Most experts agree that a large percentage of startups – 70-90% – are bound to fail. A recent question came up in a startup forum:
What are the top failed startups in 2016?
Response based on research by –
- It was an on-demand grocery service in India.
- It was the Gurgaon (Gurugram) based company which shuts its operation on august 2016.
- PepperTap was processing less than 1000 order daily as compared to 20,000 on December 2015.
- It was backed by blue chip investor’s including Sequoia Capital, SAIF Partners and e-commerce major Snapdeal and had raised $51 million in capital.
- The reason for this failure was too much discount and offers but not as much value, actually, it lost the big chunk of money in every delivery, so they had to shut their business.
- Navneet Singh, CEO of peppertap saif that they are pivoting to full stack e-commerce logistic company.
- AskMe has many startups like AskMeBazaar, AskMeGrocery etc.
- Getit is the parent company of askme and its other branches.
- Getit started from their yellow page business and move towards print to digital data assimilation and started .
- Malaysian billionaire T. Ananda Krishnan’s firm Astro Holdings owns Getit.
- It also has the same story as PepperTap and other startups, it gives way too much discount and showed fake offers and products and also has some cash crunch.
- It was also trying to do many things very soon like AskMeGrocery, AskMePay.
- Also, their parent company that is Astro holdings pulling their business from India.
- Actually, It is officially not closed but told that they are on break and will soon start taking order’s but now their official sites do not take any order.
- The Foodpanda group is one of the world’s largest online food ordering marketplaces in the world.
- It is backed by Rocket venture and was launched in March 2012 in Singapore and expanded into 16 countries by the end of the year.
- It is operated in almost 43 countries and has headquartered in berlin, germany.
- Foodpanda India is the verge of collapse by the way it was closed on Indonesia and had also closed down operations in Vietnam last year.
- It also lost it’s stability in India because it also giving too many offers and discount up to 80%.
- Actually, it’s business is mostly depend on restaurants as for how they work and when they are open as mostly in India not too much restaurant has 24/7 service and sometimes the restaurant is unable to deliver in time.
- Foodpanda tries to sell their business in India at $10M and only wants to focus on the Middle East and Eastern European markets as they are profitable there.
- It was a pure fashion portal which pivoted its business to online marketplace in the year 2014.
- It was founded by former Reliance Trends CEO Arun Sirdeshmukh and Darpan Munjal, former chief technology officer at Times Internet Ltd, in 2012 and earlier this year its co-founder Darpan Munjal left the company.
- It raised $4M in series A funding and secured $7M from Lightspeed and Helion the same year.
- I think Fashionara failed because
- first, its get pivoted from fashion place to marketplace as it already has large competition from the biggies like Jabong, Myntra, Yepme etc.
- second, Fashionara wasn’t able to fight with this company and able to get the customer.
- I don’t know about their future plan because I don’t find many thing about that company.
- It was also an online food-delivery startup founded by five IIT-alumni.
- It was the youngest startup which got limelight in short span of time and raised more than $27 million(50 crore) from investors including Sequoia Capital and Matrix Partners.
- It was present in more than 11 metro cities but eventually stopped its work in all cities except Mumbai.
- I also used this app 8 months ago and then it had the offer to buy 1 meal and get 1 free and I ordered it. it was a new and big problem then but now lost all its value because they spend money like water and gave too many offers and now on my list.
- TinyOwl official recently said that the startup will merge with logistics firm Roadrunnr in an all-stock deal and create a new food delivery service called Runnr.