Shark Tank Season 12 Episode 3 Recap

Shark Tank Season 12 Episode 3 Recap with Ed Jaffe, demo and presentation coach

Shark Tank Season 12 Episode 3 Recap with demo and presentation coach and Demo Solutions Founder, Ed Jaffe, is part of our pop culture series and underscores the importance of the pitch. You get one shot to make a deal, or it tanks.

Another week, another episode of Shark Tank. Let’s get into it. But first, a warning – this post contains spoilers. If you don’t want to know what happens, watch the episode, then come back here for my analysis.

The Sharks who appeared on this week’s Shark Tank – a “standard” panel of Robert, Daymond, Mr. Wonderful, Lori and Cuban.

The products that appeared on this week’s Shark Tank: Bootaybag, GoOats, Pooch Paper and Rumpl.

Next (recap) into the Shark Tank: Hug Sleep

What is it: A tight sleeping bag (an adult swaddle, as the founders said)

The ask: $150K for 10%

How many offers: 6 (2 from Cuban)

The result: Deal with Cuban and Lori – $300K for 20%.

How was it presented to the Sharks?

Matt and Angie, founders who are also married (to each other, in case that wasn’t clear) made some “action in the bedroom” type jokes, then had Robert try out the product. A bit campy, but cute.

Robert used the product like a potato sac in a race, and fell out fo the bed. He then couldn’t get back in the bed, and also cut his nose pretty badly. It was…interesting.

What worked during the demo?

Robert was the right choice to try out/demo the product. He’s silly enough to have fun with it, and I’m not sure anyone else there would have been quite as cool as he was when he cut his nose.

The founders had a great story – though it came out later than it probably should have. A combination therapist and mechanical engineer are exactly the right people to make this sort of product.

They knew their numbers – $11.50 cost per acquisition. And they’re profitable.

What didn’t work during the demo?

Not much. Well, Robert did bleed, but that didn’t seem to have any impact as he still made an offer.

They got 5 offers, all the exact same ($300K for 20%), and got to choose their Sharks (Mark and Lori).

Additional thoughts about the demo

I can’t decide if I think the product is silly, or if I really want one. I’ll keep you posted.

Next (recap) into the Shark Tank: Animated Lure

What is it: A fishing lure that looks like an actual fish

The ask: $325K for 10%

How many offers: 1

The result: $325K for a royalty of $3 per unit sold until $1M is paid back, plus + 10% equity from Mr. Wonderful (who else would do a deal like that?)

How was it presented to the Sharks?

After a brief “let’s talk about it” demo, they showed the lure moving around in a fish tank. Simple but effective – especially with such a visual prodict.

What worked during the demo?

Showing the product in a fish tank sold it – it legitimately looked like a real fish.

Their margins are huge, which definitely helped.

What didn’t work during the demo?

Not at all their fault (and there’s no possible way they could know this) – but, when one of the founders was talking about his dad dying, the music was still upbeat. Do better Mark Burnett Productions.

When asked the “why are you here” question, the answer wasn’t great – “it wasn’t what you know, but who you know.” They probably should have had a stronger answer (to their credit, it was better than the answer during the 4th demo).

When countering to a Mr. Wonderful royalty deal, they didn’t counter with a royalty. Surprisingly they still got deal – but they acted a bit desperate at the end, which let Kevin give them a very agressive “take it or leave it” deal.

Additional thoughts about the demo?

A logo that’s almost the same color as the shirt is difficult to read.

Next (recap) into the Shark Tank: Cereal Killerz Kitchen

What is it: An ice cream + cereal restaurant

The ask: $125K for 10%

How many offers: 0

The deal: N/A

How was it presented to the sharks?

Jess and Chris of the “Cereal Killerz” came out with Jason Voorhees masks and serial killer jokes (and voices), but then switched to a very positive tone after. After that, of course, was product samples – the Sharks seemed to enjoy it.

What worked during the demo?

The “campy but scary to positive” worked incredibly well – it was attention grabbing, and the sudden switch in tone kept attention after the intro.

Powerful personal story – going from being homeless to running a business. And, bringing out an old FUBU jersey was a nice touch for Daymond (who I thought was going to make an offer).

What didn’t work during the demo?

Had a bit of a crutch phrase – “honestly…”, which may be minor, but puts doubt in the mind of the audience (“aren’t you always being honest?”). Though, Lori did respond with “I appreciate your honesty,” and I also believed them. Unlike Tate of Chirp saying “believe me.”

The Sharks struggled with buying into the business model, especially during COVID, and that’s what ultimately tanked the deal.

Additional thoughts about the demo

Definitely thought this was going to be an “anti-cereal” sort of product.

Most of the time I don’t really care when people don’t get a deal, but I was genuinely sad about this one. Jess and Chris seemed like really good people who had overcame all sorts of obstacles, and if anyone who comes on this show deserves a deal, it’s them.

Next (recap) into the Shark Tank: Chirp

What is it: A wheel designed to relieve back pain

The ask: $900K for 2% ($45M valuation!)

How many offers: 2

The result: $900K for 2.5% to be paid back in 18 months.

How was it presented to the sharks?

Tate (the founder) and a random guy wearing bubble wrap came out, then Random Guy (they didn’t say his name) rolled on a roam roller, and the bubbles didn’t pop. Then, they did it with the Chirp and all the bubbles popped – the intent was to show that the Chirp impacts more areas than a foam roller.

What worked during the demo?

“Slap my mama and call me Sally” is a phrase that not many people can pull off, but Tate did.

Current numbers: $12M in sales, $4M profit. That’s pretty much all the sharks needed to hear (except for Daymond, who couldn’t get over the “you don’t need this show” reaction – nor could I, for that matter)

Robert’s immediate endorsement was a good way to get buy-in from the other Sharks

What didn’t work during the demo?

Tate had no absolutely no reason to be there. And his answer to “why are you here” was: “I read 60 books a year and am 28, but want to know what a 45 year old knows.” I don’t even know where to start with this, but this was one of the worst answers I’ve ever heard. Ever.

Later: “Honestly, I’m here to make a deal.” I certainly didn’t believe him. He said honestly a few more times, and I doubted him even more.

Keeping on the “he’s making stuff up” track – he said “I love ya” to Mr. Wonderful in the way a Hollywood agent might and then ignored his deal. He then argued over half a percent with Lori (2% vs 2.5%). If his numbers weren’t so strong he never would’ve gotten a deal.

Additional thoughts about the demo

As Daymond said, Tate absolutely should not have had the opportunity to be on this show. He certainly didn’t need a Shark (I still don’t know why he was on the show), and there are others who can benefit quite a bit more from being there (people like Jess and Chris). I actually have had back pain for years and think this might be a good product, but watching Tate exude smarm for 15 minutes made me really not want to buy this product.

Recap of the Shark Tank Season 12 Episode 3 Recap

We hope you found some of the lessons from Shark Tank, Season 12, Episode 3 useful. Share Shark Tank Season 12 Episode 3 Recap with your team and come back next week for a new analysis. And, of course, if you want to see how we can apply this framework to make your demos better, feel free to get in touch.

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  1. Pingback: 3 Lessons from Goldfish for Demo Decks | Demo Solutions

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