MUVEZ Footwear
DEAL
EPISODE SUMMARY
🕓 Air Date: April 3, 2020
Asking For:
$200,000 for 15%
Investor:
Daymond John
Deal:
$200,000 for 25%
PRODUCT SUMMARY
MUVEZ Footwear is the only footwear with dual-sole technology, allowing users to transition from indoor slippers to outdoor shoes seamlessly.
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Background Story
MUVEZ Footwear was founded by Ryan, Eric, and Kev in New Jersey. The idea stemmed from the frustration of keeping homes clean when guests wore shoes indoors. Eric’s desire for a convenient solution led to the creation of MUVEZ Footwear with dual-sole technology.
The founders faced challenges during production, including a factory declaring the project impossible. Undeterred, they improvised by creating a proof of concept in their garage. With a focus on comfort, convenience, and hygiene, MUVEZ Footwear aims to revolutionize the indoor-outdoor footwear market.
The Product
MUVEZ Footwear boasts dual-sole technology, allowing users to remove the outer sole and transform their indoor slippers into outdoor shoes effortlessly. The interchangeable outsoles provide a variety of looks and functionalities. The elastic heel counter ensures a secure fit during various activities.
Priced at $110, with an $8 cost to land, MUVEZ has generated $73,000 in sales primarily through e-commerce. The founders plan to sell outer soles separately, enhancing their revenue streams. Athletes are a target market, leveraging their social media influence.
How It Went
The company’s position before Shark Tank
MUVEZ has achieved $73,000 in sales since April, primarily through e-commerce channels with minimal marketing expenses. The company’s focus on social media has proven successful, and they plan to expand by offering outer soles separately. With a low return rate of less than 2%, the product has resonated with consumers.
The founders faced challenges during the manufacturing process, including a setback in China, but overcame obstacles by creating a prototype in their New Jersey garage. Currently structured as an e-commerce business, MUVEZ seeks to leverage athlete endorsements to drive sales.
The Negotiations:
The Sharks were impressed with MUVEZ’s unique product and design. However, the challenge lies in branding and market penetration. Kevin O’Leary bowed out, citing the risky nature of the footwear business. Mark Cuban and Robert Herjavec expressed concerns about the challenges ahead and the lack of a clear angle for success. Lori Greiner appreciated the product but felt unsure about entering the men’s footwear space.
The founders sought a strategic partnership, leading to a joint offer from Daymond John and Lori Greiner. Daymond offered $200,000 for a 33% stake, intending to lead the company toward licensing. The founders countered with a 25% stake, leaving 10% for potential future capital raising. After some banter about Daymond’s knowledge of New Jersey, they sealed the deal with $200,000 for 25%.
