A Venture Client is a company that purchases and uses startup solutions with the purpose of obtaining a strategic benefit. [1] [2] [3] The difference between a “normal” client and a venture client is that the startup product presents a high risk of failing. [2] [4] [5] The venture client company accepts the additional risk because the startup product solves a strategically relevant problem better than alternative solutions. [5] [6] [7] [8] The problem is strategic when it impacts the competitiveness of the venture client company. [9] The differentiating factor between traditional Corporate Venture Capital (CVC) and Venture Clienting (VCL) is that, in essence, the latter focuses on the purchase of a startup product to obtain the strategic benefit without an equity stake. [10] The term venture client was coined originally and popularized by Gregor Gimmy. [5]
Companies that can benefit strategically from startup partnering chose to establish a dedicated corporate Venture Client Unit. The purpose of such an organisational unit is to enable the entire company to gain competitive advantage from startups on a continuous basis. [11] Such venture client units operate on a dedicated venture client model, referring to venture client specific processes and resources, and are categorised as a corporate venturing vehicle. [2] [8] [12]
Notable Venture Client companies with a dedicated Venture Client Unit are BMW Group (BMW Startup Garage), BSH Hausgeräte (BSH Startup Kitchen), Holcim (Holcim MAQER), Bosch Group (Open Bosch) and LG Electronics (LG Future Home). [13] [14] [15] [16] [17] [18] [19] [20] [21]
A Venture Client is a company that purchases and uses startup solutions with the purpose of obtaining a strategic benefit. [1] [2] [3] The difference between a “normal” client and a venture client is that the startup product presents a high risk of failing. [2] [4] [5] The venture client company accepts the additional risk because the startup product solves a strategically relevant problem better than alternative solutions. [5] [6] [7] [8] The problem is strategic when it impacts the competitiveness of the venture client company. [9] The differentiating factor between traditional Corporate Venture Capital (CVC) and Venture Clienting (VCL) is that, in essence, the latter focuses on the purchase of a startup product to obtain the strategic benefit without an equity stake. [10] The term venture client was coined originally and popularized by Gregor Gimmy. [5]
Companies that can benefit strategically from startup partnering chose to establish a dedicated corporate Venture Client Unit. The purpose of such an organisational unit is to enable the entire company to gain competitive advantage from startups on a continuous basis. [11] Such venture client units operate on a dedicated venture client model, referring to venture client specific processes and resources, and are categorised as a corporate venturing vehicle. [2] [8] [12]
Notable Venture Client companies with a dedicated Venture Client Unit are BMW Group (BMW Startup Garage), BSH Hausgeräte (BSH Startup Kitchen), Holcim (Holcim MAQER), Bosch Group (Open Bosch) and LG Electronics (LG Future Home). [13] [14] [15] [16] [17] [18] [19] [20] [21]