WIND Ventures

Startup Growth Market Survey

February 2023

www.windventures.vc
Summary of key survey findings:

1 VCs have defined ‘good startup expansion markets’ consistently the past four years

2 VCs’ perception of which markets outside of N. America and Europe are best for startup
expansion has, however, changed drastically since 2020, pinning Latin America as best today

3 In line with this evolving VC perception of startup growth of Latin America, most VCs
surveyed are more optimistic about the success of innovation in Latin America vs last year

4 For startups expanding to Latin America, VCs have consistently perceived the primary challenge
as political, but have become more comfortable with perceived economic and cultural challenges

2
In general, VCs have defined ‘good startup expansion markets’ consistently for the past four
years with market size and high rate of tech adoption as the leading qualifiers

What market attributes do you consider most important when expanding to a new region?
Higher score indicates greater association with these top attributes
Noteworthy results presented 2020 2021 2022 2023

% Ranked 60% 57%

Top Choice

47%

38%
36%

30% 28%
25%
23%
20% 15%
16% 13% 16%
13% 13% 13%
8% 7%
6% 6%
3% 2% 2% 3% 3%

Large market size High rate of Supportive High mobile Large and growing Large urban
tech adoption local partners adoption middle class population
3
VC perception of which markets are best for startup expansion outside of N. America and Europe
has, however, evolved drastically putting Latin America as best today

What region do you view as the best growth market for startups outside of North America?
Higher score indicates larger growth market
Noteworthy results presented 2020 2021 2022 2023

-65%
+352% 37%
% Ranked 40%
Top Choice 36%

30%
24%

20% 19%
17% -51%
13% 13%
10% 10%
10% 8% 6%
3%

Latin America China Southeast Asia

4
This evolving VC perception is driven by changing sentiment as to which regions contain the
consistent elements VCs use to define good startup expansion markets

What markets do you associate with these top attributes?

Higher score indicates larger growth market
Noteworthy results presented 2020 2021 2022 2023

% Ranked 50% % Ranked 50% -71%

Top Choice Top Choice 45%

+444%
33%

25% 25% 24%

18% 19%
-41%
13% 12%
11%
10%
8% 7%
6%

Latin America China Southeast Asia

5
Inline with VCs perceiving Latin American as the top startup growth market outside of N.
America and Europe, most VCs are more optimistic about Latin America vs last year

Are you more optimistic about the success of innovation in Latin America than you were a
year ago?
% share of responses

% Responses 100%

81%

50% +322%

19%

Yes No
6
For startups expanding to Latin America, VCs have consistently perceived the primary challenge
as political, but have become more comfortable with perceived economic and cultural challenges

What do you view as challenges for building a business in Latin America?

% selected
Noteworthy results presented 2020 2021 2022 2023

% selected 100% 95%

90% 91% 89%

80
-9%

60 58%
54%
51% -9%
48%
40% 39%
40 36%
27%

20

0
Political Economic Cultural
7
In terms of sectors, VCs continue to be most bullish on fintech in Latin America and recognize
the opportunity for climate-tech and energy solutions

What do you think is the next big / hot sector for VC investment in Latin America?
Higher score indicates greater association
Noteworthy results presented 2021 2022 2023

% Ranked 80%
Top Choice
66%

51%

42%
40%

20%
18% 17%
15% 15%
11%
9% 9%
6% 6% 6%
3% 2%
0%
Fintech Climate Tech Energy Retail Foodtech Mobility
8
VCs surveyed come from a diverse cross section of venture capital
Are you a: What stage do you invest? What type of investor are you?
% of Respondents % of Respondents % of Respondents
100 60 53%
87% 60%
80% 51%
40
60 32% 40
28%
40
20 15% 20 15%
20 13% 6%
0 0 0
VC CVC Seed Early Growth Sector Stage Regional Generalist
Focused Focused Focused
How many years have you been
investing into startups professionally? In what regions do you invest? Where are you located? (n=33)
% of Respondents % of Respondents % of Respondents
50% 96%
40% 100% 100 93%
40
80 80%
30 23% 60 54% 50% 60
19% 17% 37%
20 40 40
10 17%
20 20 7% 2% 2% 2%
0 0 0
<2 years Between Between Over North Western UK Middle Latin North Western UK Latin Middle
2-5 yrs 5-10 yrs 10 yrs America Europe East America AmericaEurope America East
9
About WIND Ventures

ventures
is the corporate venture capital (CVC)

unit sponsored by with vast

resources throughout Latin America and the US

WIND is the force within Copec’s corporate identity related to the sky and clouds that will drive it, and its partners, to new heights, opportunities and developments
10
About COPEC

A leading fuel station and convenience store company with many B2B
fuel services and related activities

83 years of history and part of the 2nd largest corporation in Chile

A most trusted brand throughout Chile and Latin America
Chile

3.500 service stations globally; 630 in Chile Panama

Colombia
#1 market share in Chile, Columbia with significant operations across: Ecuador

Leader in EV charging and bringing renewable US

Peru
energy, solar and storage to customers 11
Our mission is to lead the mobility, energy and retail sectors’ transformations

To do this well, we
WORKING ON INNOVAITON
created the WIND
Growth Platform which AND NEW DEVELOPMENTS
has 2 key capabilities
across the US and Latin
America to:

1 Corporate Venture Capital 2 New Venture Studio in

1. Offer unfair access to in San Francisco, CA Santiago, Chile
Latin America; or

2. Accelerate growth ventures GARAGE

within Latin America
Building a strategic portfolio across Ideating, building and partnering
energy, mobility, retail to learn, with big and small companies
nurture and develop opportunities leveraging COPEC advantages

12
Brian Walsh
Head, WIND Ventures
San Francisco, CA

info@windventures.vc