What happens when a side hustle turns into an eight-figure e-commerce empire?

Luke Peters didn’t set out to build a category-leading appliance brand. In fact, in 2001 he was working full-time as an environmental scientist and dabbling in eBay sales on the side.

But by spotting untapped demand in niche appliances—like wine coolers and portable air conditioners—and committing to a direct-to-consumer model before it was trendy, he laid the foundation for something big.

Over the next 20 years, Luke grew NewAir into a multimillion-dollar business with a deep bench of private-label products, exclusive retail partnerships, and powerful logistics systems. Along the way, he built a remote team, stayed lean, and focused relentlessly on margin and brand.

In 2023, NewAir was acquired by Japanese appliance manufacturer Yamazen, giving the parent company a turnkey e-commerce engine in the U.S.—and giving Luke a liquidity event that allowed him to focus on new ventures and enjoy more time with his family.

His story is a playbook in spotting niche demand, building direct customer relationships, and creating a sellable business—even in the competitive world of consumer goods.

“You don’t have to win in a big category—just dominate a small one.“

What You Will Learn:

• Why Luke bet early on DTC long before it was mainstream
• How NewAir used niche products to avoid big-box price wars
• The systems that made NewAir attractive to a strategic acquirer
• How Luke built a business that could operate without him
• The biggest lessons he learned about timing and exits

The Case Study: From Side Hustle to Strategic Acquisition

Starting on eBay—Then Thinking Bigger

When Luke first started selling products online, it was the early 2000s. Amazon was still mostly selling books. Shopify didn’t exist.

But Luke saw potential in a fragmented category: appliances. The big names like GE and Whirlpool were focused on major retailers. No one was optimizing small-format appliances for the DTC experience.

Luke started sourcing mini-fridges and wine coolers, setting up his first warehouse in the back of a Southern California office building. From there, he:

• Created one of the earliest DTC appliance brands
• Built custom fulfillment systems to optimize shipping
• Invested in in-house branding and packaging to stand out online

By 2016, NewAir had become a recognizable player in portable and specialty appliances, with both DTC and retail distribution channels fueling growth.

How NewAir Scaled Into a Multi-Channel Powerhouse

By the time of exit, NewAir had developed into a lean, high-margin company with a diversified revenue mix. Here’s how Luke scaled it:

Betting Big on Niche Categories

Luke didn’t try to be everything to everyone. He focused on underserved, high-margin product categories:

• Wine coolers
• Ice makers
• Garage heaters
• Compact air conditioners

This positioning allowed NewAir to:

• Avoid head-to-head battles with mass-market appliance brands
• Command better margins through specialization
• Create category dominance in multiple “long tail” segments

Key takeaway: You don’t have to win in a big category—just dominate a small one.

Actionable Tip: Where in your market are the underserved niches? Are there long-tail products your competitors are ignoring?

Owning the Customer Relationship Through DTC

Long before it was common, Luke leaned into direct-to-consumer sales. He prioritized:

• Branded websites and e-commerce experiences
• Fast, reliable fulfillment and customer support
• In-house content creation, including product videos and unboxing

By owning the customer journey, NewAir:

• Built a loyal customer base
• Captured better margins than selling through Amazon or retail
• Collected valuable data that helped with product development

Actionable Tip: Are you dependent on Amazon or retail partners? What steps can you take to own more of the customer relationship directly?

Building a Remote Team and Lean Operations

NewAir operated with a lean team, distributed remotely across functions:

• Overseas manufacturing and sourcing
• U.S.-based marketing and customer service
• Outsourced logistics for warehousing and fulfillment

Luke’s leadership style emphasized autonomy and metrics. The company was built to run efficiently without massive overhead.

Actionable Tip: If you disappeared for a month, could your business still run? Start building systems and leadership that don’t rely on your daily involvement.

Creating Proprietary Products and Packaging

Rather than reselling generic products, NewAir developed custom packaging and private-label SKUs. This allowed them to:

• Differentiate from competitors in crowded categories
• Own pricing power and avoid race-to-the-bottom competition
• Build long-term brand equity

By the time of acquisition, over 70% of their catalog was proprietary—a key factor in attracting strategic interest.

Actionable Tip: What parts of your product or service offering are truly proprietary? How can you own more of the value chain?

The Strategic Exit to Yamazen

In 2023, Japanese conglomerate Yamazen acquired NewAir.

Why?

• Yamazen wanted a stronger U.S. footprint for small appliances.
• They lacked DTC capabilities and wanted an engine that was already built.
• NewAir’s team, systems, and product development pipeline were ready-made.

Luke had built a business that didn’t depend on him—one with:

• Predictable cash flow
• Efficient logistics and supply chain operations
• Unique product designs and long-term vendor relationships

Structure of the Deal:

• Strategic acquisition
• Partial cash-out + continued involvement as advisor
• Terms undisclosed, but estimated in the 8-figure range

Why it worked: Luke had done the hard work of turning NewAir into a machine. Yamazen didn’t need to build—it just needed to buy.

Post-Exit Life (and Lessons)

After the sale, Luke shifted into a new role:

• He began advising other e-commerce founders
• Launched his podcast, Page One, to share insights on retail success
• Focused more time on family and new ventures

His biggest reflection? Don’t wait too long to sell.

“The business was doing great, but I realized I’d reached a place where someone else could take it further than I could. That’s the perfect time to exit.”

Key Lessons for Business Owners Preparing for an Exit

• Niche is the New Scale: You don’t need to be the biggest. You need to be the best in a category no one else is paying attention to.
• Own Your Brand, Own Your Future: DTC isn’t just a trend—it’s a long-term moat when done right. Build the muscle to market and fulfill directly.
• Make Yourself Replaceable: The more your business can operate without you, the more attractive it becomes to buyers.
• Build Proprietary Value: Whether it’s products, systems, or data—create something buyers can’t replicate overnight.
• Don’t Wait Too Long: Every founder reaches an inflection point. Exit while you still have energy—and options.

Conclusion: Could Your Business Be Someone Else’s Growth Engine?

Luke Peters didn’t build NewAir overnight. He spent two decades turning a side hustle into a scalable, high-margin, sellable brand.

He saw the exit coming—and he planned for it.

What about you?

If you stepped away today, would your business be a valuable asset—or a high-paying job with no buyer? sellable is your business without you in it?

Additional Resources 

• Page One Podcast – How to Win on Retail and DTC: Luke’s podcast dives deep into strategies for physical product success across DTC, Amazon, and retail.
• Yamazen Acquires NewAir: Luke’s own reflection on the acquisition and what it means for his next chapter.
• Built to Sell: When to Exit and How to Maximize Value: An essential framework for making your company irresistible to acquirers.
• The Power of Product-Market Fit in E-Commerce: Why niche wins in DTC—and how to identify it in your space.