Mix Bikini
DEAL
EPISODE SUMMARY
🕓 Air Date: May 11, 2012
Asking For:
$50,000 for 5%
Investor:
Barbara Corcoran
Deal:
$50,000 for 25%
PRODUCT SUMMARY
Mix Bikini offers the world's first interchangeable swimsuit, allowing women to customize their swimwear by choosing separate pieces that can be mixed and matched.
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Background Story
Frank Scozzafava and Adam DiSilvestro founded Mix Bikini with the aim of revolutionizing the swimwear industry. Both passionate about design and entrepreneurship, they noticed a gap in the market where women desired unique swimwear options. Living in a coastal area, they were constantly surrounded by beach culture and recognized the importance of standing out. Inspired by the frustration of seeing others in the same bikini, they brainstormed a solution.
Their vision was to create a customizable swimwear line that allowed women to express their individuality while enjoying quality, stylish pieces. With backgrounds in design and marketing, they pooled their talents to bring Mix Bikini to life. After extensive research and development, they launched their innovative product, aiming to disrupt the traditional swimwear market.
The Product
Mix Bikini offers a unique concept where each part of the swimsuit is sold separately, allowing customers to create custom designs. The process begins by selecting a top style, such as a halter or triangle top, followed by choosing from various prints, colors, and back designs.
Additionally, customers can customize further with rings and strings, providing endless possibilities for personalization. Once the selections are made, the bikini is assembled and shipped directly to the customer’s door.
Furthermore, the affordable pricing of $9.99 per piece makes Mix Bikini accessible to a wide range of consumers, with the total cost of a custom bikini ranging from $40 to $50.
Mix Bikini’s product appeals to fashion-conscious women who value individuality and self-expression. The customizable nature of the swimsuits caters to diverse tastes and preferences, attracting customers who seek unique and trendy swimwear options.
How It Went
The company’s position before Shark Tank
Mix Bikini embarked on its journey with a clear vision and innovative product, but its performance was still in the early stages at the time of the pitch. With a soft launch recently initiated, the company had minimal sales to report. Despite this, the founders demonstrated confidence in their product and its potential to capture a significant share of the $10 billion swimwear industry. The company’s funding primarily relied on the $50,000 investment sought from the Sharks, which would have provided capital for further development and expansion.
Additionally, the founders indicated that they had access to up to $500,000 of their own funds, demonstrating their commitment to the venture. Mix Bikini had not established any notable partnerships or wholesalers, as its focus was primarily on building brand awareness and refining its product offering. The founders expressed their intention to explore various avenues for growth, including licensing agreements with major brands or building partnerships within the industry.
The company’s structure appeared to be dynamic, with a small team led by the founders driving product development and marketing efforts. While the immediate focus was on establishing an online presence and potentially opening physical kiosks, the founders were open to strategic guidance and partnerships to accelerate growth and market penetration.
The Negotiations:
The negotiation process for Mix Bikini was marked by uncertainty and a lack of clarity regarding the company’s valuation and strategic direction. Initially seeking $50,000 for a 5% stake, the founders faced scrutiny from the Sharks, who questioned the company’s valuation given its nascent stage and minimal sales.
Kevin proposed the idea of licensing the product to established brands, highlighting potential avenues for revenue generation beyond direct sales. However, the founders appeared uncertain about their strategic direction, emphasizing their openness to various possibilities without a clear plan in place.
Ultimately, Barbara emerged as the sole investor willing to make an offer, proposing $50,000 for a 25% stake in the company. Despite the higher equity stake, Barbara’s offer provided the founders with much-needed capital and expertise to propel Mix Bikini forward. Recognizing the opportunity, the founders accepted Barbara’s offer, expressing gratitude for her belief in their vision and commitment to supporting their growth.
The negotiation highlighted the importance of clarity, confidence, and strategic alignment when seeking investment, with Barbara’s offer serving as a lifeline for Mix Bikini to realize its potential in the competitive swimwear market.
