It’s a well-known ‘statistic’ that 90 percent of startups fail within the first 120 days. But what could be the reason for an ecommerce company that just started to be unsuccessful so soon? Let’s have a look at the top 10 reasons why ecommerce startups fail.
Startups are important for the ecommerce industry. Without startups, there would be almost no innovation, there would be no acquisitions, there would be no funding, et cetera. Startups can shake up an entire industry, just look at what Rocket Internet achieved with Zalando for example. We love startups! You should too, so check out this category and maybe you’ll read about some interesting new player you never ever heard of before!
Beerwulf, a Heineken-owned startup that sells beer online, will expand to more countries in Europe. The company will expand to the same countries where home tap retailer The Sub is already active. Last month, Heineken consolidated The Sub and Beerwulf.
Emma, a German retailer that sells mattresses online, is the fastest-growing startup in Europe. Or at least in the countries The Next Web describes as the continent’s six hottest startup ecosystems: the United Kingdom, the Netherlands, Germany, France, Spain and Sweden.
Startupbootcamp Commerce, an accelerator program which focuses on ecommerce, has selected ten international startups to participate in the international accelerator. Among these companies are eight startups from Europe that will go through the three-month program.
During the third edition of Lengow Ecommerce Day, which will take place in Paris on June 2 this year, there will be also a competition for startups active in the ecommerce industry. The five finalists of this competition will get an exhibitor stand at the Lengow Ecommerce Day, where 700 merchants and industry experts are expected.
In the coming financial year 2015/2016, the Otto Group plans a high double-digit million investment in the venture capital business. With this move, the international retail and services group will build on its position as one of the largest venture capital providers in Germany.
E-Commerce Park has officially opened its doors. This new initiative will provide online merchants with the opportunity to benefit from the economies of scale that takes place when warehousing, logistics, knowledge and skills get shared.
Email marketing service provider Soundest launched out of private beta in January, but now has crossed the 1000-user milestone. User growth is more than 50% month-on-month, while online stores from more than sixty countries are using the software that’s built solely for ecommerce sites.
PierreRiu.com launched only two weeks ago and the luxury fashion online store has already launched in Poland, Italy and Germany. And it’s not like inhabitants from other European countries have to suffer as PierreRiu.com operates in all European Union countries. The buy & sell platform enables users to buy and sell luxury clothes and accessories online.
The Otto Group finally revealed its longtime secret project Collins. Using an open platform for third-party developers and contributors, the startups wants to attract young buyers. According to chief Benjamin Otto its claim is to make shopping for the younger generation as unique and inspiring as their digital world already is. “Ecommerce is still at the beginning of a new digital era.”
The new ecommerce company Funera wants to make it cheaper to die. The Swedish startup offers funerals costing 590 kronor (€65) whereas a simple funeral costs between 15,000 and 20,000 kronor (€1656-€2208) in Sweden. Funera has lower margins on their coffins, but they also want to cut costs for personal meetings and administration.
Tictail has welcomed Project A Ventures as a strategic partner. The Berlin-based company builder will be involved with the Swedish free-to-use ecommerce platform on a strategic and operational level and will also invest 600,000 euros. Project A’s co-founder Florian Heinemann will be joining Tictail’s advisory board as well.
Asuum is offering publishers and content creators a way to get some ads on their site without bothering their customers with it. With this form of native advertising they want to bring content and ecommerce together. “Just like you won’t buy Vogue without the glossy ads, or watch a Superbowl game without the commercials.”