Here's What To Know About Sip Herbals From Shark Tank
As with many people, Orleatha Smith loved the ritual of brewing and sipping a morning cup of coffee, but because of an autoimmune condition, this was something she found she had to forgo. That, coupled with environmental concerns associated with coffee production and the unpleasant secondary effects of caffeine, spurred her to develop a unique coffee replacement that led to launching Sip Herbals in 2020.
That's when Smith teamed up with Kelly Raulerson to create a company focused on delivering a morning pick me up that's not coffee but that still celebrates their love of the drink. At the same time, it serves as an alternative that's better for both their bodies and the planet. The result is a brew that has the same roasted flavor and aroma as coffee, can be prepared like coffee, but isn't packed with caffeine or other ingredients people may want to avoid.
While you can already purchase Sip Herbals on their website, the pair decided to try their luck on the popular show "Shark Tank." They'll debut in episode 22 of season 15, airing this Friday, May 3. It's a chance for the pair to gain exposure, raise awareness about coffee alternatives for those looking to wean off coffee, and of course, secure some funding.
The founders' unique backgrounds gave them building blocks for starting Sip Herbal
Orleatha Smith and Kelly Raulerson leveraged their divers professional backgrounds to build Sip Herbals. Smith had experience as a biology teacher, which helped as she experimented with which herbs to pair together to get a flavorful coffee alternative. At the same time, she spent years in the wellness industry, which also helped her come up with a healthy drink to get the morning started that didn't contain any chemicals or compounds she couldn't consume.
Although Smith started experimenting on her own to create a classic coffee substitute — the Signature Roast known as Faux Joe — she eventually partnered with Raulerson in order to develop new flavors. Raulerson brought a different set of skills to the table: web and graphic design, digital marketing, and operations management — all important aspects of building a business.
This wasn't the pair's first rodeo, either. They'd previously worked on a software as a service project together, launching a different startup. This also gave them real-world entrepreneurial experience that helped them create, brand, and market Sip Herbals.
It hasn't all been smooth sailing for the company
Armed with these skills, Sip Herbals has managed to garner some success; earlier this year they had their biggest sales month ever. Plus, they were awarded a Comcast Rise Grant, which has awarded more than 13,000 businesses with over $100 million in funding. Despite these wins, it hasn't always been smooth sailing.
In an interview with Monterey Bay Herb & Co, Orleatha Smith shared that their first sale was to her own mother, and their first investor was Kelly Raulerson's mom. From there, they got funding by launching a Kickstarter campaign, which, thanks to the support of more than 140 backers, was able to raise over $7,000 to help get the company off the ground. Even with that support, the pair struggled due to limited resources and has found themselves tapping into savings and using creative marketing tactics, such as influencer partnerships, to help spread the word about their products.
Speaking of marketing, another challenge the pair found themselves facing was branding. In a post on her LinkedIn page, Raulerson stated that "after a stint at Expo West, we realized we needed a rebrand to step onto the retail stage." That's when they made strategic decisions about how to allocate resources to revamp their packaging, which now exudes the brand's focus on fun thanks to its lively designs and bright colors.
The brew goes beyond just being caffeine-free
Part of what makes Sip Herbals so special is that it's not just a caffeine-free coffee alternative; it's a ground product that you can brew or steep in a French press, and it mimics the taste and mouthfeel of a traditional cup of coffee. Orleatha Smith and Kelly Raulerson use chicory as the base of the drink to give it a coffee-like aroma while also creating the same full-bodied mouthfeel as a dark cup of Joe. The chicory also introduces nutty, toasty flavors, just like a traditional cup of coffee thanks to the way the chicory roots are roasted.
Then there's carob, a member of the legume family that's noted for chocolate notes, a common flavor coffee connoisseurs pick up in their favorite brews. Dandelion also adds earthy, bitter notes to the drink that will remind you of your favorite black coffee.
All of these ingredients come with a myriad of other health benefits, too. Dandelion root packs antioxidants, while the chicory has antibacterial and antifungal properties. The carob provides other nutrients such as calcium and fiber, and the brew also contains prebiotics to support gut health.
Putting the focus on fun and flavor
As Kelly Raulerson stated on her LinkedIn, one of Sip Herbals' core values is fun, and one way they're embodying that is by developing new flavors. Beyond Faux Joe, they've leaned into coffee house flavors and developed options like Royal Mocha for chocolate lovers, and limited-editions such as their currently offered French Vanilla, and a seasonal Pumpkin Spice blend (which sold out quickly online).
As a way to further engage their customers, they're developing ways to use their blends in recipes that would traditionally use coffee. For instance, on their blog, you can learn how to use Sip Herbals to make peppermint mocha brownies and tiramisu.
Smith and Raulerson are also prepping hard for their debut on "Shark Tank." On their Instagram page, @drinksipherbals, Orleatha Smith shared that she has spent time getting clear on her ask and being okay with whatever the outcome is. And of course, she's been going over the numbers and perfecting her pitch so she can convince the sharks to make an investment this Friday. They've even got ahead of the pitch to offer customers an "As Seen on Shark Tank" bundle featuring one bag each of their Salted Maple Blondie, Dirty Chai, and classic Faux Joe flavors.