Joan Pacetti and her sister Julia Schmid pitch their edible cookie dough, called the Cookie Dough Cafe, to the Sharks in episode 502 on January 31. The ladies claim they've shared a love of food for their whole lives and that love morphed into a business. They set up shop in 2011 and sell their products locally in the Peoria, IL area, at independent markets nationwide and at around 90 Fresh Markets.
The Cookie Dough Cafe isn't selling their product to make cookies – they sell it as a ready to eat dessert. Anyone who ever licked the bowl after making cookies knows how yummy cookie dough is; Julia and Joan are taking it to another level. There are no eggs in their product, so nobody gets a tummy ache, but they bring all the yummy goodness of cookie dough to you in a little cup. Think of it as rich, room temperature ice cream!
Joan and Julia are likely looking for a partner to help with getting into stores and money for co-packing.
The Cookie Dough Cafe Shark Tank Recap
Joan Pacetti and Julia Schmid enter the Shark Tank looking for an investment of $50,000 in return for 20% of the company. They've created a cookie dough that's designed to eat straight from the jar. The pair present their products, and hand out samples to the Sharks.
Steve Tisch asks about sales and pricing. The jars cost $6.99 at retail and cost about $2.20 to make. Sales in the first year were $24,000, and in the past month, they've made $1,600, selling the product in 7 retail stores. The sisters reveal that they have a purchase order on the table for more than they've sold in a year, which would introduce them to 50 Fresh Market stores. The order is for 2,300 pints, and they'll make $6,000 profit.
Kevin O'Leary is unimpressed with the sales numbers, but he's quickly shouted down by the other Sharks. The sisters explain that they would use the investment to automate the packing process, the most time-consuming part of their sales process. They need guidance more than the money. They explain that they would like to move away from manufacturing the product themselves and use a co-packer, but they don't know how to do that.
Daymond John loves the product, but says he “wouldn't have time” to help the pair. He believes it's too early to make an investment. He's out. Mark Cuban agrees that “it's too early,” and goes out.
Kevin O'Leary doesn't believe that “it's going to be a big product,” telling them that “it's a hobby that should be taken behind the barn and shot.” He's unimpressed with the sales numbers, and he's out.
Walgreens has expressed interest in the product, but because it's not in a distributor yet, they weren't able to do the deal. Lori Greiner requests Steve Tisch to join her in a deal. She starts to offer $100,000 in return for 30%, but Tisch interrupts, prompting her to change to percentage to 40%. The ladies counter, holding tight to $50,000 for 20%. They don't want to give up so much equity. Greiner lowers her percentage to 30% for the $100,000. The ladies accept the offer, and get a double Shark deal.
The Cookie Dough Café Shark Tank Update
Since partnering with the Sharks, The Cookie Dough Cafe has continued to grow. The sisters now offer their gourmet cookie dough online, as well as in retail locations across the country. For a mere $50, customers can order 4 pints of The Cookie Dough Cafe's treats, or for $80, 32 individual cups.
It seems that Greiner and Tisch made a sweet deal on The Cookie Dough Cafe.