But then why wouldn't the same process result in the bankruptcy of all (relatively) durable goods manufacturers with a limited set of products? For example, why hasn't Vitamix (blenders) or Zwilling (knives) gone into bankruptcy?
Also, I don't think the market for this stuff is ever truly saturated: every day, plenty of people get their first apartment and need to buy appliances. Instant Pot seems similar to other things like microwaves and toasters, which we don't think of as a dead end due to market saturation.
I think the "bought by private equity and wrung dry" explanation makes more sense. Or if not that, perhaps just a poorly run business.
People use knives a lot more than instant pots. They wear down quite quickly and many just buy new ones instead of sharpening. Vitamix blenders are priced quite high to make up for a lower sales volume.
> Also, I don't think the market for this stuff is ever truly saturated: every day, plenty of people get their first apartment and need to buy appliances. Instant Pot seems similar to other things like microwaves and toasters, which we don't think of as a dead end due to market saturation.
The market for microwaves isn't, because people use them. Outside of that craze, I don't know of anyone who uses their instant pot anymore. It was a fad, PE came in and gutted it. but the fact is, it probably wasn't going to be this huge performer either way.
Also, I don't think the market for this stuff is ever truly saturated: every day, plenty of people get their first apartment and need to buy appliances. Instant Pot seems similar to other things like microwaves and toasters, which we don't think of as a dead end due to market saturation.
I think the "bought by private equity and wrung dry" explanation makes more sense. Or if not that, perhaps just a poorly run business.