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Biz Carson and Avery Hartmans
2016-12-30T13:52:00Z
2017 is almost here and it's once again time topredict whichstartups will take the tech industry by storm.
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Who better to ask than the startup experts, the VCs that watch the industry, guide the startups, hear their pitches, and invest inthem?
So we reached out to a handful of top VCs and asked them which young or growth-stage startups willboom in 2017.
We asked them to particularly focus on non-enterprise startups — companies thatsell directly to consumers rather than businesses. (For the hottest companies in enterprise, check out our list here).
The VCs we spoke togave us this list that includes everything from video chat apps, to delivery drones, to companies that help you track your spending or invest your money.
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Below are the 33 companies that are poised to boomin 2017.
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Hooked: bite-sized stories for your phone
Company name: Hooked
VC:Greylock's Josh Elman
Relationship: VC is an investor.
Funding: $3million
What it does:Hooked turns stories into bite-sized, chat-style messages, or lets fans write their own.
Why it's hot: "Hooked makes it easier for readers to consume the story in small bites, say when they’re waiting in line or riding the subway. The company is now working with Hollywood producers to help identify new writing talent and promising intellectual property. In fact, Hooked has a number of new investors from the movie and TV world, including Warner Bros. President Greg Silverman," Elman says.
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Robinhood: Free stock trading
Company name: Robinhood
VC:Greylock's Josh Elman
Relationship: None. VC just thinks it's cool and buys and sells some public stocks there.
Funding: $66 million
What it does:Robinhood is a free stock-trading app that makes it easy to buy and sell stocks from your phone.
Why it's hot: "The app makes stock trading free, intuitive, and mobile. Robinhood allows people to get into trading, and make decisions to buy or sell stock in companies without the burden of expensive fees. It has a chance to revolutionize stock ownership for millennials," Elman says.
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Laurel & Wolf: interior designing online
Company name: Laurel & Wolf
VC:Charles River Ventures' Saar Gur
Relationship:VC is an investor.
Funding:$25 million
What it does:Laurel & Wolf easily connects people with interior designers online, making it easy and affordable to transform a space.
Why it's hot: "Laurel & Wolf will be hot as their service becomes more mainstream. Early customers LOVE the service," Gur says.
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Opendoor: A different kind of real estate
Company name: Opendoor
VC:Charles River Ventures' Saar Gur
Relationship:None. VC just thinks it's cool.
Funding: $320 million
What it does:Opendoor is betting that homeowners would take a guaranteed sale over a higher price. It calculates a fair market value and pays homeowners before re-selling the home with a 30-day satisfaction guarantee.
Why it's hot: "Opendoor is having a huge impact in the local real-estate markets that are in (Phoenix), but have aggressive expansion plans in 2017," Gur says.
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Gametime: mobile ticket buying for live events
Company name:Gametime
VC:Accel'sBrian O'Malley
Relationship:VC is an investor.
Funding: $33.3 million
What it does:The app allows people to find last-minute tickets for live sports and entertainmentand easily share them with friends.
Why it's hot: "Gametime is the fastest growing ticketing company ever to reach $50 million in gross sales. By focusing on the mobile audience, Gametime makes everything easier, whether you’re sharing tickets through sms or selling tickets by just taking a picture," O'Malleysays.
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TheSkimm: a must-read morning newsletter for millennials
Company name: theSkimm
VC:Accel'sBrian O'Malley
Relationship: Not an investor. VC just thinks it's cool.
Funding: $16.4 million
What it does:TheSkimm is a morning newsletter (now with an app) that condenses the news of the world into easy-to-read headlines and blurbs.
Why it's hot: "Founded by two former journalists, theSkimm has become the daily newsletter for over 4 million millennials. Blending news with a clever tone, theSkimm has branched out from the newsletter with an app and now a commerce experience," O'Malleysays.
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Zipline: Drones that will save lives
Company name: Zipline
VC:Sequoia's Matt Huang
Relationship:VC is an investor.
Funding: $85 million
What it does:Zipline builds drones that can transport life-saving medical supplies like vaccines, medicines, or blood.
Why it's hot:"Zipline is the world's first commercial drone delivery service. While many companies are still just experimenting with drones, Zipline is addressing a major need (delivering life-saving medical supplies) and has kicked off in Rwanda, where poor roads and healthcare infrastructure have often made it difficult to reach patients. With a brilliant technology team and data from real customers, look for them to extend their lead in 2017," Huang says.
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Discord: all-in-one voice and text chat for gamers
Company name: Discord
VC:Sequoia's Matt Huang andKleiner Perkins' Eric Feng
Relationship:No relations. VCs just think it's cool.
Funding: $29 million
What it does:Discord helps gamers ditch Skype and texting and instead provides an all-in-one platform forvoice and text chat with friends.
Why it's hot: "We have messaging apps for friends (Whatsapp) and coworkers (Slack), yet no one has captured online communities – the internet's 'third place'. Discord is the leading messaging app for gamers. Gaming communities are large and growing fast. Just look at League of Legends, which has trounced the NBA Finals in viewership each of the past four years. Discord has the opportunity to connect all gamers on a single platform," Huang says.
"Discord is quickly becoming the default communication application for gamers. Since launching in May 2015, the platform has grown to 25 million registered users, who are sending 100 million messages per day," Feng says.
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Hollar: the online dollar store
Company name: Hollar
VC:Kleiner Perkins' Eric Feng
Relationship:VC is an investor.
Funding:$47.5 million
What it does:Hollar is reinventing the dollar store for online and mobile shopping, proving you can still buy cheap, high-quality goods online.
Why it's hot: "Dollar stores are a growing $50 billion market with less than 5% of transactions happening online. Not surprisingly, dollar-store shoppers want the convenience of ecommerce and are loving Hollar, which is doing millions in sales and grown 50% month on month," Feng says.
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Affirm: a new way to pay for purchases
Company name: Affirm
VC:Andreessen Horowitz's Alex Rampell
Relationship:VC is acofounder and investor.
Funding: $520 million
What it does:Affirm provides loans from the point of sale so shoppers can pay for purchases across multiple months.
Why it's hot: "I'm of course biased, but truly excited about the success and potential of Affirm to re-invent finance for millions of Americans that either don't have access to, or are frustrated with, the traditionally opaque and unfriendly banking system. Max Levchin and team are rethinking the entire process, starting off by making it quick and easy for anyone to secure a transparent loan at the point of purchase, and have already seen tremendous results. Affirm has a unique customer acquisition model, as merchants promote Affirm to their customers," Rampellsays.
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SoFi: reinventing student loan refinancing
Company name: Social Finance (SoFi)
VC:Andreessen Horowitz's Alex Rampell
Relationship:No relation. VC just thinks it's cool.
Funding: $1.58 billion
What it does:SoFi is changing the loan industry when it comes to refinancing student loans.
Why it's hot: "I'm a huge fan of companies that are willing to tackle complex problems with a fresh outlook. SoFi has applied data science to make refinancing student debts easier than ever, and it's exciting to see them expand their service offering into other categories like insurance and home mortgages. They're taking on a massive challenge and alleviating a host of financial pain-points, while building a trustworthy consumer brand in the process. The next great insurance company, or wealth management company, might indeed be SoFi, because they get consumers at a key inflection point and are able to seamlessly offer other services," Rampellsays.
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TheRealReal: online authenticated luxury consignment
Company name: TheRealReal
VC:Canaan's Maha Ibrahim
Relationship:VC is an investor
Funding: $123 million
What it does: The online consignment shop authenticates luxury goods and resells them at low prices.
Why it's hot: "The company has grown 75-100% annually since its inception. Now has national scope. Look for this company to add physical retail in 2017 with continued growth expectations," Ibrahimsays.
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Minted: an online design marketplace
Company name: Minted
VC:Canaan's Maha Ibrahim
Relationship:No relationship. VC just thinks it's cool.
Funding:$89 million
What it does:The online company makes buying custom cards easier and more affordable than ever. It crowdsources its designs for everything from wedding invitations to pillows and homegoods.
Why it's hot: "Mariam Naficy is an experienced CEO and spent a lot of time expanding Minted in 2016, into home decor and even with a pop-up store in SF. Look for them to keep growing and continue their laser focus on running a profitable business in 2017," Ibrahimsays.
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Earny: money back when a price drops
Company name: Earny
VC:Science's Peter Pham
Relationship:VC is an investor.
Funding: $1.2 million
What it does:Earny tracks the prices on everything you buy and gets you your money back when the price drops.
Why it's hot:"Tracking retailers and claiming price adjustments is something no one thinks to do, but there are millions of unclaimed dollars out there. The team saw an opportunity to build a bot that automates those tasks, without having you lift a finger. It really struck a chord – just a few weeks after Earny launched, Amazon ended their price adjustment policy on everything except TVs," Pham says.
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Houseparty: Group video chat
Company name: Houseparty
VC:Science's Peter Pham
Relationship:None. VC just thinks it's cool.
Funding: $69.5 million
What it does:The group video chat app lets people join "parties" of up to 8 people, letting people drop in and out easily depending on who is online.
Why it's hot: "What a great pivot from Meerkat. That team shows that it understands trends and live video in this context with groups. There's less of an agenda and mimicking the real world on how you socialize at parties, this makes meeting friends of friends is unique," Pham says.
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Away: maker of tech-enabled luggage
Company name: Away
VC: Forerunner Ventures’ Eurie Kim
Relationship:VC is an investor.
Funding: $11 million
What it does:The cult luggage maker developed a huge following for itssuitcases that can even charge your phone.
Why it's hot: "With a pre-empted series A round of financing in Q3 2016, Away is ready to put fuel on their fire in 2017 with new product introductions, expanded stores and pop-ups, and more surprises to come," Kim says.
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Dia&Co: plus-sized clothing subscription box
Company name: Dia&Co.
VC: Forerunner Ventures’ Eurie Kim
Relationship: No relation. VC just thinks it’s cool.
Funding: $25.01 million
What it does: Plus-sized clothing and accessories retailer delivering itsservice via a try-on-at-home model.
Why it's hot: "With $20 million in new capital from Sequoia this past Sept 2016, Dia&Co. should have a full pipeline of growth initiatives to expand their service to women nationwide," Kim says.
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Amino: a new kind of app maker
Company name: Amino
VC:GV's M.G. Siegler
Relationship:VC is an investor.
Funding: $28 million
What it does:Amino lets users create apps around different topics.Anyone can create an app on any topic through Amino and launch it through the Amino platform. Once it becomes popular enough to have a dedicated following, it becomes a standalone app in the App Store.
Why it's hot: "While current conventional wisdom suggests that no one wants to download more apps, Amino went out and released over 250 of them. The key for them is focusing on super passionate fan bases, no matter how niche the topic may seem on the surface," Siegler says.
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Marco Polo: a walkie-talkie app that's taken off with teens
Company name: Marco Polo
VC:GV's M.G. Siegler
Relationship: None. VC just thinks it's cool.
Funding: $25 million
What it does:Part Snapchat, part walkie-talkie, Marco Polo is an app made by Joya Communications that's popular with teens.
Why it's hot: "While both video chat and walkie-talkie apps are nothing new, it may be the case that now is the right time for them to work in a major way —and with Marco Polo, you get both in one. It seems like there's some real traction here, which is impressive in an age where apps seem to explode on to the scene and then fade away just as quickly," Siegler says.
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Plowz & Mowz: an on-demand plowing and mowing service
Company name: Plowz & Mowz
VC: Science’s Mike Jones
Relationship:VC is an investor.
Funding: $1.5 million
What it does:Its on-demand landscaping and driveway plowing services is available in eight regions and quickly expanding due to overwhelming demand.
Why it's hot:"The $50 billion exterior home care industry is highly fragmented; Science Inc. invested in Plowz & Mowz because it's the first truly disruptive leader for on-demand booking. The demand is growing — they are on track for an even bigger year in 2017. This past weekend, with the snowfall in the Midwest, they were doing a job every five seconds in Chicago, Minneapolis and Cleveland," Jones says.
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Cheddar: a new live stream of business news
Company name: Cheddar
VC:Science's Mike Jones
Relationship:No relationship. VC just thinks it's cool.
Funding: $13 million
What it does:Cheddar is a live and on-demand video news service, focusing on a millennial twist for business news.
Why it's hot: "With live video platforms not fully taking off over the last few years, Facebook Live came on the scene this year and rapidly changed and improved how we consume live streams. Cheddar saw this potential and seized the opportunity to make news easily digestible and enjoyable to watch. I admire how they conquered broadcast news through streaming, and foresee exceptional growth for them in 2017," Jones says.
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Musical.ly: instant music videos
Company name: Musical.ly
VC:Greylock's Josh Elman
Relationship:VC is an investor.
Funding: $16 million
What it does:Musical.ly has taken off with teens for its ability to make instant, easy music videos. It's already churning out the next generation of musicians and stars.
Why it's hot: "Since first being made available in October 2014, musical.ly has hit #1 in the iOS App Store for free apps in 20 countries — including the United States. That’s an impressive stat for the U.S.-China company. To date, the app now has over 130 million registered users, 40 million of whom are active on a monthly basis. More than 1 million new videos are uploaded daily. The numbers speak for themselves," Elman says.
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Ever: stores photos in the cloud
Company name: Ever(formerly Everalbum)
VC:Greylock's Josh Elman
Relationship: None. VC just thinks it's cool and saves his pictures there.
Funding:$13 million
What it does:Ever automatically backs up your photos on all devices, making it easy to access your memories wherever you are and save space on your phone.
Why it's hot: "Ever allows you to free up space on your device by archiving your mobile photos in its cloud-storage service, and aggregates photos from many of the services you use today like Facebook, Instagram, Dropbox, and Google Photos. It also creates great experiences like throwbacks to enjoy your pictures more often. The leadership team is top notch and ambitiously taking on folks like Google, Apple, and Facebook, and doing it quite well," Elman says.
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Ripple: a dairy-free alternative to milk
Company name: Ripple
VC:GV's Andy Wheeler
Relationship:VC is an investor.
Funding:$44 million
What it does:Ripple Foodsis a food-tech startup that makes a dairy-free milk alternative.
Why it's hot: "The dairy-alternative beverages market is a fast growing segment. Ripple brings high protein back to the category (8x the amount in almond milk, which is equivalent to dairy milk), while keeping sugar low and maintaining an appealing flavor. 2017 will bring expansion past Whole Foods and Target into a wide range of grocery stores as well as new product launches," Wheeler says.
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Shyp: makes shipping easier
Company name: Shyp
VC:GV's Andy Wheeler
Relationship:No relationship. VC just thinks it's cool.
Funding:$62 million
What it does:Shyp picks up your packages and handles the packing and shipping for you.
Why it's hot: "Shyp addresses the pain points of costly and inefficient shipping methods, and is taking the hassle out of shipping for both consumers and businesses," Wheelersays.
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Light: a camera with 16 lenses
Company name: Light
VC:GV's Andy Wheeler
Relationship:VC is an investor.
Funding:$64.7 million
What it does:Light is replacing the DSLR with a compact camera with 16 different lenses.
Why it's hot: "Smartphones have driven interest in higher end cameras as people pick up photography but get frustrated by the lack of quality or features from their phone. Most professional-quality cameras purchased end up sitting in drawers since they are too heavy and complicated. Light's computationally-based camera brings professional quality and ease of use in a compact form. 2017 will see commercial availability of the product," Wheeler says.
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Shift: a new way to sell your used car
Company name: Shift
VC:GV's Andy Wheeler
Relationship:No relationship. VC just thinks it's cool.
Funding:$74 million
What it does:Shiftis a personal concierge service for selling your car, helping coordinate everything from test drives to the DMV paperwork.
Why it's hot:"Shift is bringing a great consumer experience to buying and selling used cars. This is particularly useful whether you’re sending someone to you to inspect your car if selling, or bringing the car to you to test drive it," Wheeler says.
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Forge: an always-on game capture for e-sports
Company name: Forge
VC:Social Capital's Arjun Sethi
Relationship:VC is an investor.
Funding:$9 million
What it does:Forge captures a gamer's live stream for free, making it possible for anyone anywhere to stream their gameplay.
Why it's hot: "Forge is the true gamer's camera. Individuals that play games can now capture, share and personalize their most most recent in-game moments that would typically be missed. Forge helps democratize e-sports and an individual's ability to stream, share and play just like a professional," Sethi says.
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Zola: an online wedding registry
Company name: Zola
VC:Social Capital's Arjun Sethi
Relationship:No relationship. VC just thinks it's cool.
Funding:$40.85 million
What it does:Zola is changing wedding registries by making it easy to buy and ship wedding gifts from one site.
Why it's hot: "Zola is the fastest-growing wedding registry and is designed specifically for guests to share, buy and ship wedding gifts. No more confusion. One place one connection. Zola has reinvented old systems to provide millennials with easy-to-build, easy-to-manage and easy-to-share online registries full of products that people actually want," Sethi says.
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Rappi: on-demand delivery for Latin America
Company name: Rappi
VC:Foundation Capital's Charles Moldow
Relationship:VC is an investor.
Funding: $240K
What it does: Rappi is taking the on-demand delivery model, like Postmates, and bringing it to Latin America.
Why it's hot: "Rappi has already completed more than one million deliveries in Colombia and Mexico, and its reach extends beyond. The Latin American market is well suited for on-demand delivery services; they have the potential for serious growth in Latin America over the next year," Moldowsays.
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Reserve: an OpenTable challenger
Company name: Reserve
VC:Foundation Capital's Charles Moldow
Relationship:None. VC just thinks it's cool.
Funding: $15 million
What it does:Reserve finds hard-to-get reservations and makes it easy to book from within the app.
Why it's hot: "This startup is boldly challenging OpenTable, which, up until this point, hasn’t seen any real competition. We’re betting on them because of their lower fees for restaurants thatare part of the program, and their dedication to customer loyalty," Moldowsays.
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ForUsAll: better retirement plans
Company name: ForUsAll
VC:Foundation Capital's Steve Vassallo
Relationship:VC is an investor.
Funding:$13 million
What it does: ForUsAll is trying to radically simplify the 401(K) retirement plan and make it easy and affordable for small businesses to make sure their employees have a shot at a happy retirement.
Why it's hot: "ForUsAll is one of the few FinTech companies leading with design. With a beautifully simple product, they are making it possible for everyone to save for retirement — a sector in America that is currently valued to be underfunded by a whopping $6 trillion," Vassallo says.
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Digit: an app that saves money for you
Company name: Digit
VC:Foundation Capital's Steve Vassallo
Relationship:No relationship. VC just thinks it's cool.
Funding:$36 million
What it does:After you connect your bank account, Digit takes a look at your balance every couple of days and tucks away money for you, making saving money easy and hassle-free.
Why it's hot: "We see millennials spending money differently than any generation before. Digit gets that, and wants to help, and we think there’s a huge market of young women and men trying to tuck away money waiting for them," Vassallosays.
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