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Bedhead Hats Grew Their Revenue by 2,300% Leveraging B2B and B2C Ecommerce with Neto

Family run and 100% Aussie owned business Bedhead Hats promotes sun safety and comfort for babies and children. Looking to grow their business, they found that the previous platforms lacked the functionality they needed.

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140%

Revenue growth in 12 months

100%

Increase in Average Order Value

2,300%

Revenue growth over 5 years

In 2015, shortly after becoming a mother to a beautiful young boy, Richelle Ellis gave birth to her business; Bedhead Hats. She then went on to win a 12-month business development scholarship hosted by a Neto Partner, Consolid8.

Today, she runs a thriving ecommerce business that has a unique blend of B2C and B2B; selling directly to consumers through the Bedhead Hats website as well as wholesale to stockists throughout Australia.

Limited by Wix and BigCommerce

The main problem that Bedhead Hats faced with Wix was the lack of functionality to support the businesses model as a B2B (wholesaler) and B2C (retailer).

This led Richelle to start building her ecommerce store on BigCommerce. She quickly discovered that it didn’t have the full suite of functionality she needed like multiple price levels and customer groups.

During her scholarship program, she discovered that several other businesses in the same program were using Neto.

Transforming Bedhead Hats into a B2B & B2C Business with Neto

Neto was built for businesses to handle the mix of wholesale and retail sales. This unique blend of wholesale and retail may seem simple to manage, but there are various nuances required by wholesale customers that most platforms designed for B2C don’t offer.

What functionality did they need?

  • Multiple customer groups;
  • Multi-level pricing;
  • Backorders and pre-orders;
  • Individual log-in to view individualised pricing and product content;
  • Dropshipping;
  • On account sales.

“Neto allows you to really grow your revenue through various sales channels but also contain your costs on the back-end, because it has so much functionality. Neto also avoids the need for a whole lot of other systems because it is a very feature-rich platform,” says Richelle.

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Growing Bedhead Hats Revenue Through New Sales Channels and Increasing AOV while Cutting Costs

In the 5 years that she’s been on Neto, Richelle’s revenue has grown by 2,300% and her B2C average order value has doubled.

How?

Firstly, growing the B2C ecommerce arm of the business with Neto has contributed remarkable revenue growth. This has allowed them to hire 8 additional team members and build their own warehouse.

Secondly, through increased access to new sales channels, Richelle’s has expanded the business to sell in several countries including New Zealand and China.

Lastly, using Neto’s bundling feature which allows merchants to bundle various items together to be sold as a “kitted bundle,” Richelle saw her average order value increase by 100%.

In fact, she had never considered that children’s hats could be ‘bundled’ but she was experiencing more and more requests for a standard children’s play hat, a beach/swimming hat and a fancier hat for going shopping with Mum, which led her to explore the Neto kitting/bundling feature.

Neto as a Partner

Reflecting on the move to Neto Richelle says that she finds Neto great value for money and loves the Australian integrations. “Our customers love Bedhead Hats because we are an Australian business and we love Neto because they have always taken an Australia first approach. We love the fact that the first integrations were to all of the key Australian payment gateways and freight companies.”

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Neto allows you to really grow your revenue through various sales channels but also by containing your costs on the back-end. It has so much functionality, you avoid the need for a whole lot of other systems.
Richelle Ellis, Bedhead Hats