Amazon Buys Ring For $1 Billion
Just last month I published an article on The Shark Tank Effect and whether or not it was true. In the article, I explained how several different entrepreneurs who’d been featured on Shark Tank managed to find success even after they walked away from deals or weren’t even offered one. The article also goes on to highlight several of these entrepreneurs and their businesses, and how successful they’ve become. And although there have been many prosperous businesses featured on the show, a new deal between Amazon and Ring may just be one of the show’s biggest losses.
Just recently, worldwide powerhouse Amazon announced a deal to purchase popular video doorbell company Ring for a reported $1 billion. While this is not the largest company purchase in existence, it is certainly one of the largest deals for a business that was featured on Shark Tank.
Amazon has been looking to get into home security in recent years in order to bolster its efforts to allow for in-home deliveries while customers are away. By purchasing Ring, Amazon has taken a major step towards achieving this goal. With its video doorbells, Ring provides users with a safe and affordable way to visually see who is at their door, and Amazon can now take advantage of this.
If you can’t seem to remember Ring ever being featured on Shark Tank, there’s a reason for that: it was originally presented on the show as Doorbot. After Ring CEO and co-founder Jamie Siminoff presented the idea to the crew of sharks, it was rejected by everyone except for Kevin O’Leary, who offered $700,000 for the entire company. Although Siminoff was in dire straits and needed money, he rejected the offer. After the episode aired, and he renamed the company, sales took off.
Since then, Ring has seen considerable success on its own, and now, one of the largest companies in the entire world has just purchased a once-rejected Shark Tank idea for $1 billion.
This is a perfect example of how an idea can be rejected by respected individuals often considered to be experts, and still be successful. Siminoff’s dedication and perseverance paid off in a major way, and the sharks of Shark Tank missed out on a huge opportunity. This is easier to say than to do but entrepreneurs will hear no more often than they hear yes and the best ones need to push past their disappointment until they get to a yes. It can happen for you just like it did for Siminoff.