There are 327 “death cemeteries” on the list. Financial, e-commerce, and local life have suffered heavy casualties.
Editor’s note: This article comes from WeChat public account “ Sanyan Finance ” (ID: sycaijing), the author sweet bean harvest.
Annually, there are many Internet or startup companies that are laying off, transforming, or dying. Let’s take stock.
Data agency IT Orange’s new economic dead company database “Dead Company Cemetery” shows that as of December 6, 2019, 327 companies were closed in 2019. Compared with the number of failures between 2015 and 2017, the number of failures in 2019 is much reduced. Compared with the 458 companies that closed in 2018, there are currently 131 fewer.
Towards the end of the year, which industries and sectors are the most deadly, and what are the reasons behind them?
Sanyan financial statistics found that the financial, e-commerce, local life and other industries have suffered heavy casualties. Education, entertainment, media and other industries are also full of sadness. There are many unicorns and Maxima in these dead companies, but they have fallen due to a series of comprehensive factors.
Financial and e-commerce industries have the most dead companies
Local life, followed by corporate services
In terms of industry distribution, the number of dead companies in the financial, e-commerce, local life, and corporate services industries is the largest, with 62, 38, 31, and 31, respectively.
In addition, industries with more than 10 deaths include education, automobile transportation, entertainment media, etc., which almost covers mainstream new economy startups.
The following is a list of industry-specific deaths in 2019:
Financial company (part)
E-commerce (partial)
Local life (part)
Enterprise services (partial)
Education (partial)
Car transportation (partial)
Culture and entertainment media
Medical health
Social network
Real estate services
Travel
Sports
Tool software
Logistics
Games
Hardware
Advertising
New industry
Agriculture
Data analysis:
Most companies have died in 2015
Dead financial companies raised the most funds
Sanyan Finance counted the top 100 companies according to the latest death time in 2019, and found that the companies established in 2015 had the most deaths, 54 in total , followed by 2017 and 2016, 13 and 12 died respectively.
These companies, which were founded in 2015 and died in 2019, are ranked by number. There are 9 e-commerce companies, 9 financial companies, 7 enterprise service companies, and 6 automobile transportation companies.
In addition, among the top 100 dead companies, Beijing has the largest number of dead companies , with 46 in total, followed by Shanghai with 19 in total. There were 11 dead companies in Zhejiang, higher than 6 in Guangdong.
From the perspective of the amount of financing, the top 15 dead companies are Group Loan Network, Aiwu Jiwu, Quanfeng Express, Little Yellow Dog, Panda Broadcasting, Wheat Financial Services, Roadstar.ai, ONO, Xinhe Hui, Shangpin.com, Love Investment, Growth Insurance, Lefeng.com, Netlib.com, Hi Home.com.
Five of the companies on the list are financial companies, which together add up to over 4.9 billion in financing. It can be said that the financial industry deserves to be the most expensive industry. The financial industry has large profits, but also bears high risks. Once a thunderstorm occurs, investors may lose their money.
The cause of death:
Vertical communities, dating communities, daily consumer industries
Lack of business model
From the overall statistics of the death track of IT Orange (including data on death companies over the years), vertical communities, dating communities, apparel and apparel, fresh food and other industries, the lack of business models is the main cause of death .
Vertical communities died due to lack of business models, accounting for 34.43% of the total number of dead enterprises in vertical communities.
Dating communities died due to lack of business models, accounting for 36.11% of the total number of dead companies in the dating community.
Apparel and apparel deaths due to lack of business models account for 19.44% of the total number of apparel and apparel deaths.
Fresh foods died due to lack of business model, accounting for 18.6% of the total number of fresh food deaths