Dragons Fought Over THIS Drink! The Perfect Ted Story.

What a beautiful day for your favourite founder newsletter. This edition covers a brand I’ve been interested in for years. Which i first discovered on Dragons Den. But as per usual, before we do, here is a very quick overview of some news in the acquisitions space.

Right come on now, enough fluff…

Perfect Ted: From Personal Need to Matcha Powerhouse

Founded in London in April 2021 by Marisa Poster (an ADHD advocate), Teddie Levenfiche, and Levi Levenfiche, Perfect Ted swiftly emerged as Europe's premier matcha-fuelled natural energy drink brand. The genesis of the company lay in Marisa's quest for sustained energy without the jitters and crashes associated with traditional caffeine, a crucial need given her ADHD and anxiety.

The Matcha Spark: Perfect Ted's Origin

Marisa Poster, with a background in real estate finance and a Master's in Innovation and Entrepreneurship, sought a better energy solution. Her brother Teddie, experienced in management consultancy, and their partner Levi, with a finance background, joined her to tackle the scarcity of high-quality, accessible matcha in the UK.

Marisa's discovery of matcha offered sustained energy, a significant contrast to coffee and sugary drinks. Observing the limited availability of premium matcha in the UK compared to the US, they aimed to establish a healthier, more inclusive energy drink brand. The name "Perfect Ted" was chosen for its relatability and suggestion of quality, while also nodding to co-founder Teddie.

Key Milestones in Perfect Ted's Ascent

The founders invested their savings and launched a Kickstarter campaign to initiate Perfect Ted. They dedicated six months to sourcing ceremonial grade, organic matcha from Uji, Japan. Collaborating with beverage experts, they developed palatable, canned matcha drinks.

A pivotal moment arrived in March 2023 when Marisa and Teddie appeared on Dragons’ Den, securing a 50,000GBP investment from Steven Bartlett (Creator of Diary of a CEO and many other things) after receiving offers from all five Dragons.

Perfect Ted rapidly expanded its retail presence to over 3,500 locations, including major chains like Tesco, Waitrose, and Holland & Barrett. They also became the exclusive matcha partner for prominent café chains such as Joe & The Juice and Blank Street Coffee.The product line grew from initial Apple Raspberry to include matcha powder and Matcha Latte Ready-to-Drink cans. A limited-edition 'Hardest Energy' drink was launched in collaboration with Russ Cook for charitable purposes.

Decoding the Numbers: Growth Trajectory

Initially funded by the founders' personal savings, Steven Bartlett’s cash injection (following a joint offer with Peter Jones) provided vital early capital. Further fuelling their expansion, Perfect Ted secured a 1m GBP funding round through Steven Bartlett's Flight Fund, earmarked for product innovation and market growth.

Perfect Ted has witnessed a remarkable 5,000 percent business growth since their Dragons' Den appearance. Projected revenue for August 2024 was 12m GBP. By March 2023, they were on track for a 4m GBP turnover within 12 months. Monthly sales surged from 7,000GBP pre-Dragons' Den to over 1m GBP approximately two and a half years after the company's inception.

Riding the Waves: Founders' Perspectives

A significant early challenge was a factory fire a week before their first production, described by Marisa as "daunting and very overwhelming." They adapted by utilising a larger production tank.

Entering the food and beverage industry without prior experience presented a "steep learning curve," requiring rapid adaptation to challenges like ingredient shortages and the factory fire. Securing investment from Steven Bartlett after a clean sweep of offers was a major triumph. The founders consider potentially being Bartlett's "most successful Dragons' Den venture" a significant achievement.

Marisa described early entrepreneurship as "Every day is a beautiful disaster that we are figuring out." Teddie credited his late friend Jack Morgan as his entrepreneurial inspiration. The co-founders' close working relationship, including living together, has proven beneficial. Teddie viewed Dragons' Den as "the biggest risk that we took second only to starting the business."

The European Matcha Market and Perfect Ted's Position

The European matcha market is projected to reach 954m USD by 2030. The UK market alone is expected to reach 98m USD by 2030. The broader European energy drinks market is anticipated to reach 34,981m USD by 2030. This growth reflects a growing consumer preference for healthier beverages.

Looking Ahead: Perfect Ted's Vision

Perfect Ted's ambition is to become the world's leading matcha brand and the top natural energy player in Europe within the next five years. Their core mission is to spread positive energy and well-being.

They are committed to continuous innovation and exploring new matcha product formats. While their current focus is on the UK and Europe, a future expansion into the US market remains a possibility.

Perfect Ted's journey exemplifies the potent combination of addressing a personal need with entrepreneurial drive and market acumen. The founders' resilience, strategic partnerships, and impressive growth trajectory position them for continued success in the burgeoning natural energy drink market, effectively bringing the benefits of matcha to a wider audience.

That’s all… Thanks!

Wait, before you go… I tend to do a lot of summary threads and reels on my socials if you don’t have the time to read all of these words, but still want to hear the journey, so have attached my accounts below. I’ve also included a newsletter that I personally read, and think it would be beneficial for most of my readers too, check them out.

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