Candi Video Chat With Celebrities
NO DEAL
EPISODE SUMMARY
🕓 Air Date: January 7, 2022
Asking For:
$500,000 for 15%
Investor:
No Deal
Deal:
No Deal
PRODUCT SUMMARY
Candi is a social network that facilitates personalized video chats between fans and their favorite celebrities and influencers.
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Background Story
Candi, a social network facilitating personalized video interactions between fans and celebrities, was established by Keithan and Quiante, based in Chicago, Illinois. Keithan, a former Division I college athlete, and Quiante, a dedicated mother and former cheerleading captain, combined their diverse backgrounds to create Candi. Their motivation stemmed from observing fans’ emotional responses to impersonal video interactions with celebrities, leading them to envision a more intimate and engaging platform.
Despite lacking prior connections in the industry, the couple’s passion for creating genuine connections between fans and celebrities fueled the rapid growth of Candi. Their journey began in April 2020, while Quiante was pregnant with their second son, Chase, and juggling the demands of both motherhood and running the business. Keithan, a successful lawyer with a background in mergers and acquisitions, provided strategic insight into the company’s operations.
The initial success of the platform, including $100,000 in revenue and a substantial customer retention rate, highlighted the potential of their concept. Candi quickly attracted over 350 celebrities and influencers, ranging from emerging TikTok stars to renowned figures like Chaka Khan. This growth, achieved through persistent outreach and leveraging the social media presence of their celebrities, demonstrated the effectiveness of their hands-on approach and hustle in building the platform.
The Product
Candi’s product is a unique social network that caters to fans’ desires for direct, meaningful interactions with their favorite celebrities and influencers. The platform provides an accessible gateway for fans to schedule and partake in personalized video chat sessions with a diverse roster of over 350 celebrities and influencers.
What sets Candi apart is its flexibility. Each celebrity on the platform has the autonomy to set their own rates for these virtual meet-and-greets, reflecting their individual value and popularity. This approach allows for a broad spectrum of interactions, making Candi accessible to fans of varying budgets. Rates range from as low as $5 or $10 for emerging TikTok sensations to $400 for iconic figures like Chaka Khan, accommodating a wide array of fan interests and preferences.
This flexibility fosters inclusivity, as fans can connect with their idols without the limitations of sky-high price tags. It empowers both budding celebrities looking to engage with their followers and seasoned stars seeking to strengthen their bond with dedicated admirers.
In essence, Candi’s product not only bridges the gap between fans and celebrities but also democratizes the experience by giving fans control over their interactions, all while affording celebrities the opportunity to expand their fan base and enhance their connection with existing supporters. This dynamic pricing model makes Candi an attractive and accessible platform for anyone eager to connect with their favorite personalities.
How It Went
The company’s position before Shark Tank
Candi, since its inception in 2020, has exhibited promising performance, accumulating a revenue exceeding $100,000. This notable achievement signifies the growing appeal of the platform among fans eager to engage directly with their beloved celebrities and influencers. A key indicator of their success lies in the considerable portion of their customer base, which displays a high rate of repeat interactions, emphasizing the platform’s capacity to foster enduring and meaningful connections between fans and their idols.
The company’s strategic approach to customer acquisition primarily revolves around leveraging the social media presence of the celebrities and influencers hosted on their platform, thus minimizing the need for extensive traditional marketing initiatives. However, the absence of a dedicated marketing engine suggests potential for further expansion and diversification in their customer outreach strategies.
Candi’s commitment to continuous improvement is evident in their directed focus on technology enhancement, emphasizing the significance of a seamless and user-friendly experience for both celebrities and fans. Additionally, their emphasis on talent acquisition underscores the significance of a diversified and engaging celebrity roster, ensuring a broad appeal across various fan demographics. Their intention to bolster marketing efforts reflects an understanding of the necessity to sustain and accelerate their current growth trajectory, solidifying their position as a leading platform for personalized celebrity interactions.
The Negotiations:
During the negotiation phase, the Sharks expressed both interest and apprehension regarding Candi’s business model and potential for scalability. While acknowledging the platform’s impressive revenue of over $100,000 and the evident dedication of its founders, the Sharks raised concerns about the feasibility of sustaining the current growth trajectory. They emphasized the challenges associated with securing high-profile talent consistently, underscoring the significance of building a reliable and robust engine for customer acquisition and retention.
Particularly, the Sharks pointed out the substantial asking amount of $500,000 for a 15% equity stake, suggesting a misalignment between the current revenue and the proposed investment. Furthermore, they highlighted the heavy reliance on the social media presence of celebrities for customer acquisition, emphasizing the necessity for a more sustainable and diversified marketing strategy. Concerns were also expressed regarding the level of commitment expected from the Sharks in serving as the primary catalyst for the platform’s expansion, highlighting the need for a more self-sustaining growth model.
Despite the positive feedback and valuable insights shared by the Sharks, no deal was reached, primarily due to the reservations regarding the scalability and sustainability of the business model. The negotiation session underscored the importance of striking a balance between ambitious growth aspirations and a viable, long-term strategy for maintaining and expanding the platform’s success in the competitive market of celebrity-centric social networks.
