Blink Trip, the new platform for social commerce in the travel industry, is actively seeking funding for its pre-seed round as it aims to capture a portion of the massive $57 billion online booking market in Latin America, according to Arkangeles, the crowdfunding platform that connects startups with investors.
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Behind Blink Trip are founder and CEO Marcelo Morales Rins, who previously served as CPO/CTO at Ualá; COO Eduardo Maldonado, who has founded three companies (two in the travel sector) and successfully exited GDX to hopper.com in 2019; Valeria Auger, Head of Marketing, who has nine years of experience at Hotels.com, part of Expedia; and Sergio Mandelbaum, Head of Community, who has created communities like @quizviajero where he has been selling travel packages for six years and is also a founder of coffebreakgame.
With a focus on millennials and Gen Z, Blink Trip aims to capture 50% of this market segment, particularly the 28% that makes travel decisions based on recommendations from travel influencers. This translates to a potential market worth $2.3 billion.
Blink Trip plans to build a language-based travel catalog, rather than limiting itself to a single country. According to a press release, “This strategy will allow the platform to grow more rapidly by enriching its catalog with the participation of communities from different countries.”
In its pre-seed round, the company aims to raise $200,000 to demonstrate that travel creators can sell travel products, simplifying the lives of users and creating memorable experiences. Its ambitious goal is to achieve 5,000 monthly sales during its first year of operation throughout the Latin American region.
During this funding phase, Blink Trip has attracted renowned investors. One of them is Pierpaolo Barbieri, founder of Ualá, who has already invested in the platform as an angel investor. Additionally, they have enlisted Tomás Gonzalez Ruiz, co-founder of AvanTrip and former CMO/CPO of AlMundo, as a marketing advisor.
Global Perspective on Social Commerce
According to NegociosEcommerce, the social commerce industry generated global revenues of $724 billion, with an expected annual growth rate of 30.8% from 2022 to 2030. China is the most active country in this industry, followed by the United States.
In Latin America, 74% of people admit to making purchases on social media platforms in 2022. A Wunderman Thompson Commerce annual report focused on the characteristics of the online purchasing ecosystem in Latin America identifies Colombia as a clear leader in this trend, with 80% of users stating they have made purchases through social media, followed by Mexico and Brazil. Nicolás Cresci, Co-founder of WAO!, explains in an article for iProUp that 5 out of 10 Argentine consumers make purchases through social media: 67% have made purchases through Facebook, 25% have used WhatsApp, and at least 5 out of 10 have used Instagram for online shopping.
According to Blink Trip’s press release, recent data indicates that 60% of the online booking market in Latin America is attributed to Spanish-speaking countries. Statista also notes that “online channels accounted for over 65% of travel purchases in South America in 2021, representing a travel sales value of over $22 billion before the coronavirus crisis. Despite the sharp decline in 2020 due to COVID-19, this market is expected to recover and reach pre-pandemic levels by 2022.”
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Why is it relevant for pre-seed VCs?
- While the adoption of social commerce is lower compared to traditional online selling platforms, statistics indicate that it is a market that is trending towards growth.
- At the same time, the angel investment from Pierpaolo Barbieri of Ualá and the involvement of Tomás Gonzalez Ruiz, co-founder of AvanTrip, provide validation and credibility to Blink Trip.
- The founding team of Blink Trip has expertise in technology and travel, with notable backgrounds in renowned companies such as Ualá, AvanTrip, and Expedia.
- The travel industry and online booking are highly competitive sectors with numerous established and emerging players, so it’s important to consider Blink Trip’s differentiating strategy (which can be found here) to capture a significant market share.
- Blink Trip has a revenue share model of 5% of the value of each package sold for creators.
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