Pitch Introduction
Essence aromatherapy ring made waves on Shark Tank with their innovative solution to eliminate funky smells discreetly. The nasal diffuser ring was pitched by Judah Houser, Tamara, and Mike Deleeuw from St. George, Utah, seeking $250,000 for 10% equity in their odor management business.
Business Overview
Product/Service: Essence offers a wearable aromatherapy nasal diffuser ring that clips onto the nose to deliver continuous essential oil scents, effectively masking unpleasant odors. The flexible silicone ring is infused with high-quality essential oils that last up to 5 hours.
Problem It Solves: The company addresses the common issue of dealing with offensive odors in public spaces like airplanes, gyms, public transportation, and other confined areas where individuals cannot escape unpleasant smells without offending others.
Target Market: The primary market includes frequent travelers, gym-goers, healthcare workers, hospitality industry clients, and anyone seeking a discreet solution to manage odors in public spaces. Secondary markets include spas and hotels for customer experience enhancement.
Unique Selling Proposition (USP): Essence provides a completely discreet, personal odor management solution with reusable silicone rings that deliver long-lasting essential oil scents. The product serves as a personal air freshener for the nose that’s virtually invisible when worn.
| Company Details | Information |
|---|---|
| Company Name | Essence |
| Founders | Judah Houser, Tamara and Mike Deleeuw |
| Location | St. George, Utah |
| Industry | Aromatherapy and Odor Management |
| Product Type | Wearable Nasal Diffuser Ring |
| Investment Sought | $250,000 for 10% |
About Founder’s
The Essence founders are a family team consisting of married couple Tamara and Mike Deleeuw along with Tamara’s brother Judah Houser. Mike conceived the idea during a flight to Dallas where he had to sit next to passengers with strong body odors. The inconvenience of not being able to address the smell without being rude inspired him to create a solution. The team combined their skills to develop, market, and scale the Essence nasal diffuser ring.
- Mike Deleeuw conceived the idea during a flight to Dallas
- Tamara Deleeuw serves as co-founder and business partner
- Judah Houser brings family support and business acumen
- Team focused on creating discreet odor management solutions
Shark’s and Founder’s QnA
Sharks: Hey Sharks, I’m Tammy. I’m her husband Mike. And I’m her brother Judah. We’re Essence from St. George, Utah. And we’re seeking $250,000 for a 10% stake in our company. You’re riding on an airplane and the passenger next to you smells like they missed their connection with deodorant. We’ve all been there, right? The world’s full of funky smells. But what if I told you you never have to deal with these nose wrinkling nuisances again? We give you the personal discrete solution to life’s stinkiest problems. The Essence Nasal Diffuser.
Simply place the Essence Nasal Diffuser over the septum of your nose and inhale deeply. Wow. The silicone ring releases a delightfully continuous stream of scent that masks even the worst smells and turns them into a breath of fresh air. It’s like having a personal air freshener for your nose. And instead of being greeted by a wall of sweat and regret at the gym, you’re now enveloped in the soothing scent of a blooming lavender field. Sharks can’t tell if you’re in the subway or a portaotti. No problem. With essence, you create your own little bubble of eucalyptus bliss. Each ring is infused with high quality, long-lasting essential oils for up to 5 hours of oldactory delight, which really just means it smells good. Sharks, can you smell that? That is the sweet scent of opportunity. So, which one of you is ready to join with us and help you make the world a better smelling place, one nose at a time?
Sharks: Sharks, in front of you, there are some samples that we’d like you to test out. There’s lavender, lemon, and then one of our favorite custom blends. Breathe easy.
Breathe easy. That was the one I just smelled. That’s powerful. So, open it up. Inside there is the little ring. Pull it out and place it over your septum. And then just take a moment and breathe.
Sharks: How long does it last?
So, it’ll last up to four to five hours.
Sharks: So, you just go like this. I mean, you could just wear it just because.
Exactly.
Sharks: Are you trying to sell this thing in retail?
So, we do sell this in retail. We sell it for $4.99 for one. It is for one. They’re completely reusable, which is also a big part of the market.
Sharks: What are you doing about that?
A lot of our marketing so far has been person-to-person. We go to a lot of expos and we’re having people try it. We get out a lot of samples. Just like we did with you all today.
Sharks: How is it sold? Do you just get one?
So, we sell them in the individual sache with one inside of it. We also have multi-packs where we have brought together all of our custom scents or all of the citrus scents into a five pack so you can have a variety to try. Individually, they’re $4.99. And those multi-packs are $21.99. They cost us 27 cents to make.
Sharks: And then we wholesale them starting at $250 and then down from there.
So really one of our big areas is wholesale. We work with a ton of spas and they are awesome for our marketing because they’ll put them in the client’s nose when they come in to get a massage. So they’re relaxing. They put it in. They do the facial.
Sharks: That’s not going to translate into more sales. I mean every now and then. But it’s hard to get someone to think, “Okay, I got this thing in my nose. It smells good. Oh, let me go find it.
I get the spas, but how do you sell it to people other than the spas? A lot of direct sales. So, we have a lot of influencers that come in naturally that post about our product and they blow us up.
Sharks: How many of these have you sold?
Last year we did 350,000. This year we’re at 500,000 year to date. We’re estimated to hit 700,000.
Sharks: Out of the 700,000 what did you get in your pocket?
So we’re able to net over 100,000 net profit.
Sharks: You have to tell us where you got the idea please.
It came from a trip where I was flying down to annual meetings in Dallas and I sat by some really stinky people. We’re stinky in Dallas for sure. Captivated captivated in that plane with those stinky smells. I wanted something that was discreet so I wouldn’t offend somebody that was next to me and that’s what made you think that there was a big enough market for it.
Sharks: I didn’t at first solve the problem.
Yeah, we just saw the problem and as we started to do market research just with people we knew and that sort of thing, we realized that we’ve been focusing on the spas and hospitality, but we know there’s a massive market in travel as well as healthcare.
Sharks: So, the whole challenge here is customer acquisition and reuse.
We’re doing 38% retention rate. That’s good. And really our big key with this, our idea of where we want to take it is that we’re now working with a lot of hotels who use this as a turndown service or a welcome gift when they come in customers, clients.
Key Stats & Financials
Essence demonstrated strong financial performance during their shark tank pitch with significant revenue growth and healthy profit margins. The company showed clear evidence of a scalable business model with multiple distribution channels and attractive pricing structure.
- Sales: Current revenue figures at time of pitch – $500,000 YTD with projection to reach $700,000
- Margins: Profit margins and cost structure – 27 cents production cost vs $4.99 retail price
- Valuation: What the entrepreneur valued their company at – $2.5 million
- Investment Request: Amount sought and equity offered – $250,000 for 10%
- Use of Funds: How the entrepreneur planned to use the investment – Not specified, but likely for scaling production and marketing
| Financial Metric | Value |
|---|---|
| Previous Year Revenue | $350,000 |
| Current Year Projection | $700,000 |
| Net Profit | $100,000+ |
| Production Cost per Unit | $0.27 |
| Retail Price per Unit | $4.99 |
| Wholesale Price Range | $2.50+ |
Business Potential and TAM
The essence aromatherapy ring operates in the growing aromatherapy and wellness market, which has shown consistent growth over recent years. The target addressable market includes frequent travelers, health-conscious consumers, and hospitality industries seeking to enhance customer experience. The product’s unique positioning as a discreet personal scenting solution gives it access to multiple market segments simultaneously.
- Global aromatherapy market valued at $2.3 billion in 2023
- Growing demand for personal wellness products
- Travel industry recovery creating new opportunities
- Health and hospitality sectors seeking innovative customer experience solutions
Essence: Ideal Target Audience & Demographics
| Demographic | Details |
|---|---|
| Age Group | 25-55 years old |
| Income Level | Middle to upper-middle class |
| Geographic Focus | Urban and suburban areas |
| Lifestyle | Travel frequently, health-conscious |
| Consumer Behavior | Value convenience and personal wellness |
Marketing and Distribution Strategy
Essence employs a multi-channel distribution strategy that includes direct-to-consumer sales, wholesale partnerships, and strategic B2B relationships. The company focuses heavily on experiential marketing through trade shows and in-person demonstrations, which proved highly effective for converting prospects into customers. Their marketing emphasizes the discreet nature of the product and its effectiveness in challenging environments.
- Trade shows and expos for product demonstrations
- Influencer partnerships and social media marketing
- Wholesale relationships with spas and hospitality industry
- Direct-to-consumer sales through website and Amazon
Essence Deal Outcome
Essence successfully secured investment from Daymond John after a competitive bidding process among multiple sharks. The deal structure was more favorable than their original ask, demonstrating the product’s strong market potential and financial performance. Several sharks showed interest, but the team ultimately chose to partner with Daymond due to his expertise in the scenting industry.
| Shark Investment Details | Terms |
|---|---|
| Shark Investor | Daymond John |
| Investment Amount | $250,000 |
| Equity Offered | 20% |
| Valuation | $1.25 million |
| Deal Type | Equity Investment |
| Other Interested Sharks | Kevin O’Leary, Mark Cuban, Barbara Corcoran |
Essence Post-Show Update
Following their successful Shark Tank appearance, Essence experienced significant growth in brand recognition and sales. The company expanded its product line to include additional scents and accessories such as travel cases and soaking trays. They strengthened their partnerships with hospitality industry clients and broadened their retail presence through major online platforms. The business continues to leverage Daymond John’s expertise in the scenting industry to drive further expansion.
Business Analysis & Lessons
Essence represents a classic example of entrepreneurial problem-solving, where a personal inconvenience was transformed into a successful business venture. The founders identified a universal problem that many people face but rarely discuss openly, creating a discreet solution that appeals to a broad market. Their success demonstrates the importance of having a product that delivers immediate, tangible benefits and the value of experiential marketing in converting prospects to customers.
The business model highlights key entrepreneurial lessons about market validation, margin management, and strategic distribution. The 38% customer retention rate and strong profit margins of over $100,000 indicate a healthy, scalable business with clear evidence of product-market fit. Their ability to attract multiple shark investors demonstrates the strength of their financial performance and market opportunity.
- Identify universal but rarely discussed problems for business opportunities
- Experiential marketing can be highly effective for converting prospects
- Strong financials and margins attract serious investor interest
- Multiple distribution channels reduce business risk and increase scalability
Pitch Conclusion
Essence’s Shark Tank pitch showcased a well-executed presentation of a unique product with strong market potential. Their ability to secure investment from Daymond John after demonstrating solid financial performance and market traction validates their business approach. The company’s growth trajectory post-show indicates successful execution of their business plan and effective utilization of shark investment. This pitch serves as an excellent example for entrepreneurs seeking to present consumer product businesses with proven financial performance.