The Plug Turns Profitable, Launches Fundraise Gearing Up for Retail

LOS ANGELES, Oct. 17, 2023 /PRNewswire/ -- The Plug Drink ("The Plug"), the leading all-natural plant-based recovery brand focusing on liver health, is thrilled to announce the last three months they achieved profitability, where 90% of business is still online direct-to-consumer and retail is on track to grow 300%+ YoY. As a result, The Plug launched their equity round two weeks ago (40% raised), and are in active conversations with several institutional funds, family offices, and strategics. This new growth capital will be their first lump-sum raise ever and will help The Plug strategically to build off their success and continue on the path to profitability as well as launch new SKUs, expand their sales team, and educational science-based marketing initiatives as they gear up for their first retail launch in 2024, after securing KeHE during Expo West in March along with six new distributors.

In 2023, The Plug strategically shifted their focus to profitability and improvements on all of their key performance indicators (KPIs) after seeing the uncertainty in the fundraising market. After growing 500%+ for two consecutive years, the co-founding brothers, Ray and Justin Kim, started to focus on what they could control, their returning customers. "We saw industry headwinds start to emerge and decided to work on these initiatives 12 months ago and our ability to always innovate, stay ahead of the curve, and restructure our near-term priorities both internally and externally allowed us to emerge in a stronger position and we look to partner with the best value-add capital partners as we enter our next level of growth," said Justin Kim, Co-Founder & COO. The turnaround in just six months were staggering:

• AOV: $65 to $100+
• Returning Customer Rate: 22% to 60%+
• Conversion Rates: 2.00% to 4.00%+
• Burn Rate: lowered by 4x

October 17^th is The Plug's 4^th Company Birthday and they are excited to launch their new The Plug 5.0 Formula in November, where they increased their herbal concentration (10.8g) by three times, strongest amongst their peers in optimizing liver health. Along with this, the AAPI-owned brand drastically improved their flavor profile and received the following certifications: Non-GMO Project Verified, Gluten-Free, Plant-Based, and Kosher. "As we focused on boosting our omni-channel presence and an efficient path to profitability, we cut our ad spend by over 80% thereby reaching only ¼ of new customers, but were able to maintain our top line and improve our loyal returning customer rates and all different KPIs, which is a testament to our superior formula's efficacy and our sticky customer base," said Ray Kim, Co-Founder & CEO. With a mission and commitment to educating people about the power of plants, The Plug aims to bring awareness to the crucial role the liver plays in overall well-being and productivity. These partnerships are key in The Plug's next steps to becoming more accessible and a household name and ultimately, an advocate for liver health within the beverage and supplement industries.

About The Plug
The Plug is an all-natural plant-based functional recovery brand focused on optimizing one's liver health. The Plug has two product lines, which include The Plug Drink and The Plug Pills. The Plug Drink beverage with electrolytes that rapidly cleanses your liver of toxins, reduces unwelcomed symptoms after a night out, boosts your immune system, and keeps you properly hydrated. The Plug Pills are the newest addition where it combines The Plug Drink's herbal formulation along with Milk Thistle, Turmeric, and B Vitamins. The Plug's science-backed proprietary blend of 13 plants, flowers, and fruits has the highest herbal concentration (10.8g) compared to competitors. We are a lifestyle better-for-you wellness brand focused on optimizing everyone's lifestyles and productivity levels by educating people about the power of plants & herbs and bringing awareness to the liver. For more information about The Plug Drink, please visit theplugdrink.com, and follow on Instagram @theplugdrink. If you would like to be a brand ambassador, please sign up at theplugdrink.com.goaffpro.com.

Press Contact:
Justin Kim
[email protected]

SOURCE The Plug Drink