SocialStartups.com

Great journalism by CNET as they pick about what went wrong at the music startup SpiralFrog. In fact, it’s a look at just how many ways you can screw up your company. The overarching lesson should be: always focus on providing value for your customers (or, as Jeff Bezos always puts it, Start with the customer and work backwards). SpiralFrog made the fatal mistake of focusing on advertising dollars and as a result failed to build any lasting customer loyalty or engagement.

Just look at what happened to their traffic after they stopped spending money on paid search ads:

Yup, you can guess the date.

Part Two will be published later today.