Comments on: Ferrit’s gone bust – what a surprise. http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise How to make Simple and Loveable businesses Fri, 10 Feb 2012 23:07:41 +0000 hourly 1 http://wordpress.org/?v=3.1 By: Because « Rowan Simpson http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise/comment-page-1#comment-8199 Because « Rowan Simpson Sun, 11 Jul 2010 09:33:55 +0000 http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise#comment-8199 [...] inability to think and act like a start-up (or maybe a tendency to act like a stereotypical late-90′s [...] [...] inability to think and act like a start-up (or maybe a tendency to act like a stereotypical late-90′s [...]

]]> By: Strings http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise/comment-page-1#comment-6658 Strings Wed, 14 Jan 2009 03:00:02 +0000 http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise#comment-6658 Good comments Nat, and generally right on the button! One of the problems in New ZEaland today is something I call "niceitus". It is clearly indicated in job definitions - especially for government agencies and large corporates - and is epitomised in the inclusion of 'good/great/excellent/exemplary interpersonal skills' in the list of requirements for the position. In the real world, there needs to be the option for most, if not all, people in a business to be able to point out when things are not going well, or are not as they could/should be. In today's corporate/government NZ, it is viewed as a SIN to do such a thing as it clearly must involve suggesting 'someone' is not doing what they ought to do. Certainly, when the instigator of Ferrit suggested the structure that might be used for it, no one dared to tell her that her idea was crazy, and that an on-going overhead of $12 million per annum for a start-up business on the net was as stupid as could be! If they had they'd be out of work for ever in this and many other countries, such was this woman's range of influence at the time. As we head into the start of a major recession (yep, we've hardly felt anything yet, just wait till the malls are full of half closed spaces like the high-streets of the early '80s) we Kiwis are going to have to thicken our skins and get used to the idea that we don't always get it right and we need to be DIFFERENT NOW! Ferrit was a classic example of the right idea the wrong way, things like XERO are examples of the right idea the right way. Let's hope the new Management Team in Telecom can see the hundreds of other problems there, otherwise that will be another business taken over by foreign investors and adding to the balance of payments problem that is escalating everyday as the true value of our currency becomes clear. Happy daze :-) Good comments Nat, and generally right on the button!

One of the problems in New ZEaland today is something I call “niceitus”. It is clearly indicated in job definitions – especially for government agencies and large corporates – and is epitomised in the inclusion of ‘good/great/excellent/exemplary interpersonal skills’ in the list of requirements for the position.

In the real world, there needs to be the option for most, if not all, people in a business to be able to point out when things are not going well, or are not as they could/should be. In today’s corporate/government NZ, it is viewed as a SIN to do such a thing as it clearly must involve suggesting ‘someone’ is not doing what they ought to do.

Certainly, when the instigator of Ferrit suggested the structure that might be used for it, no one dared to tell her that her idea was crazy, and that an on-going overhead of $12 million per annum for a start-up business on the net was as stupid as could be! If they had they’d be out of work for ever in this and many other countries, such was this woman’s range of influence at the time.

As we head into the start of a major recession (yep, we’ve hardly felt anything yet, just wait till the malls are full of half closed spaces like the high-streets of the early ’80s) we Kiwis are going to have to thicken our skins and get used to the idea that we don’t always get it right and we need to be DIFFERENT NOW!

Ferrit was a classic example of the right idea the wrong way, things like XERO are examples of the right idea the right way. Let’s hope the new Management Team in Telecom can see the hundreds of other problems there, otherwise that will be another business taken over by foreign investors and adding to the balance of payments problem that is escalating everyday as the true value of our currency becomes clear.

Happy daze :-)

]]> By: Rolly http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise/comment-page-1#comment-6654 Rolly Tue, 13 Jan 2009 06:25:12 +0000 http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise#comment-6654 I think the fact that Ferrit was part of Telecom doom the site, and as you noted, the way they went about things was "against almost every normal technique to nurture a startup into profitability." Large companies are stuck in that large company mindset and my guess is they approached the marketing of as if it was simple a new service offering from an existing business, because that's all they know how to do. Here are two ecommerce sites that don't have the backing of a huge company like Telecom, operate on minimal marketing budgets, and do a nice little business: http://www.shopnewzealand.co.nz (selling NZ goods to customers worldwide) http://www.intletail.com/new-zealand (a shopping directory of online shops shipping to NZ) I'm sure there are bunch other sites that can also be cited as examples of successful ecommerce launches that big companies like Telecom would do well to study and learn from. I think the fact that Ferrit was part of Telecom doom the site, and as you noted, the way they went about things was “against almost every normal technique to nurture a startup into profitability.”
Large companies are stuck in that large company mindset and my guess is they approached the marketing of as if it was simple a new service offering from an existing business, because that’s all they know how to do.

Here are two ecommerce sites that don’t have the backing of a huge company like Telecom, operate on minimal marketing budgets, and do a nice little business:

http://www.shopnewzealand.co.nz (selling NZ goods to customers worldwide)
http://www.intletail.com/new-zealand (a shopping directory of online shops shipping to NZ)

I’m sure there are bunch other sites that can also be cited as examples of successful ecommerce launches that big companies like Telecom would do well to study and learn from.

]]> By: Nat http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise/comment-page-1#comment-6653 Nat Mon, 12 Jan 2009 22:12:41 +0000 http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise#comment-6653 Yes it's always sad to see a site that people are just waiting on to fail! Yes it’s always sad to see a site that people are just waiting on to fail!

]]> By: ray http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise/comment-page-1#comment-6652 ray Mon, 12 Jan 2009 21:22:16 +0000 http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise#comment-6652 I really think this just came down to pride. The site didnt have to fail and alot of people offerd advice on what needs to change. I really think this just came down to pride. The site didnt have to fail and alot of people offerd advice on what needs to change.

]]> By: Sol http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise/comment-page-1#comment-6651 Sol Mon, 12 Jan 2009 20:42:34 +0000 http://www.simpleandloveable.com/ferrits-gone-bust-what-a-surprise#comment-6651 It’s a pity that Ferrit’s out of business because it puts a negative slant on the success of e-commerce and e-business in this country. Figures from the OECD show that New Zealand and Australia have a healthy B2C e-commerce spending per-capita. I have had personal, insider experience of both 1-day and Ferrit. Both have ambitious e-commerce models, except that 1-day has a fabulous business model and a very user friendly, simple site, and Ferrit does not. In our own e-commerce business, http://www.boomskateboarding.com, we have seen a growth of over 400% as consumers become more comfortable with online shopping. Although Ferrit’s demise is something to lament for the industry as a whole, it is important to remember that there are success stories out there… and the old adage remains true… keep it simple and keep it real! It’s a pity that Ferrit’s out of business because it puts a negative slant on the success of e-commerce and e-business in this country.

Figures from the OECD show that New Zealand and Australia have a healthy B2C e-commerce spending per-capita.

I have had personal, insider experience of both 1-day and Ferrit. Both have ambitious e-commerce models, except that 1-day has a fabulous business model and a very user friendly, simple site, and Ferrit does not.

In our own e-commerce business, http://www.boomskateboarding.com, we have seen a growth of over 400% as consumers become more comfortable with online shopping.

Although Ferrit’s demise is something to lament for the industry as a whole, it is important to remember that there are success stories out there… and the old adage remains true… keep it simple and keep it real!

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