Nauta Capital reviews booming European retail tech startup scene
Nauta Capital has launched its European RetailTech Startup Report 2020.
This analyses 830 European startups backed by venture capital firms from 2015 to 2019.
Key findings include: These companies have a combined value of €86 billion; Solutions looking at solving operational challenges for retailers had a massive surge in funding in 2019: a 40% increase from 2018.
European retail tech investment has been growing by 10% YOY since 2015. While in the US the figure has been contracting by 4%. Startups in Europe have raised €7 billion in the last five years, of which €4.6 billion was for early-stage rounds. €1.4 billion, meanwhile, went to UK startups - 30% of the total investment.
Hits and misses
“We believe the physical and digital retail worlds will continue to meld,” says Julia Huang, Managing Director at American Express Ventures.
“Physical retail will remain an important part of the customer journey, but retailers will tailor their physical experience to meet the unique demands of their customer base. Helping drive this shift will be the continued blurring between the consumption of goods and consumption of services.”
“The promise of last mile delivery solutions such as drones and unmanned vehicles have failed to deliver. While these solutions are ambitious, companies have found that existing systems, infrastructure, and regulation inhibit deployment,” adds Jordi Vinas, General Partner at Nauta Capital.