ATHLETHC is a company that creates performance microdose products for the active lifestyle, pioneering the movement of hemp-derived cannabinoids into the plant-based nutraceutical market. Pulse 2.0 interviewed ATHLETHC CEO John Timar to gain a deeper understanding of the company.
John Timar’s Background
What is John Timar’s background? Timar said:
“I am a Navy SEAL veteran and a founder and the CEO of ATHLETHC. Since the military, I’ve spent 20 years in start up businesses spanning multiple industries from tech to security to CPG. I joined the functional beverage company, Kill Cliff, in 2018 where I served as the President & COO and then as CEO. It was an incredible experience that aligned my personal interests as a military veteran and Brazilian Jiu Jitsu black belt with a consumer brand offering performance products to its customers.”
“During my tenure, I was very fortunate to have the opportunity to create 3 beverages in collaboration with Joe Rogan while also establishing Kill Cliff as the title sponsor for one of the most prominent professional mixed martial arts teams in the world — the Kill Cliff Fight Club. It was also during this time that I discovered my passion for building consumer brands.”
Formation Of The Company
How did the idea for the company come together? Timar shared:
“My colleague GW Garrison, also a founder and President of ATHLETHC, and I worked together previously at Kill Cliff. During that time, we launched a CBD beverage line, which became the category leader in the US by market share and revenue. It was different in that we created a functional product for our large CrossFit and veteran consumer base. We paved our own path and did things very different from the rest of the industry. We definitely struck a chord.”
“After exiting Kill Cliff, we wanted to go deeper into the idea of developing performance products with hemp derived cannabinoids; and, we wanted to avoid some of the costly pitfalls associated with beverage, like shipping heavy liquids around the country and fighting for cooler space. We are both also Brazilian Jiu Jitsu athletes and wanted to create a product that we could use personally to improve our health and wellness as well as our performance on and off the mats.”
“It was interesting to us that countless athletes, gym and sports enthusiasts use cannabinoids functionally, but these segments were entirely ignored and underserved by the industry. In speaking with two of our other founding partners, Nick Etten and Matt Tarallo, we confirmed what we thought to be true. Nick, also a Navy SEAL and long time cannabis industry veteran, and Matt, emerging brand specialist for large CPG who also led one of the biggest industry investment funds, saw the opportunity for functional products and strong consumer brands in this market; both completely lacking.”
“So, we created ATHLETHC — a microdose brand with insanely portable, tasty and efficacious products focused on performance rather than recreation. Our brand is a complete rethink of THC and the cannabis and hemp industry. We are aspirational and inspirational, and we are providing consumers with a level of control over powerful active compounds unlike any brand in the industry.”
“It is disruptive for sure as we are effectively moving hemp derived products into the much larger plant-based nutraceuticals market.”
Favorite Memory
What has been your favorite memory working for the company so far? Timar reflected:
“That’s a really tough question. There have been so many great moments so far. But, I’d have to say the day we received a message from an Olympic Gold Medalist letting us know that he’s using our products in all of his practices and competitions, experiencing the benefits we envisioned. This was exciting and validating to say the least.”
Core Products
What are the company’s core products and features? Timar explained:
“Hemp-infused breath mints available in three different formulations for fitness, focus and recovery. Each mint contains 2mg of hemp derived THC as well as 12mg of other cannabinoids for function and effect. Our products empower customers through precision, giving them the ability to dial in their experience based upon their needs.”
“After a lot of R&D, we developed a breath mint format because of the high bioavailability and rapid onset unique to the oral absorption of ingredients. It’s a superior and completely underutilized form factor that provides incredible control to consumers, allowing them to integrate these powerful compounds into their lifestyle in a very functional way.”
“The benefits of oral absorption are vast. Not only does it enable rapid onset, but it also allows you to get all the good of these compounds without the bad. Our products are smooth, mild, and predictable, allowing customers to enjoy the benefits of a precision dose to enhance their lifestyle.”
“Contrast this with popular products like gummies or beverages, which break down through your liver delaying the onset time and creating unwanted psychoactive effects as a byproduct of this process. Your liver actually creates a compound called 11-Hydroxy-THC when it processes a traditional edible. 11-Hydroxy is 5-10x more psychoactive than the THC you consumed, which is why everyone has a bad edible story.”
“Our products are designed for function rather than dysfunction.”
Challenges Faced
What challenges have Timar and the team face in building the company? Timar acknowledged:
“There are a myriad of challenges in this sector. While hemp derived products like ours are federally legal under the 2018 Farm Bill, advertising restrictions abound and the policy environment varies from state to state. Our team consists of industry pioneers, so we have accumulated a tremendous amount of experience in traversing these obstacles.”
“It really boils down to focus, creativity and execution in productive channels. Businesses often make the mistake of trying to be everything to everybody and moving too fast into unproven opportunities. Winning yields tremendous excitement, which can often lead to hubris and bad decision making despite best intentions. I see it all the time, and have lived it as well. We are very deliberate in developing our brand around several key consumer pillars, strong partnerships, proof of concepts, and moving at a speed informed by facts and data in the business.”
Evolution Of The Company’s Technology
How has the company’s technology evolved since launching? Timar noted:
“Our technology spans three specific areas — online platform, production, and formulations. The platform evolves as we identify new requirements for the business and to support our customers. We use best in class software and apps and continue to develop the platform to meet the needs of our growing customer base.”
“We have a state of the art production partner which helps us create unique precision products with the latest technology for improved bioavailability and efficacy. We continue to innovate for the future with formulations, ingredients and new, better approaches to deliver powerful compounds and rethink the industry. At our core we are different and evolved. You’ll see this in all of our future innovations.”
Significant Milestones
What have been some of the company’s most significant milestones? Timar cited:
“Building a concept, bringing it to market, and receiving an overwhelming positive response has been incredible. Since launching we’ve eclipsed all of our KPIs and initial expectations. Seeing the strong and ever growing repeat customer rate and organic development of the brand is by and large one of the most exciting things so far, especially given that our approach is so fundamentally different from the overwhelming majority of brands in this sector. We sought out to build a community through our brand and are seeing it manifest as we grow.”
Customer Success Stories
When asking Timar about customer success stories, he highlighted:
“We get customer feedback daily, ranging from ‘I really believe ATHLETHC has improved by golf game’ to ‘I’ve never had a better night of sleep” to ‘my mood is so much better and I feel so relaxed’ to ‘I felt so great on my run this morning with ATHLETHC.’”
“We developed our products for people to use throughout the day, stacking as needed, to stay in the productive versus non productive zone. So many products in our industry will knock you sideways and create unwanted anxiety and make people feel out of control. Ours don’t.”
“Hearing the stories from customers that they are using the products as we intended and realizing great benefits in their lives has been fantastic.”
Funding
When asking Timar about the company’s funding and revenue details, he revealed:
“We were self funded through brand development and launch and have since engaged private investors through a seed round. It is going extremely well. This is an industry plagued with weak, unfocused brands and low consumer brand awareness, as well as a plethora of over-resourced, underperforming infrastructure investments rife with investor fatigue. We offer a fresh and exciting proposition which has garnered a lot of interest from current and prospective investors.”
Total Addressable Market
What total addressable market (TAM) size is the company pursuing? Timar assessed:
“The hemp and cannabis industry is expected to double and exceed $80 billion annually in the US over the balance of the decade with 20 million new consumers entering the market. Analysts anticipate almost all of this growth to come from hemp rather than cannabis due to its federally legal status and broad consumer accessibility. While we anticipate a massive opportunity in this market alone, we have our sights on the multi-trillion dollar plant-based nutraceuticals market, given our focus on health, wellness, and athletic performance.”
Differentiation From The Competition
What differentiates the company from its competition? Timar affirmed:
“Everything. Our brand, our packaging, our message, our products. We have removed the stigma of cannabis culture entirely and are focused on performance, precision, accessibility and portability. We are not recreational. We are functional. We are aspirational and inspirational. Our format and formulations are simply better. We’ve set a new standard in this industry, and are seeing organic combustion as a result.”
Future Company Goals
What are some of the company’s future goals? Timar emphasized:
“Our goal is to build a nationally recognizable health and wellness brand using cannabinoids in a functional way to improve people’s lives. We’d like to do that and dominate the path that we’ve pioneered as an industry disruptor. We want to create real value not only with a strong P&L but also with our customers.”
Additional Thoughts
Any other topics you would like to discuss? Timar concluded:
“All good. You can learn more about our brand and products at athlethc.com or check us out on social media at @athlethc.”
