Why European Travel Tech Startups Need to Keep On Building Through the Fallout
Photo Credit: A fever detection machine is tested at London's Heathrow Airport in partnership with a tech vendor. Heathrow Airport
Skift Take
Startups should take note of venture capital firm Lakestar's vision of what makes a travel company successful if they want to emerge stronger in the post-Covid world.
Travel startups stand to emerge stronger after the crisis — as long as they don't stop developing their technology and product.
That's the advice from a partner at European venture capital firm Lakestar.
"Do not cut costs at all," warned Christoph Schuh, speaking to Skift's senior travel tech editor Sean O'Neill at Skift Forum Europe. "The product roadmap, in terms of aggregating supply, and having the best product for the customer — if you want to win the market post-Covid, you have to have the best product. If companies stop investing in product and tech, I think that’s what we don’t like."
He added activities like marketing and sales, however, were seen as non essential.
Meanwhile, financing is key to ensure that, post-Covid, there's enough money to get back to the "cruising altitude". Schuh said he recently took part in a roundtable with CEOs from some of the companies Lakestar has invested in
