Overview
XTorch is a solar-powered flashlight and phone charger that was created to provide a reliable source of energy for the two billion people on the planet who live in darkness.
The product was developed by Gene Palusky, who had a background in fine arts and real estate. Together with his wife Keidy, they established EJ Case, the company responsible for manufacturing the XTorch.
The XTorch was designed to provide light and also serve as a backup phone charger. It was first introduced in 2015 and sold for $60 each. The Paluskys were inspired to create the product after traveling to countries in Africa where many communities did not have access to electricity.
They were particularly moved by students who studied without light during the night time. The couple was further motivated to take action when Keidy contracted malaria, which she reportedly got while in the dark.
Appearance on Shark Tank
In 2020, the Paluskys went on Shark Tank seeking $150,000 for 10% equity. During the pitch, it was revealed that the XTorch flashlight did not have a patent. The Sharks also expressed concerns about the company’s sales history, and most of them opted out.
Robert Herjavec offered to buy the entire business for $500,000, but Gene countered with $1 million for 100% ownership, which was denied. The entrepreneurs walked out with no deal.
Product Demonstration
The X Torch is a super tough light and power device designed to handle even the most rugged of conditions. It is a solar-powered rechargeable device with three functions: flashlight, lantern, and cell phone charger. The device can hold its charge for up to three years in storage and can supply up to 48 hours worth of light. Additionally, it glows in the dark and it even floats.
The X Torch is easy to use, with a single button that controls all three functions. Pressing the button once activates the flashlight, pressing it again activates the room lantern, and pressing it a third time activates the table lantern or reading lamp. The device also features green lights that indicate the battery’s charge level and a USB port for charging cell phones.
The X Torch can be charged using solar power or electricity. It takes about 22 hours for a full solar charge and only one hour for a full electric charge. The device is priced at $55.95 on the company’s website and costs $18.50 to manufacture.
The X Torch is not just a flashlight, it is a solar power rechargeable light and power device that is used around the world in the most rugged conditions. The company donates at least 25 percent of its profits to its partners around the globe. The X Torch is designed to be a reliable backup power source for every home, workplace, and campsite in America.
Update After Shark Tank
After the Shark Tank episode aired, XTorch received over 2,000 orders, a 350% increase from their previous year’s sales. The company has received a 4.5-star rating on Amazon, indicating that there is a demand for their product.
XTorch is currently contributing 25% of its profits to various charity organizations around the world. The company’s growth has been steady, and as of 2024, its value is $1 million. The Paluskys hope to reach $3.2 million in revenue by 2024 and will need to double their sales every year to meet this target.
Gene Palusky’s Background
Gene Palusky is the founder of XTorch. He studied fine arts at Macalester College and earned his master’s degree at the University of Wisconsin. After 15 years as an artist struggling to pay bills, he changed his career and went into the real estate business. He bought and renovated old apartments for 20 years before taking a vacation in the Dominican Republic, where he met his wife Keidy.
The Birth of XTorch
Keidy Palusky helped Gene go on an adventure and leave his real estate business behind him. They traveled to countries in Africa, where they were inspired to create the XTorch. In 2015, Gene designed the solar-powered flashlight and established EJ Case, the company responsible for manufacturing the product.
Lessons From XTorch’s Success
From the Shark Tank episode featuring the XTorch, here are three practical tips for aspiring young entrepreneurs:
1. Demonstrate the unique value of your product
The entrepreneurs presented the XTorch as a multi-functional device, not just another flashlight. It serves as a flashlight, room lantern, table lantern, and a cell phone charger, highlighting its utility in various situations, particularly emergencies.
Do this: Clearly articulate what sets your product apart from others in the market. Emphasize its unique features and benefits to show potential investors and customers why it is superior to existing solutions.
2. Understand and target your market effectively
The XTorch founders initially focused on non-profit organizations to distribute their product in areas with unreliable power. However, their transition to a broader commercial market revealed challenges in scaling and marketing their product effectively.
Do this: Conduct thorough market research to understand your customers’ needs and how best to reach them. Whether targeting non-profits or the general consumer market, tailor your business model and marketing strategies to align with these specific audiences.
3. Price your product competitively
The XTorch was priced at $55.95, which was perceived as high for a product in a competitive market where consumers might be hesitant to pay a premium without understanding the added value.
Do This: Set a price that reflects the value of your product while remaining competitive within your industry. Consider factors like production costs, target market’s purchasing power, and competitor pricing. Effective pricing strategies can significantly influence product uptake and overall business sustainability.
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