Not many products pitched on Shark Tank India Season 2 garnered as much interest and controversy as Paradyes. Claiming to be India’s first semi-permanent hair-color brand, the founders of this product took it to Shark Tank India Season 2’s ninth episode.
Paradyes at Shark Tank garnered much acclaim and controversy due to the Sharks scrambling to make offers for the company. Let us do a quick recap to see why this product and its pitch blew away the minds of the sharks.
Paradyes Hair Color
Paradyes is India's first semi-permanent hair color brand. They manufacture hair colors in many varieties other than standardized browns and reds. Their aim is to introduce hair color to India, which is not strictly limited in scope. They claim that their products are made with all-natural ingredients and are aimed at breaking stereotypes regarding hair colors.
For example, they hold that their colors do not damage hair in any way, unlike other hair dyes, which can lead to hair thinning. Paradyes at Shark Tank started trending after the 9th episode of the second season of Shark Tank India aired on TV.
Yushika Jolly launched Paradyes in March 2021 along with her husband, Siddharth Raghuvanshi. The company is based out of Ahmedabad and offers more than 20 different hair colors aimed at breaking stereotypes associated with the usual reds and browns in the Indian market.
The company website states that its products contain no ammonia, parabens, or PPD, rendering them perfectly safe for use. Paradyes at Shark Tank won over the sharks with their impressive pitch and business acumen.
Paradyes hair color products are available on their website, Amazon, and Flipkart. The company has over 80k followers on Instagram. Jolly’s family handles manufacturing raw materials and chemicals in hair dyes globally, and they have supported her in her endeavors to make Paradyes come alive.
How Long Does Paradyes Last?
The company claims that as a semi-permanent hair color, Paradyes lasts for around 8-10 washes, depending on hair type. It enables users to experiment with different hair colors without committing to any color. The all natural ingredients used in the process also make it safe to apply repeatedly.
During the Paradyes at Shark Tank episode, the founders stated that they are eager to expand into more categories of hair color in the future. It also includes launching permanent hair colors. A graduate of NIFT, Jolly overlooks the products' marketing, design, and packaging. Raghuvanshi holds an MBA degree from Symbiosis and heads the financials and operations of the company. The company’s USP is semi-permanent hair dyes.
However, they have also launched several other products. These include pre-lightening kits, temporary hair colors, toning shampoo, hair conditioner, etc. Their views of Paradyes have mostly been positive across all platforms for most products. All products are manufactured in their production unit at Ankleshwar, Gujarat.
Paradyes at Shark Tank had to compete with 60,000 participants for three months and were among the only 200 brands selected for the final round. They aim to educate the public about hair color and promote its safety.
Paradyes at Shark Tank Pitch
On the ninth episode of Shark Tank India, Season 2, Jolly and Raghuvanshi made their remarkable appearance with a very impressive pitch. After giving an overview of all the products and the company, the duo asked for 65 lakhs for 1% equity.
When they were asked about the company's formation, the duo explained how permanent hair color options are very famous in India and have a net worth of over 7000 crores. When asked that the semi-permanent hair color brand Streax is the biggest in India, the founders mentioned that Streax currently offers only six colors, while Paradyes offers more than 20.
The sharks moved on to asking the founders about the sales of their products. Raghuvanshi informed that Paradyes sold products worth 3.5 crores in FY22 and had already sold 2.5 crores in 2 quarters this year. A question was raised about the sales and valuation not adding up. Jolly defended the valuation, stating that they are not yet ready to scale the company and have not yet sorted out various issues associated with manufacturing and supply chains.
In the episode of Paradyes at Shark Tank, Raghuvanshi also explained the company's unit economics. He said that on an average order value of Rs. 1100, the net profit was 19 percent. Around 50 lakhs of the sales in FY22 was their profit margin.
Paradyes at Shark Tank: The Negotiations
The sharks then decided to pitch their offers to the company. All sharks, except Namita Thapar, were interested in investing in Paradyes hair color. That is where things got interesting. Peyush Bansal was the first to offer 65 lakhs for 5% equity in the company but mentioned that he was open to negotiation. Both Vineeta Singh and Anupam Mittal offered 65 lakhs for 4% equity. Aman Gupta resonated with Peyush Bansal and offered the same.
Jolly and Raghuvanshi took some time to figure out which deal would work best for them. They offered 65 lakhs for 3% equity but stated that they only wanted to go with Vineeta Singh and Aman Gupta. This got the sharks scrambling to make offers to the Paradyes duo. That is a rarely seen phenomenon in a show such as Shark Tank.
Peyush Bansal offered 65 lakhs for 2% equity. Vineeta Sharma, Aman Gupta, and Anupam Mittal countered 65 lakhs for 3% equity. This got Bansal fired up, and he was ready to offer 65 lakhs for 1%. This was a nail-biting moment because Paradyes at Shank Tank managed to get the sharks to compete with each other to invest in their company. Business owners as experienced as them would only do that for a company they see the true potential in.
Finally, the founders agreed to 65 lakhs for 2% equity, but only for Vineeta Singh and Aman Gupta. Anupam Mittal and Peyush Bansal were not their first choices. The founders said that the sharks they had things in their mind were more experienced with a business like Paradyes. Raghuvanshi even said that Paradyes could be a potential competitor to Vineeta Singh’s SUGAR Cosmetics.
The Aftermath of Paradyes at Shark Tank
Needless to say, the palpable tension between the founders and the judges, as well as among the judges themselves, got people talking. Anupam Mittal, in particular, appeared quite disturbed by the turn of events. The disagreements among the sharks got a ton of press coverage. Moreover, the way the founders pitched their idea was both praised and criticized by netizens.
While many people had nothing but praise for the founders' business acumen, some people found them to be arrogant at declining offers given by the sharks. However, Aman Gupta has defended Yushika Jolly subsequently on LinkedIn against criticism. He has said that she knows what’s best for her company as a business owner.
Conclusion
The controversy and suspense surrounding the episode led to many viewers. This is also expected to influence the sales of Paradyes products positively. Either way, Paradyes at Shank Tank was quite entertaining to watch. We hope the founders' vision comes true and the sharks' investment bears fruit.
Frequently Asked Questions (FAQs)
Q1. How long does Paradyes last? Where can we buy them?
Paradyes semi-permanent hair dyes last up to 8-10 washes. They are available for purchase at the company website and on Amazon and Flipkart.
Q2. Are reviews of Paradyes good?
Yes, Paradyes products have generally received positive reviews so far.
Q3. How did Paradyes leave the Sharks impressed?
The on-brand marketing and robust supply chain feature impressed sharks with Paradyes. Peyush Bansal called it a category-creation business.
