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Shark Tank is known for introducing people to all kinds of impressive products and entrepreneurial ventures, with the investors deciding whether or not to buy a “share” of the business. In recent years, the keto diet has grown in popularity, sparking entrepreneurs to try to create keto products and pitch them on the show. Shark Tank features a keto deal for a product and has sparked a wave of speculation among the product and the entrepreneurs who pitched it. This expository article will examine the outcome of the Shark Tank keto deal in terms of the company and the product. This analysis comes from looking into the impact the episode had on the entrepreneurs and the keto market.
The Pitch
The entrepreneurs approached the Shark Tank with $249,000 in sales the previous year and big dreams about bringing the product to national and even international markets. Neither of these individuals actually follows the keto diet (one is vegan and the other is lactose intolerant), so they viewed its popularity as an opportunity they could profit from. The product, as you might have already guessed, is a drink to help individuals on the keto diet maintain their fat burn. Its claimed unique sells and addressed market included: 1. It is easy. 2. It is quick.3. It is tasty.4. It gives you energy.5. It tastes good.After a competitive bidding process among the five hungry investors, Bailey was able to make a deal with one of them.
A point mentioned repeatedly in the pitch: what the entrepreneurs seem to know best is the specific niche that their product targets, being a filling of a keto community’s needs, meeting essentials of convenience, taste and keto compliance. It’s not too far fetched if I suggest that such architectonic arguments triggered Shark Tank’s audience’s epistemic glim-bam movement, then venturing towards a procession of business-related emotions: enthusiasm, fear, incredulity, joy, wonder, audacity and, of course, pride. Hence, just like definitions induce reference inflation and trigger a split between core and general meanings, architecture in the context of the entrepreneurs’ pitch is applied in at least two different ways. First, it designates an argument that emphasises adherence to specific rules in structuring knowledge (hence, the entrepreneurs’ ‘architecture’). Second, it denotes the very argument itself, a single feature in the structure of motives that compelled the Shark Tank hosts and audience to make a deal (that is, the entrepreneurs’ ‘pitch’). In fact, let’s call this type of architectonic argument an argument about architecture.
In sum, the pitch did a good job to transfer the product’s value proposition from the entrepreneurs to the investors. With their preparation and presentation skills, the entrepreneurs managed to catch the eye of the investor. Once the investor got interested, he immediately initiated a deal with a high rate of return.
The Deal
Eventually, through back and forth negotiations and discussions, one of the investors on the show made the entrepreneur an offer: the money he wanted in return for a piece of the business, strategic guidance and support. The entrepreneur seized the opportunity. If the deal closes, the entrepreneur gets access to broader resources, experience, and personal networks.
Notably, this deal gives his company funding, mentorship, a strong endorsement and the legitimacy of conducting business on a popular reality show. Indeed, when an investor reassures you that your product has potential, you can become more confident that you actually have a viable market opportunity. Branded by the well-established investor in a notoriously competitive keto market, the entrepreneurs seem to have set themselves up as champions of the keto products industry.
On top of that, the appearance, and deal, on Shark Tank would give the keto product an enormous boost in publicity and industry buzz. It’s all about visibility and legitimacy, and the entrepreneurs could cash in on both.
The Impact
The product and business results experienced by the entrepreneurs directly as a result of their appearance on Shark Tank could be the difference between entrepreneurial failure and success Entrepreneurs typically experience tremendous influence and assistance from an investor who makes a deal with them after their appearance on Shark Tank. The invested capital and industry expertise the entrepreneurs receive through the deal with an investor often help the entrepreneurs to scale and grow their operations, increase production capacity and distribution channels. Once her product started flying off the shelves, she was glad she didn’t settle for $40,000 The influx of capital and expertise from the investor helps the entrepreneurs to leverage the momentum from their appearance on Shark Tank and capitalise on the increased hype through sales.
Furthermore, the investor provided strategic coaching and guidance, aiding entrepreneurs to face competition in the keto food market and remain ahead of the game. Since the food entrepreneur investors were experienced in multiple brands, as they were also serial entrepreneurs, the entrepreneurs were able to leverage their experience with many of these brands, and often with third parties, to establish alliances, gain retail placements, and lead in key branding priorities. This hands-on support had a strong impact on helping the entrepreneurs to build a viable business model, with real staying power.
All in all, the Shark Tank keto deal greatly affected the entrepreneurs’ business and broke them into the market, making their product one of the most popular treatment for Keto. It helped the entrepreneurs’ business gain the money, resource and know-how to make it a success, and the Shark Tank deal catapulted their brand and product offer to a whole new level.
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