// startup autopsy
The Point
The platform that had to die so Groupon could live
marketfitPivot
Fatal mistake: The Point's core collective action concept was too abstract and ahead of its time for mainstream consumer adoption, forcing a pivot to the simpler group-buying mechanic that became Groupon.
| Founded | 2007 |
|---|---|
| Closed | 2010 |
| Country | USA |
| Sector | Marketplace |
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Key Events Timeline
FOUNDING
Andrew Mason founds The Point in Chicago, backed by Eric Lefkofsky, as a platform for collective action — enabling groups to coordinate around shared goals and campaigns.
FUNDING
The Point raises funding totaling $7.3M. Despite capital, user engagement with the core collective action concept remains tepid and growth targets are missed.
PIVOT
Andrew Mason launches Groupon as a side feature of The Point focused purely on group buying deals. The feature immediately outperforms the core product, signaling the pivot.
SHUTDOWN
The Point platform is formally shut down as all resources shift to Groupon, which is growing explosively. The original collective action vision is abandoned entirely.