European Startups Success!

Have been closely following the Europe Tech Startup Scene closely for last 2 years & here are my few realisations.
The continent’s tech Hub scene can be easily divided into below regions :
– UK Tech Hub Scene
– Northern Europe Tech Hub Scene (Scandinivian, Netherlands, Estonia)
– Western Europe Tech Hub Scene (Berlin, Barcelona, Lisbon, Paris)
– Central + Eastern Europe Scenes

europa_accelerators

Now coming to the list of companies – the ones which have succeeded by either crossing $1Bn revenue mark or being sold to another Business Giant can be listed below :

  • Spotify!
  • Booking
  • Nokia (Till it lasted)
  • Revolut/Transferwise/ N26
  • FarFetch
  • Zalando
  • Klarna
  • BlaBla Car
  • Avito.Ru
  • Meero
  • Delivery Hero/HelloFresh/Deliveroo/JustEat
  • Badoo
  • Wix
  • Skype

atomico unicorns

Some Key Observations are :

  • British continues to rule but interesting to see how Brexit changes the scene with UK Products will have limited audience in European markets & vis-a-vis
  • US,China are still BIG as compared to European Markets however very few US, Chinese products find acceptance in Europe Markets – WhatsApp, Apple, Google, Facebook, Microsoft are few I know
  • Few Europe Companies Go Global in terms of office setups & market acquisition

But in my understanding, European Startups are unique in terms of offering & are Long Term for following reasons :

  • IPO Target : They target IPO first rather than being a Unicorn along or raising multiple fundings. This shows a mature Approach – Spotify is one unique example of the same
  • Focus on specific customer offering more than marketing, scaling – I have interacted, worked with multiple Startups & their insistence on researching, experimenting, testing, Data Science Approach is VERY VERY HIGH (to the point of nagging at times :))
  • Data approach, experimentation/Testing approach : Another Mature Approach is that they insist on Data for making all Key Decisions
  • Not in a hurry to scale
  • Skill Focussed & Way Upward from Down
  • Doing Simple Thing But Very well!
  • Options to move around different countries in a small space
  • Social Safety Net & Wealth Equality (Social Democratic Setup)
  • Egalitarism

I do think that where they differ is that Americans tend to be a lot better at sales and marketing from day one. They don’t even have a product and they are shouting about how good they are and really selling the product before it is even built. But Europeans will wait three years until the product is completely finished, or at least up to their standards, and say, hey, we exist. It is really bad from both sides. As a reporter, you are kind of fed up with people shouting before it is ready, because it is nonsense. But I really wish the European entrepreneurs would be a little be a little bit more proactive and shouting about their publicity and making noise and selling. They are very bad at selling.” —- Robin Wauters, Founder Tech.eu

risks chart

Ref :

https://www.businessinsider.com/most-valuable-startups-europe-2011-12?IR=T#mind-candy-pivoted-from-a-failed-idea-into-a-social-network-for-kids-thats-worth-more-than-200-million-2

How European and U.S. startups go global: A look at the numbers

https://www.ft.com/content/bf7b3dd4-127d-11e5-8cd7-00144feabdc0

https://www.inc.com/inc5000-europe/special-report.html

27 European startups that have reached unicorn status

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

Blog at WordPress.com.

Up ↑

%d bloggers like this: