"Niche of a niche" - When Shark Tank investor Robert Herjavec rejected Pawnix's presentation

Kirsten Brand appeared on Shark Tank season 13 seeking $150,000 for 10% equity in her dog headphones company Pawnix. The Mars Petcare packaging engineer presented noise-canceling headphones priced at $199 with manufacturing costs of $108 per unit.

After demonstrating the product with her dog Emma who shook off the headphones during the presentation, Brand shared first-year sales of $106,000. Following market size discussions and product testing, Shark Robert Herjavec stated:

"I love animals. I love dogs. Especially Emma is beautiful. Um, I think the padding alone could work. I think if you sold this for 30 to 40 dollars it would open up your Market. I think at the price point the noise canceling, you're a niche of a niche of a niche of a market. I don't see it. I'm out."

The remaining four Shark Tank investors followed with similar concerns about market size and pricing strategy.

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Dog anxiety product Pawnix left Shark Tank without investment in season 13

The Shark Tank pitch highlighted market data about anxious dogs. Brand presented research from The Journal of American Veterinary Medical Association showing 30% of dogs experience storm anxiety. She emphasized the increased risk of lost pets during fireworks seasons with data showing a 30% spike in missing dogs around July 4th celebrations.

The presentation included research indicating that 86% of dogs with thunder-related fears develop additional anxiety issues. Brand demonstrated her solution by fitting Emma with the specialized headphones while explaining the four available sizes for different dog breeds.

The product testing phase revealed positive responses from numerous dog owners dealing with noise-related stress in their pets.

Robert Herjavec started with the total number of dog owners in the market and then analyzed subgroups of anxiety-prone dogs. His calculation factored in owners willing to purchase wearable solutions at the $199 price point. This breakdown led to him questioning the size of the target customer base.

After Robert Herjavec’s market analysis, each Shark Tank investor presented specific reasons for declining investment. Lori Greiner stated the product had credibility but questioned if all electronic components were necessary. She emphasized the need for a lower price point to reach more customers.

Daymond John focused on marketing challenges explaining the product concept would be difficult to communicate to mass audiences. Mark Cuban stated the business didn't fit his investment portfolio and expertise areas.

Kevin O'Leary concluded the discussion by saying he didn't want doggie headphones in his Mr. Wonderful portfolio. Brand left the tank after receiving five clear passes from the Sharks with primary concerns centered on price structure and market reach.

The product's $199 price point remained a central topic throughout each Shark's response with Lori suggesting simpler construction could reduce costs.

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Product background

Brand's extensive pet industry knowledge shaped Pawnix's creation. Her nine years at Mars Petcare provided insights into pet product development and market demands. The funding journey started with crowdfunding attempts showing mixed outcomes.

While the Kickstarter campaign didn't succeed an IndieGoGo effort secured $2,250 in initial funding. The product launch featured four distinct sizes ensuring proper fit across various dog breeds from small terriers to large breeds.

The development process included multiple prototypes testing different noise cancellation technologies. Brand incorporated user feedback to refine the design making adjustments for comfort and effectiveness.

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Post-show business performance

Shark Tank investor Robert Herjavec (Image via Getty)

The Pawnix business showed substantial growth after the appearance. As per Shark Tank Blog, sales data from 2024 indicates projected revenue reaching $250,000. Brand implemented strategic changes to address price concerns mentioned during the show. The company added refurbished models offering lower-cost options for budget-conscious customers.

A new product line emerged with anxiety vests and specialized PJs under development. The business established the Give & Grow program donating $5 from each purchase to dog-focused charities. Customer feedback led to the creation of a suggested playlist of calming music specifically chosen for anxious dogs.

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Shark Tank season 16 episode 11 is set to air on February 7, 2025, on ABC network.