Mark Cuban Accuses AI Brand Of Buying Sales | Shark Tank AAPI Month

Proven Skincare founder Ming Zhao stepped into the Shark Tank seeking $500,000 for a 5% stake in her company that uses A.I. technology to make customizable skincare for each customer.
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Mark Cuban Accuses A.I. Brand Of Buying Sales | Shark Tank AAPI Month

[@DOC_951]

This title was so misleading. It gives the impression that she’s scamming everyone… when it’s actually just high customer acquisition cost.

[@theblackflame4002]

That's what clickbait does, gets you prepared to be all riled up, then its like...um....what?

[@gaganbachhal]

At least its better than reading the whole climax in title

[@rokutime2627]

The real scamming was the unpaid intern running this channel with excessive clickbait.

[@thecorrectoification]

Some people are afraid of large CAC's, especially when coming from a petite Asian woman. 😏

[@Champ2x]

@@thecorrectoification it’s all about business and profits not about petite Asian women dork

[@carsomyr8276]

"it's very important that you leave now" is one of the most low-key terrifying lines I have ever heard.

[@Erusparadise]

Yeah he wasn't just telling her bye he was saying gtfo

[@Vendrix86]

you get scared too easily

[@dandliontv6892]

Damon saying "here it comes" had me dead

[@joshboy88420]

ya ya

[@Jejak_Pengangguran]

😂 ya ya ya

[@bobjames5264]

His Ludicrous Valuation Meter was buzzing.

[@h.a.6790]

I think his mind spoken on its own

[@brooklyndecember]

He doesn't like these type of asks. He said when the show started it was supposed to help "the little guy not already rich cash, ivy leaguers and ppl wanting free promo." He said it now feels like "the rich helping the rich"

[@gnan86]

I'm impressed at the fact that she was able to maintain her composure even when all the sharks were rejecting her.

[@topshelfdustin3060]

Harvard MBA who worked at Bain capital. That might have been the nicest room she'd ever been in.

[@wengkeong8393]

U mean ridiculing her 😂

[@Foodledoodle1]

Sharks ARE allowed to reject someone because it IS their own money they have to use. Whether she maintains her composure or not is all on her. No skin off the sharks necks.

[@2424Showtime]

she didn't care. In the end she probably was relieved to not give up any equity. Whole thing was an ad.

[@bruceyung70]

@@2424Showtimebingo

[@ninjaundermyskin]

Every time someone from the Bay Area is on the show, the groans come out

[@scottcamuto8410]

Thats because the businesses know their value and the sharks cant pull a fast one.

[@rickjones5399]

​@@scottcamuto8410 right

[@MayorSom]

@@scottcamuto8410 guysaysok.gif

[@scottcamuto8410]

@@MayorSom what are you saying?

[@SushiBandit28]

Exactly, they know it’s not some dumb southerner they can manipulate

[@nichiyes26]

Title is great. "Happy AAPI month everyone! Here's a video of Mark accusing an Asian woman of trying to scam the tank! :D"

[@ayycardinal6802]

There are literally 1.3 billion Chinese people. Why should they get a special month??? Wtf.

[@AnimalA-Z]

You could see Kevin biting his teeth when he said “you are the proof my anger management treatment is working.. it’s very important you leave now” 😂 and the 3M$ sales they showed isn’t impressive when we realize they spent 2M on ads!

[@topshelfdustin3060]

When you have a stanford phd and a harvard MBA asking for money, they're not looking for a short term company that the sharks generally do. It's not a great fit so likely this was best for both parties. That said, the sharks would have doubled their money by now.

[@yourlocalscribe948]

I am very glad you commented this as you are living proof that my anger management treatment is working. I would have ripped you to shreds but just because you have degrees from these schools doesn’t mean that much for the business. If I was there I would not have invested either because like Cuban said her model isn’t proven to be working as evidenced by the increasing sales simply being the result of increasing ads. Her ebitda is low so her company isn’t really worth that much

[@mary5305j]

Didn’t she say $3m was what they expected to make? Pre-show?

[@AnimalA-Z]

@@mary5305j yep

[@topshelfdustin3060]

@@mary5305j they're over 30 mil life to date though 2022...

[@MemoryUtilizer]

Damon with the “here it comes” after hearing $500,000 on 5%

[@Jejak_Pengangguran]

😂 ya ya ya

[@brooklyndecember]

He doesn't like these type of asks. He said when the show started it was supposed to help "the little guy not already rich cash, ivy leaguers and ppl wanting free promo" He said it now feels like "the rich helping the rich"

[@FM-dm8xj]

@@brooklyndecember his a con-he never does any deals. dude should get booted.

[@JosephFrain]

Shark tank wouldn’t be shark tank without Kevin, O’Leary facts 😂

[@postmaloneofficial]

That crazy offer leads me to believe she never wanted a deal and just came on the show for promotion purposes

[@hatersgonnalovethis]

It‘s a win to be on telly

[@fofopads4450]

Definitely

[@AustinSiziba-oo5rn]

No doubt, or until proven wrong, this lady is an AI. The smile and composure she kept is over the roof.

[@tomodomo1000]

She is just Asian.

[@motorvibes]

I guess AI didn't predict this disaster. 😂

[@rpminc1974]

Kevin’s anger management comment is just too funny 😂

[@BiragovDetailing]

500K for 5% is just insane. Such a competitive market. It will take forever to get your money back

[@a96futurecreator96]

Or she just came for the free advertising.

[@BiragovDetailing]

Good point !

[@sharkmun]

The company's revenue is $24 mil and is valuation is $290 mil now. It'll take forever huh?

[@eap1234]

@@sharkmunbruh that’s such cap, do u work for the company

[@sharkmun]

@@eap1234 I don’t work for the company but you can look up their SEC filings.

[@jz5748]

that woman took like a champ.she is a fighter

[@AEVMU]

My wife has this and its one of the few products that has ever helped her rosacea.

[@BG1435q]

Its very important that you leave now.

[@KeithJones-yq6of]

She came in for the free advert

[@Lisa14441]

You all don’t understand they use the show whether they get a deal or not they do well they’re getting primetime free advertising!!

[@coltonblake13]

23&me just got hacked and lost 7,000,000 users genetic data as well as your names and addresses. Great job.

[@z_ed]

I was thinking the same thing. A service that you use like 1x and not put another time into it. Who knew it wouldn't become a cash cow?

[@coltonblake13]

@@z_ed the natural order through what we've deemed passing down universally all exclaim, proclaim or warn of the parables of short term gain. The greater the good, usually means the darker something may become. The USA was tired of kings. With great power comes great responsibility in spiderman to some of the oldest texts in the bible that to much is given, much is required. I think we agree. I just rant. We have no idea how huge the implications of millions of genetic codes can be misused. I'm 32 and DNA for determining my father was still considered questionable as court evidence. "Dark science" cloned a sheep decades ago. It has generations of children. I can pay a few thousand dollars and have my cat or dog cloned. You mean off the books projects haven't poured hundreds of millions into that? No off grid scientists made any progress under the law since i was a kid? Idk. I'd love the information people get from these studies. It isn't worth my genetic profile.

[@MalaysiaBarista]

Spending 70% on ads , 30% on operations + products = … 1 to 1 . Mark is right , something doesn’t add up. Look at google , or other tech based companies . They don’t spend 1 bil to earn 1 bil .

[@topshelfdustin3060]

They do post series A all the time. Amazon didn't make money for like 20 years.

[@gubuckets192]

I haven’t watched the video but obviously ad cost will be high at start and drastically decrease as word gets around?

[@topshelfdustin3060]

@@gubuckets192 that's generally the idea.

[@gubuckets192]

@@topshelfdustin3060 that’s why I’m confused why their ad spend is a big turn off? Obviously ideally it would be less but

[@sharkmun]

Let's look at Uber. They haven't made money since inception. They spend almost $1 for every $1 they make.

[@Driver8takeabreak]

Kevin says every industry is "brutally competitive"....

[@grandsireshawty22]

Facts 😂

[@reprovedcandy]

they are. as an entrepreneur who started off in very niche industries i realized quickly there is no such thing as a competition-free space. Everything is brutal so just go where the money is and be the competition instead of being afraid of it.

[@manwdashade]

Amazon was losing money for 10 years because they re-invest all profits for growth. Any of these sharks wouldn't have invest in Amazon in their early 10 years.

[@spicerc1244]

Amazon was a marketplace that could sell anything. This product is not nearly as multifaceted.

[@resa574]

Amazon still doesn't earn anything It's their cloud business that's earns the profits

[@spicerc1244]

@@resa574 For the freaking U.S. MILITARY

[@emc59789]

I’m out after she said AI. 3 millions in sales in 2 years but how much was net profit?

[@reprovedcandy]

2024 update: This company just raised $12.2M at a more than $70M valuation. That's a 7x return by now had one of them invested.

[@jonah.donohue]

Source

[@Arthuur9]

Without a deal, and she got 3 million dollars. Congrats to her

[@jordi5869]

Did you not watch the pitch??? She projected $3M sales in just 2019 and she’s essentially buying her sales.

[@gmail4218]

No, she did $3 million in sales over a two-year period but she had to pay $2.55 million of that just to pay AI to bring her customers, including repeat customers. Plus, she has manufacturing and other costs. No business could ever turn a profit with that business model. This is her vanity project, not a viable company. The fact that she paid $400K to attend Stanford proves that she is into prestige over results.

[@Michael-jo9jb]

3 mill in sales but spent 2.7 in ads lol just pouring more gasoline on a huge pile of money

[@sharkmun]

It's call their marketing budget. If we use your logic, Uber wouldn't have existed. Uber is still unprofitable. They spend so much money on acquisition cost. Btw, Proven's revenue is $24 mil and their valuation is $290 mil now.

[@matthewjohnson3656]

@@sharkmunat the rate it is going and according to all forecasts, Uber will never be profitable enough to pay back its investors. It has never made a profit in its entire history.

[@pear-zq1uj]

@@sharkmun uber isnt a profitable model at all so you dont really have a point

[@blueskies7274]

Sharks freaking out about her ad spends but so many companies invest in marketing. Duh! She took their rejection so well. Her company has achieved success even after they didnt wanna help her and her products are now worldwide

[@asuragod_lol3275]

no logical company spends 2 mil to only make 3. the risk reward makes no sense in any aspect of any industry.

[@justmedee]

its almost as if.... people go on shark tank.. wait for it... to use it as a giant advertisement. And its usually the ones that have an insane valuation that they know no sharks are going to invest. This was the most obvious example Ive seen on someone purely coming on for the purpose of advertising.

[@Darknesssleeps]

No company spend 70% of their entire business model on marketing. Thats nonsensical

[@gmail4218]

Companies do invest in marketing but they do not sacrifice 85% of their revenue to have AI get customers! This company is still losing money as of today.

[@marcbastien6142]

The valuation is crazyyyy

[@grandsireshawty22]

Facts

[@SKY_FATH3R]

It was an accurate valuation as in 2022, PROVEN skincare did $20 million in sales.

[@sergeantslug6535]

I refuse to believe Mark Cuban is 64 years old

[@jerryfleck3358]

surgery and the BEST products will do it

[@jellybaby9630]

Vegetarian

[@sergeantslug6535]

@@jellybaby9630 I’m burning all the meat in my fridge & eating grass

[@jvillebil13]

As Mr. Wonderful said, "It's a competitive market and they will squash you like a cockroach" LOL that one get me every time.

[@deadeyedmillennialmedia]

Wow. She combined the words skin and intelligence. I'm in.

[@TheHuggableEmpire]

Skintelligence

[@Andrew-1828]

Notice how they said $3million in sales but no part of this video talked about the production costs or sales costs. Something this individualized and using AI, whether it really helps or not, would raise the price in their head. I want to know her actual net profit. Edit: I just looked up the product and its cost $200 for the three piece set. No skincare is worth $200 unless it’s prescribed to me by a physician and the insurance pays for part of it.

[@MahmutBusra-ud7vv]

4rabet pe bets lagana bohot asaan haina yaar, interface bohot clear aur simple hai 📱💯

[@FozzyBBear]

"The company is doing very well" Then why did they fall short on their projections by over 50% ? She projected 3 million for that year, but it took 2 years and was still clearly not profitable or they would have mentioned that.

[@MM-qp4pd]

AI with personalized healthcare would be a good pivot from this. I'm tired of one size fits all medicine when we are all different. I like a Ming a lot! She's got the idea!

[@gregap8282]

I felt so Bad for her. Kevin was extra dramatic and mean

[@jonah.donohue]

Grow up

[@MrTheoreoguy]

proof that my anger management is working 😅

[@adityaXsingh]

160K in lifetime sales and 10M valuation in beauty care just doesn't make sense for anybody.

[@bol3iz]

Seems like CNBC is trying to get credit of her success at the end there

[@BurhanHasan-ok6kl]

4rabet ka usage bohot smooth hai, kabhi bhi koi problem nahi aayi 👌🏼🎉

[@EdaOnur-ft4nb]

4RA ka interface bohot user-friendly hai, bets lagana aur jeetna dono easy hai 😃🔥

[@LordAbaddon]

Sales without profits is nothing. This company is nothing. She is so happy with sales but its not just product costs. There are importing costs, employee salaries, taxes, warehouse costs, the corporate office has a cost, utilities, travel expenses, shipping costs, and with all of the advertising costs she can make more money selling hugs at a carnival than continuing with this business. $3 Million in sales with $3 Million in costs is a nothing company.

[@hoppinghobbit9797]

Exactly

[@claudiuflorea2090]

In some types of businesses it does make sense to break even for a while, but this one was just odd. I don’t understand how she managed to get into this situation. Your raise the fking prices in order to make a profit if you are as great as advertised. If people will buy your lower priced items, they should wanna upgrade for the more expensive ones as well. Isn’t this the basics of any good company?

[@pear-zq1uj]

at least she didn't cry, she kept her dignity

[@LOU-kc5kc]

Barbara : i was not there that day and for that reason i’m out.

[@OsmanMansur-ph8tt]

4ra ka layout aur design bohot engaging hai, bets lagana aur games khelna easy lagta hai 🎮🔥

[@aaronzewdu]

290 million dollar valuation as of today.. wow, well done

[@ihsanOzge-zz7nm]

4ra pe technical processes bohot efficient hain, betting ka maza hi alag hai 😍🔥

[@Rudster14]

I can't believe they put a video of the sharks bashing an Asian woman's buisness for AAPI Month lol

[@Duval-In-The-Wall]

What is AAPI month?

[@Rudster14]

@@Duval-In-The-Wall Asian American and Pacific Islander month

[@pear-zq1uj]

@@Rudster14 lol who even cares about that stuff and i'm asian too

[@EsinCile]

4rabet pe main jitni baar bhi bet kiya, kabhi bhi unfair nahi laga, sab kuch transparent hai 💯👌🏼

[@JacoblBroughton]

I bet their “AI” is 3 if statements

[@GuherSelcuk]

4RA pe customer support bhi bohot acha hai, kabhi bhi problem solve ho jati hai 👍🏼😃

[@tommynikon2283]

It's like watching Elizabeth Holmes hawk cosmetics....

[@henrydaily2706]

The title is so contradicting

[@gaganbachhal]

At least its better than reading the whole climax in title

[@user-wx9ky9lr1y]

She’s romping away with great sales -she doesn’t need the sharks!!🎉🎉

[@mustakimrahman8527]

Ethnicity : Asian. Forgot how diverse Asia is 😆😆

[@ErkanMerve]

4ra pe bets lagane ka experience bohot smooth hai, aur winnings ka rate bhi achha hai 🤑📱

[@SeckinBaris-eg2pw]

Haan yaar, 4RA pe odds bhi bohot acche milte hain, jeetne ka chance zyada hota hai 😃🔥

[@letterstoic]

Funny. Many food companies have an ongoing 15-30% margin, yet sharks often invest in them.

[@virg0_lem0nade]

Look at the scale in this case. She has already blown through MILLIONS of dollars that she's barely beginning to break even on, and is now _asking for 10 million more_ lol... I've never seen the sharks invest in any company that fits THAT description, in any sector.

[@MM-qp4pd]

AI with personalized healthcare would be a good pivot from this. I'm tired of one size fits all medicine when we are all different. I like a Ming a lot! She's got the idea!

[@OmerSebiha-nk2zi]

Bhai 4ra pe games aur betting ke options bohot diverse hain, kabhi bore nahi hote 🎉💪🏼

[@John_Doe974]

Oh, I thought it meant he was accusing the company of buying up their own product to make it look like they have sales like colleges do with their football tickets.

[@okayfornow]

Here comes the Asian discrimination comments

[@henokmulugeta5634]

The company right now is worth 30 million, and she came here for a promotion.

[@TomRelic]

Can someone explain. Lori said she already took in $5 million? She said she spent $90,000.00 to make $110,000.00 and on route to making another $60,000.00 and got a 3.5 million licensing deal. How does it add up to 5 million? Did she even get the money yet for the 3.5 million? I'm trying to understand this. Somehow people need to know all this stuff before entering the tank. Can someone explain? CNBC?

[@DavidManouchehri]

These clips are highly edited down. Like an hour of conversations can be only 2-3 minutes of footage.

[@afrofantasylit]

Woah! 37 million in revenue so far. The sharks missed out in this one.

[@imanidiotforreplyingbut6267]

They spent 35 million in advertising you pleb.

[@D_Rat]

Still in debt

[@topshelfdustin3060]

@@D_Rat net worth of 20 million. So net of debt...

[@rrrealqueen]

What’s net of debt?

[@SenemErhan-uy1md]

Mujhe 4ra ka design bohot pasand hai, games aur betting karna aur bhi mazedaar lagta hai 😍💥

[@ludwigvonsowell5347]

It’s not AI, it’s a massive dataset and an algorithm.

[@ChrisTrovato]

Fr

[@pfever]

That is the definition of Machine Learning a subset of AI

[@JamilKhan-hk1wl]

yeah thats what AI is

[@Young-ep8ik]

That's an incredibly dumb sentence I just read. You are trying to judge a company that's won some of the most prestigious awards in its space when you don't know squat about AI.

[@ludwigvonsowell5347]

@@Young-ep8ik an 09 Huffington Post quiz is not AI.

[@pr0v3n]

This is my favourite product!

[@jonah.donohue]

Touch grass

[@ilkerYasemin]

Bhai 4ra ke live games bhi bohot interesting hote hain, aur winnings bhi sahi milti hai 💸🎮

[@TanerNeslihan]

Yaar 4rabet pe betting karna safe lagta hai, kyunki odds bohot fair hain 💥😃

[@brodiepisack4198]

I don't understand why the producers of shark tank let these products go on.

[@melissalynnmohon1926]

Love this product! It's legit!

[@buwburbhbjeqbb6790]

Smart lady. I think she was expecting rejections from Sharks at such high valuation. Maybe her aim was to advertise her products at shark tank. But she needed to work more on presentation explaining benefits and results rather than highlighting ai factor.

[@montreal1575]

Proven Raises $12.2 Million in Latest Funding Round

[@gmail4218]

FYI, Mark Cuban was correct. A staggering 85% of all sales revenue pays for the AI that brought the sales, even those from repeat customers. Plus, there are manufacturing and other costs. The company is still losing money if you analyze its own website, whose claims are truthful but highly misleading! This "company" is a vanity project for its owner. It could never turn a profit using the current business model.

[@theandyshow2167]

This title is so misleading I thought they were basically trying to say people of the Appi community are just out and scamming people

[@destinyclimb3381]

Not wrong

[@shantanutyagi5797]

if else statements are not AI

[@topshelfdustin3060]

The woman behind the tech is Amy Yuan, Ph.D (standford) who launched some project called the Skin Genome Project. From google. The platform offers over 4,000 scientific journals, 20,000 components, 100,000 unique skincare products, 8 million consumer reviews, and fraud-detection algorithms that eliminate the likelihood of bogus reviews. Call it what you will, but that's one heck of a database and a lot of scientists and data people were involved in it.

[@fakharyarkhan5848]

the data collected from the survey is prbly used in a machine learning model that determines the best type of skincare for a person to use. Also decision trees are basically if else statements and they're pretty popular in ML

[@AdamBechtol]

Aye, lol

[@dragonlord4452]

2:21 Please don't Jim the camera

[@ktktktktktktkt]

I'm pretty sure the 23 and me CEO just said all those things to advertise her own company because she basically didn't say anything of value. Also, given her company's history of over-promising and underdelivering, this seems like it would be a perfect addition to her portfolio.

[@gaby85]

As of 2022 she had a lifetime revenue of $37m

[@katesweeney9101]

I use Proven - the face wash and moisturizer - and my skin has never looked better. I used to break out all the time with other products or had to use benzoyl peroxide that dried out my skin. Proven has worked wonders for me.

[@Ai_Falcon]

3m in 2019 to 2020? AI wasn't there yet isnt that right?

[@droopy_911]

Crazy even in 2023 personalized BS solutions is still going strong!!

[@whatk8edo153]

I'm 45% convinced she's an AI robot

[@whatk8edo153]

Her facials are acting independently, her smile and her eyes don't crease, opening eyes wide and no forehead wrinkle, robotic movements with forced delivery, robot hand pose with movements.

[@MrSimur]

She is just an asian

[@rathuel4701]

​@@whatk8edo153I don't think she's a robot, I think she's just Asian

[@TraceguyRune]

Barbara was out before this episode even started.

[@ollyyung5673]

what's AAPI month? why do we need any feature or help, we're rich on our own.

[@kolanos]

Always baffling to me when a Shark says a market is too competitive. Would they rather invest in a market that no one is interested in? Good luck with that.

[@matthewjohnson3656]

It’s better to invest in a company that is offering something new in a space that is still much wanted. Mushroom jerky? Not many people doing that but lots of vegetarians would buy it. So multiple of the sharks were trying to get that deal.

[@BodegaMo]

Incredibly misleading title.

[@nitin198in]

There is nothing AI about it. It’s permutation combination

[@DSGB-JC]

This will be one that the sharks missed on, watch.

[@EvreGulbahar]

4ra pe live games aur betting ka experience bohot amazing hai, real fun 🎮😎

[@aryanalewis4558]

This is literally curologys business model

[@omurice834]

Mark always seems to call out specifically Asian women, he most likely just hates them

[@-Legacy]

Stretch

[@blizzerdbiworrior]

he invested in youthforia, which is asian woman owned, so im not really sure if he hates them

[@muhammadasyrafrusli8887]

Very competitive business. Reslly have to make a deep research before investing in this business

[@dhruvmaneesh5340]

Her valuation was so crazy it's not funny

[@willwade8050]

My family and myself really like Shark Tank...BUT these titles, click bait BS are ridiculous.

[@yaughl]

My skin care is soap.

[@jerryfleck3358]

Said it before and I will say it again. I could not go on that show. I will NOT be talked to like I am some piece of crap. Dont wanna hear things like "you are doing great, love your product but I am out"....alllll that and a buck 75 will get me a coffee at a truck stop.

[@lewisburton1852]

Three ways to grow a company method 1: (be sticky) being so good or market having not many options that they stay with you. Method 2: (Viral) People want to refer you to their friends and family. Method 3: (Paid) buy sales.

[@MehmetPinar-hb3cx]

Yaar 4ra pe games khelte waqt kabhi bhi cheating nahi hoti, sab kuch transparent hai 😎🎉

[@SeckinBaris-eg2pw]

4rabet pe betting karna har baar mazedaar lagta hai, kyunki sab kuch fair hota hai 💯👌🏼