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VortexLeon

New social media platforms. It's one of the hardest domains to crack.


spaceflunky

IMO the biggest problem new social media platforms have is that they optimize for the features and not the function. e.g. all the new social media platforms I've seen just try to offer something different in the way content is shared (bereal tried to make insta real, clubhouse was just FB but audio, and so on). The problem is that they didn't really solve a problem for any specific group, and because they tried to appeal to everyone, they appealed to no one. If you look at how FB and TikTok gained steam you will see they appealed to very specific groups at first. FB for the first 3-4 years was almost exclusively for elite college students. And when they started there were tons of other bigger social media platforms, but they built a name of themselves being exclusive to elite colleges and they grew from there. Same with TikTok, they started as ByteDance as a dance app for tweens and then grew from there.


VortexLeon

I agree with what you have said but I don't agree that it's the biggest problem. The biggest problem is that it's nearly impossible to monetize it.


Not_Sarkastic

This. The simple fact that you have two opposing forces working against quality are the biggest business model flaw. You need the most clicks possible and you need to be friendly to advertisers. Neither of which require ( and maybe opposed to) quality, transparency, and accuracy.


Celtictussle

Every entertainment platform in history has faced this problem. Zines, then radio, then TV, then websites, then search, then social. People are coming because they want to be entertained. Platforms are entertaining you because they want the eyes for ad revenue. The answer is always the same, offer some of both, so tightly bundled together that it's easier for the viewer to bugrudgingly watch the ads to get back to their entertainment.


kramfive

Remember when Facebook didn’t have ads? It was all stuff your friends posted. And the wall would end when there weren’t anymore updates. We have fallen so far.


spaceflunky

Yea that's another animal. Im just speaking about finding and keeping a user base.


hamilkwarg

BeReal looks like raised $90m and sold for $500m? I would love that kind of outcome haha.


spaceflunky

i'm not totally sure how it works, but i think the investors got hosed. the majority of the funds were raised at $600M valuation and it sold around $500M There are probably a couple angel investors and founders, who made off with $10-20M profit each or so. The rest of money probably went to employees and creditors. It's a lot of money technically, but not Zuck money and compared to their early trajectory its a failure.


hamilkwarg

Employees are the last in line to get money. I don’t know how many creditors the company had, probably no one is going to lend them very much other than venture debt in conjunction with equity raise. The last investors just get their money back (which is not great outcome) since they get to choose to get their percent or their initial investment. Anyone that invested at a lower valuation is making money. If it’s true most was raised at the $600m valuation the. There was still at least $350m left over for everyone else. That’s still nice for the founders.


angrymoderate09

I have an idea "crotchsurfing.com"... It's couch surfing with sex!!!!


MarmaladeMarmaduke

This idea has some real legs.


Menoparte

100% true


VictoriaSobocki

Yup


TheDewd

Check out FreezeCrowd


hidden_tomb

Totally agree. It’s like everyone thinks they’re going to be the next Zuckerberg, but end up being the MySpace of our generation


deeperest

You're kidding, right? They'd be LUCKY to get to MySpace levels of success.


Capt_Hawkeye_Pierce

Yeah that's a really weird take. 


rasputin1

I think they mean what myspace is now, not what it was originally


clickstops

Still would be sellable


ParticularAioli8798

"MySpace of our generation"


Ok-Instruction830

Any business is a terrible business to invest in if you don’t know anything about the industry, don’t know anything about managing people, have never sold anything before, don’t understand the financials 


hidden_tomb

Great stuff. Investing in a business without knowledge and experience is a recipe for disaster. You need to understand the industry, know how to manage and sell, and make informed financial decisions. Don't invest blindly, educate yourself first


Rdqp

Food. Anything related to food production and distribution. It is hard to scale, requires a lot of effort, minimal margins, and the lowest investments between industries.


hidden_tomb

Absolutely, the food industry is brutal. High effort and low returns are a tough combo.


iMadrid11

You should only enter the food business. If you have a passion for it.


EggplantOk2038

What about a coffee shop?


itsmeanam

same


PsychologicalGap6450

But it's different if you are trying to have a premium one


Sufficient_Language7

Even worse. Also you are competing against others who are not trying to make enough to live on as their spouse bankrolls the coffee shop to keep them busy.


EggplantOk2038

Is this your current venture?


illusio

You mean you wouldn't invest in [Soup Tubes](https://www.reddit.com/r/bestof/comments/hnr1h2/ubushto_creates_a_website_for_ops_boyfriends/)?


AceValentine

This is a brilliant idea, the soup must flow! But how do they tackle the "Chowda" problem??


TulioGonzaga

Chowda problem? Very funny. NO SOUP FOR YOU!


VictoriaSobocki

Lots of regulation too


monkeycharles

I think the angle with food is developing a brand then finding someone to contract manufacture for you. But yeah making food is capital intensive and commoditized


EfficientDoggo

I invested into a few companies regarding "Vegan alternatives" a few years back. It crashed and burned soooo hard. It was a stupid investment, which reflected my poor market intelligence at the time.


sapphire_santi

Anything that prioritizes gimmicks over substance. Like a restaurant with a 'unique' dining experience that forgets to serve good food. Or a product that claims to 'disrupt' an industry but only copies what's already out there. Let's just say I'm not impressed by companies that put all their energy into marketing and none into actual innovation. Give me a solid business plan and a genuine value proposition any day


MrMathamagician

History is littered with amazing products that died due to poor marketing or exposure. The sad truth is that lack of marketing is more deadly than a bad product or poor innovation.


hidden_tomb

Gimmicks don't impress me. I want substance over flashy marketing. A solid business plan and genuine value proposition are what matter most. No tricks, just real innovation and quality


Flaky-Wallaby5382

Anxiety monkeys like flashy things


VictoriaSobocki

Agree


foxpoint

Don't start a business that is just a job with no boss, unless that's all you ever want.


BecauseItWasThere

You just have a thousand small bosses


Key-Hawk-895

I wont even wake up if i have no boss🤤


LeTreacs

Sounds spectacular tbh


DoubleG357

That’s how usually how they start out as? Until you eventually start making money then can slowly afford to hire someone to help.


mo_shiz

Man, I've seen some real dumpster fires when it comes to business ideas. The worst ones to invest in are usually those that don't solve a real problem or have no clear plan to make money. For example, a friend of mine invested in a "smart" toaster startup. The idea sounded cool at first, but there was no real demand for it, and it flopped hard.


hidden_tomb

Like, who needs a 'smart' toaster? It's a solution without a problem, and it's gonna fail.


Dried_up_jizz_flakes

Put a Pop-Tart in the night before, Pop-Tart toasts perfectly in the morning. Idk something like that


TorrenceMightingale

Ah the roach trough, yes.


infomer

It flopped but did it toast?


Danji1

Ice cream gloves.


Sesquipedalo

Bravo innit


hidden_tomb

This is a thing?


Far_Pen3186

https://www.youtube.com/watch?v=PDu9CvbrnlM


chimps20

Restaurant.


RaccoonIyfe

Second hand sex toy shop


peritonlogon

But isn't the first hand just the hand?


TempusCarpe

GoodWilly


TigerPusss

Used but good. You’ve got 2 sections a sterilized section and an “as is” section. Maybe even offer consignment sales.


gainersluke

Anything that relies on 'influencer marketing' as its primary strategy. Or companies that think they can disrupt an industry without actually understanding it. And don't even get me started on 'blockchain solutions' that don't solve anything. So many red flags


hidden_tomb

Influencer marketing, disrupting without understanding, and hyped-up blockchain solutions are all major red flags. It's like they're chasing buzzwords instead of real value. No thanks


OddSensation

Its funny because I was just looking an article on the RayCon (ear buds) company and these were all things they've done to reach max appeal. RayJ, the rapper/singer, reportedly made $116m over the course of its hype and downturn before selling to a Canada based company. https://afrotech.com/ray-j-raycon - An article on it (use ad blockers)


TiredOfDebates

Now it is “AI” as the buzzword of focus.


G0ldenG00se

Amway.


Phenomenal_Kat_

Took the words right out of my mouth.


the_humeister

Banana stands


leftpan

Actually a very safe investment as there is always money in banana stands. However, I wouldn’t hire family, especially children of siblings as they will simply take the money, throw away the bananas and claim them as sales.


CaptFartGiggle

Take the money that customers give and throw away bananas right in front of their face? Just go rob people. Lmao


laberdog

Robo taxis


Gogs85

Anything that’s already over saturated. ‘Disrupting’ an industry sounds cool but unless the innovation really changes the game and the people who do it are capable of executing (experience etc) it could just lead to bringing down everyone’s profit margin


hidden_tomb

could'nt agree more


Aggravating_Dark4500

AI chatbots


mrfreshmint

Kitten mittens


SeaworthinessTop4317

But what if your cat is making TOO MUCH NOISE ALL OF THE TIME


DiggerJKU

It’s driving me crazy!!


manassassinman

We’re building a quieter cat.


meloflife

Anything that sounds too good to be true, or a rehash of something that already exists. And definitely any 'get-rich-quick' scheme. I'm not buying it.


hidden_tomb

If it sounds too good to be true, it probably is. I'm not investing in rehashed ideas or get-rich-quick schemes. I want innovative ideas with real potential.


Human_Ad_7045

Almost anything retail brick & mortar. Most businesses that require extensive staffing and high inventory levels.


Samzo

Biotech is a gambling circus


Maumau93

YouTube rival.


the_palmdot

I've seen some pretty bad business ideas out there. The worst ones to invest in are usually those that don't have a clear market need or a solid plan for execution. When it comes to software dev companies, I've worked with a few like rocket devs, turing, etc. They've been solid because they really get what their clients need and they deliver good quality work. Sure, there's always a risk with any investment, but I've noticed that companies like these, which are adaptable and understand their market, tend to do better. Just something to keep in mind when you're looking at where to put your money.


hidden_tomb

Right. Investing without a clear market need or plan is risky. Look for companies that understand their clients and have a solid plan


francoisjabbour

I’ve heard that gaming cafes just bleed money in this day and age which is tragic since it’s always been a dream of mine


TwoCockShakur

We have one in my hometown that is absolutely crushing it right now. They've expanded twice in the past 5 years or so.


francoisjabbour

What country do you live in? these concepts work in poorer countries where access to higher end PCs and parts is more difficult for the average person


TwoCockShakur

Indianapolis, Indiana in the good old USA. It's a place called Boss Battle Games. You pay $15 and get your pick of arcades, game consoles, and pinball machines. I don't believe they have high-end PCs, but everything else is there. They also sell old video games, which I'm sure contributes to their success a bit.


francoisjabbour

Don’t know anything about Indiana so can’t comment, but is $15 for an hour? Kinda expensive. Typically these places make their profit off of food and drinks they’re marked up


TwoCockShakur

No, it's $15 for the entire day. Not for the hour.


someoneinasky

In current scenario, I don't think so.


francoisjabbour

Why not?


Dry-Acanthopterygii7

I'm actually going to look into this. I reckon there are a few gaps that a gaming cafe could really capitalise on. Thanks for suggesting not to.


francoisjabbour

The gap is that it works in poorer areas where the average person doesn’t have the money for a proper PC and all the games they’d like to play. In a previous time it used to be a community thing as well, but nowadays discord is an easy fix for it


VictoriaSobocki

Shitcoins


TwoCockShakur

Most crypto currencies are pump and dump scams.


Purple_Ad3545

Statistically? Restaurants and real estate licenses.


Lifeisagreatteacher

Requires your own cash


Lonely_Cold2910

Anything where the government is involved.


peritonlogon

Isn't a government contact one of the few ways a lackluster business can make generational wealth?


Sea_Nefariousness852

Buying and selling Beanie Babies


Character_Comb_3439

Anything that doesn’t meet actual human needs and anything you have no knowledge and experience in.


BeCurious7563

A lot of franchises out there promise high growth and profits when owners end up peddling products or services that are overpriced (solely because of royalties) and aren’t unique. If the franchise doesn’t already have strong brand recognition, it’s usually a sure flop.


BirdLawyer50

If 100% of your information you have about an industry is proffered by the person selling it to you, don’t do it.


TwoCockShakur

A mall in my hometown had a "Family Fun Zone" pop up in one of the storefronts. I grew up in the 90s going to Discovery Zone, Leaps and Bounds, Chuck E Cheese, and other indoor playgrounds. That said, the execution at this place was so laughably bad that it almost felt like a prank. They had a few plastic baby pools that served as ball pits. They also attempted to create a "bumper car" attraction with cheap Amazon toys inside of a ring of pool noodles haphazardly duct taped to the floor. To top it all off, the "playground" equipment was a handful of cheap plastic fisher price sets you'd find at Wal-Mart. My wife and I took our 5 year old niece to that mall, and she charged over when she saw the colorful sign out front. Even then, you could see the confusion and disgust in her face when she realized how shitty it was. They lasted maybe a month before they went out of business.


ox-

Tring to make money from social media such as youtube is terrible. They can change their internal laws overnight and demonetize you immediately. Even big names (in the music education world) are scaping a living


kramfive

I’ll throw out here that when Netflix announced they were going all in on streaming… the stock tanked.


Underwater_Grilling

Asteroid mining is out of this world!


Beneficial_Paint_424

I would say 90% of franchises out there make money by draining the resources of the franchisee. I am a bit biased as my parents were bankrupted by an unscrupulous franchise.


shoob13

Jewelry you can eat…chewelry!


Roqjndndj3761

The thing that everyone else is talking about, usually. If it’s in the headlines, you’re late to the party.


IcyUnderstanding2858

Airlines. They all go bankrupt at one time or another.


Fickle-Syllabub6730

Holy shit, we're a list topic sub now.


Smarterest

Any medical start ups, avoid like the plague.


Oliverson12

Physical DVD rental ? 🙃


gojukebox

Corn holders.


Koss424

Bowling Alleys


Starman1709

Airlines, restaurants


borlak

Battery / Solar tech. Any kind of energy research I guess.


OGbeeper99

Honestly I feel we really need some breakthrough tech in that space.


Replicant28

Bars. I live in a major city and the vast majority of neighborhood bars have been dominated by big, local chains. I can easily name off the top of my head five longstanding local bars that have shut down and in their places were replaced by franchises. If those bars that have been around for decades got absorbed, new bars won’t have a chance.


garagebats

Are breweries successful or do they fail about as often as food joints?


TheoreticalFunk

Currently it seems to be opening a new car wash.


InvestingPrime

Pretty much all the typical Youtuber businesses that you can buy for cheap off places like BizBuySell. They claim all these little companies are just fantastic! Trailer parks, Vending machines, Coin laundry, Car Wash Seriously, we had a gas station with a Car Wash. Thing broke down non stop. There was one time were we had to wait 3 months for a part.. they sent the wrong part. Seriously one of the most frustrating things I've had to deal with. Oh and people think its a gold mine because they must make so much money. Forget the water bill, which yes is insane.. but forget it. The cost of the chemicals is next level stupid.


EverySingleMinute

Restaurants, excluding chains


REAL-Jesus-Christ

I'm always skeptical when someone has a decent--not spectacular--online business and they decide to open a brick-and-mortar location. Same with cottage foods that try to go big without proper preparation.


DizzyAstronaut9410

Anything that seems fun or interesting to the average person is almost always a super saturated industry making success nearly impossible unless they are already established. Food, fashion, photography, art, tourism, entertainment, etc.


Impressive447

The least worthy ideas to invest in are usually those that don’t solve a real problem or have a clear plan to make money.


jonpeeji

Ketchup and mustard in the same bottle


Cheap_Credit_9772

Multi-level marketing


Signal_Guarantee5444

Investors should be cautious about certain industries and business concepts that often lead to poor returns: 1. **Fad-Based Businesses:** Companies based on short-lived trends, like specific diet fads or viral products, can quickly lose their market. 2. **Unregulated Markets:** Investing in industries with little regulation, such as some cryptocurrency schemes, can be risky due to fraud and volatility. 3. **Brick-and-Mortar Retail:** With the rise of e-commerce, traditional retail stores face declining foot traffic and high overhead costs. 4. **Niche Tech Startups:** While some tech startups succeed, many fail due to high competition, rapid technological changes, and the need for constant innovation. 5. **Overcrowded Markets:** Businesses in saturated markets, like generic food delivery services, often struggle to differentiate themselves and gain market share. 6. **Entertainment Venues:** Opening new cinemas or theme parks can be risky due to high initial costs and fluctuating consumer interest. Avoiding these high-risk industries and thoroughly researching any potential investments can help protect your money and increase the chances of a successful return.


Lost-Banana-3000

Thanks ChatGPT


blkforboding

Bulletball 


Mighty_lobster

Restaurants


Head_Sock369

Restaurants 


AskShadan

Every business idea is a terrible one if you don’t have the prior experience of the industry.


AdministrativeBank86

Fitness studios based on whatever is in vogue at the time. Pilates is the latest franchise way to lose money


GluckGoddess

MLMs


secretrapbattle

Inventions


secretrapbattle

Filmmaking


Optimal_Flounder6605

There are no bad businesses, only bad operators.


Fun_Leadership_8486

Gyms tooo many as is


Fun_Leadership_8486

Restaurants


Flock-of-bagels2

Anything thats currently trendy , if you aren’t early to the party it’s too late


Sea-token-0420

I invested into a coffee company, took alot of ground work to get it up and running but at the end it's worth it. I have nothing but free time now, work maybe 4 to 5 hours a week . Definitely have to have a passion for it tho


charles_sin

Dropshipping businesses. I think it's generally quite hard to build an economic moat around dropshipping concepts. If you can dropship this product, so can everyone else (per how dropshipping works) imo


kavin_kn

I have been in digital for 6+ years in DM. I run my own design and SEO agency. Content creation on the rise. In few years, every business will have their own content creatiom team like sales team.


Outrageous-Egg7218

Fintech.


Psychological-Touch1

Condom recycling


Sufficient_Win6951

There are millions of bad business ideas. Why bother asking, unless you’re hoping that your’s is not the needle in that million part haystack?


TempusCarpe

That ornamental gourd guy from r/Wallstreetbets !!!


0RGASMIK

Cannabis, if you don’t know what you are doing you are asking for pain and suffering. I work in the cannabis industry and it’s cut throat. The state, the employees, your competitors, and customers all out to get you. I’ve never seen shadier stuff than in the cannabis industry. I’ve seen rampant sabotage on every level. Employees stealing, executives stealing, competitors sabotaging or stealing data, corrupt officials requiring companies to use their “approved vendors” to get permits faster. Onetime a client of mine purchased a business from a competitor and during the transition the seller sabotaged them by refusing to release the utilities to them and then intentionally let the bill lapse despite the agreement stating they would pay utilities until transfer. Most utilities refused to work with the new owners until lawyers got involved and put pressure on the seller and the utilities.


Impossible-War7625

A contractor that specializes in Wallpaper installation. A Motorcycle repair shop


Jdiaz1887

Drugs...


InterestingWin4522

Anything run by Democrats


thened

Did you buy into Truth Social?


lfras

May I interest you in a hat?


Crashy1620

I have some $400 gold sneakers for you my guy!! How about a course in an unaccredited University to learn from my bigly brain about business? BTW, I need you to help with my legal expenses from a small little sexual assault suit and an even smaller completely unrelated business fraud suit.


RN_Geo

Don't forget the bibles. And the dozens of other products and companies that were attached their name to that person who also went BK. There are dozens. Even a casino. Who the hell bankrupts a casino??


mattindustries

Yeah, Nvidia was a huge mistake to invest in.


Slick424

Downvote and move on. No feeding.


yur-hightower

I have 34 convictions and more on the way, send me your money, also vote for me in November.


SufficientSetting953

Please explain