No matter how insignificant they may seem, bad habits like nail biting and smoking can have an impact on your life. Pavlok is a smart wristband designed to prevent bad habits by gently shocking the user when they are about to fall into a bad habit. The creator of the device, Maneesh Sethi, pitched the device on Shark Tank but no deal was struck. As of 2024, Pavlok has a market cap of $2 million.
Maneesh Sethi’s Background
Maneesh Sethi, from Miami, Florida, has been passionate about programming since childhood. At the age of 16, he published a book titled “Game Programming for Teens”. He has since published three other books related to programming.
A bright student, Manish attended Stanford University, where he majored in computer science. After graduation, he worked as a web designer and served as the editor-in-chief of the blog Hack the System. Sethi was tired of working in the tech industry and began to seek new challenges.
The story behind Pavlok
Manish’s addiction to social media was the inspiration for Pavlok. To solve this problem, he hired a guy from Craigslist to slap him in the face if he used Facebook. It worked, but it was mostly a publicity stunt.
In 2013, he invented Pavlok, a wearable device that uses electroshock therapy to break bad habits, improve sleep, and increase productivity. Sethi officially launched the company in 2014 after raising $283,827 through an IndieGoGo crowdfunding campaign. He reportedly made $800,000 in sales.
Pitching Pavlok on Shark Tank
In 2015, Maneesh Sethi pitched Pavlok on Shark Tank and offered to buy a 3.14% stake in the company for $500,000. Unfortunately, the pitch didn’t go over well and he came across as very arrogant.
Maneesh had no solid research to prove that his technology actually worked. As a result, the sharks began to attack, and they were also skeptical about the company’s sales. Robert Herjavec then pointed out that Sethi’s valuation was too high.
However, Kevin O’Leary was intrigued because of his experience with aversion therapy. So he offered $500,000 for a 3.14% stake as a two-year loan at 7%. Ceci rudely rejected the offer and said he was “willing to take anybody’s offers except Mr. Fantastic.” Kevin’s offer was fair, but it looked like Manish wasn’t serious about making a deal.
Sales after Shark Tank
Although Maneesh didn’t land the deal, the publicity was memorable and attracted millions of views on YouTube. The controversy helped him get more publicity and sales for his website. It also helped him attract new investors to raise funds.
Maneesh has raised $200,000 in three rounds of funding, with IncWell and MassChallenge as major investors. The money is being used to develop more physical and digital products.
They released a Chrome browser extension to improve productivity and two versions of the “Shock Clock,” an alarm clock that wakes you up with an electric shock. The Pavlok 3 Deluxe is the most expensive option, retailing for $219. The company’s most notable clients include the likes of Tim Ferriss and Neal Brennan.
Pavlok’s sales have been growing steadily, and according to its website, they have served more than 100,000 customers. Sethi’s focus on cutting costs has meant that the company is now growing strongly and has 12 employees.
According to getlatka.com, in 2022, Pavlok’s revenue was $371,000. In 2023, the company’s sales should be around $400,000. Therefore, the company’s valuation is $2 million. On a personal level, Maneesh Sethi’s net worth is estimated at $2.5 million.
According to his Facebook profile, Maneesh is currently single and living in Medellin, Colombia. Interestingly, his elder brother is Ramit Sethi, a personal finance expert who has his own Netflix series!
Categories: Shark Tank
Source: dut.edu.vn
