Purple Elephant Ventures (PEV), the world’s first tourism-focused venture studio, has secured $4.5 million in seed funding to address challenges in Africa’s tourism sector. The Nairobi-based studio plans to use the funds to scale its portfolio of startups and launch new ventures focused on sustainable tourism, hospitality tech, and energy efficiency solutions.
Key Investors
The round was supported by a diverse group of investors, including:
- Clear Creek Investment B.V.
- Klister Corp.
- Fede Pirzo-Biroli, founder of Playfair Capital
- Anthony Rock
- Ian McCaig, former CEO of Lastminute.com
What is PEV?
Founded in 2020, PEV is part of the growing ecosystem of African venture studios providing seed capital, strategic guidance, and mentorship for startups. Similar studios include Fast Forward Venture Studio, Grone Studios, Ceed Cap, and First Founders.
PEV is uniquely focused on the tourism sector, which is often underexplored despite its critical role in Africa’s economy. Its mission is to foster innovation in tourism and hospitality while promoting sustainability.
Portfolio Startups
PEV has launched five innovative startups that tackle different facets of Africa’s tourism ecosystem:
- Nomad Africa
- A travel discovery platform and Kenya’s leading travel publisher and local agency.
- Focus: Enabling travelers to explore Africa’s diverse offerings through curated content.
- Kijani Supplies
- A procurement tech company specializing in eco-friendly supplies for the hospitality industry.
- Focus: Promoting sustainability in hospitality operations.
- Zafari
- A booking platform that streamlines operations for African hospitality businesses and tourism operators.
- PowerTrip
- A cleantech startup providing energy-efficient appliances tailored for hospitality businesses.
- JOIN Africa
- Supports safari guides through specialized tools and resources.
- Created in partnership with Paul English, co-founder of Kayak.
Why Tourism Innovation Matters
Tourism is one of Africa’s key economic drivers, yet it faces significant challenges, including:
- Sustainability issues: The need for eco-friendly operations to preserve natural and cultural heritage.
- Inefficient systems: A lack of digitized solutions for booking, procurement, and energy management.
- Limited support for operators: Small businesses and safari guides often lack access to modern tools.
PEV aims to address these gaps by combining technology and sustainability-focused solutions.
The Vision for Africa’s Tourism
According to Ben Peterson, PEV’s co-founder and CEO:
“This funding is a testament to the untapped potential in African tourism innovation. With this support, we’re poised to revolutionize the industry through groundbreaking travel technology in Africa, fostering economic growth while preserving the continent’s incredible natural and cultural heritage. The future of sustainable tourism in Africa has never been brighter.”
Why This Funding Round is Significant
- Boost for Sustainable Tourism: The investment reinforces the importance of environmentally conscious tourism practices in Africa.
- Support for Local Entrepreneurs: PEV’s venture studio model empowers African innovators with the tools and funding needed to scale.
- Economic Impact: By enabling startups to thrive, PEV contributes to job creation and economic growth in tourism-dependent regions.
What’s Next for PEV?
PEV plans to:
- Expand its startup portfolio with new ventures addressing tourism’s evolving challenges.
- Scale existing startups, particularly in markets beyond Kenya.
- Drive technological innovation, focusing on travel SaaS, eco-friendly procurement, and clean energy solutions for hospitality.
With its latest funding, PEV is set to redefine how tourism operates in Africa, ensuring it is sustainable, tech-driven, and economically inclusive.