Learn how to validate your startup idea by pre-selling it, for only $80 (includes a free 1-hour consultancy call).

Areo

App to book services
Google Cemetery
GENERAL INFORMATION
Category:
Food & Beverage
Started:
2017
BUSINESS FAILURE
Cause:
Multiple Reasons
Closed:
2019

Description

Areo was an app Google launched in India in 2017. It aimed to provide all kinds of home services and food delivery in one place. Users could search for meals or set up an appointment with local cleaners, plumbers, electricians, and other professionals.  

Google acted as a middleman and partnered with businesses such as UrbanClap and Zimmber for home services. For food delivery, they connected users to Freshmenu, Box8, Foodpanda, and Faaso.

Areo

Ad

Startup Foundations

You don’t need developers to launch your startup. In this free video series, learn tactical strategies proven to deliver results. Get free access to Startup Foundations →

Cause of Failure

The service wasn’t overly successful. Within a year and a half of being released, it had reached only 1 million downloads – something unremarkable for a market as big as the Indian one.

Furthermore, most of the app’s users experienced numerous issues with the service. For example, they would have charges on their accounts, get a confirmation for their order, and later the provider would cancel it.

The companies that partnered with Google for the project also didn’t find the tool all that useful. The service had little traction, and the businesses received few customers through it. People just preferred to use the Google Search option to find the providers directly.

Additionally, Google’s strategy for the tool was a bit unclear. It didn’t seem to be targeting a particular audience, wouldn’t have any useful user data except about made transactions, and the service information available on the app wasn’t adequate.

The All-In-One Newsletter for Startup Founders

Every week, I’ll send you Failory’s latest interviews and articles, curated resources for founders, and updates on how I’m growing the site to $10k/mo. Join +9,000 other startup founders!