The enterprise group has been fixated on journey and hospitality for the reason that dot-com period and early-2000s, when mainstays like Kayak and Airbnb had been nonetheless Silicon Valley darlings. Because the multi-trillion-dollar world journey and hospitality market continues to develop, VCs are nonetheless foaming on the mouth for the chance to redefine the methods we transfer and keep around the globe.
Regardless of the cyclical nature of the journey sector, deal circulate in journey and hospitality has remained sturdy and largely steady during the last half-decade, based on information from Crunchbase and PitchBook. Over the identical interval, we’ve seen greater than a handful of startups within the house attain unicorn standing, together with firms like Klook, Sonder, Flixbus, Vacasa, Wheels Up, TripActions and others.
Excessive-profile funding rounds additionally seem like popping up throughout journey and hospitality’s numerous sub-sectors, together with bookings, exercise marketplaces, short-term rental, tourism and resort platforms. And corporations are persevering with to tug in funding rounds within the tons of of thousands and thousands to billion-dollar vary, similar to India resort community firm Oyo, which raised $1.5 billion in funding as not too long ago as December.
Whereas VC funding within the house has remained resilient, some buyers are predicting it’s solely a matter of time earlier than the journey startup world hits a downturn. To get a temperature examine on the state of the journey market, the outlook for fundraising and which sub-sectors would possibly current probably the most engaging alternatives for startups at this time, we requested 5 main VCs at corporations spanning early to development levels to share what’s thrilling them most and the place they see alternative in journey, tourism and hospitality tech: