Evaluating only Book a Tiger’s profile at its peak — without knowing the outcome — the model ranked Unit economics as the #1 likely cause. That’s exactly how it died.
Key Events Timeline
FOUNDING
FUNDING
CRISIS
SHUTDOWN
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Documented cause
Book a Tiger was founded in Berlin in 2014 during the peak of the on-demand economy hype, positioning itself as the "Uber for home cleaning" in Germany. The company raised approximately €25M from investors including Rocket Internet and Target Global. At its peak it employed over 2,000 cleaners and served customers in several German cities. But the home-cleaning model suffers from fundamental unit economics problems: high customer acquisition costs, low margins on each booking, high cleaner churn, and customers who quickly cut out the platform and hire cleaners directly. The company filed for insolvency in December 2017.
Lesson
“When your core risk is disintermediation (customer bypasses platform to hire directly), your business model has a structural flaw that growth cannot fix.”