vietnam start up 2014
TRANSCRIPT
The Definitive Guide to the
VIETNAM STARTUP SCENE
By Dat Le VietCo-FounderHATCH! PROGRAM
a publication ofLast updated on 10th Dec, 2014 (v.1.5)
WHY THE VIETNAM STARTUP SCENE IS HOT? 3
OVERVIEW 9Startup investment: 2012 - 2014Notable Startup companiesMovement/ Startup TrendMeet-Up/ EventKey PeopleConstraint
MYTHS 22
RESOURCES 25Incubator/ AcceleratorInvestment FundCo-Working SpaceKey MediaGovernmentUniversities
Vietnam Startup Festival
WANT TO JUMP AROUND?
BONUS 33Why bootstrap in Vietnam?Vietnam Angel NetworkReference/ To readOur PartnerContact us
Image: Rolling Stone Magazine
Flappy BirdCreator: Dong NguyenRelease: May 24th, 2013Removal: Feb 9th, 2014Brief: The world’s most famous video game, created a worldwide phenomenon and a controversial removal in 2013.No. of Download: 50 mil +No. of Ratings: 48,000 +Top free iPhone app:109 countriesRevenue at peak: US $50,000/day
VNG CorporationFounder: Le Hong MinhFounded: 2004Brief: Biggest Internet company in Vietnam, works on online entertainment, social network & e-commerceValue: US $1 billion Revenue: US $100 mil, ’13
Outstanding app: Brief: Second most popular OTT app in Vietnam with 10mil users, after Viber with 12 milPhoto: VNG’s 10 years anniversary
Two Startup CentersHanoi CityRole: Political capitalPopulation: 6.6 million, ’10Traits: Eastern-like, political, diplomatic and more formal
Ho Chi Minh CityRole: Economic strongholdPopulation: 7.4 million, ‘10Traits: Western-like, friendly, business-oriented and casual
Photo: NASA
VIETNAM: INTERNET USAGE
Vietnam Startup Festival 7Source: US Census Bureau, Internet Live Stats, WeAreSocial,sg
This makes Vietnam the 15th
largest market on the Internet.
VIETNAM: SMARTPHONE USAGEWith nearly half of the Internet population in Vietnam is using smartphone (and increasing), the market clearly left many undiscovered frontiers startups to make a difference, and even for big corporation also.
Vietnam Startup Festival 8Source: US Census Bureau, Internet Live Stats, WeAreSocial,sg
With 54% of Vietnam population is under 30, it becomes one of the most potential Internet market in South East Asia.
WHAT’S MORE?
9
THE INNOVATION SCENE: WHAT DOES IT LOOK LIKE?Image: zugaldia; Concept: TOPMITO, TechinAsia.com
STARTUP INVESTMENT - 2012No Startup Categories/Type Investor Type Time
1 Money Lover Expense manager Angel Investors Seed Funding Q4 12'
2 Kleii.com Cloud solution BTIC Seed Funding Q4 12'
3 Foody.vn Food review CyberAgent Ventures Vietnam Seed Funding Q4 12'
4 Baomoi.com Online news VNG M&A Q4 12'
5 Project Lana E-Commerce IDG Ventures Vietnam Strategic Investment Q3 12'
6 Giaohangnhanh.vn Logistic solution Angel Investors Seed Funding Q3 12'
7 VTC Online Digital content Duxton Capital Series B Q3 12'
8 Wala.vn Social network Angel Investors Seed Funding Q3 12'
9 Eat.vn Food delivery VC Corp M&A Q3 12'
10 Yume.vn Social network MJ Group M&A Q2 12'
11 N/A N/A CyberAgent Ventures Seed Funding Q2 12'
12 VC Corp Online & mobile service Intel Capital N/A Q2 12'
STARTUP INVESTMENT - 2012No Startup Categories/Type Investor Type Time
13 OrderFood.vn Food delivery MJ Group M&A Q2 12'
14 Blue Up Flashcard PVNI Seed Funding Q2 12'
15 Appota.com Mobile Platform Angel Investors Seed Funding Q2 12'
16 Minh Châu Online game IDG Ventures Vietnam Series A Q1 12'
17 NhacCuatui.com Online Music CyberAgent Ventures Vietnam Series B Q1 12'
18 Colorbox.vn Mobile game CyberAgent Ventures Vietnam Series A Q1 12'
19 Tiki.vn E-Commerce CyberAgent Ventures Vietnam Series A Q1 12'
20 Wada.vn Search Engine Kusto Group Series A Q1 12'
21 Everyday Groupon Kusto Group Series A Q1 12'
22 Paylink.vn Payment solution Kusto Group Series A Q1 12'
23 Truongxua.vn Social network Kusto Group Series A Q1 12'
24 Coccoc.com Search engine, browser Russian Investors Series A Q1 12'
STARTUP INVESTMENT - 2013No Startup Categories/Type Investor Type Time
1 Nhóm Mua Groupon Cùng Mua M&A Q4 13'
2 TOPICA Education Group Online Education Series B Q4 13'
3 Anphabe Career network Recruit Holdings Strategic Investment Q4 13'
4 YTON.vn Health care Health tech group Strategic Investment Q3 13'
5 Glamybox Subscription VanityTrove Singapore M&A Q3 13'
6 Tiki.vn E-Commerce CyberAgent Ventures & Sumitomo Series A Q3 13'
7 iStart.vn Online education Angel Investors Seed funding Q2 13'
8 Greengar.com Mobile collaboration app 500Startups Accelerator Q2 13'
9 Tapmee.com Dating app Angel Investors Seed funding Q2 13'
10 Thegioididong.com Mobile Retailer Robert Willett & CDH Electric Bee Limited Strategic Investment Q2 13'
STARTUP INVESTMENT - 2013No Startup Categories/Type Investor Type Time
11 Tinh Vân Ebooks Ebooks IDG Ventures Vietnam Series A Q2 13'
12 Nganluong.vn E-Payment MOL Strategic Investment Q2 13'
13 Violet.vn Document sharing IDG Ventures Vietnam & Tinh Van Corp Series A Q1 13'
14 DeltaViet.vn Education Angel investor Seed Funding Q1 13'
15 Ig9.vn Crowd Funding BTIC Seed Funding Q1 13'
16 Kiemviec.com Recruitment solution CareerBuilder M&A Q1 13'
17 Vietnamworks.com Recruitment solution EN - Japan M&A Q1 13'
18 Mytour.vn Hotel booking Recruit Holdings Series A Q1 13'
19 MobiVi.com E-Payment Kusto Group Series B Q1 13'
STARTUP INVESTMENT - 2014No Startup Categories/Type Investor Type Time
1 Antoree Private Tutor Market N/A Seed Funding Q4 14’
2 vLance Freelancer Market N/A Seed Funding Q4 14’
3 Uplevo Brand Design N/A Seed Funding Q4 14’
4 Morbling 3D Game Studio N/A Seed Funding Q4 14’
5 Astro Telligent Human Resource Vietnam International Bank (VIB) First Adopter Q4 14’
6 Haivl Funny Content 24h M&A Q3 14'
7 Rockit Online Online EducationLearn Capital, John Katzman, and
Formation 8Strategic Investment Q3 14'
8 Adatao Big data, Analytic Andreessen Horowitz, Lightspeed
Ventures and Bloomberg BetaSeries A Q3 14'
9 Appota Mobile Platform Japan and Singapore investors Series B Q2 14'
10 hangtot.com E-commerce CyberAgent Ventures Q1 14'
11 Ahometo E-commerce OneCapitalWay (5DESIRE) Seed Funding Q1 14'
12 VinE-Com E-commerce VinGroup Strategic Investment Q1 14'
MOVEMENT/ STARTUP TRENDTop movements:1. Gaming 2. E-Commerce 3. Mobile app 4. Online booking
And more:5. E-learning & education6. Food security & agriculture7. Business platform 8. Hardware application
Vietnam Startup Festival
Annual:HATCH! FAIR/ Vietnam Startup FestivalDEMO ASEANBar CampTech CampVietnam Mobile DayPHP Day
Monthly:Startup GrindFounder Matching DayBusiness Thursdays
Hackathon:Teckathon & Mobile HackathonHackathon Vietnam
Competition:Startup Weekend Hanoi & HCMCKawai Startup CompetitionVCCI Startup CompetitionVYE Bootcamp
Global Competition:Seedstars WorldCode for Resilience
Vietnam Startup Festival
MEET-UP/ EVENT
Vietnam Startup Festival
KEY PEOPLE
Nguyen Hong TruongVice PresidentIDG Ventures Vietnam
Nguyen Manh DungHead RepresentativeCyberAgent Ventures Vietnam
Pham Minh TuanDirectorTOPICA Founder Institute
Anh-Minh DoEditor in ChiefTechInAsia Vietnam
Le Huynh Kim NganFounderTwenty.vn
Bobby LiuFounderHub.IT
Aaron EverhartSenior AdvisorHATCH! PROGRAM
SystemE-PaymentLogisticPublic PolicyEducation on entrepreneurship
HumanTeamwork competency “Me-too” vs. Real innovationNaïve mindset on business and startupLack of business skill in depth Too entrepreneurial in young peopleToo risk averse in old peopleLack of culture for constructive feedback and accepting failure
Vietnam Startup Festival
CONSTRAINT
There’s a naïve perspective on how to make an organization that can bring an innovation to commercial success, and those are:
1) a lack of the mindset to accept failure; not only amongst entrepreneurs themselves, but the general business community in Vietnam and Asia
2) a lack of practical knowledge and understanding on how to commercialize innovations: such as developing a business model, relationship build-up, having an investor’s perspective, identifying a scalable market, deep customer understanding and a sense of customer experiences;
3) and finally, a lack of teamwork and real innovation evidenced by too many “me-too” startups.
Vietnam Startup Festival
MYTHS
As you can see, the ingredients for positive economic development in Vietnam can be observed in a robust and growing startup ecosystem.
While the startup ecosystem is apparent and operational, still there remain three problematic issues at hand: a gap between the startup and the VC, a lack of innovation evidenced by many “me-too” start-ups, and two critical gaps: siloing amongst potential innovation enablers, and a lack of an angel funding network to bridge startups from incubator/accelerator status to VC-ready status.
Fortunately, solutions are in the works, and for that reason, the Vietnam may actually pivot into a positive direction, positioning it well for a future as a nation leading in the overall success of the future of South East Asian nations.
Vietnam Startup Festival
MYTHS
Hanoi City
1. Clickspacehttp://clickspace.vn/
2. Hub.IThttp://www.hubit.asia/
3. 5Desirehttp://www.5desire.com/en/Incubation
4. iHousehttp://www.coworking.vn/
5. Manzihttps://www.facebook.com/manzihanoi
Vietnam Startup Festival
COWORKING SPACE
Ho Chi Minh City
1. Sandbox Hubhttps://www.facebook.com/sandboxhubvn
2. The Start Centerhttp://start-saigon.com/
3. Saigon CoWorkinghttp://www.saigoncoworking.com/
4. WORK Saigonhttp://www.worksaigon.com/
5. Gekko Spacehttp://www.gekkospace.com/
6. Aspire Officehttp://www.aspireoffice.vn/
7. ITP- Đại học Quốc Giahttp://itpoffice.vn/
8. BTIChttp://www.becamextic.com/
9. The START Networkhttp://thestartnetwork.org/
Website Directory
Vietnam Startup Festival
KEY MEDIA
TECHINASIA.COMLanguage: EnglishCoverage: Asia marketKey contact: Anh-Minh Do
twenty.vnLanguage: Vietnamese Coverage: Mostly Vietnamese marketKey contact: Le Huynh Kim Ngan
INFO TVLanguage: Vietnamese Coverage: Mostly Vietnamese market
VTV2Language: Vietnamese/ EnglishCoverage: Mostly Vietnamese market
Vietnam Startup Festival
GOVERNMENT
Fostering Innovation through Research, Science and Technology - FIRSTVietnam Ministry of Science and Technology - World BankTotal Fund: US $110 millionWebsite: http://first-most.vn/
Project:Vietnam Silicon Valley Project
Available Grants:Overseas Talented ExpertsGovernment Research InstitutesNew EnterprisesResearch-Innovation Consortia
Bachelor of Business (Entrepreneurship)Saigon South and Hanoi CampusRMIT University Vietnam
Vietnam Startup Festival
Universities
Entrepreneurship Training CourseVietnam National University of Agriculture
International Entrepreneurship Training CourseHanoi University of Science and Technology
1. Fast InternetDownloading large files, making Skype calls or using Javascript-heavy SaaS apps is no problem.
2. Low cost, high value lifestyleYou can live with upper-class standards on $800/month salary; with higher salaries, in the $1500/month range, residents can enjoy all the luxuries they want.
3. Efficient TransportationIf you learn the motorbike system, it becomes really easy and fast to go around. And it takes only one minute every time to finish parking.Vietnam Startup Festival
WHY BOOTSTRAP IN VIETNAM?
Photo: AsianBikeTour, VNExpress and Game4V
4. Vietnam is happeningVietnam is an emerging market and it changes overnight. Everyone can find opportunity, a great deal of fun, and even peace here. It’s great to travel in as well.
5. Wonderful café cultureGreat news for café lover: there are good café in every corner of the country. Better news: You can work there with free WIFI and unlimited tea.
6. Little language barrierNo need to worry if you only speak English. But there is a huge plus for those who can speak just a little bit of Vietnamese: people here will absolutely love them.Vietnam Startup Festival
WHY BOOTSTRAP IN VIETNAM?
Photo: Vietnam Travel, IVIVU and HATCH! PROGRAM
7. Great foodThe food is tasty, cheap and healthy, as well as locally brewed beer and wine. For foodies: Ho Chi Minh City is one of the best international food cities in the World.
8. Incredible community of online entrepreneursThe scene is growing and growing, at a major pace, there are people in nearly every startup field; and not only Vietnamese, but also international entrepreneurs.
9. Working Opportunities Not only you can work for many technology companies here but also you can easily find a teaching job to feed your startup journey. Vietnam Startup Festival
WHY BOOTSTRAP IN VIETNAM?
Photo: Sylvia Fountaine, Tuoitre and HATCH! PROGRAM
Those points above are strongly inspired by three expats’ reviews below.It is strongly recommended for you to read them.
Bootstrapping in Saigon, Jon Myers, May 2013. [e-journal] Available through <https://medium.com/@jonmyers/bootstrapping-in-saigon-fc9744367386>
Why I am living in Saigon, Vietnam, David Hehenberher, Nov 2013. [e-journal] Available through <http://davidhehenberger.com/saigon/>
Cheaply Bootstrap Your Startup from Vietnam, Tomo Saigon, Oct 2012. [e-journal] Available through <http://www.saigonist.com/vietnam/bootstrap-abroad-cheaply-bootstrap-your-startup-Vietnam>
Vietnam Startup Festival
WHY BOOTSTRAP IN VIETNAM?
SNEAK PEAK: VIETNAM ANGEL NETWORK
VIETNAM ANGEL NETWORK is a private network for startup investment in Vietnam
http://angel.hatch.vnand get your next big venture assessment!
Monthly Private Pitching
Networking & Co-Investing
Quarterly Portfolio Review
Investment Workshop
Vietnam Startup Investment and M&A: 5 Interesting Trends in 2012 - 2013Pham Minh Tuan, Dec 2013. [slide-share] Available through<http://www.slideshare.net/hatchprogram/vietnam-startup-investment-and-ma-pham-minh-tuan>
There’s more to Vietnam’s startup scene that meets the eye, Anh-Minh Do, April 2014. [e-journal] Available through <http://www.techinasia.com/nhip-cau-dau-tu-startup-vietnam/>
A comprehensive look at Vietnam’s startup scene ecosystem in 2014Anh-Minh Do, March 2013. [e-journal] Available through <http://www.techinasia.com/comprehensive-on-vietnam-incubator-ecosystem/>
20 things Vietnamese startups need to winAnh-Minh Do, April 2014. [e-journal] Available through <http://www.techinasia.com/20-vietnamese-startups-win/>
A brief about Vietnam Startup SceneAlbert Mai, Feb 2012. [e-journal] Available through<http://www.startupof.me/vietnam-startup-scene/>
REFERENCE/ TO READ
REFERENCE/ TO SEE
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Mariam Margishvili
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