34% of startups fail due to lack of product-market fit. Learn how to avoid it for only $15!
A big resource for entrepreneurs and startup owners, in which we have collected and analyzed why +100 big companies have failed. Learn from mistakes, and avoid being part of the 90% of businesses that fail.
Online app that provided healthy organic meals
Sprig delivered high-end meals to customers who were looking for healthy and nutritional menu choices.
This meal-based startup provided fast delivery times with low or no fees whenever there was low demand. The company also dominated in terms of quality of ingredients and transparency in the nutritional value. The ingredients were sometimes inspected from the point of origin by the chef so as to ensure that they had the best quality. All the ingredients used for the meals were locally-sourced, sustainable, and seasonal.
The on-demand food business was a tough arena to venture in. Sprig tried to handle all elements of the experience, like sourcing, cooking and delivering the food but soon found the whole process time consuming and besides being expensive, it required a continuous and seamless management and integrated logistics.
Sprig would sometimes deliver free of change to the clients, but this raised expenses and caused them to have a lower profit margin. They also struggled to pay workers, working premises bills and the necessary products.
Another downside with delivery-based food services like Sprig was that they did not offer a place where customers could go and have meals, while often a good dining experience and service is what entices people to become repeat customers.
Spring had a shortage of finance to run its business and faced stiff competition from other already established companies such as Seamless, UberEats, Blue Apron and Domino.
Virtual closet to trade fashion items
Textbook and course material provider for schools
Online retailer that offered daily deals
Provided social media management tools
Online platform to share personal secrets
Restaurants delivered to your door