Unicorn Companies in Colombia in 2024
Colombia's startup scene is booming, making a big impact in Latin America. Recently, many creative companies have become unicorns, showing Colombia's potential on the world stage. This change is driven by technology, a growing mobile market, and smart expansions into other countries. From the busy streets of Bogotá to the tech hubs in Medellín, Colombian startups are tackling real problems and changing industries.
Big companies like Rappi are leading the way, using mobile technology to meet customer needs and grow across Latin America. The variety of industries—from financial tech to property tech—shows Colombia's lively entrepreneurial spirit. Government programs like INNPulsa and RutaN have been vital, giving these startups the support and funding they need.
Let's explore the list of unicorn companies in Colombia, showcasing the key players behind this growth.
Rundown
S.No |
Name |
Valuation |
Date Joined |
City |
Industry |
|---|---|---|---|---|---|
1 |
Rappi |
$5.25B |
2018-08-31 |
Bogota |
Consumer & Retail |
2 |
LifeMiles |
$1.15B |
2015-07-13 |
Bogota |
Consumer & Retail |
3 |
Habi |
$1B |
2022-05-11 |
Bogota |
Financial Services |
Unicorn Companies in Colombia
Rappi
- Valuation: $2.45B
- Industry: Financial Services
- Investors: Soros Fund Management, Ribbit Capital, Monashees+
- Unicorn Milestone Date: 8/13/2021
About
Rappi is a Colombian-based unicorn startup, founded in 2015 by Simón Borrero, Felipe Villamarín, and Sebastian Mejía. As one of the notable unicorn companies in Colombia, it operates as a "super app" in Latin America, offering a wide range of on-demand delivery services, including groceries, restaurant food, medicine, electronics, and more. Rappi aims to drive economic development by accelerating the adoption of e-commerce and providing flexible income opportunities for couriers. The company is present in 9 countries and over 400 cities, with more than 35 million active users and 150 million app downloads. This remarkable growth underscores the significant impact of unicorn companies in Colombia on the global stage.
Target Audience
Rappi targets a diverse audience, including:
- Consumers: Individuals seeking convenience and quick access to a wide variety of products and services.
- Entrepreneurs and Businesses: Restaurants, merchants, and small businesses looking to expand their customer base and improve logistics.
- Couriers: People interested in flexible income opportunities by delivering goods and services.
Business Model
Rappi operates on a multi-faceted business model that includes:
- Marketplace Model: Connecting consumers with local businesses and service providers for a commission on each transaction.
- Subscription Model: Offering a Prime membership that provides unlimited deliveries for a flat monthly fee, encouraging frequent use and higher customer retention.
- Logistics and Delivery: Utilizing a large network of couriers to ensure timely delivery of goods and services.
- Financial Services: Through RappiPay, offering financial products like digital wallets and payment solutions.
- Advertising and Data Analytics: Providing targeted advertising and business intelligence tools to merchants and brands.
Key Offerings
- Food Delivery: From local restaurants and fast-food chains.
- Grocery Delivery: Including fresh produce, pantry staples, and household items.
- Pharmacy and Medicine Delivery: Prescription and over-the-counter medications.
- Electronics and Clothing: Various consumer goods.
- Financial Services: RappiPay for digital payments and financial transactions.
- Other Services: Pet services, scooter rentals, and cash delivery from ATMs.
Key Management
- Simón Borrero: CEO & Co-Founder
- Felipe Villamarín: President & Co-Founder
- Sebastian Mejía: Co-Founder
Investment Timeline
- August 2021: Raised $410 million in a Series F funding round, bringing its valuation to around $5.25 billion.
LifeMiles
- Valuation: $1.15B
- Industry: Consumer & Retail
- Investors: Advent International
- Unicorn Milestone Date: 7/13/2015
About
LifeMiles is a Colombian unicorn startup based in Bogotá, founded in 2015. As one of the prominent unicorn companies in Colombia, it is recognised as one of the most notable loyalty programs in Latin America, primarily associated with Avianca Airlines. LifeMiles operates as a separate entity from Avianca and has evolved into a comprehensive loyalty and rewards platform.
Target Audience
LifeMiles caters to frequent travellers, particularly those flying with Avianca and Star Alliance partners. It also targets consumers looking for rewards on everyday purchases, including shopping, dining, and various travel-related services.
Business Model
LifeMiles generates revenue through multiple channels:
- Selling miles to partners: Airlines, banks, and retailers purchase miles to offer as rewards to their customers.
- Commissions from partner transactions: When members earn or redeem miles through partner services, LifeMiles receives a commission.
- Direct mile sales to members: LifeMiles sells miles directly to program members, often with promotional discounts.
- Subscription services: The LifeMiles Club offers members discounted rates on mile purchases for a monthly fee.
- Data monetisation: LifeMiles leverages its customer data to provide targeted marketing opportunities for partners, generating additional revenue.
Key Offerings
- Airline mile accrual and redemption with Avianca and Star Alliance partners.
- Hotel bookings and mileage earning through LifeMiles Hotels portal.
- Car rental partnerships for earning and redeeming miles.
- Shopping portal for earning miles on online purchases.
- Dining programs offering miles for restaurant spending.
- Credit card partnerships for accelerated mile earning.
- Mile transfer options from major bank rewards programs.
- Elite status tiers with enhanced benefits and earning rates.
Key Management
- Matt Vincett: Chief Executive Officer
Habi
- Valuation: $1B
- Industry: Financial Services
- Investors: Homebrew, Inspired Capital, Tiger Global Management
- Unicorn Milestone Date: 05/11/2022
About
Habi is a Colombian proptech (property technology) startup founded in 2019 that became the country's second unicorn in May 2022 after raising $200 million in a Series C funding round, valuing the company at over $1 billion. Based in Bogotá, Habi aims to revolutionise the real estate market in Latin America by providing liquidity, transparency, and efficiency to home buyers and sellers through its data-driven platform and services. This achievement underscores the growing influence of unicorn companies in Colombia, showcasing the potential of technology to transform traditional industries.
Target Audience
Habi primarily targets low and middle-income consumers in the real estate industry in Colombia and Mexico. The company focuses on homeowners looking to sell their properties quickly and efficiently, as well as potential buyers seeking affordable housing options.
Business Model
Habi's business model revolves around three main components:
- iBuying: Habi purchases homes directly from sellers, promising to close deals within 10 days. The company then renovates the properties in less than 15 days and aims to resell them within 45 to 60 days. This model provides liquidity to sellers and generates revenue for Habi through the margin between purchase and sale prices.
- Data-driven valuation: The company uses a proprietary algorithm called "Habimetro" to provide accurate property valuations. This tool analyses over 100 variables to compare properties objectively and offer fair prices.
- Financial services: Habi acts as a mortgage broker, facilitating access to financing for home buyers. The company aims to expand its fintech offerings to provide more comprehensive financial solutions related to real estate.
Key Offerings
- Rapid home buying service (within 10 days)
- Property renovation and resale
- Automated property valuation tool (Habimetro)
- Home value estimation for sellers
- Database for property listings
- Mortgage brokerage services
- Real estate brokerage services through a network of agents
Key Management
- Brynne McNulty Rojas: Co-founder and CEO
- Sebastián Noguera: Co-founder and Chairman
Investment Timeline
- 2020: $10 million Series A round led by Inspired Capital
- 2021: $100 million Series B round
- May 2022: $200 million Series C round led by Homebrew and SoftBank Latin America Fund, achieving unicorn status
