Finding the next hot sector is all the rage at the moment. There are start-ups aplenty with the spotlight on the of the disruptive potential of these young and ambitious businesses.
In the past couple of years we have seen FoodTech (Deliveroo, Just Eat) take off, and this year we're witnessing the rise of PropTech (Zoopla, Goodlord). Speculation is rife as to the next trend to take off. The recent EasyJet announcement that they're going to focus on TravelTech businesses shows a potential departure from the trendy interest in FinTech and property to a sector centred on experiences. Much of the articles focusing on millennials and their habits mention their desire to spend their earnings rather than save, with much of their money being spent on experiences, such as travel.
So EasyJet may be on to something here and it will be interesting to see the start-ups that they bring on board. The level of investment they're offering could bring the disruptive travel businesses into the limelight, with the aim to change a stagnant and traditional industry.
British low-cost airline easyJet announced it’s to invest in five early-stage TravelTech startups. This is thanks to a multimillion pound partnership with Founders Factory. As well as providing funding to existing TravelTech startups, Founders Factory and easyjet plan to co-create two companies from scratch every year.