Shower Toga Portable Public Shower
DEAL
EPISODE SUMMARY
🕓 Air Date: March 3, 2019
Asking For:
$80,000 for 33%
Investor:
Mark Cuban, Alli Webb (50/50)
Deal:
$80,000 for 40%
PRODUCT SUMMARY
The Shower Toga is a versatile solution designed for individuals participating in obstacle-course races, offering a private way to clean up in public spaces.
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Background Story
Kressa, the inventive force behind Shower Toga, resides in an entrepreneurial realm with a background steeped in business ventures. Originally from Roswell, Kressa and her family found themselves immersed in the challenging world of obstacle-course races. This shared passion for mud runs prompted Kressa to tackle a pervasive problem faced by enthusiasts of this extreme sport—how to clean up in public spaces effectively. Before diving into the world of innovative solutions, Kressa and her family were involved in the home-building business in Atlanta. However, the market downturn led them to explore new avenues. Kressa herself has a history as a broker for high-end sport horses, a career that diverged from the traditional entrepreneurial path.
The spark for Shower Toga ignited when the family, avid participants in obstacle-course races globally, encountered the lack of a suitable and private means to clean up after these muddy challenges. This necessity birthed the idea of Shower Toga, a versatile product catering not only to athletes but also holding promise for disaster relief situations. Despite facing breast cancer five years ago, Kressa found solace and purpose in creating a product that went beyond retail.
Shower Toga became a tangible manifestation of her resilience and determination to provide a solution for those facing challenges in maintaining hygiene during and after physically demanding activities. The product’s evolution aligned organically with Kressa’s entrepreneurial spirit, turning a personal need into a business venture that resonates with a broader audience. Shower Toga not only meets the demands of athletes but also carries a vision for aiding those in need during times of disaster, emphasizing the product’s potential impact on a larger scale.
The Product
The Shower Toga is a revolutionary solution designed to address the challenge of staying clean in public spaces after physically demanding activities, especially obstacle-course races. Priced at $34.95 retail and $16 wholesale, the product boasts a remarkable margin with a production cost of just $2.85.
This innovative garment is crafted with waterproof material and features strategically placed side openings and welt pockets, ensuring privacy while changing in public. Its multifunctionality extends beyond being a mere garment, as the Shower Toga cleverly transforms into a duffel bag, providing a convenient and discreet way to carry muddy or wet clothes after use.
Catering to a diverse audience engaged in activities like mud runs, surfing, hiking, and music festivals, the Shower Toga fills a unique niche in the market. Its adaptability makes it an essential accessory for anyone seeking a private and efficient way to rinse off, change, and get dry in public spaces. The product can be purchased directly through the Shower Toga website, where it retails for $34.95, or through newly established channels like Amazon.
How It Went
The company’s position before Shark Tank
As of the “Shark Tank” pitch, Shower Toga has demonstrated a promising performance with sales totaling $80,000 since November. The company’s health appears robust, marked by a noteworthy margin resulting from a retail price of $34.95 and a wholesale price of $16, with a production cost of $2.85. This financial structure positions Shower Toga favorably in terms of profitability. In terms of partners, Shower Toga has recently entered the Amazon marketplace, expanding its reach beyond direct sales through its website. Additionally, the company secured a purchase order for 1,000 units from one of the fastest-growing race companies, signaling a growing demand for the product in the athletic and outdoor community.
The primary wholesale strategy involves selling directly at obstacle-course races globally, leveraging the family’s active involvement in these events. The product’s versatility and adaptability make it appealing to a diverse customer base, ranging from obstacle-course racers and surfers to hikers and music festival attendees. Funding for Shower Toga has been primarily driven by sales revenue, reflecting a self-sustaining business model. Kressa, the founder, mentioned quitting her job in April to dedicate herself to the company full-time, illustrating a commitment to the business’s growth. As for the company’s structure, Shower Toga operates with a hands-on approach, with Kressa and her family actively involved in sales and marketing efforts.
The family travels in a fifth wheel, serving as a mobile base for selling Shower Toga at various events, showcasing a dynamic and adaptive business strategy. While specific details about available capital and precise profit and loss figures weren’t disclosed during the pitch, the company’s trajectory, coupled with the recent partnership with Mark Cuban and Lori Greiner, positions Shower Toga for potential growth and increased market visibility. The partnership provides an infusion of capital and expertise, adding value to the company’s already promising foundation.
The Negotiations:
The negotiations for Shower Toga on “Shark Tank” showcased a blend of skepticism, passion, and ultimately, belief in the product. Kressa entered the tank seeking $80,000 for a 33% equity stake in her company. The Sharks expressed initial concerns about the product facing competition from cheaper alternatives like garbage bags. Despite some skepticism, Mark Cuban and Lori Greiner saw potential in Kressa’s dedication and the versatility of Shower Toga. They presented a joint offer of $80,000 for a 40% equity stake, taking into account their collaboration.
The offer, while reflective of their belief in the product, raised the equity stake, leading to a moment of consideration for Kressa. Emotionally moved by the offer and the belief that Cuban and Greiner had placed in her and her product, Kressa accepted the deal. This decision marked a significant turning point for Shower Toga, as the company secured not only the needed capital but also the expertise and mentorship of two prominent Sharks.
The negotiation process showcased the importance of the personal story behind the product. Kressa’s resilience, coupled with the potential societal impact of Shower Toga in disaster relief situations, resonated with Mark Cuban and Lori Greiner. The emotional connection played a pivotal role in sealing the deal, highlighting the nuanced dynamics that often unfold in the high-pressure environment of “Shark Tank.” Ultimately, Kressa’s journey from breast cancer survivor to successful entrepreneur became a powerful narrative that contributed to the success of the negotiation.
