An Interview with Yitzi Weiner
Be Prepared for Tough Criticism. Although we didn’t receive much criticism, we did have one Shark bow out early. We didn’t let that effect our pitch or our confidence. No one knows your business like you do, so being prepared and understanding that it might not be for everyone can help you navigate any early exits on the show.
As a part of our series about the ‘5 Important Business Lessons I Learned While Being On Shark Tank’ I had the pleasure of interviewing Matt Campbell, Lukrom
As a serial entrepreneur, Campbell has created companies in the commercial product and clean energy sectors. He is also listed on numerous patents including the intellectual property behind the company and product called BottleKeeper, which he grew into an eight-figure business. Currently he serves as Chief Executive Officer for Lukrom, a Phoenix-based real estate investment firm.
Thank you so much for doing this with us! Our readers would love to “get to know you” a bit more. Can you tell us a bit of the backstory about how you grew up?
When I was growing up, I wanted to be a baseball player or a doctor. I went to college with the plan to be a doctor after baseball, but it didn’t pan out. But as graduation drew near, I just didn’t want to go to school for 8 more years. So instead, I finished my Bachelor of Science in Molecular and Cellular Biology and started looking for a job. At about that time, my dad presented an opportunity to start a business together so that’s what I decided to do. We created an alternative fuel company that still exists today. That was really where I developed a love of working for myself.
Can you share with us the story of the “aha moment” that gave you the idea to start your company?
I was in Manhattan Beach with some family and friends. We were all enjoying a cocktail on the beach and we had our cooler with drinks in it and we would pour our them into a red solo cup. After 10 or 15 minutes, we would all take a sip and our beer was warm. It was right around the time that stainless steel bottles were kind of flooding the market, they were everywhere. I’m seeing all these stainless-steel bottles that I’m sure people had water in, and I just had thought, why can’t I just put my beer in a bottle like that? It would stay cold, and I could enjoy drinking directly from the bottle, which honestly, I prefer, and I knew others did as well.
Can you share the most interesting story that happened to you since you began leading your company?
When we first started BottleKeeper, Facebook’s advertising platform had really started to gain some traction. So, we decided to create a really simple, short video. We literally filmed it with a GoPro. We took a video of a beer bottle on the beach and then this hand comes over and puts the beer bottle in the Bottlekeeper. That simple video was viewed over a billion times. We started to sell a lot of product after that, and we had very little experience with marketing on social media. But we figured it out well enough to make it work to increase sales.
It has been said that our mistakes can be our greatest teachers. Can you share a story about the funniest mistake you made when you were first starting? Can you tell us what lesson you learned from that?
When we first got our finished products from the manufacturer, we tested the paint on the outside to make sure it was safe. We sent it to an outside company, and they tell us the paint contained a high level of lead. So, we went through the process of stripping the paint off over a thousand bottles. At some point, we decided that maybe we should do a second test and then we found out that the first test was actually inaccurate. Then we decided to do a third test to confirm because we had one company saying there was lead and another saying there was none. The third test confirmed there wasn’t any lead in the paint. We wasted all that time stripping paint off our bottles. The lesson I learned was trust but verify. You should trust results but also you should verify the initial results are correct rather than just believing them.
Are you working on any exciting new projects now? How do you think that will help people?
I’m working for a real estate investment company called Lukrom. Based in Phoenix, we help our clients invest in sound real estate offerings as well as offering loans for investors to complete ground up developments or fix and flips. However, the best thing we offer our clients is what we call a first position commitment. That means our company executives and board members invest first so that is the money that covers any loss our investment fund would incur. This is the first commitment of its kind in this industry and so it provides a level of security other firms simply can’t match.
Ok, thank you for all that. Let’s now move to the main part of our interview. Many of us have no idea about the backend process of how to apply and get accepted to be on Shark Tank. Can you tell us the story of how you applied and got accepted? What “hoops” did you have to go through to get there? How did it feel to be accepted?
Shark Tank actually reached out to us. We had been featured on some “best products” websites such as Thrillist and Gizmodo. They reached out to us to see if we were interested. But it took us a couple years for the timing to work out. They reached out to us in 2015, but we didn’t get on the show until 2018. We still had to go through the standard process of submitting the application and filming video submissions. Then we just continued to work our way through the vetting process. It was a great feeling when we finally made it to filming after three years of working on getting there. The show was really never on our radar. We knew it existed, obviously, but we never considered applying. We were fortunate they reached out and showed us it was a possibility.
I’m sure the actual presentation was pretty nerve-wracking. What did you do to calm and steel yourself to do such a great job on the show?
We prepared and rehearsed a lot. We made sure we knew our numbers inside and out. I truly believe that when you are well-prepared, even over-prepared, you tend to be a lot less nervous and have a great deal more confidence. That was certainly the case for us. Although nothing can prepare you for fielding questions from such successful entrepreneurs as those on Shark Tank!
So what was the outcome of your Shark Tank pitch? Were you pleased with the outcome?
We were offered a deal from Mark Cuban and Lori Greiner for $1,000,000 to get 5% of the company with a small royalty per sale. The deal never came to fruition though so that was a bit disappointing, but it all worked out in the long run. By the end of 2018, we were bringing in about 10 million a year. Shortly after that, we received a great offer to sell our company, and we decided it was a good fit for us.
What are your “5 Important Business Lessons I Learned While Being On The Shark Tank”? (Please share a story or example for each.)
Being on Shark Tank was a really positive experience for us and we learned a great deal in preparing for our appearance. Here are the big takeaways for our experience:
1. You Must Know Your Numbers
The Sharks are primarily concerned with financials — revenue, profit margins, customer acquisition costs, lifetime value, and projections. If you fumble these numbers, it can cost you a deal or worse, your credibility. We made sure we knew our numbers and were prepared to answer them.
2. A Great Pitch is Critical
Having strong numbers is highly important but how you present your business matters just as much. Alex Rodriguez was on our episode, so we took advantage of that and had him throw a ball at a BottleKeeper that had a glass bottle in it to demonstrate how the product protected the glass bottle. Without any warmup, he drilled a BottleKeeper dead center and put a big dent in it, but the glass bottle was safe. It not only made for good TV, but it also showed how well our product worked.
3. Not All Offers Are Right for You
Many entrepreneurs turn down deals or realize later that an investor’s terms weren’t right for their business. The right partner needs to offer more than just capital. They should also bring the right expertise, valuable connections, and support your vision. Also, understanding where you are in your business life cycle makes a huge difference. Shark Tank first reached out to us in 2015, but timing didn’t work until 2018. We were a vastly different company by then and had scaled exponentially. We likely would have agreed to something in 2015 that we wouldn’t have in 2018.
4. Be Prepared for Tough Criticism
Although we didn’t receive much criticism, we did have one Shark bow out early. We didn’t let that effect our pitch or our confidence. No one knows your business like you do, so being prepared and understanding that it might not be for everyone can help you navigate any early exits on the show.
5. Exposure Is the Best Outcome
One thing we didn’t think about at the time and is really one of the biggest benefits about being on Shark Tank, is the episode will rerun periodically. Everytime it did, we would get a bump in sales. It was the gift that kept on giving
What advice would you give to other leaders to help their team to thrive and avoid burnout?
Get involved with your community. One of the hardest things for entrepreneurs is we become so immersed in our business, we start to miss everything else that’s going on around us. For me personally, I was able to get involved with a group called Executive Council 70. It is a charitable organization that gives back to local at-risk youth. It’s had a big impact on my life and helped me find that work life balance.
You are a person of great influence. If you could inspire a movement that would bring the most amount of good to the most amount of people, what would that be? You never know what your idea can trigger. 🙂
The movement would be called “Put Your Phone Down!” We are all missing out on life as we stare at our screens all day. We need to recognize our phones are tools to get our jobs done and connect with those we love. When we have a minute to abandon our phones and take in the beauty of a place or the beauty of face-to-face time with another person, we need to put our phones down and enjoy the moment fully.
Can you please give us your favorite “Life Lesson Quote”? Can you share how that was relevant to you in your life?
You miss 100% of the shots you don’t take — Wayne Gretzky
When we came up with the idea for Bottlekeeper we could have easily not monopolized on it and said we were too busy or didn’t know how to bring a product like that to market. Instead, we went ahead and took advantage of our shot. If we didn’t take our chance, we would’ve missed out on a great opportunity.
We are very blessed that some of the biggest names in Business, VC funding, Sports, and Entertainment read this column. Is there a person in the world, or in the US with whom you would love to have a private breakfast or lunch with, and why? He or she might just see this if we tag them 🙂
Tom Brady. Not only is he the greatest all-time athlete but he is also a great businessman. No matter if it is on the field or off, he has incredible discipline and knows how to lead others. He was always able to get the best out of his teammates. I hope that I’m able to be that type of leader and get the best out of the people I’m fortunate enough to work with.
Thank you so much for sharing these important insights. We wish you continued success and good health!
Matt Campbell of Lukrom: 5 Important Business Lessons I Learned While Being On Shark Tank was originally published in Authority Magazine on Medium, where people are continuing the conversation by highlighting and responding to this story.