After an intense workout, downing a bottle of Gatorade may feel refreshing but it’s not doing your body any favors – a 20 oz bottle of Gatorade has 34g of sugar; effectively negating your workout. As wellness continues to gain popularity and influence fitness, dietary habits, and metabolic health, people are increasingly conscious about healthy alternatives to combat hydration and replenish electrolytes. Cure Hydration is the organic, plant-based hydration powder mix that has 4x the electrolytes of popular sports drinks without the added sugar; the company uses natural, organic coconut water as a base. Cure offers its drink mixes in a variety of flavors such as ginger turmeric, lemon, and grapefruit that are available through Amazon, Thrive Market, and in 4200+ retail locations that include CVS, Walmart, Whole Foods, and Urban Outfitters. The subscription pricing starts at $16.79 for 14 individual packs delivered to your door.
AlleyWatch caught up with CEO and Cofounder Lauren Picasso to learn more about how training for a triathlon inspired the company, the company’s experience distributing to essential stores during the pandemic, recent round of funding, and much more…
Who were your investors and how much did you raise?
We raised $2.6M in Seed funding. The round was led by Lerer Hippeau with additional participation from M3 Ventures, Litani Ventures, Andy Roddick, Nas, Matthew Dellavedova, Philip Krim, Nick Green, and others.
Tell us about the product or service that Cure Hydration offers.
Cure Hydration is a functional hydration brand formulated with organic, plant-based ingredients that make you feel good no matter where you are in your health or fitness journey. The drink mix is based on the World Health Organization standard for Oral Rehydration Solution which is proven to hydrate as effectively as an IV drip. The formula has 4x the electrolytes of leading sports drinks but uses organic, plant-based ingredients and contains no added sugar.
What inspired the start of Cure Hydration?
I came up with the idea for Cure when I was training for a triathlon and would get headaches and feel nauseous after my long workouts. I eventually realized that even though I was drinking plenty of water it wasn’t enough to replace the electrolytes I was losing. Unfortunately, most of the electrolyte products on the market still use a base of sugar, synthetic minerals, and other artificial ingredients. I wanted to create a product that was effective but that I could feel good about drinking every day.
How is Cure Hydration different?
Cure Hydration is the only plant-based hydration brand based on science. The majority of hydration and electrolyte products use “sugar” as the first ingredient whereas Cure Hydration uses organic coconut water and contains no added sugar.
What market does Cure Hydration target and how big is it?
With 75% of people being chronically dehydrated, Cure Hydration provides clean, plant-based hydration for all. Ultimately, we want to make wellness more inclusive and accessible to a wide audience – from marathon runners, to new mothers, to those struggling with illness.
The sports drink and energy market alone is worth $14.5B but we believe we have an opportunity to capture the broader hydration market including bottled water and coconut water customers.
What’s your business model?
Cure Hydration is an omnichannel business. We’re available for purchase on our site, Amazon, Thrive Market, and retail stores nationwide including CVS, Walmart, Whole Foods, and Urban Outfitters.
Cure Hydration mixes are sold in individual packets and available through subscription which drives 60% of our online sales:
14 Packs
- $16.79 for subscription service of 14 individual packs
- $20.99 for a one-time purchase of 14 individual packs
28 Packs
- $30.22 for subscription service of 24 individual packs
- $37.78 for a one-time purchase of 24 individual packs
How has COVID-19 impacted the business?
Pre-pandemic we were very focused on premium retail and travel, selling the product in 100+ fitness and wellness studios and 75+ airports. Post-pandemic we quickly had to shift our outreach to essential retailers and grocery stores. Given the high demand for electrolyte products, we secured distribution in over 4,200 retail stores. This pivot ended up leading to a 14x increase in sales since January 2020.
What was the funding process like?
The fundraising process was unique given the inability to meet with investors face-to-face during the pandemic. That said, I consolidated Zoom calls to quickly narrow down the investors who would be the right fit, and this ended up being much more efficient than meeting in person – like speed dating!
What are the biggest challenges that you faced while raising capital?
The uncertainty of the economy definitely made fundraising more difficult. Many investors were focused on helping their existing portfolios navigate the pandemic and put a pause on new investments altogether. In the short-term, we were able to secure debt financing to support our inventory needs as we launched into retail. This helped us grow the business and get the momentum we needed while also showing investors we could be self-sufficient and profitable.
What factors about your business led your investors to write the check?
There has been explosive growth in the wellness industry but a lack of products that use organic and plant-based ingredients at an accessible price point. Our investors have extensive knowledge of the wellness, CPG and retail landscape and value our ability to offer consumers products that are both scientifically effective and healthy.
What are the milestones you plan to achieve in the next six months?
We plan to scale the team, further expand distribution, and develop new products across a range of categories.
What advice can you offer companies in New York that do not have a fresh injection of capital in the bank?
Be scrappy! I bootstrapped Cure Hydration for over a year, didn’t take a salary and consulted on the side while I was getting the company off the ground. In the early days, you really have to be resourceful because you don’t always find product-market fit right away.
Be scrappy! I bootstrapped Cure Hydration for over a year, didn’t take a salary and consulted on the side while I was getting the company off the ground. In the early days, you really have to be resourceful because you don’t always find product-market fit right away.
If you keep testing, learning, and iterating you’ll eventually get there but you have to do it in a cost-effective way.
Where do you see the company going now over the near term?
We’ll be expanding our product portfolio to meet the needs of our customer base while staying true to our principles that we are backed by science and use premium and organic ingredients. We’ll also be leaning into our partnership with SheIS in a much bigger way, continuing to donate 1% of our sales to promote women’s sports.
What’s your favorite outdoor dining restaurant in NYC
The Nomad Hotel. They’ve opened up their rooftop for outdoor dining and it’s one of the best outdoor set-ups I’ve seen. The space is beautiful and has an incredible view of the Empire State building. I recommend their signature roast chicken for two.
