Quick Shark Tank Update on Rig Strips
- Episode: Season 16, Episode 2 (Oct 25, 2024)
- Entrepreneurs: Steven Graf and Zhach Pham
- Product: Magnetic holders for skis, snowboards, and other outdoor gear
- Ask: $300,000 for 7.5% equity, valuing the company at $4 million
- Deal: $300,000 for 15% equity with Todd Graves
- Annual Revenue: $3 million (estimated for 2024)
- Valuation: $4 million
- Products: SnoStrip and SunStrip, with accessories like Mudbucket, Magnetic Koozie, and TrunkGuard
- Distribution: Online and Amazon (bestsellers in “Ski & Snowboard Car Racks” category)
- Headquarters: Denver, Colorado, USA
Outdoor enthusiasts know the struggle of scratched cars and damaged gear when leaning skis, snowboards, or fishing rods against a vehicle.
Co-founders Steven Graf, a product manager, and Zhach Pham, an entrepreneur with experience in event planning, created Rig Strips to address this issue.
Their flagship products, SnoStrip and SunStrip, are magnetic and adhesive gear holders that keep outdoor equipment stable against a car, minimizing both scratches and stress.
These simple yet effective tools are gaining popularity among skiers, snowboarders, and fishers. With Rig Strips, keeping your vehicle scratch-free has never been easier—don’t wait to experience the convenience firsthand!
Rig Strips’ Journey Before Shark Tank
Launched in 2019, Rig Strips began with the SnoStrip, which uses an adhesive strip to secure skis and snowboards to vehicles, preventing scratches and damage.
Feedback from early customers highlighted a need for a magnetic option, leading to the development of the popular magnetic SnoStrip and later the SunStrip for fishing rods.
The product line has expanded to other car-related accessories, such as the Mudbucket, Magnetic Koozie, and TrunkGuard.
Sales quickly took off with over 60,000 units sold, and the brand achieved a significant $3 million in revenue, particularly capitalizing on the November-December holiday season, which accounts for 62% of annual sales.
As of 2023, Rig Strips reported an impressive EBITDA of $450,000. Their advertising focus on Meta platforms has resulted in a customer acquisition cost of $10, showing promising returns.
Shark Tank Pitch Recap
Steven and Zhach entered Shark Tank seeking $300,000 for a 7.5% equity stake, aiming to increase inventory and fund marketing strategies.
They demonstrated SnoStrip and SunStrip, explaining how these patented products keep gear securely against cars, ideal for aluminum and steel vehicles alike.
The Sharks had mixed reactions. Mark Cuban, uninterested in outdoor products, declined immediately. Kevin O’Leary expressed concerns about the market demand and effort needed to scale, and also passed. Lori Greiner was intrigued but felt the equity was insufficient for her involvement.
However, Todd Graves, guest Shark, saw the potential and offered $300,000 for a 20% stake. In response, Steven countered with $300,000 for 10%, but Todd revised his offer to $300,000 for 15%, which the duo accepted.
What Happened to Rig Strips After Shark Tank?
After the episode aired, Rig Strips saw a surge in demand, particularly on Amazon, where their products are bestsellers in the “Ski & Snowboard Car Racks” category.
Capitalizing on this Shark Tank momentum, the company ramped up its promotional activities with targeted email marketing and community engagement efforts to retain and grow its customer base.
Rig Strips remains focused on expanding online sales, maintaining strong engagement with their audience, and leveraging the holiday season peak sales period. With solid online visibility and robust Amazon sales, Rig Strips is poised for scalability and brand recognition.
Also, don’t miss this update on Shark Tank products from Season 16, Episode 2
Future Plans
Looking ahead, Steven and Zhach plan to explore distribution opportunities in big-box retail stores to make Rig Strips a household name among outdoor enthusiasts.
The founders also intend to refine and diversify their product line, potentially adding new items that cater to both existing and adjacent outdoor markets.
Additionally, they’re strategizing to enhance digital marketing efforts on various platforms to reach broader demographics and further build brand loyalty.
Closing Remarks
From inception to Shark Tank success, Rig Strips is a prime example of identifying a market need and creating a practical solution.
With the boost from Todd Graves and the continued demand on Amazon, the future is bright for Steven, Zhach, and their innovative gear protectors.
As they set sights on retail expansion and product innovation, Rig Strips may soon become an essential brand for every outdoor enthusiast. Keep an eye out for Rig Strips’ next move—it’s bound to make waves in the industry!
We’re closely following the company to bring you valuable insights. Stay tuned for the latest updates on Rig Strips!
Feature Image Credit: @abc/@christopherwillard