// STARTUP COMPARISON
Totalpack vs Thomas Cook
Totalpack failed in 2021 due to Competition. Thomas Cook failed in 2019 due to Competition. Both failed for the same reason — Competition.
| METRIC | 🔥 Totalpack | 🔥 Thomas Cook |
|---|---|---|
| Sector | Ecommerce | Ecommerce |
| Country | Chile | UK |
| Founded | 2000 | 1841 |
| Died | 2021 | 2019 |
| Raised | Bootstrapped | Public company |
| Peak | 3,000 SME clients | £1.6B revenue · 19M customers |
| Primary Cause | Competition | Competition |
// WHY EACH FAILED
🔥 Totalpack
Competition
Totalpack was Chile's leading supplier of packaging materials and e-commerce fulfillment supplies for SMEs, with 3,000 active clients. Amazon Business launched in Chile in 2020, offering competing packaging products at lower prices with next-day delivery. Amazon's global supplier network enabled price points Totalpack could not match. Revenue declined 60% over 18 months. Totalpack filed for insolvency in 2021.
// LESSON
B2B supply distribution businesses are vulnerable to Amazon Business in any market Amazon enters. The window between Amazon's entry and volume migration is 12-18 months. Use it to build value-added services Amazon can't replicate, or exit.
B2B supply distribution businesses are vulnerable to Amazon Business in any market Amazon enters. The window between Amazon's entry and volume migration is 12-18 months. Use it to build value-added services Amazon can't replicate, or exit.
🔥 Thomas Cook
Competition
Thomas Cook, founded in 1841, failed to adapt its package holiday model to online distribution. Booking.com, Airbnb, and direct airline booking eroded margins for a decade. The company carried £1.7B in debt. A £200M rescue package fell through in September 2019. It ceased operations leaving 600,000 customers stranded abroad — the UK's largest peacetime repatriation.
// LESSON
Longevity is not a moat. 178 years of brand equity does not survive a decade of ignoring digital distribution. The internet does not make exceptions for heritage brands.
Longevity is not a moat. 178 years of brand equity does not survive a decade of ignoring digital distribution. The internet does not make exceptions for heritage brands.
// EXPLORE FURTHER