Melissa Butler and Rosco Spears are pitching Lip Bar to the Shark Tank. They say their products are proof that beauty and health aren’t mutually exclusive. Instead, they combine hot, popping colors with natural ingredients that soften and moisturize.
Melissa says Lip Bar arose from her frustration: why does lipstick come in such a limited color palette, and why so many chemicals? She wanted something bold, and natural. The product is available in colors ranging from traditional pinks, reds, and nudes to bright blues and greens, and every shade is made with organic fair trade shea butter, and organic castor and avocado oils.
They also have an app that allows a customer to design her own shade, and are in the process of creating what they call the Lip Bar Mobile — a mobile shop with a ‘bar’ and mirror, where customers can see the shades and buy in person. (This notion caused Mark Cuban to do a literal face-palm, Kevin O’Leary to shake his head and groan, and Robert Herjavec to laugh and say, “This is such a bad idea.”)
If the sharks invest in The Lip Bar,
They’re asking for a $125k investment, and offering a 20% stake in the company.
The Lip Bar team has made $107k in two years. Melissa is making the product at home, by hand, at a cost of $3 per unit, and selling it for $20 per unit.
Kevin O’Leary was the first to voice a concern. The makeup industry is huge, a multi-billion dollar industry. If blues, greens, and purples would sell more lipsticks, wouldn’t the big companies already have them on the shelves?
Lori Greiner had another concern. This centered on buying cosmetics online. A color that looked right on-screen might not be the same in person.
Robert chimed in next, bothered by the branding. “I’m not sure I’d want my daughter picking up lipstick with a martini glass and very sexual lips on it.” With that, he was the first Shark to bow out on Lip Bar.
Maintaining that there is no market for the product and that if there was, the big companies would “crush [Lip Bar] for the colorful cockroaches you are,” Kevin turned the investment opportunity down next.
Melissa addressed Daymond John directly, but he replied, “You are never going to create anything new in this world. You know, it’s lipstick. I’m out.”
Mark Cuban called the cocktail theming an antithesis to the brand’s confidence-based market, and he, too, was out.
Lori Greiner, citing the amount of competition in the cosmetics market, also declined to invest.
Lip Bar’s creators left the Shark Tank with no investment.
Photo: Lip Bar