Startup Businesses That Came Out at the Wrong Time and Failed
The fact that these previously unsuccessful business ideas are quite successful today emphasizes the importance of timing once again.Business ideas that first failed and then succeeded.
Investors act on real data and think the startup world is full of cliché ideas. However, most of the newly established companies will soon go bankrupt because they are not ready yet.
In 2000, 43% of people were using the internet. Today, this rate has reached 90%. Almost everyone has a smart phone in their pocket. This is a sign that internet-related business models offer great potential.
Logistics companies such as FedEx or UPS are working more efficiently at lower costs compared to the 1990s. Thanks to cloud technology and open source software, the costs of starting a business are decreasing day by day. This removes the risky aspects of starting a business.
Now let's look at some great business ideas that emerged 20 years ago but failed due to their timing. The fact that these business ideas that failed at that time were quite successful today emphasizes the importance of timing once again.
Day-to-Day Product Delivery
Uber has completely changed the way of urban transportation. You press a button and a vehicle arrives at your door within a few minutes and leaves you wherever you want. Again, you make your payment with a single click.
The same logic can now be adapted for grocery shopping, flowers, food, and anything else you can think of. Today, Amazon and Google are among the companies that deliver products on the same day.
Delivery during the day was an idea that was spoken in the early days of the internet. It was only then that companies like Kozmo.com and Webvan.com that were operating went down catastrophically. Today, the founders of Kozmo.com set up a site called MaxDelivery.com. With around 100,000 customers, the site is growing slowly and steadily and employs around 130 people.
Nowadays, the success of companies applying this business model shows that the idea of Kozmo.com is not wrong, only that their timing is wrong.
Pet Food Delivery
Focused on "cat mothers and dog fathers", this business idea was not very successful in the early 2000s for logistical reasons. Shipping large and large dog food across the country was quite unreasonable in terms of cost.
Using the same business model today, Petflow.com made a profit of $ 50 million in 2014 alone. The dog supplies company called Bark & Co states that their annual turnover is around 100 million dollars.
Of course, the development of logistics and distribution systems has a big share in this. So a business idea that is making $ 100 million today didn't make sense to anyone 20 years ago. From zero to $ 100 million in 20 years… Pretty impressive, right?
Even though smart watches do not attract as much attention as smartphones, they still have a great interest. The smart watch sales figure that Apple expects for 2017 is 50 million units.
However, earlier than companies like Apple and Samsung, in 2004, Microsoft developed the smartwatch concept for the first time. However, later on, the smartphone glut affected Microsoft's initiative negatively.
Famous watch brands such as Tissot, Swatch, Fossil were producing Microsoft's watches, and these watches were providing information such as news and weather conditions to their users through radio signals. But the fact that Bill Gates made a timing mistake is pretty obvious.
In the mid-90s, when the internet started to become popular, Boo.com was selling only clothes, eToys.com only toys, Eve.com only cosmetics. In the early days of e-commerce, the basic philosophy was to choose a product category and sell only products from that category. (Selling only one type of product is called vertical trade, and selling many different kinds of products is called horizontal trade.)
But Amazon came out and swallowed all of its competitors. At first, Amazon only sold books, then started selling all product categories from A to Z. "Niche" sites selling specific products raised the flag of bankruptcy.
However, today "niche" e-commerce sites are at a level that can compete with Amazon. Sites such as Warby Parker and Bonobos produce and sell their own products. It is focused on Wayfair furniture, Birchnox cosmetics, Nasty Gal clothing.
Beanz and Flooz are the first platforms to use the digital money system that can be used for shopping. These companies, which received an investment of 100 and 35 million dollars, went bankrupt in a short time and the digital money system was not welcomed for a long time.
However, today there are many digital currencies such as Bitcoin and Etherium. If we say that 1 bitcoin is about 2500 dollars today, I guess what we say is better understood.
Nintendo's virtual reality compatible game kit, Virtual Boy, was launched in 1995 and was discontinued the same year. Because it was not portable and comfortable, the screen was black and white and extremely expensive. Today, none of the virtual reality kits produced by companies such as Samsung and Google have these problems. So Nintendo could not get his share of the virtual reality cake because he was acting quite early.
Live Broadcast Applications
Before Justin.tv there was JenniCam. Watching a woman broadcasting her life live on this site, established in 1996, was $ 15 a month. In 2007, Justin.tv offered the same service to smartphone users. Later an application like Viddy was launched. However, neither of them was very successful. Meerkat and Periscope, which have been viral success today, have been a huge success. So, as you can see, platforms like JenniCam and Justin.tv required faster internet connection, better video streaming phones and a bigger video watching habit to be successful.
Apple wasn't the first to produce the touchscreen, but Apple made it popular. In the 1980s, digital pen and printer companies such as Go Corp and Pencept produced some computers used with pens. Only then was this technology in a very raw state. Apple took this idea and put it into stylish form.
When Google Glass was first announced, it was criticized by many in terms of appearance and design. Moreover, the fact that people walked with a computer in their faces caused many people to worry, and they were worried about the abolition of privacy. In other words, Google was early to present this product.
However, despite all the criticism, Google Glass did not stop production and continued to improve its product. Smart glasses help employees in places such as factories to easily access the necessary information about production without using their hands. Moreover, Google Glass is not a cause of discomfort for them, as the people here are constantly using safety glasses. It should also be noted that Google Glass has a much more useful and stylish design today.