Unlocking the Power of ChatGPT and AI in Testing - A Real-World Look, present...
Better Red Than Dead - Commercism 2014 - Sean Percival
1. BETTER DEAD THAN RED: FIVE WAYS
TO KILL AN E-COMMERCE STARTUP
SEAN PERCIVAL
VENTURE PARTNER – 500 STARTUPS
2. 1) Passion Outstrips
Experience
Pro tips:
• Constantly be hiring smarter people than you
• Know your arrogance is going to be expensive
• Get some serious industry BFFs
3. 2) Shipping Fail
Order Placed Week 1 Week 2 Week 3 Week 4
Customer Happiness/Patience Over Time
---Happiness---
Stoked
Concerned
Pissed
You Ruined Christmas
Happy
Out for blood
We both said things we didn’t mean
4. 2) Shipping Fail
Pro tips:
• Go to a 3PL ASAP
• Fight with your vendors more
• Set good expectations with customers
• Worth discounting when you screw up
5. 3) Margins You Can’t Fix
Pro tips:
• Test upfront (then test more)
• Avoid discounting
• Make the tough price switches early
• Find secret unsexy revenue
6. 4) Fundraising Screw-ups
Pro tips:
• Ecom words to never use with a VC:
• Subscription commerce (or the trend of the moment)!
• Lifestyle brand!
• Curated artisanal experience!
• Celebrity endorsement!
• It’s Pinterest for…..!
• Never go out in Q4
• Know your numbers
7. 5) You Suck at Marketing
Pro tips:
• You have try 10 things to get 1 that works
• Learn to ankle bite the big dogs well
• Assume 100% of sales come on a 2nd visit