The Battle Of The Sharks: Kevin Vs Steve ๐ŸฅŠ | Shark Tank Global

Foreign [Music] Mother and daughter team Lily and Irina Yeah perfect sometimes we wake up at Night and and shops They're on a mission to save the planet One espresso at a time Everyone loves our product everyone is Just so excited we've come out with it Then we hope the sharks are going to Join us yeah yeah thumbs up [Music] Hi sharks Hi hi hello hi hi good we're hungry got Something for you My name is Lily and this is my mama Irina and we're the co-founders of the I Love Earth collapsible coffee cup a Twist on the conventional reusable Coffee cup and we're here today to ask You for an investment of a hundred and Ten thousand dollars for 30 equity in Our business We became really really concerned about The situation of waste pollution in Australia where one billion coffee cups Per year and growing end up in landfill Which is 60 000 kilograms of plastic Waste that not only end up in landfill But also in our oceans as microplastics Really harming our marine mice And we realized that the reusable cups That are out in the market today had Several fundamental problems

They were leaky They were bulky if they were made of Glass they could break and if they were Made of plastic they would Leach harmful Chemicals into the hot drinks because I Come from a science background and there Are way more compounds in Plastics are Known carcinogens so the I love Earth Coffee Cup actually solves all those Problems it's 100 leak proof it's made Of 100 chemical free food grade medical Grade and heat steady silicon so we Actually really really need your Expertise your mentorship your hearts Your passion we really want to change The world here you see we're not doing This just for ourselves we're not doing This for our family we're doing this for You and your kids and your grandkids and Future Generations on all of Australia And all of the globe hopefully we really Need to make a change in waste pollution In Australia you see we're not just a Brand either and we're not just a cup We're developing a whole range of Products that hopefully will transform The way we see waste pollution we're a Movement So please please help us and invest help Us to change the world wow well done I Think I love you both We'll just grab a car thank you can I Just confirm yes surely an arena you're After 110 000 to 30 which values what

You're up to at 367 000 that's right it Sounds like you've got a Russian accent Yes exactly so if you tell me for a Start how you got here I was only a few Years in Australia when I had Lily she's My only child I had her quite young so I'm like I'm so connected to her she's All my life oh So do you guys live together we do now We've moved it with my grandparents who Are amazing Packing cups because food stamp this Business all with our finances Envy we Reinvest What does one of these cost to make okay So at So we don't have economies of scale yeah Just at the moment it costs us to make And don't get frightened because it is a Little bit expensive number it's 5.20 But wait but that's including Norway Wait but that's it yeah but wait no I'm Waiting that's including shipping that's Including taxes that's including duties That's including all of our marketing Can you get rid of all the fluff and Just go straight to the real cost of Making that real cost of just the cap Slowly without anything else yeah I can Get it down to if I order a hundred Thousand units from our Factory 2.20 okay we're in 60 cafes and Retailers in Melbourne and Byron Bay We've had 32 000 worth of sales and a

Gross profit of I think it's just over Fifteen thousand dollars wow tell us a Bit about how it works because I think We're going to demo the thing or could I Show you could I come up great okay so Basically you take the heat sleeve out You open up the air vent okay you can Open it this way and then you just put The heat sleeve on and it's 100 leak Proof so you can even go jogging and Nothing will come out of it so it's Amazing for people that are hikers and Just anybody at all on the go we're Making some other cosmetic changes we've Decided that we want a different kind of Heat sleeve so is this plastic yes try So I'm a little worried so explain to me Why this plastic lid That and that so that's that's actually Probably ends up yeah feeling that That's about half yeah so first of all We there was no other there's no other Material you can actually use but you've Ended up One use cups Okay let's check sanity check that Because I've been going opening this up And closing it yeah this line yeah it's Very transparent that's going to wear Out I reckon after about 100 uses it's Been it's been tested you're a scientist I'm a scientist give me this yes I know I know open and shut open and shut open And shut until it claps this will last a

Good one and a half years if you use This cup every single day and you're Only giving me a product that's going to Last 18 months so I'm a little worried [Music] Are you the only people to do Collapsible coffee yes in Australia We're the only ones that are doing Collapsible coffee cups that makes no Sense no no so in but in America there Is one other company that does Um collapsible silicone coffee cups is Just one other competitor but one other So when I we invited Google it I Wouldn't find like about the first page Full of competitors [Music] No not not not a brand Mother and daughter Lily and Irina make Collapsible silicon coffee mugs they Claim their product is unique but Steve Has called them out so when I invited Google it I wouldn't find like about the First page full of competitors No not not not a brand Yeah not not a not a brand of it no They're everywhere [Applause] Shop for a collapsible coffee cup Silicon coffee cup Clips all portable Collapsible When you're talking to investors don't Don't have them Google it find the competitor and then

Wonder what else you've told us it's not Correct because that's the problem You've now got sure Now honestly I don't like the feel of it I I don't like being preached to but it Comes in my choices and consumer goods To be honest I wish you all the best but I'm gonna head out right now thank you Thanks for your feedback thank you for Your feedback I actually like the feel Of it it's kind of cozy yeah can I share This with you sure we're coming out with A range of other products we're also Going to be doing a Smoothie Cups you could you could pump up your uh Your tires absolutely you know oh this Product silicon baby's dummies are made From Silicon Irena and Lily you pair are just Beautiful I love you well done thank you So much I love your passion your ethos I Love your Greenway Ford I think your Movement is really important and your Message is really important But I think you've got to do a lot more work Around the materials you're using and The design to get something that is 100 Eco-friendly Sorry guys I'm out thank you thank you All right Naomi what are you doing Hey congratulations on your movement I Love your passion and I think that's Going to really serve you

Congratulations on your sales as well But get really clear about your Proposition what you do and why you're Different it's not yet different enough For me so for this deal I'm out okay It's for your advice [Music] Look it looks great you need to get your Design right the air is not quite right The hole needs to be bigger For me I can't invest today because it's Just such a crowded Market but come in Once you get this this one right because I think this would be a ripper in our Stores and we'll see what we can do I'm Out okay thank you Janine I reckon you'd be worth investing in Just to take you both home and bottle You with your enthusiasm because you're Unbelievable thank you who in their Right mind doesn't want to get rid of This garbage and create a more Sustainable world But your costs are way too high your Manufacturing costs for this product Have to come down below two dollars I Wish you luck way too early for me I'm Out thank you thank you for your advice All the best thanks guys you did a great Job well done get that movement going That way yeah thanks see ya I don't think I've seen a mother and Daughter that I mean then infectiously Close in life and in business it's

Amazing can you Householders like three generation yes Next up is what the entrepreneur Believes is a solution to an unsightly Holiday problem [Music] Happy holiday sharks my name is Ryan Kenny and this Christmas I'm asking for A hundred thousand dollars in exchange For 20 Equity of my company the Christmas tree hugger This little guy right here is the Christmas tree hugger and we're here to Fix the fake now what do I mean by that Well every year millions of artificial Tree owners put their trees up and Decorate them making them look as Perfect as possible but almost every Artificial tree has the same Ugly secret down below [Music] This fuzzy looking green eyesore looks Nothing like a real tree and takes away From all that holiday magic but with the Christmas tree hugger you can go from Faking It To making it like that and you can even Use it to hide your messy cords just run Them through the hugger under the skirt And they're gone it's as easy as putting On an ornament we have our classic Brown Bark we have birch bark too all of our Christmas tree huggers reverse the candy Canes so in seconds you can go from

Classy to crazy and make your tree more Fun festive and a happy thing to look at During the holiday so in the spirit of The holiday season let's just hug it out And give artificial Christmas trees the Christmas miracles they deserve and I'd Like to hand out some samples please yep A little stocking thank you so much Appreciate it Put our names on it Does it say Grinch Kevin thank you Ryan So Ryan do you also have a real job yes I have a real job I'm in advertising I'm An art director so I'm a pretty creative Guy how did you come up with the idea Well my wife and I bought our first Artificial tree and everything looked Pretty good but then we kind of noticed That fuzzy green pole at the bottom and We're just scratching our heads you know How come no one's ever made that look Better it looks nothing like a tree so I Made a prototype for my house and my Wife loved it and her friends loved it And they asked me to put some online and Started selling a little bit and then I Just started having fun with it I was Like you know what I think I'm onto Something why would anybody want this Who cares well people do care actually Really yes well if you have great sales Then you prove him wrong yeah so we've Been doing this for a year and a half And so far our sales are fifty thousand

Dollars wow what does it cost you to Make one it cost us a dollar 37 with Packaging everything packaging yeah we Sell it for 17.95 mostly online uh we're Online we're actually with QVC as well How many did you sell on QVC we went on For the Christmas July sale and the one O'clock in the morning managed to sell a Thousand of them in five minutes good For you that's not it Foreign We're talking about going back closer to The holidays how many did they reorder Well we still have the ones that are in Stock so they have they're going to see What they bring in they brought in 5 000 Units did they reorder or they're just Gonna air them again well I think we're Gonna air them again but right now it's QVC customer top rated too and it's been Getting five star reviews and what's the Price on QVC 1795 as well or was it low They're selling it for 20. oh that's Even better so you made twenty thousand Dollars on QVC in five minutes at one in The morning yeah that was all new to me That was my first time ever doing Anything like that it was really fun What else have you sold and what are the Plans for this year last year we did 12 000. and was that online so I made a Cold call right away to Kroger and my First call of the lady she loved it and She wanted to put it in the store so we

Put it in Kroger and how much was that Order for that order was for 130 stores And they ordered a 1 500 units they have A real order they sold 40 of the units Are they going to reorder it again They're not going to reorder it again Why is that a good story well it's a Good story because we're learning from Our mistakes and why aren't they going To reorder Ryan because it doesn't sell It didn't sell through it didn't sell Through well enough it's a grocery store It's probably not the perfect place for The product Because it's an opportunity right right What will revenues be this year if we Sell through the stuff that we have We're looking at 220 000 in sales and How much do you think you'll make on That I think we'll probably make around 110. I personally don't see this as a really Big problem I like to invest in things That fit to a broad Mass audience it's Just not the right investment for me so I'm sorry I'm out Give your time Ryan's starting a Business one of the hardest things you Can do I admire you for that but Inevitably for me to invest I have to Believe in the product I I just don't Like the product I'm out Thank you I have to compliment you on one thing

That we don't hear very often you made a Sales call yourself walked into Kroger's You got yourself a big order good for You it only sold through 40 just keep Keep making those cold calls 10 more Orders at 40 adds up to a lot of money My QVC order was from a cold call well I'm just kind of going out there and Just let me tell you a surprise me what A great example to set that's awesome Man that's awesome so let me say gently I'm out Thank you for your time I don't think Barbara's done you any favor I'll give You encouragement to go on the market Has spoken it doesn't care about this Product the reason you're going back on QVC is because they want to get rid of Their inventory the reason Krogers Didn't reorder it nobody bought it So I don't want to offer you any Encouragement I want to tell you to take This behind the barn and shoot it so That it leaves time for you to do Something else ignore him this product Is a dog ignore him what do you have to Say to that you're the first people who Have ever said that every person I've Showed this to every person they're all Lying to you they are definitely Interested here's the reality you picked Up the phone you called QVC you sold Twenty thousand dollars worth and you Picked up the phone you walked into

Krogers and you sold your product that's Why you're in the right spot and he's an Idiot I don't agree with Kevin but at a Certain point you gotta pivot Look what was your sales price to Kroger Six dollars six dollars you made four Dollars and 77 cents each right and you Sold how many there over a thousand so You made almost five thousand dollars Right if you're walking in the door you Haven't spent that much time in your Entire life Kevin somebody spend some Time develops a product takes the Initiative sells them in this case Twenty thousand dollars worth you sold It for once you say just once this is a Dog it doesn't matter if we give you Encouragement or not a dog he's an idiot Two deals that are that are they're not POS yet for next year but they're They're large I am out but I'm the only Shark willing to tell you the truth one More time Dog It's really a nice product a solution The art director and you has come out Right and it's a well-designed package I Like the concept I just see it as a Product not a company and so for those Reasons I'm out Thank you my Christmas gift to you is The truth Ryan yeah I've never quit Anything in my life I'm not good for you And this is not something I'm willing to

Quit go crush it Ryan keep on making Money [Music] Like I said I do not give up I'm in Advertising we hear stuff like that all The time you gotta have thick skin That's part of the secret you gotta love This hustle but seriously Anybody who could take a piece of fabric Put two strips of Velcro on it walk into A store and make five thousand dollars Agree you have promoted do it again and Make another five thousand yes First into the tank is someone who's Created a flavor that he believes is Irresistible to sharks Foreign [Music] ER of delishu I'm here to seek three hundred thousand Dollars 25 equity in my company I recently introduced a unique and Amazing spice mix to Australia i Invented bacon seasoning and it makes Anything taste like bacon Pasta Burgers popcorn roasted veggies Green beans and even steak [Music] And just when you thought it couldn't be Good enough it is even low in calories Low fat low sodium and vegetarian People are going nuts for my seasoning Customers are purchasing repeat orders

Restaurants are using it in their food And retailers are selling out Since I started this business less than One year ago I have generated more than Sixty thousand dollars in sales But what's even more exciting is that Almost half of that Revenue was created This month [Music] But what I've learned from my customers Is that there is a need in the market For more exciting seasonings so with an Investment from you I will expand my Range of products and provide people all Around the world with the most exciting Cooking experiences they have ever had So sharks who wants to join me in Revolutionizing the seasoning industry And make everything taste delicious [Music] Kettle thank you very much so 300 000 For 25 value in the business at 1.2 Million that's a pretty interesting Evaluation for sixty thousand dollars Worth of sales no doubt you'll convince Us give it a try you have a bacon Flavored popcorn in front of you Say before I eat it Catalogs want to convert is it Gluten-free There might be traces of gluten because They're nut-free uh there might be Traces enough because they're dairy free Uh no it contains Dairy okay the vegan

Paleo organic uh no Okay I'll eat it [Music] It's got chippy fingers what are we Talking about the product How do you get Stuff that tastes like bacon without Using bacon so if you think about bacon It's really just a smoky Savory mix and All of those flavors can be replicated Through vegetables and a small flavor Well it says suitable for vegetarians Here so you're going to have to support That with with science that's good Kettle it's an unusual name and you have An accent tell us about your background Where are you from yeah I'm originally From Norway actually from Norway yeah I Can snuck a lit North yeah yeah yeah Andrew so whereabouts in Norway I'm from The southern Parts Christian Sanders Yeah sounds great what brought you to Australia so I decided to move to Melbourne started a master's degree in Business there but honestly I spent too Much time watching Shark Tank uh when I Should have been to lectures And it has inspired me so much to start My next business oh great well we've Achieved something then that's good You just said you did thirty thousand Dollars in the last month of sales is That correct yeah it's about twenty nine Thousand dollars so let's go through the

Dynamics and the economics one bottle Costs twenty dollars if you buy it Individually more than ninety percent of My sales are selling a four pack so if You buy a four pack you get it for 39.95 And I pay for shipping Total costs after shipping from me to The customer is about fourteen dollars And seventy six cents fifteen bucks on On a 40 bucks sale yeah 39.95 Kettle you said earlier on that you uh You enjoyed watching the Shark Tank TV Show Um something makes me think it didn't Didn't comprehend with you mate You've actually come with a very Impossible last of fun because of the 300 000 bucks is what you need right You've asked for 25 pretty sure it's 1.2 Million evaluation right It can't be done 300 000 bucks what would you value this Business at Yeah so I value it at 1.2 I know you Value to that but if you sit in my chair Here I can swap if you want and you can Give it a go Do you want to sit in here and I'll Pitch you a business doing 60 000 bucks And see what you say Kettle I've got this great business for You mate bacon flavored sprinkles make Anything taste like bacon 60 000 bucks Worth of sales in the last six months I

Reckon it's worth 1.25 million what do You think [Music] That sounds fantastic See you're in you have uh repeat Customers half your Revenue was created This month You have scalability okay so how about How about this it's been right thanks For coming thanks for coming Steve Thanks for coming Steve you're out all Right Good response well done you call this Little body ridiculous one day I'll be Here So Kettle is your 30-second pitch to Justify that huge valuation 1.2 million Let's go for it I have generated 30 Almost 30 000 of Revenue through only Facebook ads we still have multiple Channels that we haven't activated yet [Music] You've got about 10 seconds left I'd Start talking numbers we are estimating To have at least six hundred thousand Dollars this year without an investment 5.8 million dollars next financial year Without an investment but if I can get Three hundred thousand dollars I'll do More than 25 million dollars next Financial year 25 mil Be careful don't don't throw numbers out Like that when you when it's actually

Just really fanciful When you're talking to investors you Lose all credibility Because there's not a hope in hell that You'll be able to achieve what you're Talking about achieving in that time Frame Is this product your creation you've got The recipe is it yeah so the final Recipe is with my contract manufacturer Right so they own the final recipe for This product So you don't own the IP on this one uh No And one of the reasons why I'm here Today is not to focus so much on these Particular bacon seasoning it's more About all the new flavors sorry that's a Really cool question red red light red Light You are tied to a manufacturer because He owns the IP If he wants to double the price of the Product because you've become really Successful and you've done a great job Then you can't take that product away From him and give it to another Manufacturer to create correct Uh I don't have access to recipes I Couldn't do that that's correct Pay your supplier has you by the balls They're bacon flavorful so that's not Too bad so I'm out

Mate I think that the IP issues that We're hearing about here which is Exceptionally real and the fact you Threw a red flag at us and said well That's okay I've got other products Tells me how bad that issue is You've been to Business School You actually know that this is an Impossible business valuation I cannot fund 300 000 bucks on any Percentage in this business I love it I'm gonna enjoy it thank you very much I'm out an awesome pitch okay thank you So much for your feedback [Music] The evaluation is smoking hot Way too hot for me I can tell you and And unfortunately I've got to burn you I'm out Thank you for your feedback appreciate It thank you Congratulations on what you've done I Don't think this is going to be your Thing you will find your thing and I Look forward to seeing it biggest deal I'm out thank you So then there was one Kettle you are one cool Norwegian dude I'm going to make you an offer oh But it's subject to a couple of Conditions so the first condition is That you and I are going to sit down With your contract manufacturer and We're going to own the IP

Because the horse hasn't bolted yet The second thing I need to be sure that This is suitable for vegetarian Ingredients and this will be eligible to Work under that heading in the U.S Market because I see a big market for This pizza chains fast food chains and a Whole bunch of other companies that want The bacon taste without the bacon Ingredients that I think is a big Market [Music] Three hundred thousand dollars I'm going To take a big risk 45 oh bite his hand off you grab that You you need me to bail you out of this Hole Might you only get similar along every Now and again I thought he was going to take 90 so You can have you can have control but It's subject to those two things he's Having a geriatric moment let him go Then we get to the U.S market getting Before he wakes up exactly dream state Thank you so much video for I'm really Honored [Music] It's hard for me to go from 25 to 45 Percent In business I've learned that you have To set limits That's at some point Um My body's handle

In business I've learned that you have To set limits That's At some point So would you be able to come down Okay I'll come down 44 percent Kettle seriously This is mine Can I take 20 seconds to think sure [Music] Okay we have a deal [Music] That is a very smart decision yeah and To be fairy gab your better advice than The rest of us let's go back and Renegotiate it yeah what on Kettle thank You so much a lucky bastard Yes oh my God I completely misread that I thought we were all going out [Applause] I'm geray and I'm Kelly and we're Sisters from Philadelphia Pennsylvania You know why it's gonna be really good Because you made it because I tell you The truth we've cooked all our lives we Love to cook my mom was the best cook Ever we would go to church on Sundays Come home and she would tear the kitchen Up so it's very important that we Continue the tradition How about this one dinner four years ago I couldn't find a taste that I wanted so I decided to make it myself here you go Eat up when we tried it everyone said it

Was the best thing they had ever tasted Everybody enjoying the food from that Point we decided to give it a name Lulu Bag We need the product after our brother Mike whose nickname was little bag he Was carjacked and taken away from us Tragically and it's our way of keeping His legacy alive having a shark taste Our product and validate that it is real Good well just make this journey all the More sweeter [Applause] [Music] Foreign [Music] Sisters Andre and my name is Kelly and We're from Philadelphia Pennsylvania We're seeking 150 000 in exchange for 10 Equity in our company now sharks let's Face it if you're like us you like to Bang It's one of the few simple Joys and Pleasures in life and if you're like me You want to bang breakfast lunch and Dinner we've created a masterpiece Product line that will have you wanting To bang everything so without further Ado we would like to introduce you to Joyce's Lulu Bang Bang Our unique sauces are infused with herb Spices and natural flavors that will Literally change the way you eat Joyce Is a little bang will have you screaming

Back there was much unique about our Product line is that it is beautiful on Anything from Seafood poultry pork and Steak to rice pasta salads and potatoes You Name It We can bang it so who wants To partner with us and bang that thing With Joyce's little bag we have samples For you guys Like to introduce our daughter Ashley She's going to provide your daughter That's your daughter wow wow I just Turned 50 this year guys congratulations You look amazing you look amazing Gorgeous thank you so much Ashley Our sauce is so amazing you can Literally eat it on anything so we Prepare four different dishes we have Our famous Lulu bang wangs we actually Have our Seafood fried rice our Vegetable medley and then we have a Fajita style chicken and steak so what We wanted to do was allow you guys an Opportunity to taste the sauce and it's It you know just in this pure State uh a Person that usually is not really a good Thing the Asian I love you like it yeah So what we wanted to really share with You guys is how awesome it is in the Fact that you can use it on anything These are your recipes yes every last One one of the great challenges of Barbecue sauces and we've had our fair Share of them over the years We've tasted great sauce and this is as

Good as any that's not going to be a Process right no one ever brings their Sauce in here and says it's not banging Yeah right so this is amazing good sauce You've got to tell us what's your Distribution strategy is to get market Share in the sauce business which is Brutally competitive oh we would love to Share that story we started in catering And restaurants everyone kept telling us The sauce is the bomb I mean it's just Amazing and so we started selling it on Small scale what happened was the Largest retailer in the world Walmart Did a manufacturing Summit last year so We pitched our product and we put Walmart to Walmart and what happened at The end of the day we walked away with The regional deal we're in the 170 Stores yeah you're in 170 Walmart stores It is so hard to get into Walmart tell Us about your Walmart journey what's the Plan are they going to roll you out to More stores so again we've just started With them in March we've already been Connected to the women's initiative the Women's economics I've had conversations with my senior Buyers and she actually said and I I Really don't toot my own horn but when We went and presented she said we were The best that she's ever seen Kelly we Never asked what does it cost right now We are manufacturing including packaging

And all of that for a dollar and ninety Cents and what does it sell for it sells For uh 3.99 retail in the three months Since you started how much have you sold We sold a total of in Walmart by itself Forty five thousand dollars [Music] How many are you selling a week so we Sell about 500 a week wow that's low How much you selling right now online oh Yeah we're not selling a lot online You know 170 stores 500 a week is an average of Only two and a half bottles uh a week Per store that search I don't think this is gonna work This is never going to be a big online Business I'm sorry it weighs too much And it's a competitive space it's a Commodity to differentiate your product This is a massive branding exercise In other words you need a lot more than 150 000 dollars All sharks are still in but they're Concerned about the low sales of Kelly And Jerry's sauce company lulubang Despite being in numerous locations I Don't think this is going to work You need a lot more than 150 000 to Break into the big things I'm sorry ladies I'm out Thank you for that thank you so much you Know Kevin timeout

You sell online glass Jarred cupcakes Yes they weigh a tenth of this our whole Deal is to turn all the weight out I've Lived this nightmare the whole shipping Thing is beyond a challenge let me give You my thoughts First of all Great the food amazing it is uh the Sauce bring it here to a glass eye right Amazing a chair to a glass eye yeah That's how serious I am and let me tell You what I went through and how I Experienced this I I did a deal called Bubba Baker's boneless ribs and Bubba Had sources what we found out it was so Hard to sell barbecue sauce online Because people can't visually taste it They're very very heavy and a lot of Breakage we ended up selling the Barbecue sauce because the barbecue Sauce was in the ribs a small sample of It it would taste it and then reorder But if we didn't have that lead-in to Grab the people to give them the tasting We would have never sold any sauce and I Know the issues here and I can't help You with this before you come out Thank you I find the product packaging a Little confusing Consumers are very fickle when they walk Through that shelf space you know it Looks very Asian to me right I'm and Then I see barbecue sauce and yet you Told me it's good for everything right I

Think you've come a really really long Way you've bagged a massive elephant in Terms of Walmart you've got a great test You know The Branding will probably have To change a little bit But it almost feels to me like it's at The beginning Amazing job but I just don't think I'm The partner at this point for you Well thank you thank you so very much When I look at you it reminds me of a Saying some women fear the fire some Women become it you have become it and You have done an amazing job and you Have an amazing partner in Walmart For me when I invest in something I like To invest in things that are unique but There are a million barbecue sauces out There and for that reason I'm Guys you deserve a ton of credit my Challenge is I need to see a company That's going to do 10 million dollars in Sales or 50 million dollars in sales Over the next 10 years even five years But we're definitely that company Mark I Know you want to be I know you want I Believe that we are and here's why Because we've had conversations with Walmart and with ShopRite and all of Those guys the expansion piece of it We've got that nail you know it will Happen It's just not going to happen in the Next two or three years even if you get

Out to a thousand stores selling you Know seven a week your business will Grow and it'll be a great profitable Business for you but that doesn't Necessarily mean it's an investable Business for me So for those Reasons I'm out but again Congratulations thank you you guys Deserve just a ton of credit good luck Ladies good luck guys thank you You know what I do not feel like it was A wasted effort I would do it all again We know that it's going to be the sauce In every single household it's not a Matter of if but when the chances of That actually being successful even with The Walmart oh no Walmart will get Behind did you know everything when you Started your first business I'm looking At it saying no chance it's a total Commodity Kevin what you're missing what You're missing I'm not missing anything I noticed you wouldn't put a dime into It the issue is scale it's not whether Or not they'll be profitable because They can sell it they can hire more People to sell it it's just how much my Whole point about these dialogues we're Having with these people with all this Glowing encouragement is you're not Giving the real risk profile of what They're spending their time okay Kevin Let's talk about the truth let's talk About this the truth Kevin you're an

Idiot let me tell you goodness I'm here Mark thank goodness so Kevin Kevin can You think maybe it's blowing stuff that Means the three of them spend the next Two years trying to sell And what and what was said about my Earring organization how many people Said the best and this is never going to Go anywhere you're not going to get it Any stores nobody needs this product if I had listened to any of them if I tried To find the artists Sharing I think it would be the barbecue There is no such thing as an easy Businesses that are born in hell and This is one of them I would rather work 80 hours a week to make 50k and work for Myself than have a 7 500 000 job working For somebody else If you guys loved it so much how come Not a dime from any of you it's her Business I told them the truth I didn't have to Give them an excuse shame on you shame On you where's your eject button First into the tank tonight these Ambitious take entrepreneur Billy she's Already an international name now she Wants to take her business Global as Well once upon a time I was compared to Elon Musk I was nominated as fast Company's most important person in Technology under 30 at the time if the Sharks invest in us because we are such

An early stage and world first company They'd be truly believing and designing A better version of the future Hello sharks lovely to meet you all my Name is Billy Whitehouse I'm the CEO and Founder of a company called wearable X Today I'm going to ask to raise 1.8 Million dollars for 18 of my business Okay so 90x Is a yoga line that pairs with your Smartphone via the app 90x has woven in Technology fit yoga pants so there are Sensors throughout the hips the knees And the ankles as well as haptic Feedback and haptic feedback is just a Fancy word for vibrational communication On the body so if you're practicing at Home you don't get the expertise of the Teacher but the pants provide the touch Of the teacher so you can practice Anywhere anytime on your own terms We've done seventy thousand dollars Worth of sales and we're here really Excited to present to you because I Think I could learn something from all Of you Would anyone like to have a go I would Love to I'd love to give it a go Actually I do a bit of yoga right so I'd Love to sort of be convinced absolutely Yes let's do that This will be good Beautiful for you okay and then we'll Come back and we'll connect you with

Your smartphone all right beautiful It's a pretty big valuation you put out There 10 million dollars you're after 1.8 million yeah so we've done a really Minimal marketing span so far and sold Seventy thousand dollars worth of Product I personally think that we're About to actually hit Mass Market And where are you from I am a Sydney Born girl um I've been in the States now For almost five years what took you There blind ambition Last year we were nominated by fast Company as one of the most Innovative Companies in Fitness So previously we started in a slightly More risque business risque yes we were Making vibrating Underpants for couples In long-distance relationships hang on Hang on a minute hang on fight vibrating Underwear for couples in long distance Now that is very creative thank you hang On I'm trying to get this Um it was an insertable piece of a Technology that went into our custom Underwear and you could control each Other from vast distances oh my god wow They actually feel really comfortable Yeah all right so I can feel that There's things in it can you explain the Product absolutely let's connect you to Your post this is a pulse it has the Battery and the Bluetooth module so it Can communicate back with your

Smartphone So this clip's just behind your left Knee Okay I I love to see how that works Absolutely let's do a demo 100 Um so the this is in fact isn't the Sensor the sensors are woven in through The ankles down here behind the knees And in the hips The pose Library sits within the app and There's 30 poses in the library that you Can learn step by step one by one so I Mean let's just do a warrior okay let's Do that it's a beginner pose and it can Start you off Large step forward with your left foot Making sure you're able to bend your Left knee to align with your ankle You can feel it Sweep up your arms while being sure to Engage your back leg Okay so it's vibrating at certain points So what's it trying to tell me it's Trying to show you where to focus and Activate those muscles yep so what we've Seen in our research is that people are Practicing yoga and they're either doing It really quickly or they're not really Paying attention to what's going on with Their body yep so what you're talking About is not necessarily replacing a Class you're talking about the daily Adjustments that maybe only a teacher Would give you exactly fine tuning all

Right I look at this here that there's a Couple of pose I'm thinking about that This might be in the way is that sort of Have you sort of considered those we Definitely have so if I did a tripod Headstand would that have any advantage For me let's see that Here we go oh she's going to do it Wow okay yeah I'm impressed bloody hell Tonight [Music] You've got to drink a lot of smoothies To do that There are four or five sometimes there Are six steps to move into each pose What the vibrations do is they direct Your attention to what part of the body You should focus on that hurt no then The last step actually reads your body So the senses are all talking to each Other that's when we're detecting Whether you made it into the pose or not How do they make you feel yeah look They're super comfortable and and Interesting you can feel that there's Things in there but you can't feel that It's on there so no well done yeah and Well done to you oh mate great job today Yeah I'm exhausted just watching you Actually The the only thing I'm trying to Understand about the the product itself Is how it can make you better right now It's very targeted it's someone who

Wants to get into yoga not someone who Does yoga absolutely it's beginners and Intermediates right okay all people that Do it at home let's have a look at the Numbers let's do it so why and how are We going to justify a 10 million dollar Valuation Doing somewhat conservative projections In the first year we're planning to do 1.6 million dollars in sales and selling 4 000 units Um so we're at 7 million for the year After that Selling up to 12 000 units Billy the 10 million valuation now is Based on the hope of what's going to Happen in the future It's based on this the sophistication of The platform now I got that because at The end of the day no matter how Sophisticated the platform is It's all about return on investment for An investor How many senses are there there are five Sensors that's not many is it It's actually the most that's on the Market yeah really yeah I have a mild electronic background just To let you know so I'm Keen to Understand the science here with Engineering anyway Do you want to go and put a pair on Steve no I don't actually no I don't Want him to either

There's a positional element to it so it Knows where your ankle is compared to Your knee and therefore how does it know That is that some sort of strain gauge Or is it a measurement thing um Collected enough data on hundreds of Different yogis I just know I just know How the tech works I know intimately how the tech works Right so could could your software tell My legs there or there yes [Music] We call rubbish Foreign So what we're doing when it's reading Your body if you make it into the pose Which Janine did perfectly then it says Congratulations you can move on to the Next pose if you didn't make it into the Pose which is how we can tell what your Body is doing bodies are subtly Different right there's no such thing as An average person right so it's there's No such thing as an average limb length Or anything along those lines so do you Have to calibrate it before you start so You don't need to calibrate it because Of the amount of data that we've Collected oh no There's a technology that allows you to Understand the position of those senses It's a software I want to understand machine learning Okay you're using you're driving Square

Pegs in a round holes right now what You're saying okay Is there someone else you've got here Who actually understands a tick because You don't at this point in time oh it's A bit harsh I'm surprised that you say that because I no no what I'm saying is what I'm Saying is I'm asking about the Technology fundamentally the technology How does it work We have 99 accuracy every time Uh if you do understand the tech you've Described exceptionally poorly today you Really have So that concerns me a lot I wish you all the best Billy but I'm Done I'm out okay thanks Steve Billy so you you've asked for 1.8 Million dollars for 18 which values at 10 million dollars how will I get my 1.8 Million dollars plus my bump when she Flexed the company to Lululemon We're doing conservative projections for The first few years because we're still Young we're still new but year three is When we see truly exponential growth and That's when the market honestly it's Already started listening the bigger Brands like your Lulu's and your Nikes Have certainly paid attention to us and They're even saying that 2019 is the Year that this explodes Okay

Billy I can tell you where I'm at Um look congratulations I love the Sydney girl made good Um for me you know the valuation says You know risk reward for me is not where I need it to be I wish you well but I'm out thank you You are a very impressive person and the Pitch has been very impressive I've Certainly I believe your story and you Are seriously a good entrepreneur You don't have a golf product yet That would have been probably more Appealing to me the yoga just don't Quite understand it and I guess because I don't quite understand the marketplace For this product [Music] I just can't invest So unfortunately today I'm out thanks Again good luck thank you So Billy what a wonderful export you are You know I'm really proud that you're Australian and representing us overseas I think that's absolutely fabulous But just saying trust me it works Doesn't quite cut it So thank you so much for coming but I'm Out I think you know me And then there was Janae Billy God You're you're very impressive and look The yoga industry is massive you're Certainly in the right category I live This world you know I I'm actually only

Qualified for one thing in my whole life That's a yoga instructor which is Foreign So yeah so it's my passion and I you Know I live it and love it I think what is really good is that the Vibration on it will actually help People because other people get hinged In yoga because they don't know how to Move it so I think that you're on the Right track let's invest it Because of the ask is 1.8 it's it's and A 10 million valuation when you haven't Actually proven sales just yet I needed to see more proof in sales I'm out Thank you very much appreciate it thanks Billy all the best [Music] Oh well good luck to her I think she Should have stuck with the vibrating Underwear myself that was the that was The killer app that's actually a really Good idea not a bad idea So not getting a deal today isn't going To stop us we're going to keep going and We're just gonna have to sell a lot of Yoga pants [Applause] Next up is a unique way to break bad Habits [Music] Thank you Hi sharks my name is Manish Sethi and

I'm from Boston Massachusetts and I'm Seeking 500 000 in exchange for 3.14 of My company Sharks everybody has bad habits and for Some of us they're minor nail biting Hitting the snooze button but for others They can be much more serious or even Deadly meet pavlok the first wearable That doesn't just track what you do but Actually changes what you do Havelock Helps you become aware by alerting you When you do behaviors you'd like to Reduce then simply press the button and Pavlak releases a mild electric Sensation that helps you reduce cravings You can laugh but it's actually Something very serious I am laughing it Releases a mild electric Sensation that Helps you reduce cravings and actually Breaks bad habits in the brain padlock Harnesses scientific methods that have Been researched for decades but it's not Just research since launch our users Have had incredible success in changing Their behaviors now sharks which of you Wants to join us in our mission to help People across the globe take control of Their own behavior how did you come up With this idea I've always had severe ADD I could never get myself to actually Get stuff done I couldn't get myself to Commit to anything so I did what any Normal person would do I hired someone To sit down next to me and slap me in

The face every time I went on Facebook Yeah and I wrote a blog post about it Seriously yeah it's cool video and the Blog post went insanely viral did they Actually yeah this video of me getting Slapped but did you get the work done I Did yeah it was really cool stuff what Made you come up with this idea yeah I Was visiting a friend of mine I'm like Dude why are we why am I paying I could Just make a make a zapper that zaps Every time I go on Facebook [Music] After one moment um I just want to Explain kind of the science behind it And then I'll bring it out for you Padlock uses a type of science called Aversive conditioning it was very common In the 1960s it's a slight electric Stimulus that's done while doing a Undesired bad habit and it very rapidly Trains your reptile brain to associate That uncomfortable stimulus with the bad Habit this is based on the publovian Principle can you explain that principle Too I'm sure so when you add two stimuli Together at the same time your brain Doesn't know what is causing the stimuli To occur it just knows that they're both Happening at the same time and it starts To retreat so I'll go ahead and bring it Out for you right now to try on there You go Mr Richard Beck this one yeah Please put it on for me it's got your

Name engraved on it and everything yeah Thank you sir I simply pressed the Lightning bolt on the top of it press Down hard oh there you go it's just a Little pulse yeah so I set it low for You because I didn't want everybody to Get scared can you set it higher yeah I'll do it right now all right oh turn It back turn it down wow I want to come back to our results okay Okay in a study that we based our first Experiment with it was a aversive Conditioning study that was done in 1990 1988 with 832 subjects so okay so wait So wait let's let's call for five you Said we based our first study on right Suggestions that you did the study right So I'll tell you about a study we did Right after but you can actually look Through our evidence pamphlet where we Have 21 clinical trials I bike my nails I'm trying to not bite my nails all the Time where it falls down for me is if I Have the discipline To buzz myself do I not have the Discipline to stop people okay people do You have the discipline to stop it well I don't do you wish you a good stop I do So can I so here's what your premises Robert it's all nonsense across the Board just I I can't get around that Like I'm just I want to bite my nails And for me to stop I have to hit this Thing sure why can't Lori buzz it for me

She can't I'm she absolutely can it's a Remote control there's a uh there's a Remote control app there's automation What percentage of time does it not work Uh it doesn't work if you don't want it To work so it doesn't oh Yeah of course so if you use it on sugar After about three or four days on like a Cookie or tortilla chips you'll start to Notice the flavor changes now what's Interesting about it in the first Archer Knows it's the flavor changes yeah You're such a con artist I'm absolutely Not as for results Mark more than 50 of Our users break their habit in five days In seven days Okay let me leave the skepticism for one Minute You want to get a deal explain to me why You're worth 14 million 15.50 what is it How much number one number one our sales Are great what are your sales and we Actually just began shipping this week We've sold 800 000 of Revenue wait wait Pre-orders three-fourths of the users Were pre-orders and one-fourth of the Users were prototypes what did each of Those people pay for one device two Hundred dollars how much two hundred Dollars Oh Who buys these so our biggest users are Sitting too long waking up on time nail Biting and eating so we've started to

Build out multiple really cool Integrations for this product the first Thing is the alarm clock it's the first Alarm clock that works you get when you Get a slight zap in the morning it Actually knocks you away with the life Of shoulder adrenaline great way to Start the day yeah you'd be surprised The people love it how could you guys be So gullible read the evidence Disputing aversion therapy yeah so Reversion therapy we're bringing a Version therapy to Consumers using other People's studies We know you're the smartest guys You can't be that stupid Robert to even Think there's any legitimacy Gosh you guys are making me sweetie all Right let me talk about we make you a Deep guys make it happen all right and These sure is strange dude yeah some of The cool stuff we're doing that Mr Cuban Would like is this we've uh started I Don't think Mark's gonna like anything Yeah version therapy is legit but what's Not legit is trying to take credit for Other studies and apply it to your Products 81 of our users quit nail biting in four Days where is your proof of this what Study do you have you should be doing Clinical trials sure Why don't you have clinical trials all Right I'm gonna make it simple I talk

About things I say things are either Heroes or zeros for me this is a nowhere Nero I'm out I find your presentation is exhausting And complicated And I couldn't imagine having the energy To deal with this doesn't sound very Positive Barbara I'm out Okay Lori Barbara history I'd like to Talk a little bit about our ears this Year let me just finish sure when you First came out I really liked it it's Happened habit creates discipline Discipline creates more habit and that's How you get success What I don't like about it is you have a 16 million dollar valuation on Pre-orders it's too much I know so I Understand absolutely Robert thank you Very much look if you had verifiable Proof that all your aversion therapy can Be well executed with your device you Wouldn't need to import other people's Studies because with all this Advanced Money you got you could have gone to any University and said you know what we Don't want to rush it we want to get our Own verifiable studies in place so that No one can question us the one thing That kills Tech products is hyperbole Because at some point you have to Execute it listen to me now you're Trying to listen

If you would have just said you know What this is a reminder and everybody is Different so we have different ways to Remind you right but you went so over The top with nonsense it is everything But a legitimate product and for those Reasons I'm out Let me tell you like let me come let me Come back again There is a medical component to this but I'd shock yourself for a minute You're a combination of spontaneous Combustion and add mixed together I'm Not kidding it's very difficult to Listen to you yeah luckily for you I got My undergrad psychology to make money I Worked on a rhesus study that used the Same technology so many other degrees Right and I'm telling you the truth here So I'm interested okay Oh [Music] Four sharks are out But Kevin seems interested in manisha's Habit-breaking watch pavlok I believe This technology works because I've seen It work your valuation is crazy Okay I'm sorry it's not worth 15.9 Million now I'm going to solve the Problem with the instruction I'm very Creative I'll give you the five hundred Thousand dollars is dead Okay you're gonna give me the 3.14 is Equity today and you're going to walk

Out of here with a shark tank here I'm Going to put it on for 24 months at Seven and a half percent and balloon Payment be back in two years If one third of your projections are Right you can easily do that It's an offer it's an offer this is the Problem um Damn There's a there's no problem So the promise to wonderful is that it's We're not focused on the money we're Focused more on The money you've come to the wrong place My friend I'm here to make money I'm Gonna finish Kev Our biggest thing our biggest goal is to Break bad habits around the world and Mr Wonderful like I just I I can't work With you why not I'm just worried that If we were together I like him I do like Him as a person but I feel like as an Investor in the company would be really Bad Minish who didn't want an offer here Today Why don't you want the structure of that Offer the structure is actually quite Good uh Person The person I feel like I would take an offer from anybody Besides Mr Wonderful Manish You're already get them out of here

[Applause] Um Foreign [Music] I have a tinge of regret for rejecting The deal with Mr Wonderful but the truth Is our company is building something Much bigger than just money we're trying To change human behavior and Kevin Wouldn't be the right partner for us to Work with [Music] [Music] Before you go don't forget to subscribe To the Shark Tank Youtube channel and Ring the notification Bell to keep up With everything that's bubbling in the Tank

Your First Funnel Challenge
Quickly Launch Your Idea And Turn It Into A Business That You're Proud Of In Just 90 Minutes A Day!

(This Can Work Even If You Currently Have No Tech Skills, Don't Have A Product, Or Have No Idea What A Funnel Is Yet...!) 

(Challenge Starts Every Monday)

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