Saucemoto Dip Clip Car Sauce Holder
DEAL
EPISODE SUMMARY
🕓 Air Date: May 5, 2019
Asking For:
$45,000 for 15%
Investor:
Kevin O'Leary
Deal:
$45,000 for 25%
PRODUCT SUMMARY
Saucemoto offers a universal condiment holder designed for car air vents, providing a convenient solution to the age-old problem of messy dipping sauce while eating in the car.
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Background Story
Saucemoto, the brainchild of William Moujaes, Michael Koury, and Tony Lahood, hails from the heart of Cleveland, Ohio. The trio, bound by a shared frustration during a road trip a decade ago, found inspiration in a commonplace yet bothersome problem – messy dipping sauce in the car. The catalyst for their innovation occurred when a spilled sauce marred the interior of Tony’s car, prompting the friends to seek a practical solution.
William Moujaes, the driving force behind Saucemoto, has a background rooted in sales engineering within the tire industry. Michael Koury brings mechanical engineering expertise, contributing significantly to product development, while Tony Lahood, a bar owner in Cleveland, lends a mix of business acumen and creative flair. This diverse skill set within the founding team reflects their commitment to a hands-on approach, handling everything from design and testing to marketing.
The concept of Saucemoto emerged from a genuine need to enjoy fast food in the car without the hassle of sauce spills. Recognizing the widespread nature of this dilemma, the founders embarked on a mission to create a practical and universally applicable solution. The result was the Saucemoto Dip Clip, a compact yet ingenious accessory that clips onto car air vents, providing a secure and accessible space for dipping sauces. The founders’ dedication to solving a relatable problem and their ability to channel their skills into a marketable product showcase the entrepreneurial spirit behind Saucemoto.
The Product
Saucemoto, a revolutionary solution to the age-old problem of messy dipping sauces in the car, introduces a compact and versatile accessory that seamlessly integrates into the driving experience. The Saucemoto Dip Clip is ingeniously designed with a universal clip that easily attaches to various car air vents. Its 5-in-1 aperture accommodates sauces from a multitude of fast-food restaurants, ensuring compatibility with a wide range of condiments.
The product’s functionality is simple yet effective: users can securely place their preferred sauce containers within the clip, providing a stable and accessible location for dipping while driving. Saucemoto’s robust design has been extensively tested to withstand diverse road conditions, ensuring a mess-free and enjoyable dining experience on the go.
Saucemoto can be acquired through the company’s website and other online platforms. With a production cost of approximately 80 cents, this innovative accessory not only provides practical benefits for users but also represents an economical and sustainable solution to the perennial challenge of sauce spills in the car. Its compact size and universal compatibility make Saucemoto a must-have for anyone who enjoys fast food on the road, bringing convenience and cleanliness to the drive-through dining experience.
How It Went
The company’s position before Shark Tank
Saucemoto has demonstrated robust performance and a promising market position since its inception. With a sales history of 12,000 units, translating to $77,000 in revenue, the company has effectively tapped into the consumer demand for a practical solution to the age-old issue of messy dipping sauces in the car. This success is not only reflected in the sales figures but also in the company’s strategic partnerships and engagement with various stakeholders.
Saucemoto has established partnerships with leading retailers and wholesalers, ensuring widespread availability of its innovative product. The founders have showcased a forward-thinking approach by exploring collaborations with major fast-food chains, rental car companies, and even discussions with prominent sauce manufacturers for potential promotional partnerships. This strategic expansion beyond individual sales positions Saucemoto as not just a consumer product but also a valuable promotional tool within the broader industry.
The customer base for Saucemoto is diverse, capturing the attention of individuals who enjoy fast food on the go. The product’s universal design caters to a broad audience, aligning with the growing trend of in-car dining and addressing a common pain point for this demographic. Funding for Saucemoto has primarily come from individual sales, indicating a strong consumer interest in the product. The company is structured with a lean team, efficiently managing operations in-house. While specific profit and loss figures are not provided, Saucemoto’s ability to generate revenue and attract interest from key players in the industry underscores its financial viability.
The Negotiations:
During the negotiations on Shark Tank, the Saucemoto founders faced initial skepticism from some Sharks who questioned the magnitude of the problem their product aimed to solve. However, the trio effectively showcased the versatility, durability, and broad market potential of Saucemoto, emphasizing its compatibility with the popular nugget culture and the extensive reach of their viral videos with 44 million views on Facebook.
As the negotiation progressed, multiple Sharks dropped out, expressing reservations or a lack of alignment with their business preferences. However, Kevin O’Leary, known for his shrewd investment strategies, recognized the marketing and video creation capabilities of the founders as valuable assets. He offered $45,000 for a 25% stake, which the Saucemoto team ultimately accepted. This negotiation highlighted not only the unique selling points of Saucemoto but also the founders’ ability to create engaging content, contributing to the product’s visibility.
The acceptance of Kevin O’Leary’s offer marked a strategic decision for Saucemoto. O’Leary’s expertise and connections were seen as valuable assets that could open doors for the company. The negotiation showcased the founders’ resilience in conveying the potential of their product and their strategic thinking in choosing a Shark whose strengths complemented their business needs. The deal encapsulated the entrepreneurial journey of Saucemoto, from addressing a common problem to securing a partnership that could propel the company to new heights in the market of automotive accessories.
