Cheese Chopper
NO DEAL
EPISODE SUMMARY
🕓 Air Date:
Asking For:
$75,000 for 10%
Investor:
No Deal
Deal:
No Deal
PRODUCT SUMMARY
The Cheese Chopper is a versatile cheese-slicing and grating tool with three handle options, offering convenience and storage for cheese lovers.
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Background Story
Tate Koenig, also known as “Mr. Cheese,” pitched the Cheese Chopper, a product born out of a shared frustration with slicing and storing cheese while living on the Willamette River. One day, a friend injured herself while chopping cheese, sparking the idea of a better way. After finding no suitable solution on the internet, Tate and his friends decided to create their own cheese slicer in his garage.
This innovative product went through 39 prototypes before reaching its current design, which incorporates slicing, grating, and storage functionalities. They successfully raised $100,436 through a Kickstarter campaign and had $125,000 in presales, demonstrating early interest in their product.
The Product
The Cheese Chopper is a versatile kitchen tool designed to simplify the process of slicing, grating, and storing cheese. It features three handle options: a wire for thin slices, a blade for hard cheeses, and a grater for shredding.
Users can adjust the thickness of their slices using the cheese adjustment wheel. The product comes with a snap-on airtight seal to keep cheese fresh for an extended period. It offers convenience and safety, making it an ideal tool for cheese enthusiasts.
The retail price for the Cheese Chopper is $39.99, and it can be purchased online. The cost to produce one unit is $6.65, with additional expenses bringing the landed cost to $8.30.
How It Went
The company’s position before Shark Tank
The Cheese Chopper has generated $125,000 in presales through a Kickstarter campaign, and they have $100,436 raised from Kickstarter backers. While they have not yet shipped the product due to manufacturing challenges related to COVID-19, the company appears to be on a promising trajectory.
The company’s funding primarily comes from presales and crowdfunding, with $125,000 in presales revenue. They have invested $29,000 in marketing and content creation. With a retail price of $39.99 and a landed cost of $8.30 per unit, they anticipate a profit margin of approximately $31.69 per unit sold. The company structure and partnerships are not explicitly mentioned in the pitch, but it’s clear that Tate Koenig is the founder and pitch presenter.
The Negotiations:
Tate Koenig entered the Shark Tank seeking a $75,000 investment for 10% equity in Cheese Chopper. However, he left without a deal. Lori Greiner, Mark Cuban, Barbara Corcoran, and Kendra Scott all expressed concerns about the product’s readiness for the market and the lack of customer feedback due to it being in the early stages of production.
Mark Cuban was the first to bow out, stating that he needed more customer feedback and that the price point might be too high. Barbara Corcoran and Lori Greiner commended Tate on his quick progress but felt that the product needed further refinement and testing before going to market.
Ultimately, all Sharks decided not to invest in Cheese Chopper, with Lori Greiner even sharing a story about bumblebees to express her belief that the product could eventually succeed but wasn’t ready for investment at this stage. Despite not securing a deal, Tate Koenig left the Tank determined to continue refining his product and bringing it to market successfully.
