TechCrunch+ Roundup: Creative Capital, Live Shopping & Rebranding

TechCrunch+ Reflects Expanded Offerings

The platform formerly known as Extra Crunch has been rebranded as TechCrunch+. This change signifies more than just a new name and logo.

Several enhancements have been implemented, including the introduction of membership discounts for those serving in the military, students, and government employees.

Expanded Accessibility and Content

Access to TechCrunch+ has also been broadened to include new geographic regions, making valuable insights available to a wider audience.

Furthermore, our weekly video series, previously called Extra Crunch Live, is now TechCrunch Live.

Notably, attendance at TechCrunch Live events is now open to the public, eliminating the membership requirement for audience participation.

Future Expansion Plans

Looking ahead, the team aims to facilitate global membership, enabling individuals from any location to subscribe to TechCrunch+.

Further announcements regarding this worldwide expansion will be made in the coming months.

Important Note: Full access to TechCrunch+ articles is reserved exclusively for members.

A 20% discount on both one- and two-year subscriptions is currently available using the code TCPLUSROUNDUP.

The Power of Creative Capital Over Venture Funding

Prior to securing initial funding or attracting customers, startup founders should prioritize the cultivation of intellectual property.

This IP isn't always a formally registered patent. It frequently manifests as valuable strategic assets.

Examples include detailed product renderings, comprehensive data concerning the intended user base, and functional preliminary product or engineering models.

Defining Creative Capital

Brett Lovelady, the founder of Astro Studios, a design company, characterizes these assets as “creative capital.”

He posits that this form of capital possesses the potential to be both more enduring and ultimately more valuable than traditional venture capital.

Lovelady elaborates on the various types of creative capital in a recent TechCrunch+ guest contribution.

He also provides numerous illustrations of how startups can effectively utilize it to achieve positive outcomes.

The article details strategies for leveraging these assets for growth and sustainability.

Thank you for your time.

Walter Thompson
Senior Editor, TechCrunch+
@yourprotagonist

Do Direct Listings Offer a Solution to IPO Pricing Issues?

This week features two public offerings, as both Amplitude, a U.S.-based software firm, and Warby Parker, a direct-to-consumer eyewear retailer, are preparing to debut on the public market through direct listings.

According to Alex Wilhelm’s analysis in The Exchange, these events are particularly noteworthy, even for those fatigued by initial public offerings.

Wilhelm posits that these direct listings will provide valuable insight into whether the public or private markets are more accurately valuing startups.

The core question is whether investment banks are unfairly capitalizing on the success of Silicon Valley companies during IPOs, or if private investors are resistant to sharing in the growth of these ventures.

Understanding the Debate

The traditional IPO process often involves investment banks underwriting the offering and setting an initial price. Critics argue this can lead to undervaluation, as banks may prioritize allocating shares to favored clients.

Direct listings, conversely, allow existing shareholders to sell their shares directly to the public, bypassing the traditional underwriting process. This is intended to establish a price based purely on market demand.

Implications for Startups

If the direct listings of Amplitude and Warby Parker result in higher valuations than comparable IPOs, it could signal a systemic undervaluation in the IPO market.

Conversely, lower valuations could suggest that private market investors have been more astute in their assessments of startup potential.

Key Takeaways

• Both Amplitude and Warby Parker are utilizing the direct listing approach.
• The outcomes of these listings will be closely watched for insights into market valuation.
• The debate centers on whether investment banks or private investors are more accurately pricing startups.

Ultimately, these direct listings represent an experiment in public market access, and their success or failure could reshape the future of IPOs.

The Importance of Influencer Collaboration for Live-Shopping Strategies

Madison Schill, who serves as the Director of Marketing and Communications at Livescale, details crucial approaches for businesses aiming to enhance their brand presence through online shopping, livestreaming, and social media platforms.

A primary recommendation is to proactively cultivate relationships with influencers. This will ensure an authentic experience during your live-shopping events.

According to Schill, with a potentially unstable retail climate approaching, the need for brands to embrace live shopping is urgent. Expanding audience ownership and fostering a network of influencers are key components of this strategy.

Case Studies Highlight Successful Implementation

Schill’s analysis, presented in a guest post, incorporates examples from prominent brands demonstrating successful live-shopping initiatives.

These case studies feature companies such as Knix, Urban Decay, and Lancôme, illustrating diverse applications of the live-shopping model.

• Knix demonstrates how live shopping can build direct customer relationships.
• Urban Decay showcases the potential for driving sales through engaging livestream events.
• Lancôme exemplifies the use of live shopping to enhance brand prestige and product demonstrations.

The insights provided emphasize that a timely adoption of live shopping is vital for brands seeking to connect with consumers in a dynamic retail landscape.

Addressing the Significant Hurdles and Vast Potential Within Climate Technology

Reversing the environmental impact caused by human activity necessitates solutions that encompass a wide range of our daily practices.

A comprehensive overhaul is needed, affecting numerous sectors. SOSV managing general partner Sean O’Sullivan articulated at TechCrunch Disrupt last week that approximately 100 broad areas, encompassing 1,000 specific niches, require reinvention and industrial restructuring.

While resistance is expected from some, a growing consensus towards collaboration is emerging. Carmichael Roberts of Breakthrough Energy Ventures noted that the majority of individuals are increasingly willing to work together on these challenges.

Climate tech represents a massive undertaking, demanding innovation across diverse fields.

The Scope of Required Innovation

The scale of the necessary changes is substantial. It’s not simply about adopting a few new technologies; it’s about fundamentally reshaping how industries operate.

This reconstruction will involve a multitude of areas, from energy production and consumption to transportation and agriculture. A holistic approach is crucial for meaningful progress.

Growing Cooperation and Acceptance

Despite potential opposition, a positive trend is developing. More and more people are recognizing the urgency of the situation and are actively seeking collaborative solutions.

This shift in mindset is essential for accelerating the development and deployment of climate technologies. Widespread cooperation will be key to success.

Venture Capital: Five Key Questions for Q3

This edition of The Exchange features a preview of five central questions that Anna Heim and Alex Wilhelm will address in their forthcoming report on global venture capital activity during Q3 2021.

Key Areas of Focus

The upcoming analysis will center around several critical areas within the venture landscape.

• Has the European venture ecosystem continued to achieve record funding levels?
• What trends are currently shaping the venture capital market in China?
• Is the United States maintaining its leading position, or is its dominance in venture funding diminishing?
• Which regions within Latin America are experiencing the most significant growth and investment?
• Do exceptionally large funding rounds continue to be the primary factor influencing overall venture capital totals?

These questions will be thoroughly investigated to provide a comprehensive overview of the global VC market.

The report aims to deliver insights into the evolving dynamics of venture funding across key geographical regions.