☠️ 30%+ of startups fail due to lack of product-market fit. In this eBook, you'll learn how to avoid it. Only $10 for a limited time.

Startup Cemetery

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.

This is Brought to You by:
Acadium

Acadium

120 hours of digital marketing from a remote apprentice for only $299 (+ $50 off!)

NerdPilots

NerdPilots

Get fast, reliable web, mobile and software development help 24/7.

This could be your AD. Sponsor Startup Cemetery to reach +10,000 entrepreneurs.

Subscribe to Our Newsletter!

Invite us into your inbox and get immense learning and 80+ deals on tools to help you scale your startup (worth up to $50,000)!

Your subscription could not be saved. Please try again.
Your subscription has been successful.

Teforia

A tea brewer machine connected with an application

General Information
Category
Food and Beverage
Country
United States
Started
In 2014
Business Failure
Business Outcome
Shut Down
Closed
By 2017
Cause of Failure
No Market Need
Founders & Employees
Number of Founders
Two
Name of Founders
Allen Han, Kris Efland
Number of Employees
Between 11 And 50
Funding
Number of Funding Rounds
2
Total Funding Amount
$17.1M
Number of Investors
9
Description

Teforia was a tea brewer that would supposedly yield the perfect cup of tea by combining traditional brewing with the power of smart technology. The app was connected to Wi-Fi, had Bluetooth capabilities and a designated mobile app to start the machine, gain info about the tea leaves, stats and an option to teak the brewing process. Teforia initially costed over $1000, the company also sold prepackaged leaf packets.

Cause of Failure

The first reason why Teforia was deemed to fail despite the substantial capital it raised was the absence of market fit for the product. Even if tea enthusiast were so particular about their tea they would have thought twice about spending a $1K on a tea making machine. The problem was also the fact that according to some reviews the tea didn’t taste better than that made in the traditional manner. The accompanying sets of cups were also delicate and high maintenance, which defeated the stated purpose the app of making the tea ritual more convenient and enjoyable. The company claimed that people were not ready nor ‘learned’ enough to appreciate the fine details that made the product so needed.

It is also plausible to think that people became skeptic of smart kitchen products when, during the same period, a similarly high-priced machine that pressed vegetable to make the ‘perfect glass of fresh juice’, the Juicero, was publicly shown to be perfectly useless.

Go on Reading

RewardMe

Intelligent CRM solution for local commerce

Marketing
Shut Down
$1.1M
Lack of Funds
Marketing
United States
In 2010
By 2015
Three
Between 11 And 50
Between 1M 10M
Lack of Funds
Shut Down
Lumos

Internet of things startup on switching technology

Software and Hardware
Shut Down
No Data
Lack of Experience
Software and Hardware
India
In 2014
By 2015
Three
Between 1 And 10
No Data
Lack of Experience
Shut Down
Monitor110

Real-time internet monitoring services

Analytics
Shut Down
$17.3M
Multiple Reasons
Analytics
United States
In 2003
By 2008
One
Between 1 And 10
Between 10M 50M
Multiple Reasons
Shut Down
Selltag

Platform for people to sell and buy items

e-Commerce
Shut Down
€325K
Failure To Pivot
e-Commerce
Spain
In 2014
By 2015
Four
Between 11 And 50
Less Than 1M
Failure To Pivot
Shut Down
Kno

Education software startup

Education
Acquired
$94.9M
Competition
Education
United States
In 2009
By 2013
Two
More Than 10000
More Than 50M
Competition
Acquired
Sprig

Online app that provided healthy organic meals

Food and Beverage
Shut Down
$56.7M
Competition
Food and Beverage
United States
In 2013
By 2017
Four
Between 51 And 100
More Than 50M
Competition
Shut Down
This is Brought to You by:
NerdPilots

NerdPilots

Get fast, reliable web, mobile and software development help 24/7.

Acadium

Acadium

120 hours of digital marketing from a remote apprentice for only $299 (+ $50 off!).

This could be your AD. Sponsor Startup Cemetery to reach +10,000 entrepreneurs.

Subscribe to Our Newsletter!

Invite us into your inbox and get immense learning and 80+ deals on tools to help you scale your startup (worth up to $50,000)!

Your subscription could not be saved. Please try again.
Your subscription has been successful.