TV Dragons’ Den reject takes award-winning idea to US
Entrepreneur James Nash designed and manufactured a machine that fills plastic goblets with wine and seals them with a foil lid, giving the product a 12-month shelf-life.
He pitched his concept to the Dragons in 2009, asking for a £250,000 investment for a 25% stake in the business.
Duncan Bannatyne described the product as “tacky” and said people would not want to buy wine in plastic glasses. Theo Paphitis thought it was “too much of a gamble” and all of the Dragons questioned Nash’s lack of a patent for the product.
James Nash, founder of Wine Innovations, told FoodManufacture.co.uk: “The most insulting comment came from Duncan Bannatyne, who said I just wanted the money to have a good time.”
‘Good time boy’
But an investor, Norman Catton, was watching the show and picked up the phone to talk to Nash immediately. He invested the £250,000 Nash needed to move the product forward.
With Catton on board, Nash secured a patent, followed by listings in Marks & Spencer (M&S) with a one-year exclusivity deal.
“M&S wanted to support British innovation,” said Nash. “We’re manufactured in Pickering and our production is in Middlesbrough so we’re supporting the UK economy.”
The goblet won two industry packaging awards in 2010 and this month (October 2012) the Le Froglet wine, which M&S fills it with, won an International Wine Challenge award.
Nash has now sold 800,000 units of the wine goblet in the UK. He has also developed and exported machinery to manufacture the product in Australia and South Africa and is in talks with other major retailers now that his exclusivity deal with M&S has expired.
Manchester City
Nash said: “I hope to roll it out across all the major retailers. It’s also done very well in the catering arena at sporting and concert venues. It’s sold brilliantly at Manchester City and Sunderland Football Clubs and Take That and Red Hot Chilli Pepper concerts.”
Now Nash plans to develop the concept to hold pre-mix cocktails, sparkling wine and beer.
He’s also taking it to the US and is looking to recruit an American specialist to ensure he hits the ground running when he starts producing his product in the US early next year.
“It’s a different set of headaches over there,” said Nash. “They have three layers of discounting so if you’re a manufacturer you have to use three levels of intermediary, as opposed to the UK’s two. But everything’s cheaper, so it makes sense to manufacture over there to avoid paying duty.”
Thanks to Dragon’s Den, Nash has received interest from as far and wide as China, Hong Kong, Mexico and Latvia.
He said: “The show has been fantastic for us – it’s such unbelievable publicity. The enquiries come in batches so I think they’re in response to the show being aired overseas because we seem to get a sudden influx.
“I do wonder if Theo Paphitis looks back and kicks himself for not investing in my product. But I’m glad he didn’t because I’ve sold 800,000 units since I spoke to him and I’ve retained most of my company.”
To read how two sisters, who won backing from the Dragons’ Den, plan to become the new Chinese Levi Roots, click here.
