Snactiv Finger Chopsticks
DEAL
EPISODE SUMMARY
🕓 Air Date: January 7, 2022
Asking For:
$200,000 for 10%
Investor:
Kevin Hart, Lori Greiner (50/50)
Deal:
$200,000 for 20%
PRODUCT SUMMARY
Snactiv is a snacking tool that installs between fingers to keep hands and devices clean while snacking.
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Background Story
Founded in the midst of the work-from-home era, Snactiv was co-founded by Kevin and Edwin, addressing the common issue of messy snacking. Kevin, having experienced the challenge firsthand due to his own snacking habits, recognized the need for a practical solution to maintain cleanliness while indulging in snacks. Hailing from Philadelphia, Kevin’s professional journey originated in the realms of stand-up comedy and acting, leading him to achieve success through roles in several blockbuster films.
Expanding his horizons, Kevin established HartBeat Productions and HartBeat Ventures, diversifying his business endeavors by prioritizing financial inclusion and investing in a diverse range of companies. Kevin’s personal background, marked by his upbringing in an inner-city environment and the financial hardships he faced, instilled in him a deep-seated desire to create opportunities for individuals from similar backgrounds.
His aspirations extend beyond personal success, as he endeavors to bridge the gap between marginalized communities and the broader societal landscape, championing inclusivity and empowerment for all. Snactiv, thus, represents not only a practical solution to a common problem but also embodies Kevin’s commitment to creating meaningful change in the lives of those facing similar challenges.
The Product
Snactiv, an innovative tool transforming the snacking experience, seamlessly attaches between the pointer and middle fingers, offering a hassle-free solution for enjoying snacks without the usual mess. With an attractive price point of $2.60 for the standalone tool and $2.82 with an accompanying case, Snactiv boasts a user-friendly design that ensures unrestricted hand movement and a pristine device surface.
Its sleek and compact structure enables users to effortlessly switch between various activities, including typing, working, gaming, or swiping, without any compromise in performance or convenience. Praised for its exceptional ability to uphold cleanliness during snacking, Snactiv has garnered significant traction among consumers, establishing itself as a favored choice in the market.
Aspiring customers can conveniently make direct purchases through the company’s website, with plans in motion for a forthcoming retail launch, showcasing the company’s vision for widespread accessibility and customer engagement. Furthermore, the company has set its sights on global outreach, with well-defined strategies in place for international expansion, reflecting its dedication to catering to a diverse and expansive consumer base.
How It Went
The company’s position before Shark Tank
Despite being only 5 1/2 months old, Snactiv has already made impressive strides in the market, boasting sales figures of $187,000, a testament to its rapid growth and promising trajectory. The pending utility patent has provided the company with a distinct advantage, ensuring the safeguarding of its unique product design in an increasingly competitive market. Notably, Snactiv has forged strategic alliances with prominent players in the food delivery industry, solidifying its position and showcasing its appeal to key stakeholders. The company’s exclusive limited-edition collaborations with these delivery services underscore the growing interest in the product, hinting at a strong market demand and consumer enthusiasm.
Furthermore, Snactiv’s ambitious plans for international expansion have already begun taking shape, with established dealerships in prominent Asian markets such as Korea, Taiwan, and Hong Kong, demonstrating the company’s commitment to global outreach and market penetration. Currently, the bulk of the company’s funding stems from the initial investment secured through the successful pitch on Shark Tank, a testament to the confidence and belief the investors have in the company’s potential.
With a strategic focus on both direct-to-consumer sales and forthcoming plans for retail distribution, Snactiv is actively solidifying its position within the competitive snacking tool market. The company’s structure is underpinned by a visionary approach to global dominance, evident in its aggressive marketing initiatives and the cultivation of strategic partnerships aimed at fostering innovation and expansion. Snactiv’s steadfast commitment to pioneering advancements within the snacking industry positions it as a significant player poised for sustained growth and success.
The Negotiations:
The negotiation process commenced with Kevin and Edwin seeking a $200,000 investment for 10% equity, presenting a compelling case for their innovative snacking tool. Kevin Hart and Lori Greiner, recognizing the product’s potential, expressed their interest by offering the requested $200,000 investment. Their joint proposal included a 20% equity stake, aligning with their belief in the product’s profitability and market viability. As the negotiation unfolded, Kevin Hart proposed an initial royalty structure, stipulating a dollar-per-unit return until the investors recouped their investment.
The negotiation showcased the Sharks’ keen understanding of the product’s market potential, as well as their strategic insights into global expansion and enhanced manufacturing efficiency. Despite the initial interest from other Sharks, Kevin and Lori’s combined expertise and comprehensive understanding of the product’s market appeal and potential for global outreach ultimately persuaded the founders. The negotiation process highlighted the Sharks’ recognition of the product’s unique value proposition, coupled with their astute insights into market trends and consumer preferences.
Kevin and Lori’s comprehensive understanding of the product’s potential, combined with their ability to add value through their extensive networks and expertise, solidified the partnership, signifying a significant milestone for Snactiv’s future growth and success. The negotiation’s outcome underscored the founders’ confidence in Kevin and Lori’s ability to leverage their respective strengths and propel Snactiv towards a path of unprecedented success and global recognition.
