Cold plunging, or submerging your body in freezing water is a rising trend among millennials. It has many health benefits, but the hassle of setting it up is a nuisance. Enter Plunge, the bathtub that can produce clear, cold water. Founders Ryan Duey and Michael Garrett pitched it on Shark Tank and made a deal with Robert Herjavec. In today’s market, Plunge is worth $24 million.
The Founders
Michael Garret is a native of Arizona, United States. After graduating from Penn State University, he discovered the art of float therapy and it inspired him to found Reboot Float & Cryo Spa in 2012.
His friend Ryan Duey, is from Sacramento, California and he studied international business at Cal Poly. He later became a school teacher in Spain.
In 2011, he returned home and worked as an account executive for San Jose Earthquakes, a football club. Ryan also got into float therapy, founding companies such as Capitol Floats and Float Biz Startup.
Founding Plunge
When the pandemic started, Michael’s float spa business was forced to close down. The entrepreneur then experimented with cold plunges and its benefits for fat loss, body recovery, immunity, and more.
However, cold tubs were expensive and his father helped him come up with a more affordable solution. It eradicated the need to buy pounds of ice and they invited Ryan Duey to join them after making a prototype.
The company launched in 2020, and they operated out of Michael’s garage. A year after launching the startup, the duo made a whopping $4.9 million in revenue.
Shark Tank Appearance
In 2021, Plunge was already in a great place but Ryan Duey and Michael Garrett wanted to expand operations. The guys appeared on season 13 of Shark Tank, seeking to raise $1.2 million for a 5% equity stake.
The two gentlemen had an amusing pitch, where they invited Robert Herjavec to try a cold plunge. Robert’s reaction had the other Sharks in stitches, he sounded like a train whistle! However, the Sharks weren’t too excited about the equity being offered.
Nevertheless, four Sharks made offers, which put the founders in a tough situation. The most favorable for them was Robert’s offer of $2.4 million for 15%. Cuban was keen but they countered and Robert agreed to invest $1.2 million in cash and loan them $1.2 million for 12%.
After Shark Tank
After featuring on national television, the company got a strong boost in orders and won’t have a problem paying off Robert’s loan. The fact Robert got into the tank made it a more memorable episode, this will help increase the episode’s syndication online and drive more free PR.
Apart from the original product the guys showed on Shark Tank, they now sell pro versions and commercial cold plunges. You can purchase them on TheColdPlunge.com and at several Plunge facilities in Greater Sacramento. They’ve raised the cost of their product from $4,800 to $4,990 but you can also pay in monthly installments with Affirm.
On their website, the device has a 4.8-star average review rating from 793 customers. With Robert’s investment, the company is valued at $24 million. According to Sam Parr, the startup made $80 – $90 million in 2023 and is shipping over 2,000 units per month. Within three years, the company has gone from no sales to over $100 million in lifetime sales.
