UK, and products can be found in over a million homes across the world. Velocity also assist other brands to build their presence on marketplaces.
Today, Velocity Commerce are based in warehousing in Cambridge and have been named one of the fastest growing companies in Europe in the latest FT 1000 report. With an absolute revenue growth of 1,187% and revenue CAGR (2014-17) of 134.3%, Velocity Commerce is the 92nd fastest growing company in Europe and one of just 27 UK companies to have made it to the top 100. They are the 25th fastest growing UK company and that’s with competition from companies like Deliveroo ahead of them!
Velocity Commerce distributes directly from its own warehouse and, as well as managing current ranges, offers brands an intelligent outlet for end of line, as well as returned and refurbished stock, helping to prevent excessive wastage of useable and resalable products. The business now receives over 3,000 orders per day, and has an annual turnover of £25 million. Eddie Latham and PJ Scott have grown Velocity Commerce with no external investment and are projecting sales of over £30 million in 2019.
The 2019 eBay for Business awards (of which Velocity Commerce are previous winners) opened for entries today.