Stories such as these make me wish I could sit-in on the VC pitches. How does someone pitch a product and product line as absurd as this and have more than one VC company throw millions of dollars at them? What revenue projections do they show to make people jump at this?
$8 for 8oz of juice? I rarely buy juice at the store but when I do, it is only when it is on sale for $2.50 or less for 30oz or more.
I've had a chance to sit in and participate with a few (though nothing as ridiculous as this) and I can actually imagine how it would have gone.
Chart of the growth rates in health food sector.
Something vague and hand wavey about the benefits/desirability of cold pressed juice.
Analogies to blue apron and other food-mailed to your home businesses (plus their growth rates if public)
But the downside of that business model is high customer churn, low barriers to entry, lots of money spent on customer acquisition.
But here's the kicker: because people are buying a proprietary juicer than only works with our proprietary juice packets* we project substantially lower customer churn.
Chart of projected revenue per customer.
Projected annual profit and valuation if only 1% of american households ultimately buy our product.
Allowing us to become ....
uber for pets twitter for bananas keurig for juice. [/li][/list]
*Bonus points for internet-of-things reference here.