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Another fresh e-commerce company fell! Founder Li Yang once said that he underestimated the speed of burning money

author:Southern Metropolis Daily

The fresh e-commerce platform that has gone through several ups and downs has not been able to survive after all. Recently, the Carrot App issued a suspension announcement. The announcement shows that due to the failure of Anhui Cai Cai E-commerce Co., Ltd. to finally introduce restructuring investors, Cai Cai Company stopped business from now on, the Du Radish APP stopped providing services to consumers, and all offline stores stopped operating, and in the near future, they have been closed one after another.

Another fresh e-commerce company fell! Founder Li Yang once said that he underestimated the speed of burning money

It is reported that The carrot was founded in 2015, using the Internet new retail business model of "online ordering and offline pickup, today ordering tomorrow to pick up", to provide users with community fresh retail services. In November 2019, it was exposed that due to tight funds, a large number of employee wages and supplier payments were owed, and recharge users could not withdraw the balance, and the store was once closed and the business was shut down.

At that time, founder Li Yang responded that since August last year, the carrot has received a total of more than 700 million yuan of equivalent US dollars of financing, all of which are really in the account, and are invested in the development and use of the company, there is no "false" or "un-arrived" problem. For the current shutdown, he said, "We can only say that our expectations and demand for growth are too high, underestimating the rate of burning money for fresh food, so that it causes consumption to be too fast, which is where we use it wrong." ”

On December 6 of the same year, the Duxi Turnip App released the "Dudy Radish Restart Announcement", saying that it would start again from the birthplace of Hefei on December 9, 2019. However, the situation was not good, and after more than a month, the company entered bankruptcy reorganization proceedings.

It can be seen that the announcement of the suspension of business also mentioned that Cai Cai Company entered the bankruptcy reorganization procedure on January 23, 2020, after nearly 21 months, and finally it was still difficult to sustain due to financing problems.

Another fresh e-commerce company fell! Founder Li Yang once said that he underestimated the speed of burning money

For the suspension of the carrot, Mo Daiqing, director of the online retail department and senior analyst of the e-commerce research center of the network economic and social society, said that on the one hand, the expansion of the radish is too fast, resulting in frequent problems such as follow-up overall operation, product quality, user experience, and after-sales service, and the supply chain cannot keep up in time, accelerating its "collapse". For fresh e-commerce such as carrots, there are guaranteed supply chain channels and high-quality resource allocation to allow consumers to buy cost-effective goods; on the other hand, the characteristics of carrots in product types, service experience and distribution are not prominent, and they are always in the stage of burning money to cultivate the market and consumption habits.

Written by: Nandu reporter Xu Bingqian intern Fu Wenxin

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