Why do big ventures (like Jet) get so much slack?
Oh boy. Walmart buys Jet.com for over $3 billion!
Wow, just a few weeks ago we were pondering how a money-losing operation like Jet.com, can supposedly “thrive” with horrible service, shitty website, and nothing but hype.
Well, that hype just got worse. Now Walmart bought Jet.com for $3 billion plus stock.
So it appears that Jet.com can continue to burn through even more cash. Gotta hand it to Marc Lore, though – he’s great at making money. For himself!
As one online commenter said: “A great combo – the retailer with the cheapest crap on the planet delivered by the worst delivery service on the planet. Order today and you might get it by next year – if they have any left at all. Bezoid must be shakin’ in his Zappos boots.”
The “deal” is supposed to close by the end of the year.
Regardless of the fancy “logistics” model (and the hype), nothing beats the online shopping experience from Amazon. No need to switch. In fact, the Walmart partnership now gives you a clear reason not to shop there.
Crazy world we live in.
Jet, Tesla – why not more critical thinking towards big ventures?
Nowadays – whenever something is “hyped,” (especially from a well-known “power figure” of some kind), it seems to get more “free passes” than I can imagine.
Let’s take Mark Lore’s (Hoboken based) Jet.com as the first example.
Initially, they acquired a ton of funding – based on the premise that it’d be a “membership” type club (a la BJ’s), but without the bulk requirements.
That quickly went away – as they “discovered” that even though their “market research” said it would work – IT DID NOT. But they got millions MORE in funding. Jeez!
We tried Jet.com during the “beta,” and was initially thrilled. The prices were WAY BELOW even places like Amazon or Walmart.
Since then, they’ve been “re-working” the business model right in front of their customer’s eyes. Prices are nothing special (find stuff cheaper ALL the time).
They offer “fresh” deliveries – which are most often MORE expensive than the local supermarket.
In fact – Jet.com has not demonstrated any real reason for anyone to switch from their “tried and true” methods of online shopping. In fact, Amazon keeps getting better and better – while Jet.com keeps missing the mark.
They started out great, and despite their new “features” that continuously roll out – I’m still not compelled to shop there anymore. Maybe something groundbreaking will happen, but I’m not optimistic.
Search sucks, no astounding value is there, and a gimmicky way to get you to spend more (gamification anyone?) Overall – you feel like you’re just buying hype. And that is enough to get customers to walk away. FOREVER.
Get your shit together, Jet.com – or you’ll make the growing laundry list of epic failures. Because you didn’t read the writing on the wall. Or listen to your customers. Or hire Hoboken411 to help you once and for all!
Same with Tesla
Why are so many people orgasmic over Tesla?
The billionaire Elon Musk has actually taken TONS of YOUR tax dollars. And you didn’t vote to approve that. Nope.
Donald Trump isn’t taking that kind of money to run his campaign.
The Tesla “self-driving” cars are proving to be deadly. The hype is proving to be successful (so many people buy into it), but in the long run – you’re just shifting money from one industry to another (i.e., fossil fuel to electric companies). My opinion is that it’s just another one of those battles between competing industries. You know how they’ve made “oil” such a negative thing, right?
Why aren’t these benefits afforded to everyone?
Companies like Jet and Tesla seem to have the best of luck. It’s not because they had “guaranteed” ideas. It’s because they were already wealthy and had strong influences on many people.
Who helped them come to fruition.
If Mark Lore only had a million bucks – he wouldn’t stand a chance.
Same with Elon Musk.
So how do these billionaires get to the forefront of popularity without any hard work? Regardless of their previous successes (which probably did require much of that hard work), what makes it different now?
Because money talks, right?
When you have billions to toss around – things go your way, right?
Who’s going to get in your way – when a nice cash envelope is waiting for you to “do the right thing?”
Small business owners don’t have that luxury. They have to brand themselves, and more importantly – PROVE THEMSELVES in order to earn repeat business.
These other dopes? They just try to buy their way into the next level.
Unfortunately for them – that is no guarantee. As I feel Jet.com and Tesla Motors will find themselves in history textbooks sooner than they’ll find themselves in the ranks of the Amazon’s of the world.