You go to Google & type Dijiwan. Hit Enter and you will get a ready made analysis of how Dijiwan failed & that too written by an Ex Dijiwanian.
A typical timeline for Dijiwan journey could be summed up as follows:
1. Dijiwan Project got kick start in Sept 2010.
2. Dijiwan Start up got started around Sept 2011.
3. In Jan 2012, a funding of Euro 0.5 Million was raised from French investors for business development.
4. Six month down the line, in July 2012, company started to find it difficult to clear paychecks of its employees.
5. Company requested for bankruptcy protection in Sept 2012.
Let us analyze step by step Dijiwan business model-
– They offered a product which was related to mining and mapping networks of web content. Innovation wise product was fine.
-Target customers were marketing companies, companies in need for an online strategy or improving their online strategy.
-Dijiwan had a charismatic leader who had control over hiring of employees, contracts, accountancy & business.
-They had a good enough team: 2 marketing officers, 2 business developers, 2 strategy analyst, 1 researcher contractor & 4 developers.
– Basic aim was to get a decent funding and then to utilize the same for product development & for attracting future customers.
And because of all the goodness associated with them, Dijiwanian were able to raise 0.5M Euro from French investors.
Rising so fast already, what acted against Dijiwan’s and what made it a doomed start up?
-They made a nice product but never cared about adding additional feature into it to attract more customers.
-Big customers needed time to evaluate Dijiwans credibility. Dijiwans had little time to establish themselves in the market.
-Dijiwans offered they free work & discounts to convince their customers and that too on the shallow promise of getting paid contracts afterwards. Those contracts never happened.
-Its charismatic leader had little control over product development. Hence he never knew what he was actually selling. Hence he was neither convincing nor able to sell his product.
-No contract signing despite various rounds of negotiation & trips to customers. No regular follow ups with hot customers: Basically ignoring the problem.
-Reckless expenses: 600K Euro burnt in 6 months!
Getting a startup engine fired one need discipline. And discipline in terms of everything.
-A product that is able to solve complex problems of life in a simple way.
-An aggressive Leader, who knows about his product & who is able to convince customers about the usefulness of product.
-A dedicated team, that looks for solution of problems rather than ignoring them.