Monthly Archives: July 2021

News: YuLife nabs $70M at a $346M valuation for its gamified, wellness-oriented approach to life insurance

Life insurance — financial protection you buy against your death — may not read like the liveliest of industries on paper. But a life insurance startup that believes it can turn that stigma around, by infusing the concept with gamification and a push towards wellness and health — and change the life insurance industry in

Life insurance — financial protection you buy against your death — may not read like the liveliest of industries on paper. But a life insurance startup that believes it can turn that stigma around, by infusing the concept with gamification and a push towards wellness and health — and change the life insurance industry in the process — is today announcing significant funding, a sign of the traction it’s getting for its big ideas.

YuLife, a London startup that has built a new kind of life insurance concept — it incentivizes and rewards users to focus on their physical and mental health through a gamified interface — has raised $70 million in what is, to date, one of the largest Series B’s raised by an insurtech startup in Europe.

Led by Target Global, the round also included Eurazeo, Latitude and previous backers Creandum, Notion Capital, Anthemis, MMC Ventures, and OurCrowd. Sammy Rubin, YuLife’s CEO and founder, confirmed that the round values YuLife at $346 million (£250 million).

The company will be using the funding to continue expanding its business, build more products on its platform, and importantly continue to invest in the technology that it uses to run its service and determine how its policies should run.

“Our insurance is about helping people live healthier and longer lives,” Rubin said in an interview. “If we can help to reduce claims while incentivizing people to do that, it’s a win-win.” But it’s about more than that, he added. “We are building a new type of risk model where we are able to create new actuarial tables, which have not been updated in 200 years. Actually, I think smoker rates and how they’ve changed was the last update. So, most will just look at your age and whether you are a smoker and that’s it.”

YuLife is currently active only in the UK and is only sold directly to organizations, who in turn provide it to their employees. That business currently — which also includes income protection and critical illness cover — provides $15 billion of coverage and has seen 10x growth in the last year — a bumper one for life insurance policies, possibly for the worst reasons (hello, pandemic; goodbye, predicting what the future might look like). Customers include Capital One, Co-op, Curve, Havas Media, Severn Trent, and Sodexo.

That $15 billion is just a drop in the bucket in an industry that is currently estimated to be worth some $2.2 trillion.

The company got its start on the back of a persistent problem that Rubin experienced at his previous insurance startup PruProtect (which is now called Vitality Life).

“Usually insurance benefits just sit on shelf and never get used,” he said. YuLife set out to change that by making the policy “all about engagement.”

The app — built by veterans of the gaming industry — is designed around the concept of different environments, currently covering forest, ocean, desert and mountains, which YuLife collectively terms its “Yuniverse.” (This incidentally also became a template for the company’s HQ design in London.)

Within each of these environments, users are encouraged to walk, cycle, meditate and do other activities to get around their environments in a healthy way, while at the same time being able to compare their progress against other co-workers. There is a degree of personalization in everyone’s experience, in that one person leaning into one activity over another seems to produce different subsequent scenarios.

Along with this, users are offered discounts on third-party products to further engage with the game within YuLife, which could include a subscription to meditation app Calm, FitBit and Garmin devices, and more.

As users make their ways through their worlds, they get rewards, in the form of something called YuCoins. The YuCoins can in turn be used to redeem vouchers from the likes of Amazon and Asos to buy things… consumerism being another way to improve happiness for some of us.

All of this sums up as more than just a policy aimed at giving people peace of mind for their families should they depart this world.

“Long term, it’s not just about health, it’s about lifestyle,” Rubin said.

It’s also about YuLife’s business: the various products that it offers are built around an affiliate model, so there is a business interest for the company around offering and seeing items purchased and redeemed. However, this is not essential to using the app as a policy holder.

The win-win theme runs strong, but so too does the fact that YuLife is taking a different approach altogether, in an industry where most of the “disruption” has up to now been more about how to buy life insurance, rather than reassessing what life insurance actually is. For others in the space doing just that, see DeadHappy, BIMA, and the Jay-Z backed Ethos. That being said, it’s also not the only one tackling “lifestyle” as part of life insurance: Sproutt is another rethinking that area as well.

“YuLife is redefining life insurance, using the most innovative technologies to transform a largely traditional industry,” said Ben Kaminski, partner, Target Global, in a statement. “With health and wellbeing increasingly thrust into the limelight in the wake of Covid-19, YuLife is fundamentally changing insurance by incentivizing people to lead healthier lifestyles. YuLife is ideally positioned to build on its tenfold growth during the pandemic and lead the way in helping its clients respond to the challenges posed by an ever-changing working environment. We are very proud to partner with YuLife on its journey of becoming a global leader in life insurance.”

News: Next Gen Foods to launch its plant-based chicken in the U.S. after raising a $20M seed extension from investors like GGV

Singapore-based Next Gen Foods will bring its plant-based chicken alternative to the United States after raising a $20 million seed extension. Investors included GGV Capital, agriculture and food tech-focused Bits x Bites, food and beverage company Yeo Hiap Seng, entrepreneur and “Blitzscaling” author Chris Yeh and English footballer Dele Alli. Returning investors include Temasek, which

A photo of Next Gen's TiNDLE Parmigiana

“Chicken” Parmigiana made from Next Gen’s TiNDLE

Singapore-based Next Gen Foods will bring its plant-based chicken alternative to the United States after raising a $20 million seed extension. Investors included GGV Capital, agriculture and food tech-focused Bits x Bites, food and beverage company Yeo Hiap Seng, entrepreneur and “Blitzscaling” author Chris Yeh and English footballer Dele Alli.

Returning investors include Temasek, which led Next Gen Foods’ original $10 million seed round, announced in February, and K3 Ventures. The first $10 million was already the largest seed funding ever raised by a plant-based food tech company, based on data from Pitchbook, and now the round totals $30 million. Part of the funding will be used to fill 50 roles in the U.S. for its research and development, sales, supply chain and finance and marketing teams. 

Next Gen also announced changes to its leadership team. Co-founder Timo Recker is moving from his chief executive officer position to chairman, while Andre Menezes, another founder, will take over the CEO spot. Former Temasek director Rohit Bhattacharya will join the startup as its chief financial officer. 

Next Gen’s chicken alternative, called TiNDLE, launched in Asia through partnerships with restaurants and is now served in more than 70 locations in Singapore, Hong Kong and Macau. Over the next 12 months, Next Gen will take a similar approach as it enters the U.S., working with food services in cities to develop TiNDLE dishes for their menus. Eventually it will expand to other distribution channels, like retail, Menezes told TechCrunch.

To replicate chicken meat’s texture, Next Gen uses a proprietary blend of plant-based fats, including sunflower oils, and natural flavors. This allows TiNDLE products to replicate the aroma and browning of chicken when it cooks. 

In the U.S., Next Gen faces rivalry from plant-based food companies like Beyond Meat, which launched its Chicken Tenders product at about 400 restaurants earlier this week. Panda Express, a popular food chain, is also piloting Beyond Meat orange chicken. 

When asked about the competitive landscape, Menezes said, “We are really glad this sector is gaining traction and we do not see other plant-based companies as our competitors. The only competition we worry about are the companies bringing unsatisfactory products to consumers. Consumers may end up having the wrong impression that plant-based foods compromise in taste and experience even today.” 

He added that TiNDLE is GMO and cholesterol-free, and Next Gen has an asset-light business model that will make it easier to scale into new markets. 

Before launching Next Gen, Recker founded German-based LikeMeat, while Menezes worked at one of the world’s largest poultry exporters before serving as general manager of Singapore food distributor Country Foods. 

In a statement, GGV managing partner Jenny Lee said, “The Next Gen team has one of the strongest founder-market fits in foodtech, having previously developed and successfully launched a plant-based meat product for the European market. The team’s focus on product quality, brand recall and distribution provides a strong foundation for the future growth of the company.”

News: Railsbank raises $70M to build out its fintech-as-a-service platform

Financial services-as-a-service — where entities like neobanks, retailers and others can create and sell their own financial products by way of a few lines of code and APIs — has been one of the bigger trends in the world of fintech in recent years, with embedded finance on its way to being a $7.2 trillion

Financial services-as-a-service — where entities like neobanks, retailers and others can create and sell their own financial products by way of a few lines of code and APIs — has been one of the bigger trends in the world of fintech in recent years, with embedded finance on its way to being a $7.2 trillion market by 2030, according to forecast from Bain Capital. Now, one of the companies building and providing those APIs is announcing some growth funding to expand.

Railsbank, which builds APIs for banking, payment cards and credit products for use by fintechs but also a wide range of other kinds of businesses, has raised $70 million in new equity funding, money that the London startup plans to use to continue growing internationally and to add more features to its product set.

“Our mission is to reinvent, unbundle and democratise access to the complex, opaque and byzantine 70-year-old credit card market, which is worth $4 trillion in the U.S. alone,” Nigel Verdon, CEO and co-founder of Railsbank, told TechCrunch in an interview last year. Verdon is a repeat entrepreneur, with one of his previous companies being Currency Cloud.

Railsbank not disclosing its valuation, but Verdon hints that it is in the high hundreds of millions and close to $1 billion.

“As a policy, we rarely talk about valuation as we prefer to talk about customers,” he told TechCrunch today. “Valuation is a very inward facing and self centered metric. Saying that, near unicorn would best describe us today.”

As a point of comparison data from Pitchbook noted that the company was valued at just under $200 million in its last round at the end of last year (we reported on it here).

This latest round is being led by Anthos Capital, a previous backer of the company, with Central Capital, Cohen and Company, and Chris Adelsbach’s fund Outrun Ventures, as well as other unnamed previous backers also participating. Central Capital is a strategic investor: it’s the VC arm of the largest privately held bank in Indonesia, while Cohen and Company is the founder of Bancorp. Those backers speak to where Railsbank is targeting its services and who is interested in potentially working with it.

Banking-as-a-service, and other financial products-as-a-service, has become one of the most significant building blocks not just in the world of fintech, but in financial services overall. As with Twilio or Sinch in communications, or Stripe in payments, the idea here is that financial specialists have built out the complicated infrastructure and partnerships that underpin a product like a credit card, or a banking account.

This is then packaged up in a service that can be integrated into another one by way of an API, and the small amount of code needed to add it to another platform. In turn, that API can be used not just by another financial services company that is consumer- or business-facing, but by any kind of company that sees offering a financial product as part of a bigger customer service and loyalty play. That could mean a retailer offering its own-brand credit card, but also a “neobank” that is building a slick front end with great customer service and personalization, without needing to build the now-commoditized banking infrastructure underneath it to run it.

Railsbank is far from being the only company that has identified and built around this concept. Other big players include Rapyd, which raised a big round at a $2.5 billion valuation earlier this year; Unit, which also has been picking up funding and growing; FintechOS, which really does what its name says; and the startup 10x was even built for incumbent players to also have access to lighter fintech-as-a-service.

Railsbank believes its distinct from many of its would-be competitors in part because it has built a lot of its own infrastructure from the ground up (hence the “rails” in its name), “bypassing” legacy players, in contrast to others that are built as software that still ultimately runs on top of stacks (and inefficiencies) of those older providers. This also means that it is regulated as a financial institution.

Railsbank is also in the business of making some acquisitions in order to grow its business, for example acquiring the UK business of German fintech Wirecard when it was crashing due to financial malpractices. And it doesn’t build everything from scratch: earlier this year it also partnered with Plaid to embed some of its services within Railsbank’s.

Railsbank does not disclose a full list of customer names but has case studies on a number of smaller clients that speak to just how widely proliferated financial services are today. They include GoSolo, Kyshi, and SimpledCard.

“The market has evolved so rapidly since we founded the world’s first BaaS business, the Bancorp,” noted Betsy Cohen, chairman of Fintech Masala and founder of Bancorp, in a statement. “As we move into the $7 trillion embedded finance market, it has been great watching Railsbank’s growth story. With this investment, it’s a privilege to continue to be part of the journey with a global leader like Railsbank.”

News: Anyone is building a marketplace for advice, one 5-minute call at a time

Anyone, an audio app that’s building a ‘marketplace for advice’ one five-minute phone call at a time, is launching new versions of its iOS and Android apps today* and beginning to large-scale onboarding after operating in a limited closed beta for the past six months. The app — which was founded around 18 months ago

Anyone, an audio app that’s building a ‘marketplace for advice’ one five-minute phone call at a time, is launching new versions of its iOS and Android apps today* and beginning to large-scale onboarding after operating in a limited closed beta for the past six months.

The app — which was founded around 18 months ago (so pre-pandemic) — has a simple premise: Advice is best delivered verbally, concisely and one-to-one, in a time-limited format.

Video is distracting and a hassle to fit into busy people’s schedules. Text is time-consuming and prone to misunderstandings. But a simple phone call can — quickly and usefully — cut through, is the thinking here.

Hence the decision to hard-stop at a five-minute phone call. The app automatically terminates each call at the five minute mark — no ifs, no buts (and, well, hopefully fewer time-nibbling ‘ums’ and ‘ahs’ too).

To fund development of the marketplace, the team has raised around $4 million in total to date — mainly comprised of a $3.6M seed round led by Berlin-based Cavalry Ventures with participation from Supernode Global, Antler and a number of high-profile angel investors (contributing angels include Atomico’s Sarah Drinkwater and Sameer Singh; and ustwo’s Matt ‘Mills’ Miller, among others).

Broadly speaking, online audio has shown its staying power through a sustained podcast boom and, more recently, a buzzy moment for social audio, via developments like Clubhouse and Twitter Spaces — which speak to a general sense of pandemic-struck ‘Zoom fatigue’ as remote workers max out on video calls at work yet still crave meaningful connections with other people at a time when opportunities to mingle in person are still limited vs pre-COVID-19.

A lot of social audio can still be very noisy, though, and Anyone wants to be anything but. This is short-form, topic-specific audio.

Why five minutes? It’s short enough for a busy person to almost not have to think twice about taking a cold call from someone they’ve probably never spoken to before — while being just about long enough that some useful advice can be distilled and imparted across those 300 seconds of one-to-one connection.

Naturally the short format does not allow for group/conference calls. It’s one-to-one only.

Anyone’s CEO also reckons this “intimate”, short-form audio format could help drive diversity of advice by encouraging people whose voices may be underrepresented in traditional mentorship fora to feel more comfortable offering their time and knowledge to others. (He touts a current 50:50 user-split between men and women offering expertise through the app — and 25% people of color.)

“It’s not about taking long form meetings and compressing them — it’s about taking those conversations that would never have happened… and making them happen,” says CEO and co-founder David Orlic, pointing out that mainstream calendar apps have a default meeting slot that’s set to half an hour or an hour. So the wider thesis is that our current tools/infrastructure just aren’t set up to help people give and grab bitesized advice. (And, well, on the Internet anyone can claim to be an expert — but of course you can’t rely on the quality of the ‘advice’ you find freely floating around online.)

“Our belief is that there are a lot of five minute problems that we could be solving — whereas there are a lot of 30 or 60 minute problems that have solutions designed for them already. So we’re kind of building this for those conversations that aren’t happening,” he adds.

Orlic hints that the intention is also to leave Anyone’s callers a little hungry for more — to feed demand for more five-minute conversations and so fuel transactions across the marketplace.

“If you look at the demand side — the callers — there’s always multiple calls involved. So people will call a lot of people and ask them basically the same question or bounce ideas. And then they will aggregate those insights into something that’s much more valuable than one conversation,” he continues. “So it’s like building an advisory board for yourself.”

The idea for the platform came after Orlic and his co-founders realized they could trace key career decisions to a handful of short conversations — brief moments of advice that ended up profoundly influencing the trajectory of their working lives, to the point where they were still looking back on them years later.

“None of us in the founding team had any networks to speak of when we were growing up. And we had fairly little exposure to opportunity. Alfred is from a small village in the middle of nowhere in Sweden, I grew up in an immigrant family, and Sam is a working class bloke from Leeds. And looking back at our careers we could track them back to this handful of conversations — these haphazard moments when someone gave us a piece of critical advice,” he tells TechCrunch. “For them it was just another five minute chat but for us it turned out to be life-changing.”

“For Alfred it was some quick advice on how he could land a job at Google which he managed to do and spent almost a decade there working as a growth guy on Google Chrome and other stuff; for Sam it was how to start a company; for me it was the suggestion that I as a creative should pursue an MBA — which I ended up doing. So we started thinking long and hard about the concept of advice, and we became obsessed with opening up these closed networks.”

The aim for Anyone’s marketplace is to make similarly pivotal moments accessible to all sorts of people — by giving the app’s users the chance to call any expertise provider on the network (provided they can afford the fee) and ask their question.

A slogan on its website poses the question “imagine if you could call anyone in the world” — which is certainly a poetic-sounding moonshot to be shooting for, although the size of the user-base remains far off that global vision at this early stage.

“What we’re building is really the phone book of the future,” says Orlic, slotting his elevator pitch into our ~30-minute phone conversation. “We’re building a place for unique, one-to-one, five minute experiences — which is something really different from most social audio plays.”

He points to a trend of other apps intentionally applying limits to change/define the user experience in behavior-shaping ways (like Poparazzi, a self-styled ‘anti-Instagram’ photo sharing app that doesn’t let you take selfies to make you take more pics of your friends and vice versa; or the dating app Thursday which limits users to one active day of use per week to prevent endless swiping and nudge matches toward going on an actual in-person date).

The marketplace component of Anyone’s app is another intentional limit too, of course. Calls are not free by default.

Putting a price on Anyone’s one-to-one advice is one way to try to weed out unserious (or indeed abusive) users from those genuinely seeking others’ expertise on specific topics.

But primarily it’s there to provide an incentivize for people who have expertise worth sharing to make themselves available to take cold-calls (even very short ones) from strangers/those outside their existing contact networks.

Pricing for a five-minute call is set by Anyone users. So the call fee can vary from nothing at all (if the user distributes a free voucher code) to as little as $5 or all the way up to $500 (!) which does sound pretty crazy expensive. But Orlic notes users can choose to donate their fee to a charity if they do not wish to financially benefit from the advice they’re dishing out (so there may be instances where a high fee includes a philanthropic component).

With such highly variable fees, the app will need to have a good safety mechanism to re-confirm a user really does want to be charged the specific fee. (And, god forbid, to avoid the risk of butt-dialling… 😬)

“If you want to connect with someone I think it’s reasonable to put a cost on the scarcest resource on the planet which is someone’s undivided attention,” Orlic argues, suggesting that plenty of mainstream tech confuses transient ‘access’ with attention. “We can ‘access’ people everywhere — we can listen to them, read them, follow them. But that’s not the same as attention… Someone’s undivided attention is a remarkable, remarkable thing. And the five-minute cap forces you to be very clear and to the point about what you want to chat about.”

With its intentionally attention-slicing infrastructure — which manages ephemeral contacts into precisely measured and billed units — “all of a sudden you have all of these conversations that wouldn’t have happened happening thanks to this manageable way of connecting with people”, is the claim. 

Anyone users wanting to list themselves on the marketplace to sell one-to-one advice will need to create a profile that specifies their availability to take calls and some basic details (name, career details, location etc), as well as setting their five minute fee.

They also need to provide details of the “conversation topics” they’re comfortable giving advice on.

Co-founder Alfred Malmros’ profile includes examples such as: “Make the leap. Quitting a dream job to make it on your own”; “Rising quickly in a large organisation — politics vs. talent”; and “It takes a fool to remain sane. Thriving as an employee” — so topic steerage looks intended to be not only specific but maybe also give a flavor of the individual’s personality to further help advice-seekers decide if they want to shell out for five minutes of that particular person’s time.

The risk of imposters or low quality advice is being managed by “vetting and verification” processing all advisors have to go through prior to being able to sell, per Orlic. “Beyond verification, we put a lot of work into making sure that everyone on Anyone understands what constitutes good advice, how to avoid projection and biases in conversations, etc,” he adds.

The platform also incorporates a rating system — again, in an attempt to keep quality up across the marketplace.

Anyone’s early users are a blend of creators, founders and investors, per Orlic — including a lot of first and second time founders, as you might expect, with the pandemic having limited in-person startup networking opportunities.

He also says they’ve attracted a lot of people mid career, looking for advice on how to quit their jobs and pivot into something totally new — again, likely fuelled by the pandemic reconfiguring many things around how we work (and, more broadly, how we may be thinking about work-life balance).

“When you’re doing that kind of big life decision you really want to connect with a lot of people and ask around,” he suggests on the interest from established professionals looking for advice on a career switch. “Also there’s a high willingness to pay, I’d argue, when you’re in that position.”

“Business is a huge thing as a marketplace for advice,” Orlic adds, noting that a record number of businesses started in the last year too. “Investors — by the way — love this for deal flow because they can speed date a lot of founders and then pick who they continue with.”

Parents are another community of early users he highlights — saying they’ve been both offering and soliciting advice during the early test phase. He says one of the best pieces of advice he’s personally gained through the network was a conversation about parenting, adding: “I’ve had some really profound conversations with other dads. People that know a lot more about parenting than I do — where I’ve gotten really actionable advice and support. So that has been a big thing for me personally.”

Orlic also says he’s excited about potential in the area of mental health — suggesting the short-form format could be helpful to get people to have conversations about therapy which, since they’re so bitesized and bounded, may be a non-intimidating introduction toward taking up more sustained support.

He also mentions that he’s excited about the potential for civic society to make use of the platform as a tool for driving public engagement and awareness around issues and campaigns.

Appropriately enough, Anyone’s team has been dogfooding by using the app to get advice to help build the startup. (Orlic admits he asked someone on the network how to get TechCrunch’s attention and was advised, by the unnamed investor, to pitch this reporter — so it sounds like he got some solid advice there 😉

The app has had around 1,000 test users during the closed beta period — with some 12,000 on the wait-list that Orlic says they’ll be onboarding over the coming weeks.

Network building — so growing the size of the user-base on both the expertise and demand sides — is clearly going to be a key challenge here. (And notably Orlic emphases the network effects expertise of its angel backer, Singh.)

Anyone’s five-minute format may be bitesize enough to encourage users to spread the word of any good experiences they have on the platform to their (wider) social graphs on mainstream social networks. Although the calls themselves must surely remain private between the two interlocutors — so there are some hard limits on the app content being able to go viral.

(At the time of writing, a link to Anyone’s privacy policy wasn’t working so we asked for a confirm on the privacy of calls — and Orlic told us: “All calls on the new app are completely e2e encrypted, and there’s no way to listen in on an ongoing conversation. For user safety, calls are recorded, anonymised and stored in a secure environment for maximum 30 days. So in case a user reports a specific call in the app and wants a refund, or if an advisor flags up harassment or other serious issues, we can deal with that in a sustainable way.”)

At the same time it’s not hard to imagine a platform like Twitter (or, indeed, LinkedIn) seeing value in offering a similar one-to-one user call capability — and bolting it on as a feature on an established network where users have already built up extensive social graphs. So If Anyone’s idea really takes off the risk of cloning could get very real — which means it will have to balance network building/growth with attention to the quality of the community it’s building and innovating to keep its users happily stuck to its own (inevitably smaller) network.

Commenting on backing the app in a statement, Claude Ritter, managing partner at Cavalry Ventures, said: “What sets Anyone apart from other audio apps is the quality and connection of 1:1 advice. The team saw the potential of audio and the emergence of the creator economy long before the hype. We’re impressed by what they’ve accomplished to date and by their mission to build the phone book of the future.”

Around 9,000 five-minute calls have been made via Anyone’s platform so far, per Orlic — who says the goal they’re shooting for as they open up access now is to get to 100,000 calls within a year.

The business model for now is to take a straightforward 20% cut of the advice fee.

On the fee side there’s also potential for things to get bumpy if momentum builds around the concept — given that platform giants have been known to take a predatory approach to pricing when trying to close down creator-supporting upstart competition via their own fast-following clones. (See, for example, Facebook’s recent dive into offering a newsletter platform — for which it’s both paying writers upfront for contributions and, at least initially, not taking any cut of their subscriptions.)

It’s clear that Anyone will need to pay particular attention to the quality of the advice and community it’s building. It may even end up needing to hone in on serving particular niches and specialisms in order to leverage differentiation vs larger more generalist networks which have the advantage of larger user-bases should they decide to move in on the same ‘quick call’ turf.

At the same time, there are signs that some of the buzz around social audio may be fading away to more of a hmm as the hype dies down and app users tire of all the noise. But again, that’s why Anyone keeping the audio side intentionally short looks smart.

“We feel that we are part of a movement that is rebuilding the Internet as we know it and building something that is more sustainable and healthy — and really creating value,” says Orlic, discussing the changing landscape around social apps. “Closed social is a topic that I’m really excited by. We’ve seen this for years, with Slack channels and WhatsApp groups. We’ve seen social closing off because of a tonne of different reasons — and with Geneva and a lot of new really cool startups and platforms we’re seeing everything focus around communities. People building communities around specific verticals and then monetizing them in different ways. So we’re definitely a part of that wave.

“A lot of our most active users are people who have built audiences around specific topic and want more meaningful connections with those audiences — the Substack writers that use us as a way to both connect with their existing readers but also gaining new superfans, if you will, because when you’ve had a five minute chat with someone and then sign up to read their Substack, you will read everything they write after that kind of intro. So we’re definitely a part of that closed social. But as a business we are a marketplace — because again we’re obsessed with that idea of someone’s undivided attention being a very scarce resource and the fact that we’re seeing the ‘cameo-ification’ of everything and everyone. And that is also here to stay.”

“Monetization — in one way — sounds like a really crass and cynical concept but at the end of the day we want people to build income streams around things they’re passionate and know a lot about. At the end of the day that is a wonderful, wonderful thing,” he adds. “A creator middle class is a very exciting concept because looking at all the big platforms, old social media, we know where the money is going — it’s going to the top 0.1% of influencers and creators. Whereas small and mid tier creators are not making money to sustain themselves off their passion. For that you have all of these cohort-based courses through Maven. And platforms like us — that enable people to connect directly with each other in a one-to-one setting.

“We think it’s very cool that we’re doing an opinionated, one-to-one, five-minutes, audio-only platform because that gives us a unique positioning. And this is what excites the team. Seeing these stories come out of it — and those stories would not come out of it if it was just another broadcasting or Clubhouse thing.”

There is of course no small irony that it’s exactly because of the proliferation of mobile connectivity and apps — which have driven increased utility by providing people with on-demand access to so much data (and people) — that the traditional ‘quick call’ of old has been derailed, creating conditions where a startup feels there’s an opportunity to build a dedicated marketplace for scheduled quick phone calls. (Albeit, one that’s aiming to scale to a far wider network that the average person would have had in their phone book back in the 1980s, say.)

But as software and connectivity keeps eating the world, enforcing tech upgrades and reconfiguring learned behaviors, it’s clear that the resulting disruption can recreate the right conditions for new tools to come in and repackage some of the old convenience — which maybe got a bit lost in the noise.

*App Store review gods willing

 

News: Indian storytelling platform Pratilipi raises $48 million led by gaming giant Krafton

Pratilipi, an Indian startup that operates an online storytelling platform to enable writers to share their work in various formats, said on Wednesday it has raised a $48 million financing round led by Krafton. South Korean gaming giant Krafton led the Series D round for the seven-year-old Bangalore-based startup, bringing its to-date raise to $78.8

Pratilipi, an Indian startup that operates an online storytelling platform to enable writers to share their work in various formats, said on Wednesday it has raised a $48 million financing round led by Krafton.

South Korean gaming giant Krafton led the Series D round for the seven-year-old Bangalore-based startup, bringing its to-date raise to $78.8 million.

Existing investor Omidyar Network India as well as scores of high-profile entrepreneurs including Pratilipi chief executive Ranjeet Pratap Singh as well as Unacademy’s Hemesh Singh and Gaurav Munjal, Locus’ Nishith Rastogi, Meesho’s Vidit Aatrey, Udhyam’s Mekin Maheshwari and NoBroker’s Amit Agarwal also participated in the round.

Pratilipi started its journey as an online reading and writing platform, where writers shared their stories in several Indian languages. The idea at the time was to create a platform where quality literary work could be hosted and shared in Indian languages, something that only had sparse representation on the web, said Singh, who is a voracious reader of Indian literary work and worked at Vodafone before starting Pratilipi, in an interview with TechCrunch.

The platform has ballooned to become a market leader since. Over 370,000 writers on the platform today share their work in a dozen languages and more than 30 million readers browse Pratilipi each month to read their work.

These writers can choose to share their work with readers for free or charge a subscription fee. But increasingly there’s another avenue for them to monetize their work.

Pratilipi — which has expanded to book publishing, audio and comics in recent years — uses proprietary algorithms to identify stories that it believes could be turned into a book or a web series and buys the IP from the writers.

The startup has inked several partnerships with industry players including giant on-demand video streaming service MX Player, which carried Pratilipi’s show “Midnight Lily” earlier this year.

“We have been a part of Pratilipi’s growth story since the early stages,” said Pratik Poddar, Principal at Nexus Venture Partners, an early backer of Pratilipi, in a statement. “Over the years, we have witnessed the team’s deep product focus, an obsession to make creators successful, and keen understanding of monetizing content IP which is extensible across different formats.”

Pratilipi’s Singh said the startup will deploy the fresh funding to broaden its partnerships with industry players as well as invest in building in-house publishing stack. With Krafton, which recently launched the Battlegrounds Mobile India game in the South Asian country, the startup aims to develop stories that can be incorporated into global gaming franchises.

The demand for original stories have surged in India in recent years and many streaming services and publishing giants are engaging with Pratilipi, he said. “We will continue to work with ecosystem partners and for formats where we already have in-house expertise we will expand on those,” he said.

Pratilipi also plans to use the fresh funds to expand outside of India. A fraction of its users today already live outside the country, said Singh. “We haven’t worked on the expansion so far, but now the plan is to actively reach out to creators and readers in other markets,” he said.

Wednesday’s announcement also illustrates Krafton’s growing push into the Indian market, where in recent months it has held talks to acquire several gaming studios, according to a person familiar with the matter.

“It is exciting to see the growth of Indian local IPs in online literature, comics and audio platform in Pratilipi, which is already the largest player in India in multiple categories,” said Sean Hyunil Sohn, Head of Krafton’s India division, in a statement.

“With Pratilipi already having a multilingual platform for online literature, it is poised to become one of the strongest players in emerging markets in the future. Krafton believes in long term potential of local Indian IPs that can be successful not just in India but globally as well across formats including literature, comics and gaming and our investment in Pratilipi is another step in realising that vision.”

News: Wecasa raises $17.7 million for its home care and wellness marketplace

French startup Wecasa has raised a $17.7 million funding round (€15 million). Blisce is leading the funding round with existing investors Serena, ISAI and Frédéric Mazzella also participating. The company has been building a marketplace for home care and wellness. Over the past few years, Wecasa has kept adding new verticals. The startup originally specialized

French startup Wecasa has raised a $17.7 million funding round (€15 million). Blisce is leading the funding round with existing investors Serena, ISAI and Frédéric Mazzella also participating. The company has been building a marketplace for home care and wellness.

Over the past few years, Wecasa has kept adding new verticals. The startup originally specialized in hairdressing at home. It then added massage, beauty treatments, housekeeping, babysitting and sports coaching.

While the company is mostly active in France, it expanded to London in April 2021. Up next, Wecasa expects to launch its service in a couple of new European markets as soon as next year.

When it comes to metrics, Wecasa expects to generate $23.6 million (€20 million) in revenue this year. That would represent a three-fold increase compared to 2020 revenue. There are 150,000 Wecasa customers and 5,000 registered professionals on the platform.

Like many marketplaces, finding more partners will be key to supporting the company’s growth. Wecasa expects to add another 3,000 professionals by the end of 2021 for instance. There are currently 50 people working for the company and the startup is hiring another 30 employees this year.

This isn’t the only marketplace focused on home care and wellness in France. When it comes to housekeeping, Wecasa competes with Helpling, O2, Shiva and others. When it comes to babysitting, Wecasa competes with Yoojo, Yoopies and others. Some other marketplaces also focus on one-off jobs, such as fixing something that is broken — examples include Lulu dans ma rue and Stootie.

Wecasa has been slowly adding new categories, which is a smart move as it’s easier to make sure you’re working with competent professionals if you don’t have a thousand different verticals. There’s also a huge market opportunity as a lot of recommendations for a baby-sitter or a housekeeper still happen offline — there will be room for multiple marketplaces. And Wecasa now seems to be well positioned to build a strong brand and service across multiple markets.

News: Russian insurtech and telemedicine startup BestDoctor raises $26M B from Winter Capital Partners

Last year we covered BestDoctor’s series A round when the Russian insurtech startup raised $4.5 million for its online medical insurance platform for corporates, which also offers telemedicine services to employees. It’s now closed a $26 million Series B round from Winter Capital Partners, alongside Swedish investor VNV Global and UNIQA Ventures, the corporate VC

Last year we covered BestDoctor’s series A round when the Russian insurtech startup raised $4.5 million for its online medical insurance platform for corporates, which also offers telemedicine services to employees.

It’s now closed a $26 million Series B round from Winter Capital Partners, alongside Swedish investor VNV Global and UNIQA Ventures, the corporate VC backed by UNIQA Insurance group. The company claims this round gives it a $90 million valuation.

BestDoctor’s Virtual Clinic platform offers round-the-clock telemedicine services as well as preventive medicine, and other services. While the product is currently offered as an enterprise platform for private companies, it now plans to enter the consumer market in 2021.

Mark Sanevich, BestDoctor’s co-founder and CEO said: “We are pursuing a new goal and building a platform with the best medical services that can be entrusted with any health-related issues. The platform will consolidate all of BestDoctor’s products to become an example of a client and product-oriented approach to medicine. A new type of healthcare service focused on the patient and their needs, is urgently needed – not just in Russia, but globally.”

In 2020 BestDoctor secured Russian tech and telecoms giants Mail.ru Group, Megafon, and RBC media, putting 100,000 patients on its platform.

He Sanevich the startup plans to enter the European digital-health market, which is currently growing by 28% year-on-year.

Anton Farlenkov, Managing Director at Winter Capital Advisors said: “The medical insurance industry is undergoing a digital transformation, as many services move online, creating greater accessibility and improving usability for consumers. BestDoctor is at the forefront of this revolution, accelerating the medical insurance field’s transition to a qualitatively new level.”

Björn von Sivers, investment Manager at VNV Global said: “The company has built a great product and onboarded an impressive set of corporate clients in a short time. We believe BestDoctor is in a great position to continue to lead the Russian market with its innovative offering and also see strong potential for future geographical expansion.”

Previous investors AddVenture, Target Global and the LVL1 fund.

News: Gourmey is a cell-based poultry startup working on lab-grown foie gras

Meet Gourmey, a new French startup that recently raised a $10 million founding round in equity and debt. The startup is working on meat grown in laboratories from animal cells. In particular, the company is focusing on poultry and aims to convince chefs that they should use the company’s products in their restaurants. “We’ve been

Meet Gourmey, a new French startup that recently raised a $10 million founding round in equity and debt. The startup is working on meat grown in laboratories from animal cells. In particular, the company is focusing on poultry and aims to convince chefs that they should use the company’s products in their restaurants.

“We’ve been raising animals for 20,000 years,” co-founder and CEO Nicolas Morin-Forest told me. “We grow cells, which is much more efficient because you only produce what you eat.”

Victor Sayous and Antoine Davydoff, the two other co-founders, have a background in molecular and cell biology. When they teamed up to create a startup, they started looking at intensive livestock farming.

“When you dip your toes in that, you realize that this isn’t exclusively about animal welfare — it’s also about the planet, humans,” Morin-Forest said.

Gourmey is part of a group of startups that want to create meat alternatives and turn them into mass-market products. The first generation of startups that wanted to replace traditional meat bet heavily on plant-based substitutes. Beyond Meat and Livekindly Collective are some well-known examples.

More recently, a new generation of startups have been focusing on cell-based meat, such as Eat Just, Mosa Meat and Meatable. Gourmey is the first French startup working on lab-grown meat.

Like other lab-grown meat startups, Gourmey relies on stem cells. Combined with the right nutrients at the right temperature, those cells mature in a bioreactor.

Gourmey is starting with a premium product and a premium distribution strategy. The startup has been working on cultivated foie gras or — as they say — slaughter-free foie gras. Reproducing the taste of foie gras is also a complex task, which means that Gourmey is setting high expectations.

In some countries, there’s such a stigma attached to foie gras that it has been removed from supermarket shelves. As a result, some people might be tempted by lab-grown foie gras. Gourmey hopes that chefs in particular will try its first product and use it in their high-end restaurants. Gourmey hopes to sell its product more or less at the same price as regular foie gras.

The idea is to launch more mass-market products as the startup scales. Once it has optimized its production lines and there’s enough demand for Gourmey’s products, you can expect to see other chicken and duck products.

There are some regulatory hurdles to overcome before lab-grown startups can sell their products around the world. Eat Just started selling lab-grown meat in Singapore but it could take several years before you see cultivated meat in Europe for instance. Food safety regulators will have to approve those new products.

When it comes to Gourmey’s funding, Point Nine and Air Street Capital are co-leading the $10 million seed round. Heartcore Capital, Partech, Big Idea Ventures, Eutopia, Ataraxia, Beyond Investing ans several angel investors are also investing. Gourmey also received some support from public institutions, such as Bpifrance and the European Commission.

“Cultivated meat is one of the most promising solutions to deliver energy-efficient, sustainable proteins to the world,” Point Nine managing partner Christoph Janz said in a statement. “However, taste parity will remain the key success factor. We have been truly impressed by Gourmey’s delicious products and the company’s ability to progress both on the science and the flavor at record speed.”

With this funding, the company plans to create its pilot production line in Paris. It expects to be able to sell its foie gras products in late 2022 or early 2023.

Image Credits: Gourmey

News: Great Question gets $2.5M seed round to make customer research easier

Customer research is invaluable for software companies, but there are many obstacles, like finding the right group of people to survey. Great Question wants to make building and talking to their own panels accessible to all companies, no matter their size. The startup, which was part of Y Combinator’s winter 2021 program, announced today that

Great Question's user dashboard

Great Question’s user dashboard

Customer research is invaluable for software companies, but there are many obstacles, like finding the right group of people to survey. Great Question wants to make building and talking to their own panels accessible to all companies, no matter their size. The startup, which was part of Y Combinator’s winter 2021 program, announced today that it has raised $2.5 million in seed funding.

Great Question launched in February 2021, and its clients include Linktree, Honeybook, O’Reilly Media and MainStreet. The platform has been used to interview customers about product ideas and strategy, find product-market fit, conduct usability studies on UX designs and see how well marketing landing pages perform. Great Question’s seed round came from investors including Funders Club, January Capital, Nomo VC and Twenty-Two Ventures. Angel investors like Warren Hogarth, co-founder of Empower Finance; Jon Williams, co-founder of Culture Amp and Pyn; Jason Smale, senior vice president of engineering at Zendesk; and Robbie Allan, former group product manager at Intercom also participated.

Before founding Great Question, PJ Murray and Ned Dwyer sold their last startup, web developer marketplace Elto, to GoDaddy in 2015. In email, Dwyer told TechCrunch that they did very little formal research at Elto. “We would talk to customers, but it wasn’t structured or consistent.”

After joining GoDaddy, however, they became “a lot more rigorous in our approach to building product—we suddenly had a much larger audience, a bigger team and aggressive targets.” Murray and Dwyer also had the advantage of working with GoDaddy’s UX research team.

The two saw an opportunity to make customer research more accessible to product development teams. Dwyer said that if companies outsource to a large UX research provider, the starting price can be $40,000 a year. On the other hand, Great Question’s freemium pricing model includes paid subscription plans for $49 and $199 a month.

Great Question has almost all of the things needed for customer research—survey smart templates, prototype tests, scheduling tools and transcription—in one place, so teams can share information easily. One of its most important features is customer recruitment and filtering tools. Dwyer explained that many UX research companies sell access to panels they have already built. That means clients often get feedback from relatively homogenous groups of people who are not their target customers—for example, college students or stay at home parents who signed up to answer surveys so they can earn extra cash or gift cards.

Great Question builds custom landing pages where users can opt into panels, decide what kind of research they want to participate in and how often they are willing to answer questions (for example, the platform automates rolling studies, sending questions to different groups of customers every two weeks). Great Question lets its clients integrate incentives programs, such as Tremendous, to compensate participants with cash or gift cards. But many of the people who participate in research through Great Question are motivated because they want to have a say in products they are already using, or find out first about upcoming releases, Dwyer said.

A landing page created for MainStreet with Great Question's user research platform

A landing page created for MainStreet with Great Question’s user research platform

Once customer panels are created, Great Question provides smart templates for surveys or interviews and automatically schedules them for distribution. This saves clients time. For example, MainStreet approached Great Question when it was preparing to release a product that would change its onboarding flow. The startup, which lets small businesses find and claim tax credits and economic incentives, didn’t have time to perform customer research before the launch. “Within 24 hours of signing up to Great Question they’d booked eight customer interviews—this was over Christmas mind you—and got the usability feedback they needed to iterate on the designs before they went to production,” said Dwyer.

In a statement about the investment, Funders Club co-founder and chief executive officer said Alix Mittal said, “Even the best product and business teams know everyday iteration, large pivots, and new launches can be hit or miss. We backed Great Question because they provide the missing tool to effortlessly incorporate customers into product and business decisions and to never miss the mark.”

News: Walmart will be bringing Symbotic robots to 25 distribution centers

Ask anyone who runs a fulfillment/warehouse robotics company what companies’ top motivation is for embracing automation and they’ll probably cite labor shortages or shipping speeds. The looming truth of the matter boils down to one word: Amazon. And while it’s true that smaller businesses are feeling the worst crunch, no one is immune to the

Ask anyone who runs a fulfillment/warehouse robotics company what companies’ top motivation is for embracing automation and they’ll probably cite labor shortages or shipping speeds. The looming truth of the matter boils down to one word: Amazon. And while it’s true that smaller businesses are feeling the worst crunch, no one is immune to the online retailer’s dominance. Not even Walmart.

Today, the fellow retail giant announced its latest robotics partnership, teaming with Massachusetts-based automation company Symbotic. The two announced today an extension of their relationship that will bring robotics to 25 regional Walmart distribution centers. The company says the rollout will take “several years” to complete.

The deal follows a 2017 pilot that brought Symbotic’s autonomous robotics platform to Walmart’s Brooksville, Florida distribution center in a bid to increase freight sorting, stocking and unloading.

“The digital transformation happening today, alongside evolving customer habits, is reshaping the retail industry,” Walmart’s Joe Metzger said in a release. “To serve customers now, and in the future, our business must provide the right tools and training to our associates so they can deliver the items our customers want, when they want them, with unmatched convenience. We’re investing in our supply chain at an unprecedented scale in order to optimize that process end-to-end.”

Walmart has been aggressive about piloting robots over the last several years, in hopes of expediting some of its processes. As we’ve noted before, however, its results have, thus far, been uneven. Most notable is the case of Bossa Nova Robotics. The startup was thrown for a loop when Walmart ended its contract with the inventory robotics maker. That’s what pilots are for, of course, but that likely doesn’t dull the sting for the smaller company.

Symbotic has a significantly stronger track record, however. The company lists among its partners one of Walmart’s biggest competitors: Target. And while Walmart could be exploring the possibility of acquiring its own startups (à la Amazon, which built its robotics wing atop its acquisition of Kiva Systems), it seems like existing ties could make such a deal a large hurdle.

WordPress Image Lightbox Plugin