The meeting reviewed the Shark Tank pitch by Brett and Stephanie Parker for their company, Sleeping Baby, which sells the "Zippity Zip" swaddle transition product.
Key discussion points included the business’s organic growth, strong community engagement, and the critical nature of sleep solutions for new parents.
The Sharks debated the merits of scaling, retail expansion, and the valuation, resulting in several investment offers. The Parkers ultimately accepted Damon's offer of $200,000 for 20% equity; however, follow-up research indicated the deal was not finalized post-show.
The meeting also included an assessment of Sleeping Baby's current online presence and marketplace engagement.
Action Items
No outstanding time-bound action items were assigned during this meeting.
Sleeping Baby: Product and Business Model Overview
Brett and Stephanie Parker pitched Sleeping Baby, seeking $200,000 for 10% equity.
The Zippity Zip provides a womb-like but safe sleeping environment for babies transitioning out of swaddles.
The Parkers’ daughter inspired the invention due to sleep challenges; the product was initially sewn and launched by Stephanie at home.
Sales to date: 25,000 units, over $1 million in revenue within 2.5 years, with all sales direct-to-consumer via their website.
No outside marketing was conducted; growth was driven by word-of-mouth in online parenting communities.
The couple invested only $700 to start the business.
Pricing: $34.95–$39.95 per unit.
The business is supported by an active, supportive online community.
Entrepreneur and Shark Discussion Points
Sharks asked about the capacity to scale production, retail strategy, and patent protection.
Brett and Stephanie used community feedback to select product prints but acknowledged the difference between positive feedback and actual sales conversion.
Retail expansion was discussed, with concerns raised about risk, returns, inventory management, and loss of profit margins versus direct sales.
The product faces potential risks from lack of patent protection and possible competition from larger textile companies.
Sharks praised the founders’ community-driven approach and resilience through adversity, including the loss of a child.
Investment Negotiation
Lori offered $200,000 for 25%, intending to support retail expansion.
Kevin matched with $200,000 for 20%, warning of dangers in retail and suggesting the value in maintaining the direct-to-consumer model.
Another Shark also offered $200,000 for 20%, agreeing to cautiously test retail.
Brett and Stephanie countered with $200,000 for 15%, citing the value of their community and business foundation.
Damon, who specializes in apparel and manufacturing, held firm at 20%. The Parkers accepted his offer without partnering with another Shark.
Business Performance and Online Presence (Post-Pitch Review)
Website features clear product options by age, including sizes up to five years old, and broad print offerings.
Pricing aligns with initial pitch, with bundles available.
The product line includes accessories such as teethers.
Active social media presence: 127,000 Facebook likes, 35,000 Instagram followers. Engagement is higher on Instagram than Facebook.
No evidence found of a company-hosted private Facebook group despite strong community narrative.
Public updates indicate the deal with Damon was not finalized after the show, but the business remains operational.
Decisions
Accepted $200,000 investment for 20% equity from Damon — chosen for his manufacturing expertise and alignment with the founders’ direct-to-consumer vision; the proposed partnership was deemed the best fit among multiple offers.
Open Questions / Follow-Ups
Did Sleeping Baby ever revisit retail strategy or patent protection after the Shark Tank experience?
Is the creation of a private community group under consideration to boost engagement further?
Would the founders be open to a follow-up interview regarding updated business performance and lessons learned?