Startup ABC #6: Zebra Startups

We’ve already explained what a unicorn is in our Startup ABC. But there’s another animal in the startup universe: the zebra. How do zebras differ from unicorns, and why do they fit in with current trends?

With their distinctive characteristics—a focus on sustainability and social responsibility—Zebra startups are a perfect fit for current (mega) trends. So it’s no wonder that more and more startups are being founded that can be considered Zebras. Take the startup share, for example, which sells various consumer goods under the share brand and donates an amount equal to the sales price of every product sold to various social projects; many of you are likely already familiar with it from supermarkets, gas stations, or even airplanes. In 2018, share achieved Germany’s largest launch of a social brand with revenue of 10 million euros—a great example of these black-and-white zebras!

Although zebra startups are a perfect fit for current trends—including sustainability—they are often still less well-known than fast-growing unicorns and frequently struggle to find investors. That’s because investors still prefer to chase after the next one-of-a-kind unicorn. But since issues like social responsibility and the circular economy are set to become increasingly important in the coming years, perhaps the zebras will eventually gallop past the unicorns.