Marketing Technology Market Overview and Innovation Quadrant – Q1 2017

The following post highlights how Venture Scanner categorizes the Marketing Technology startup landscape, and presents our Innovation Quadrant showing how those categories compare to one another. The data for this post is through February 2017.

Marketing Technology Logo Map

The above sector map organizes the sector into 15 categories and shows a sampling of companies in each category.

marketing-technology-innovation-quadrant

Our Innovation Quadrant provides a snapshot of the average funding and average age for the different Marketing Technology categories and how they compare with one another.

  • Heavyweights: These categories are comprised of companies that have reached maturity with significant financing.
  • Established: These categories are comprised of companies that have reached maturity with less financing.
  • Disruptors: These categories are comprised of companies that are less mature with significant financing.
  • Pioneers: These categories are comprised of companies that are less mature with earlier stages of financing.

The definitions of the Marketing Technology categories are as follows

Advertising Networks and Exchanges: Companies that allow media buyers to purchase ad space from advertising companies. Typical advertising formats include search ads, display ads, and video pre-roll ads.

Automated Personalization Platforms: Companies that work with businesses to deliver custom ads, marketing messages, and dynamically optimize site pages for different users. Examples include platforms that allow A/B testing and platforms that tailor websites to each individual user’s specific tastes.

Content Creation: Companies that help brands and businesses create custom content for branding and marketing purposes. Such content can include blog posts, photos, infographics, videos, and other visual or auditory material.

Content Marketing: Companies that create valuable and relevant written and visual content to promote a product and convert readers into customers. Such content created may exist in the form of informative blog posts, infographics, research analyses, video tutorials, how-to guides, and others.

Email Marketing: Companies that create products that allow marketers to deliver email newsletters to their userbase in a more efficient manner. Such products also allow for the segmenting and targeting of email lists, as well as the tracking of analytics of CTR and other important stats.

Influencer Marketing: Companies that focus on the fans and followers that have the greatest influence in the blogosphere and social media, and utilize their influence and network to execute marketing and promotion campaigns.

Marketing Analytics: Companies that provide tools that measure the traffic, engagement, behavioral patterns, and other important statistics for a digital property. Such data is used in the improvement and optimization of the property to increase traffic and conversion rate.

Marketing Automation Software: Companies that allow marketers to efficiently streamline and automate marketing tasks, such as converting leads into customers. Instead of performing certain repetitive marketing tasks by hand each time, marketing automation software enables certain routines to be completed automatically.

Marketing Platforms and Customer Relationship Management: Companies that enable businesses to engage with their customers across social media channels, and execute and manage marketing campaigns. This category also includes customer relationship management tools used to improve customer communication, tracking, and overall relations.

Mobile Marketing: Companies that allow businesses to deliver ads and market products across mobile devices. Typical mobile marketing formats include text/SMS ads, mobile app ads, email ads, branded content, and others.

Search Engine Marketing (SEM): Companies that help marketers with managing and scaling their paid-search programs.

Search Engine Optimization (SEO): Companies help businesses attain higher placements on search engines’ results page, which lead to more clickthroughs and traffic. Such is accomplished by adapting content, utilizing common search keywords, increasing the number of backlinks, and others.

Social Discovery: Companies that product platforms that allow for the discovery of products through social sharing and location check-ins. Examples include discovery social networks as well as platforms with integrated e-commerce functions.

Social Intelligence: Companies that examine social media interactions in order to better allow companies to identify power users and market their products.

Social Media Marketing: Companies that promote businesses across popular social media networks such as Facebook and Twitter. Brands rely on social media influencers to spread the word about their products to gain buzz and traffic.

We are currently tracking 1,508 Marketing Technology companies in 15 categories across 54 countries, with a total of $23 Billion in funding. Click here to learn more about the full Marketing Technology report and database.

Venture Investing in Bitcoin – Q1 2017

The following graphs highlight venture investing trends into the Bitcoin and Blockchain Technology sector. The graphics include data through January 2017.

bitcoin-venture-investing

The above graph compares the total venture funding in each Bitcoin category to the number of companies in the category. The Blockchain Innvations category is leading in funding, with just over $850M. Bitcoin Exchanges takes the lead in company count, at around 225.

bitcoin-average-category-funding

The above analysis summarizes the average company funding in each Bitcoin category. The Bitcoin Mining category leads the sector with around $27M in average funding per company, followed by the Bitcoin Big Data and Bitcoin Wallet categories.

We are currently tracking 910 Bitcoin companies in 12 categories across 73 countries, with a total of $2 Billion in funding. Click here to learn more about the full Bitcoin landscape report and database.

Financial Technology Funding by Round – Q1 2017

The following two graphs summarize the rounds of funding going into the Financial Technology space. Please note these graphics are made using data through January 2017.

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FinTech Funding Amount by Round

The graph above shows the total amount of VC funding broken out by round. In 2016, Series B funding has accounted for a substantial amount of total funding, with Series C and Late Stage funding coming in at second. In 2015, all types of VC funding accounted for approximately the same amount, with the exception of Seed funding.

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FinTech Funding Count by Round

The graph above shows the total count of funding events broken out by round. The general trend over the past few years has been a larger number of early stage funding events, such as Seed, Series A, and Series B funding events–and a diminishing number of events in the later stages.

We are currently tracking 2102 Financial Technology companies in 16 categories across 60 countries, with a total of $61.9 Billion in funding. Click here to learn more about the full Financial Technology landscape report and database.

Artificial Intelligence Activity by Selected Investors – Q1 2017

The following graph summarizes the investor activity in the Artificial Intelligence (AI) space. Please note these graphics are made using data through October 2016.

ai-vc-investor-activity

The above analysis summarizes the total number of investment rounds AI investors participated in, and the number of unique companies funded by selected investors. 500 Startups and Y Combinator take the lead in both the total number of investments into the space at around 23, and the number of companies backed at around 21.

We are currently tracking 1,612 AI companies in 13 categories across 70 countries, with a total of $12 Billion in funding. Click here to learn more about the full Artificial Intelligence landscape report and database.

Virtual Reality Funding Trends – Q1 2017

The following graphs highlight recent trends in Virtual Reality (VR) startup funding activity. The graphics include data through early October 2016.

VR Funding by Year

The above graph summarizes the total funding raised by VR startups for each year. 2016 is the best year with just under $1.6B in funding. 2014 comes in at second place at around $0.75B in funding.

VR Vintage Year Funding

The above graph summarizes the total amount of funding raised by VR companies founded in a certain year. Companies founded in 2011 have raised the most funding at over $1.4B.

We are currently tracking 626 VR companies in 23 categories across 45 countries, with a total of $4.6 Billion in funding. Click here to learn more about the full Virtual Reality report and database.

Retail Technology Market Overview and Innovation Quadrant – Q1 2017

The following post highlights how Venture Scanner categorizes the Retail Technology startup landscape, and presents our Innovation Quadrant showing how those categories compare to one another. The data for this post is through February 2017.

Venture Scanner Retail Technology Logo Map

The above sector map organizes the sector into 22 categories and shows a sampling of companies in each category.

Venture Scanner Retail Technology Innovation Quadrant

Our Innovation Quadrant provides a snapshot of the average funding and average age for the different Retail Technology categories and how they compare with one another.

  • Heavyweights: These categories are comprised of companies that have reached maturity with significant financing.
  • Established: These categories are comprised of companies that have reached maturity with less financing.
  • Disruptors: These categories are comprised of companies that are less mature with significant financing.
  • Pioneers: These categories are comprised of companies that are less mature with earlier stages of financing.

The definitions of the Retail Technology categories are as follows

Automated Personalization Platforms: Companies that work with retailers to deliver custom ads, marketing messages, and dynamically optimize site pages for different users. Examples include platforms that allow A/B testing and platforms that tailor websites to each individual user’s specific tastes.

Coupons: Companies that focus on both traditional and digital merchant coupons, helping retailers to offer product discounts.

Data and Analytics: These companies help with the acquisition, organization, and distribution of data that retailers can then utilize to enhance their applications and service offerings. Includes inventory management software.

Infrastructure and Enablers: Products and tools designed to help retailers increase functionality in their existing products and create new applications. Example include payment technology integration, and the white label creation of retailer-branded smartphone applications.

In-Store Experience: Companies that enable brick and mortar retailers to enhance the customer journey through a store. Examples include digital engagement, mobile-first initiatives, and gamification.

In-Store Management: Applications that aim to improve the productivity of brick and mortar sales associates. Examples include productivity apps that track their effectiveness in-store as well as apps that provide them with insights to better do their jobs.

Last Mile Logistics: Companies that are innovating on the last phase of the supply chain, providing delivery services from the store/warehouse to the consumer’s location.

Local Advertising Technology: Companies that alert the consumer of a retail product or service. The advertising models in the O2O market often center around targeted ads, real-time mobile ads, retargeting, dynamic ads based on proximity to clear inventory, ads targeted based on check-ins or social comments, and in-store up-sell ads.

Local Daily Deals: Companies that sell locally available, pre-paid vouchers for steeply discounted goods and services. This category also includes daily deal aggregators.

Local Incentives: These companies help retailers increase loyalty, customer base, and revenue from both new and repeat customers through deals, local offers, discounts, frequency rewards, gamified badges, and other techniques.

Loyalty Programs: Products that provide or power a merchant’s reward / loyalty program. Examples include digital frequent shopper cards and tailored rewards based on spending.

Made to Measure Customization: Companies that use proprietary technologies and supply chain processes to enable shoppers to create custom fitted goods.

Marketing Platforms and Customer Relationship Management: Products that enable retailers to engage with their customers across social media channels and execute marketing campaigns. This category also includes customer relationship management tools used to improve customer communication, tracking, and overall relations.

Online to Offline Payments: Technologies and services that are changing the way we pay for goods. In addition to payment execution, this also includes companies that provide consumers with a mobile wallet (e.g. payment information, loyalty cards) or other digital storage functionality (e.g. receipts).

Physical Store Analytics and Indoor Mapping: Using sensors, cameras, and mobile devices to provide retailers more data about customer behavior in-store such as window conversion rate, customer dwell time, optimal shelf placement, and ideal store hours. These companies help retailers optimize the customer experience to increase revenue.

Point of Sale Payments: Companies centered around payment acquirers, providing physical payment solutions for brick-and-mortar businesses and organizations. Examples include mobile point-of-sales (POS) systems and POS innovations (e.g. QR code, palm scanners).

Price and Feature Comparison: Services that empower consumers to compare product prices at different outlets or compare features across similar products (e.g. scan and engage capabilities for QR codes, bar codes, or physical items to bring up product information and comparisons in real-time).

Product Recommendation: Companies that use crowdsourced data, individual stylists, and/or automated algorithms to determine the best products for a given shopper based on their individual preferences.

Retail Augmented Reality: Companies that enable consumers to interact with products using augmented reality (e.g. virtual manipulation).

Retargeting: Retargeting companies use cookie data to follow online users and serve dynamic, relevant ads all over the web.

Search and Local Availability: Companies that provide the means by which consumers can search and/or compare local availability of products and prices. This includes innovations such as store-level inventory searches and local comparisons.

Social Discovery: Platforms that allow for discovery of products through social sharing and location check-ins. Examples include discovery social networks for as well as platforms with integrated e-commerce functions.

We are currently tracking 1,537 Retail Technology companies in 22 categories across 57 countries, with a total of $37 Billion in funding. Click here to learn more about the full Retail Technology report and database.

Energy Technology Companies Founded by Year – Q1 2017

The following graph shows the founding year distribution in the Energy Technology sector. The graphic includes data through October 2016.

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Energy Tech Companies Founded by Year

The above graph summarizes the number of Energy Technology companies founded in a certain year. 2007 ranks at the top with around 66 companies founded in that year alone. 2010 and 2013 are roughly tied for second, with 54 and 53 companies founded in each year respectively.

We are currently tracking 739 Energy Technology companies in 12 categories across 46 countries, with a total of $42.9 Billion in funding. Click here to learn more about the full Energy Technology landscape report and database.