11 Top Business Models Featured in Shark Tank Show

11 Top Business Models Featured in Shark Tank Show “Shark Tank” provides a platform for entrepreneurs to pitch innovative business models. From Direct-to-Consumer ventures like Scrub Daddy to subscription services such as LovePop, each business demonstrates unique strategies for success. “Shark Tank” has showcased a wide array of business models, highlighting the diverse strategies entrepreneurs…

11 Top Business Models Featured in Shark Tank Show

“Shark Tank” provides a platform for entrepreneurs to pitch innovative business models. From Direct-to-Consumer ventures like Scrub Daddy to subscription services such as LovePop, each business demonstrates unique strategies for success.

“Shark Tank” has showcased a wide array of business models, highlighting the diverse strategies entrepreneurs use to achieve success.

 Business Models Featured in Shark Tank Show

Here, we examine specific products from different business models featured on the show, providing details on their revenue generation, founders, investors, and current status.

Direct-to-Consumer (DTC): Scrub Daddy

ProductReusable cleaning sponge that changes texture based on water temperature
ModelDirect-to-Consumer (DTC), retail partnerships
RevenueSales through website, major retailers, online platforms
FounderAaron Krause
InvestorLori Greiner
Season & EpisodeSeason 4, Episode 7
Deal$200,000 for 20% equity
StatusActive
ValuationEstimated at $170 million as of 2023
In Business?Yes

The DTC model involves selling products directly to consumers, bypassing traditional retail intermediaries. This model leverages online platforms to reach customers, enabling greater control over branding and customer relationships.

Scrub Daddy generates revenue through its e-commerce website and partnerships with major retailers like Walmart and Amazon.

Subscription Service: LovePop

Product3D pop-up greeting cards
ModelSubscription service, e-commerce, retail distribution
RevenueSubscription fees, online sales, retail partnerships
FounderWombi Rose and John Wise
InvestorKevin O’Leary
Season & EpisodeSeason 7, Episode 11
Deal$300,000 for 15% equity
StatusActive
ValuationEstimated at $65 million as of 2023
In Business?Yes

The subscription service model provides customers with regular deliveries of products for a recurring fee. This model ensures steady revenue and fosters customer loyalty.

LovePop generates revenue through subscription plans for regular card deliveries, online sales, and partnerships with retail stores.

Social Enterprise: Bombas

ProductHigh-quality socks with a one-for-one donation model
ModelSocial enterprise, Direct-to-Consumer (DTC), e-commerce
RevenueOnline sales, subscription services, wholesale
FounderDavid Heath and Randy Goldberg
InvestorDaymond John
Season & EpisodeSeason 6, Episode 1
Deal$200,000 for 17.5% equity
StatusActive
ValuationEstimated at $225 million as of 2023
In Business?Yes

A social enterprise integrates social and environmental goals into its business model. Bombas uses a one-for-one donation model, where each pair of socks sold results in a donation to the homeless. Revenue is generated through e-commerce, subscriptions, and wholesale channels.

Retail Distribution: Simply Fit Board

ProductExercise balance board
ModelDirect-to-Consumer (DTC), retail distribution
RevenueE-commerce platforms, infomercials, retail stores
FounderLinda Clark and Gloria Hoffman
InvestorLori Greiner
Season & EpisodeSeason 7, Episode 7
Deal$125,000 for 20% equity
StatusActive
ValuationEstimated at $100 million as of 2023
In Business?Yes

The retail distribution model focuses on selling products through retail stores, both physical and online. Simply Fit Board utilizes e-commerce platforms, infomercials, and retail partnerships to reach a broad customer base and generate sales.

Freemium Model: Trello

ProductProject management tool
ModelFreemium, with premium features through subscription
RevenueFree basic use, paid subscriptions for premium features
FounderMichael Pryor and Joel Spolsky
InvestorNot featured on Shark Tank, but a popular freemium model example
StatusAcquired by Atlassian
ValuationAcquired for $425 million in 2017
In Business?Yes

The freemium model offers basic services for free while charging for advanced features. Trello provides a free project management tool, with revenue generated from users who upgrade to paid plans for additional features and integrations.

Franchise: Cousins Maine Lobster

ProductLobster food truck and restaurant franchise
ModelFranchise model
RevenueFranchise fees, percentage of sales from franchisees
FounderJim Tselikis and Sabin Lomac
InvestorBarbara Corcoran
Season & EpisodeSeason 4, Episode 6
Deal$55,000 for 15% equity
StatusActive
ValuationEstimated at $65 million as of 2023
In Business?Yes

The franchise model allows businesses to expand by licensing their brand and operational model to franchisees. Cousins Maine Lobster generates revenue through franchise fees and a percentage of sales from its franchise locations.

Crowdfunding: Bombas

ProductHigh-quality socks with a one-for-one donation model
ModelCrowdfunding through platforms like Kickstarter and Indiegogo
RevenueInitial funding from backers, ongoing sales through DTC and retail
FounderDavid Heath and Randy Goldberg
InvestorDaymond John
Season & EpisodeSeason 6, Episode 1
Deal$200,000 for 17.5% equity
StatusActive
ValuationEstimated at $225 million as of 2023
In Business?Yes

Crowdfunding involves raising small amounts of money from a large number of people, typically via the internet. Bombas initially used crowdfunding to generate capital and gain market traction, later sustaining revenue through direct sales and retail partnerships.

B2B Model: PlateJoy

ProductPersonalized meal planning and grocery delivery service
ModelB2B partnerships with healthcare providers, insurance companies
RevenueB2B contracts, subscription fees from consumers
FounderChristina Bognet and Niklas Jansen
InvestorMark Cuban
Season & EpisodeSeason 7, Episode 11
Deal$100,000 for 10% equity
StatusActive
ValuationEstimated at $15 million as of 2023
In Business?Yes

The B2B model involves selling products or services to other businesses rather than directly to consumers. PlateJoy partners with healthcare providers and insurance companies to offer personalized meal planning services, generating revenue from B2B contracts and consumer subscriptions.

Licensing Model: Groovebook

ProductPhoto book subscription service
ModelLicensing, subscription service
RevenueMonthly subscription fees, licensing deals
FounderJulie and Brian Whiteman
InvestorMark Cuban and Kevin O’Leary
Season & EpisodeSeason 5, Episode 13
Deal$150,000 for 80% licensing rights
StatusAcquired by Shutterfly
ValuationAcquired for $14.5 million in 2014
In Business?Yes, under Shutterfly

The licensing model involves granting permission to another company to use intellectual property, often in exchange for a fee or royalty. Groovebook licenses its photo book technology to other businesses while generating revenue from subscription fees.

SaaS Model: Rent Like A Champion

ProductPlatform for short-term home rentals during college football weekends
ModelSaaS (Software as a Service)
RevenueService fees from rentals, subscription fees for homeowners
FounderMike Doyle and Drew Mitchell
InvestorMark Cuban and Chris Sacca
Season & EpisodeSeason 7, Episode 5
Deal$200,000 for 10% equity
StatusActive
ValuationNot publicly disclosed
In Business?Yes

The SaaS model delivers software over the internet, typically on a subscription basis. Rent Like A Champion generates revenue through service fees from renters and subscription fees from homeowners listing their properties.

Retail Distribution: Kodiak Cakes

ProductWhole grain and protein-packed pancake and waffle mixes
ModelRetail distribution, Direct-to-Consumer (DTC), e-commerce
RevenueSales through online platforms, retail stores, food service partnerships
FounderJoel Clark and Cameron Smith
InvestorNo deal (pitched in Season 5, revisited in Season 7)
Season & EpisodeSeason 5, Episode 22; Season 7, Episode 16 (update)
DealNo deal
StatusActive
ValuationEstimated at $200 million as of 2023
In Business?Yes

The retail distribution model focuses on selling products through retail stores, both physical and online. Kodiak Cakes utilizes e-commerce platforms, retail partnerships, and food service providers to reach a wide customer base and generate revenue.

Conclusion

The business models featured on “Shark Tank” demonstrate the versatility and innovation of modern entrepreneurship.

These examples showcase various strategies, from DTC and subscription services to franchising and SaaS, highlighting how different models can achieve success in diverse markets.

What are some notable business models featured on “Shark Tank”? The show features a variety of models including Direct-to-Consumer (DTC) like Scrub Daddy, subscription services such as LovePop, and social enterprises like Bombas, each illustrating distinct paths to success.

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