The BBC Business website has a whole series of articles and videos on entrepreneurs and entrepreneurship. One of these looks at the growth of the fitness app operator Endomondo.
This company now has 25 million customers. What was interesting was how Mette Lykke, one of the founders of the business, described the development of company. Although this is clearly an information processing operation, her description was pretty close to the service firm life cycle model (see page 72-74). The SFLC derives from customer processing operations with bricks and mortar infrastructure, like restaurants and retail outlets. Lykke clearly talks about an early stage where there was some “rationalisation” of their offer, and then a five year “growth” stage.
But one of the ways that her operation does not follow the SFLC is there is neither the huge growth in personnel, nor geographic dispersion of assets, accompanying the increase in volume. Even with 25 million users, Endomondo only employs 32 people, all of whom are based in Copenhagen