Very interesting read – I had never thought of a future where Spotify turns into a record label but it seems like a very logical direction to move. Perhaps they could start my focusing on unknown or lesser known artists to test the model and slowly move toward popular artists. Either way, I think you’re definitely right that they must make some type of big move in finding a novel model. We all saw how quickly users switched from Pandora to Spotify and they certainly don’t want the same fate.
Very interesting read. Sounds like the value prop is incredibly high especially for motivated sellers who may be moving for a job, are strapped for cash, etc. and may even be motivated to sell at a lower price in exchange for the quick process. I was thinking about whether I’d sell my hypothetical house on Opendoor one day and I think my one hesitation would be that it takes away the ability to let the market decide a price and bid it up. Perhaps if Opendoor had competitors just like them that could bid for my house, I’d actually be comfortable with the model and more likely to sell. Given that it’s a winner take all market as you describe, however, it seems this may not be possible.
Very interesting to see how they got around many of the traditional issues of dating apps! I think one other thing that helps their cause is that they only need to cater the platform to one gender. For example, one study showed that men prefer a long list of matches while women prefer fewer more curated matches. By catering to a more narrow demographic, they can focus on the features the customer really values.
Thanks for sharing! I’ve actually never heard of Juicero so this was very interesting. What strikes me as funny is that they went after the individual consumer market when perhaps they could have gone after businesses both small and large. I work on a team at the launch lab and they have a Bevi Machine that makes flavored still and sparking water and it’s been a huge hit (though not sure how the company is doing financially). For a company, $700 seems like a small price tag to pay. Additionally, since companies pay your health insurance they are always looking for ways to encourage you to be healthy so they can in turn save on your insurance. This seems like it would be a great and cheap candidate in that respect as well as a perk in the office that keeps employees happy.
I can completely relate to this post as a previous Fitbit owner who has stashed it away in a drawer somewhere. I think you’re right in that what drew a lot of people (including myself) to them at first was the fact that it was any bit of data that I could have to quantify how active I was without entering it manually myself. It was before iPhones had the health app that shows your steps and before Apple had the watch. So compared to non-consumption, this was a great option and you could get one for as low as $60 or around there so the barrier to buying one was fairly low. Now that there are products that track much much more and people carry their iPhones everywhere anyway that tracks steps, the Fitbit has become essentially useless. It will be interesting to see where the wearables market goes from here. There are many startups trying to get into the space selling products that track one-off thing such as hydration level, sleep needs, or how high you jumped but it will be interesting to see if there is some aggregation that becomes a one stop shop for all metrics or if that is virtually impossible given the technology that is required of each.
Very interesting post (and impressive Snap score haha). It will be interesting to see if Snap can in fact come up with some sort of innovation that giants like Facebook and Instagram cannot replicate. It’s interesting that what felt like overnight people shifted from Snap to Instagram stories and I think the reason for this is that Snap feels more personal, so people don’t go out friending everyone they’ve met where Instagram there feels like less of a barrier to follow people. So in talking to a few people and inquiring why they used Instagram stories over Snap, their response was that they could publicize their story to more people as opposed to the few closer friends that they’ve connected with on Snap. For Snap, I worry that this will be an issue for them going forward no matter what features they roll out. People simply just have less friends on Snap and will be less incentivized to use it. I’d actually wonder what the average number of connections people have on Facebook vs Instagram vs Snap.