Mother Ventures is looking at moms as the ‘economic engine’

As Mother's Day approaches in the U.S., entrepreneur Allison Stern is shifting the focus from appreciation to economic impact. She has recently secured $10 million in commitments for her new venture fund, Mother Ventures, which is dedicated to recognizing the mother as a vital consumer force. Stern highlights that mothers in the U.S. account for a staggering 85% of household purchases, wielding an impressive $2.4 trillion in spending power. "The data speaks for itself; moms are the primary buyers and represent a unique economic engine," she stated during an interview. Since the inception of Mother Ventures two years ago, Stern has invested $4 million across 13 startups that cater to the modern mother's needs. Notable companies in her portfolio include Coral Care, which simplifies access to pediatric specialists for children with developmental delays, and Tin Can, a trendy Wi-Fi-enabled retro-styled landline aimed at kids. Before launching her fund, Stern co-founded Tubular Labs, a social video analytics company that achieved an annual recurring revenue of $25 million before its acquisition in 2023. She also served as an operating partner at The Chernin Group, where she backed companies that target underserved audiences with significant spending capacity. In her quest to establish her fund, Stern identified mothers as a largely overlooked market, ripe with potential for substantial returns. "Motherhood is a niche that transcends traditional definitions," she remarked. She managed to secure Tony James, the former president and COO of Blackstone and current board chair of Costco, as a key investor, along with support from other notable figures including Jessica Rolph, founder of Lovevery, and executives from Netflix and Rent the Runway. Stern emphasizes that Millennial and Gen Z mothers are on the lookout for innovative products, ranging from on-demand services like Zum to meal delivery options through DoorDash, as well as fintech solutions like Greenlight for managing children's finances. "We desire healthy options, subscription services, and digital communities," she asserted. Importantly, Stern wants to clarify that her fund is not limited to parenting technology. "This is a consumer fund that focuses on mothers as consumers, which allows us to diversify our investments," she explained.