Hug Sleep Net Worth

There is nothing quite like a good night’s sleep.   Nestling under a nice warm blanket is fine as far as it goes, but seldom is it to be found in the same place when we wake up as it had been when we’d first settled down.  

If only the blanket would move around with us as we toss and turn throughout the night?

Enter the Sleep Pod, a wonderful creation by husband and wife duo Matt Mundt and Angie Kupper, courtesy of their innovative company Hug Sleep.  

After spending some time experimenting with weighted blankets and the like, the pair hit upon the idea of a soft fabric sleeping pod which fits around the user, utilizing Deep Touch Pressure (DTP) whilst employing its own built-in air circulation system to circumvent the kind of issues which using weighted covers invariably brings.  

The product simulates the effect of being hugged, providing warmth, comfort and reassurance for the optimal sleep experience.

Matt and Angie were well aware of the importance of good sleep as a consequence of their own experiences.  

Matt had long struggled to settle after retiring for the night and had tried all the conventional options without a great deal of success.  

Angie meanwhile was well aware of the effect of perpetual tiredness on issues surrounding mental health. They both resolved to do something about it.

Before appearing on Shark Tank, selling their then seventy dollar product had amassed them a total of $490,000 gross over a period of more than a year.  

Following their pitch and the resultant publicity their star rose exponentially and sales to the public have boomed.

At a Glance

Initially the couple had sought a $150,000 investment in return for 10% equity in their business.  

What happened when they appeared in October 2022 was a ferocious bidding war in which investors Daymond John, Kevin O’Leary and Robert Herjavec teamed up to offer them a combined total of $300,000 for a 20% stake, whilst an identical bid was made by Lori Greiner and Mark Cuban.  

Robert even amused his fellow Sharks with an impromptu demonstration of how the product worked, which ended badly when he fell off the bed at hit his head.

In the event the latter offer was accepted.  The following year’s figures showed that revenue had grown to around $4 million.

The episode was unusual in that all five investors were demonstrably interested in becoming involved with the product.

They were unanimous in the view that there would be great demand for the Sleep Pod, and for any associated products.

Who are the Founders?

Matt Mundt, who is Hug Sleep’s CEO, is from Milwaukee and has a degree in mechanical engineering.  

His interest in designing a product through which to aid restful sleep was fired by the problems he himself had had whilst studying at college.

His wife Angie’s degree is in community psychology, and her own concern for mental health was inspired by the tragic suicide of her mother.  After completing her studies she went to work as a therapist within the industry for more than ten years.

Matt, meanwhile, put his talents to good use as a project designer for several notable firms within the mechanical engineering sector.  

Did Hug Sleep Get a Deal on the Show

Unusually, all five Sharks were keen to get involved with the product when the Sleep Pod was unveiled on the show.  All five saw the potential that existed, recognizing perhaps that a good night’s sleep is not really optional for anybody over the long term.

Effectively the cast split into two teams, each making an offer which exceeded Matt’s and Angie’s request and their hopes and expectations.  

First of all it was Robert, Kevin and Daymond who tabled an offer of $300,000 in exchange for 20% of the company – twice that which had been asked for – then Mark and Lori pitched in with an identical proposal, and one which indeed was taken up by the enterprising couple.

As is so often the case following successful pitches to Shark Tank, Hug Sleep’s popularity improved by a factor of many and the enterprise really took off to a new level.  

Mark Cuban and Lori Greiner will have received a very favorable return upon their initial investments, and the net worth of the company itself is being spoken of as anywhere between $5 million and $60 million, much depending upon whom one listens to.

What Happened to the Entrepreneurs After the Show?

Sales of the Sleep Pod and other associated products are made via the company’s website, and through major online outlets such as Amazon and Walmart as well as from other 1,000 retail stores in some 60 countries around the world.

As for the founders, they enthusiastically developed their product to include a hooded version, and a smaller model for children.

One downside of their popularity has been the constant challenge presented by imitations which arrive on the market, usually of an inferior quality but which trade off the success of the original.

About the Product

The Sleep Pod is a comfy swaddle which mimics the feel of a warm embrace, thus enabling restful sleep.  It uses compression as opposed to weight as is the case with some blankets which are designed to achieve a similar effect.  It envelopes the whole body and fits snugly around its contours.

Today the adult version of the product retails at $100, with the child’s version available at $90 a time.  

It can be purchased from the usual big online outlets as well as through a whole host of physical stores, and of course from the company’s own website.

Over traditional weighted blankets the Sleep Pod enjoys the advantage of being breathable as opposed to hot and clammy.  

The end result is a deeper and more satisfying sleep, which creates the added benefit of increased alertness during waking hours.  Weighted blankets can also be difficult to clean.

On the heels of the success of the Sleep Pod, the company has since branched out into lounge wear and soft joggers and hoodies, always with comfort at the fore and as the absolute driving principle.

The original product has a five-star average rating from 138 reviews on its website.  Users express great satisfaction with the product which they have come to own. 

Some Interesting Facts

Generating gross profits as it does of some $1.4 million per month, Hug Sleep is truly one of Shark Tank’s biggest success stories.  

Investors Mark Cuban and Lori Greiner have received returns of something close to ten times their original stake.  

During its first year following Matt’s and Angie’s appearance on the show the company attracted $10 million in revenues.

Hug Sleep is now firmly established as a pioneer within the sleep industry, creating products which are perfect for camping and outdoor living but equally valuable as aids to a comfortable sleep at home.