Anatomy of a Startup #Fail

The NY Times has published a smart and useful article on the anatomy of the failure of a startup. Any product manager, or anyone working in a startup, can learn from the detailed sequence of steps that it took to kill Vine (that link will not work once they take the site down for good).

Vine is/was a well-executed app that was early in the game with video sharing, had clever ideas that suited the market, had good backing, had been acquired by a powerful player—and yet it died an unfair death, at least in startup terms. There were many moments of #fail that occurred, not in product design but in lots of other ways, except bad timing. Think of them as a checklist for what to watch out for. The article offers a real example of how tenuous a startup can be, and how a cascade of errors can kill even a healthy tech company.

What’s the most important element of a startup?

Bill Gross of Idealab fame reports on his study of 200 startups reviewed from 5 lenses:

  1. Quality of the idea
  2. Quality of team, including adaptability and execution
  3. Business model
  4. Amount of funding
  5. Timing

The most important feature according to his research? Timing.

Very useful but begs the question: how can we use this finding to execute better startups? In other words, how can we shift our actions to become more “evolutionarily current”, fitting with the times?

[Disclosure: I was founding CTO at one of Idealab’s companies in 2004-2005, Snap.com. It did not succeed in overturning the predominant search UI paradigm of the time then; or of now, for that matter.]