Hug Sleep on 'Shark Tank'
Source: Hug Sleep Facebook

The founders of Hug Sleep during their pitch on 'Shark Tank.'

Remember Hug Sleep on 'Shark Tank'? Company Has Made Millions

Kathryn Underwood - Author
By

Jan. 24 2023, Published 10:35 a.m. ET

Fans of the reality series Shark Tank may recall the pitch from Episode 1203. Hug Sleep is a company founded by a husband-wife team from Milwaukee, Wisc. It's built around the concept of "Deep Touch Therapy" providing comfort to help with sleep. How much is Hug Sleep's net worth now?

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Thanks to a successful pitch on Shark Tank, Matt Mundt and Angie Kupper received a boost in funding as well as two experienced business partners to assist them in building the company. As you might expect, they enjoyed an increase in sales immediately following their TV appearance, and Hug Sleep is still growing today.

sleep pod
Source: Hug Sleep Facebook

Hug Sleep Pods can also be used during waking hours to provide comfort.

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Hug Sleep was founded thanks to the CEO's sleep struggles.

Mundt, who is Hug Sleep's CEO, has said he had trouble sleeping in college and as he entered the corporate world. He used the "same science behind weighted blankets" to help people improve their sleep. His wife, a mental health professional, encouraged him because she knew how sleep benefits mental health.

Hug Sleep made a successful 'Shark Tank' pitch to investors.

Hug Sleep founders appeared in Season 12 of the popular show Shark Tank, in which business owners present their product and company to five wealthy potential investors. The company website says the idea for Hug Sleep was "born" in January 2018. In February 2019, the company officially launched.

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About a year and a half later, in August 2020, Matt and Angie filmed their pitch on Shark Tank, and the episode aired in October 2020. The couple requested $150,000 in exchange for a 10 percent stake of ownership in Hug Sleep. Their product was a big hit among the Sharks, and all five wanted a shot at being a part of it.

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Instead of investors making individual offers to the Hug Sleep founders, they teamed up to make joint offers. Lori Greiner and Mark Cuban offered them $300,000 in exchange for 20 percent ownership. The remaining three Sharks (Robert Herjavec, Daymond John, and Kevin O'Leary) made a joint offer as well.

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The owners ended up choosing Cuban and Greiner to be their investors and partners. According to SharkTankBlog, the company had $4 million in sales soon after the episode aired.

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Lori Greiner
Source: Getty Images

How much money has Hug Sleep made?

In October 2022, the Hug Sleep pitch on Shark Tank aired just over two years ago. Following an initial sales jump of about $4 million, the founders say that sales were at about $15 million two years after the show aired, according to Sleepopolis.

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Mundt told Sleepopolis in 2022 of their Shark Tank pitch and subsequent investment deal, "We never actually thought it was going to happen." He explained that he initially blew off an email from a show producer, assuming it was fake, and a year later when he was contacted again, he learned they really wanted Hug Sleep on the show.

Does Hug Sleep have a patent?

Yes, the Hug Sleep products are patent-protected. The fine print on the company website lists three specific patent numbers and "other protections" in order to ensure that no one can legally rip off their design and concept.

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Hug Sleep
Source: Hug Sleep Facebook

Hug Sleep

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Hug Sleep Pods are intended to be different from weighted blankets, as numerous customer reviews confirm. Sleep Pods say they provide "gentle, calming pressure" to offer comfort, soothe anxiety, and lead to relaxation.

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The company initially sold Sleep Pods which wrap around the wearer like a cocoon, then later added the Sleep Pod Move to allow for feet to be free. There's also a hooded Sleep Pod Move to provide extra warmth for the head.

In addition to the Sleep Pods, Hug Sleep now offers loungewear including soft joggers and hoodies in men's and women's sizes.

Mundt said in the Sleepopolis interview of Greiner and Cuban, "Both of them are just business titans. They always have great advice and great tips."

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