In recent years, the start-up market and venture capital investment in Hungary have seen a spectacular upsurge. Last year, more than €180 million of investment flowed into Hungarian startups, up 60 percent on the previous year. In addition to large foreign investors, Hungarians are also showing interest in innovative start-ups, and new advisors are being set up to help start-ups bring new ideas to market.

There is a lot of activity in the startup market in Hungary, and not only are startups seeking funding more actively, but more and more investors from abroad and at home are interested in innovative startups. This is good news because, as one emerging venture capitalist puts it, domestic and regional startups are lagging significantly behind their Western European and US counterparts, one reason for this from the investor side being the predominance of public money and the lack of adequate knowledge transfer.

Last year, however, Hungarian start-ups received €180 million in investment. A significant part of this is the USD 94 million in foreign capital raised by SEON, a specialist in online card fraud prevention, whose clients include major companies such as KLM, AirFrance, AVIS and OTP Bank. The Swedish investor also has Spotify and Bolt in its portfolio.

There are plenty of other examples of Hungary’s ideas and entrepreneurial spirit. AImotive, a pioneer in self-driving car technology, has dreamed big and leapt big, being one of the startups attracting the most venture capital in recent times, and last year it made its biggest ever Hungarian exit with the acquisition by Stellantis.

Barion, the most innovative Hungarian payments platform, has also successfully raised foreign capital in recent years, enabling it to enter the Czech and Slovak markets and is looking to acquire a Western European licence in 2023. This successful expansion confirms what one Hungarian angel investor stresses: start-ups in Central and Eastern Europe are performing well mainly in areas requiring high engineering skills and added value, such as software, machinery and, in some cases, biotechnology.

Experts say the region, and thus Hungarian startups, could attract more foreign investors, especially from German-speaking countries. However, much remains to be done in Hungary, as several factors, including costly due diligence, make it difficult to attract foreign capital. However, once these obstacles are removed, the international scene is essentially open.

Hungarian venture capitalists are also increasingly investing in early-stage Hungarian start-ups with global ambitions, which find it difficult to compete internationally without knowledge, experience and market intelligence. The Hungarian Venture Capital and Private Equity Association reports that in the second quarter of last year alone, its members invested approximately HUF 31 billion in 38 companies across 10 different sectors.

Meanwhile, Hiventures Zrt., owned by the Hungarian state, has grown in recent years to become one of the most significant venture capital investors in Eastern Europe. Several large and long-established venture capital funds have been joined by smaller investors. For example, STRT Holding has recently been set up, whose founders have so far incubated more than 140 start-ups in various formations. Based on their experience, they now want to create their own investment and knowledge transfer centre. Their aim is to launch the company on the Xtend market of the Budapest Stock Exchange as soon as possible, to facilitate institutional and private investment in startups, and to help more startups from Hungary and the region to become successful startups, strengthening local and regional economies.

The GKID research & consultancy, working in partnership with Mastercard, released the results of its annual ranking of online retailers with the largest turnover in Hungary. Let’s review which well-known brands shot up in their ranking and which ones dropped down or dropped out completely.

74.3% of Hungarians shopped online in 2022. The share of online shoppers in Hungary more than doubled in the last decade (it was 30.3% in 2012). Of course, much of it is due to fairly obvious driving factors: increased access to the internet, higher adoption and availability of mobile-based shopping applications, stronger competition, etc. The pandemic only accelerated the growth of e-commerce in the country and solidified the online shopping habits of consumers.

Every year, the research and consultancy company GKID conducts research in cooperation with Mastercard which looks at the turnover of the largest e-commerce operators on the market. The numbers for 2022 were published last month, so here’s a quick breakdown of the winners and losers of Hungarian e-commerce.

E-retailers with the largest turnover

In 2022, the combined turnover of the 15 largest e-retailers operating on the Hungarian market – both international and local operators – totaled HUF 565 billion gross. That’s a 9% increase from 2021 (HUF 520 billion gross). The market share of the 15 largest e-commerce operators remained more or less the same: 42.6% of the domestic e-commerce turnover in 2022 and 43.1% in 2021.

eMag, Alza.hu, and MediaMarkt maintained their positions, coming in 1st, 2nd, and 3rd place, respectively.

IKEA joined the Top 15 ranks, coming in 4th – a position previously occupied by Tesco, which this year slid down to #8.

MALL.HU by Allegro is another newcomer, coming in 13th. This position used to be occupied by Praktiker, which has now fallen off the ranking entirely. So did 220volt.

Pepita.hu, while only improving in ranking by two places – from #14 in 2021 to #12 in 2022 – increased its turnover by more than 70% in 2022.

Largest FMCG e-retailers

In addition to the list of e-retailers with the largest turnover, GKID and Mastercard looked at operators in the following two categories: the largest FMCG e-retailers and the 100% Hungarian-owned retailers with at least HUF 5 billion gross in online sales.

In 2022, the Top 10 FMCG retailers grossed HUF 99.5 billion in online sales.

Kifli.hu de-throned Tesco in the 1st position. Auchan and Rossmann held onto their positions – 3rd and 4th, respectively.

Palenka.hu, having increased its turnover by 105%, is a newcomer to the list and now occupies 6th place. It’s joined by another new name on the list – iDrinks.hu, which came in 8th.

GRoby, on the other hand, dropped off the list entirely.

Largest 100% Hungarian-owned retailers

More than 32,000 100% Hungarian-owned online stores operate in Hungary. However, only 13 of them boast HUF 5 billion or more in yearly online sales. In 2022, these 13 companies totaled HUF 156 billion in turnover.

There has been no change to the first four positions. They are occupied by Euronics (#1), AQUA Webáruház (#2), iPon (#3), and Libri Bookline (#4).

Pepita.hu and Praktiker swapped places, with the former overtaking the latter.

220volt dropped from #7 to #11, while JátékNet.hu and Online Márkaboltok improved their standings by one position and are at #7 and #10, respectively.

The newcomers are Homelux by Leziter (#12) and Palenka.hu (#13).

Alinda, on the other hand, didn’t make the list in 2022.

Brand awareness in the Hungarian market

Lastly, the study also looked at the brand awareness of various e-retailers in the Hungarian market based on top-of-the-mind mentions of consumers. eMag and Alza.hu maintained their positions – #1 and #2, respectively. MediaMarkt took over Aliexpress for the third spot.

Kékfrankos, Chardonnay, Zweigelt, Merlot, Cabernet Franc, Bianca – Hungarian wines are diverse and steeped in history. This rich variety in local wine-making can make picking the right bottle confusing – even for wine connoisseurs. Here’s a crash course into Hungarian wines to help you navigate the wine list like a pro.

The history of wine-making in Hungary dates back to Roman times. Around the 12th-13th century, new grape varieties were introduced from Italy, Germany, and France. During the Ottoman rule, Tokaj and Sopron – the unoccupied Northern parts of Hungary – emerged as major wine-making hubs. Wine-making boomed under Austro-Hungarian rule, solidly putting Tokaj on the international map. Unfortunately, the industry got devastated by the 1882 phylloxera epidemic.

Under communist rule, quantity was prioritized over quality, which meant the introduction of practices such as overcropping and pasteurization. Following the collapse of communism in Hungary, the country started putting deliberate effort into returning to some of its older wine-making practices while adopting modern technologies and trends.

In 2022, Hungary was the 8th largest wine producer in Europe, with an output volume of 2.5 hectoliters. Over a third of the wine gets exported (37%), which still means that most of it gets consumed locally. Hungary ranks #17 in the world on the consumption of wine per capita, so to say “Hungarians love their wine” would be an understatement. In hot summer months, you cool down with a refreshing glass of fröccs (spritzer). Forralt bor (mulled wine) is as essential to Christmas festivities in Hungary as is apple pie to Independence Day in the US.

So here is what you need to know before your next visit to a winery or as you browse through dozens of bottles of locally produced wine in a supermarket.

Making sense of Hungarian wines

There are 22 wine-growing districts in Hungary. They are largely grouped into 5 (sometimes 7) main regions: 1. Tokaj, 2. Eger, 3. Badacsony (Nagy Somló and Lake Balaton), 4. Villány and Szekszárd, and 5. Sopron.

Now, most guides to Hungarian wines go into intricate details of the soil conditions, wine-making traditions, and grape varieties of each region. However, unless you’re willing to spend a few days trying to memorize the details of a highly complex system, these guides don’t make things easier when trying to pick a bottle on the spot. That’s why we thought we’d simplify things and tell you what to look for based on your general wine preference.

223 varieties of grapes are cultivated in Hungary. We will focus on some of the most common varieties to get you started on your Hungarian wine journey.

White wines

If you prefer sweet wine wines, look for:

• Aszú wine from Tokaj is a noble rot wine. This means the sweetness of the wine comes primarily from the method of decaying wine grapes as opposed to added sugars or syrups.
• Juhfark-blended wines from Nagy Somló are for those who do not want a full sweet wine experience yet are not sold on dry wines either. Juhfark-blended wines are made from an ancient grape variety that was revived in the 1990s. Notes of citrus fruit, herbs, and mint create a perfect balance between freshness and complexity.
• Furmint wine from Tokaj is the third most planted variety in Hungary. Its popularity is due to the variety potential of the grape, used to produce both sweet dessert wines and wonderfully dry wines.
• Bianca-blended wines from the Kunság wine district are fresh, aromatic, off-dry wines. Along with Balaton’s Olaszrizling wines, they are commonly used to mix a fröccs drink on a hot summer day.

For dry white wine lovers, here are a few options:

• Furmint wine from Tokaj is more on the acidic side of the spectrum with notable flavors of apples and wet tree bark.
• Csillag wine from Eger has more fruity, fresh, and floral notes, perfect for warm summer days.
• Chardonnay wines from Neszmély, Etyek-Buda, and Balatonboglár are medium-acidity wines with notes of green apple and lime. Due to the grape variety’s ability to take on the unique characteristics of its terroir, you will be pleasantly delighted by the versatility of this wine depending on its origin.
• Hárslevelű-blended wines from Tokaj, Eger, and Villány add a silky texture and linden blossom notes to a wide range of wines, from sweet dessert to light dry.

Red wines

If you prefer sweet red wines:

• Zweigelt wines from Sopron, Eger, and Bükk are great for sweet wine lovers who want to venture out into the dry wines without fully committing. With flavors of pomegranate and sour cherries, this light wine pairs seamlessly with a large variety of foods year-round.

Fancy a glass of dry red wine? Here you go:

• Cabernet Franc, Cabernet Sauvignon, and Merlot from Villány are for Bordeaux blend lovers. British wine critic Michael Broadbent once said, “Cabernet Franc has found its new home in Villány.”
• Bikavér wine from Eger (translated as Bull’s Blood) is a blended red wine with a more complex, rich flavor.
• Kékfrankos (also known as Blaufränkisch) from Villány is a medium-bodied red wine with flavors of sour cherry and other red fruits. It’s fresh and crisp but has great aging potential.

 

Whether you are ordering a glass of wine on a terrace at Balaton this summer or picking out a bottle to bring to a barbecue, we hope this quick guide will give you more confidence as you navigate the long list of options.

In Hungary, there is a succession of “mega” events throughout the year. In August, one of Europe’s biggest and best music festivals, Sziget, will attract major artists as well as hundreds of thousands of people from all over the world. There are also a host of festivals, cultural and sports events awaiting visitors to Hungary this summer.

Hungary and Budapest have been growing in popularity with tourists for years, thanks to a succession of festivals, and cultural and sporting events, among others factors. Here’s a look at what’s in store for those who choose Hungary as their destination this summer.

Festival ON: International Stars Arrive

Having been one of the biggest summer events in Hungary for years, the Sziget Festival (organized in August) has once again been shortlisted in the “Best Major Festival” category, the most prestigious of the European Festival Awards. From 10 to 15 August, festivalgoers can enjoy concerts by artists such as American singer-songwriter Billie Eilish and French music producer and house DJ David Guetta.

Central Europe’s largest lake, Lake Balaton, is also an important tourist destination in the summer, so Balaton Sound, which kicks off on 28 June, will once again attract crowds to the lakeshore to cool off on the beach between two concerts. The line-up includes Armin van Buuren, Dutch trance music producer and DJ, Belgian DJ duo Dimitri Vegas & Like Mike, and one of the world’s leading DJs, Tiësto.

In 2023, the European Union awarded the city of Veszprém the title of European Capital of Culture, which comes with a series of cultural events and special attention. This year’s VeszprémFest will feature multiple Grammy Award-winning American singer, songwriter and actress Norah Jones, and Spanish singer Alvaro Soler, who rose to fame a few years ago with his song “Sofia” and is now considered one of the most successful Spanish artists.

The World Watches the Athletics World Championships Held in Budapest

Sports competitions and events always occupy a prominent place on the annual program schedules. This year, the World Athletics Championships, which will be held in Budapest from 19 to 27 August with the participation of 2,000 athletes from more than 200 countries, will be a major attraction. So far, the organizers have sold 150,000 tickets to fans from 68 countries and expect one billion television viewers globally. The competitions will be partly hosted in the city center of Budapest and the marathon will pass through the city’s UNESCO World Heritage sites, with the magnificent panorama of the Danube as the backdrop.

Madame Tussauds and Renoir are Also Coming to Budapest

Hungary’s program schedule also offers cultural delights for lovers of art, including classical music festivals and art exhibitions. In Budapest, the Dali exhibition will be open until the end of June, while the Museum of Fine Arts, after the successful El Greco exhibition, is already preparing for an exhibition of Renoir’s paintings in September in collaboration with the Musée d’Orsay and Musée de l’Orangerie in Paris. For those who prefer less serious exhibitions, the Madame Tussauds Museum is scheduled to open in the heart of Budapest this summer.

This Summer will Also be Full of Culinary Adventures and Wine Festivals

In recent years, Hungarian gastronomy has been steadily catching up with the world’s bests. Hungary now boasts a total of 2 restaurants with two, and 7 restaurants with one Michelin star, ahead of other countries in the region. Wine is an important part of Hungarian gastronomy, so it is not surprising that there is almost no place in the country where at least one wine or champagne festival isn’t held every year. In June, for example, the Rosalia Festival in Budapest and the Tokaj Wine Days will be welcoming all interested visitors, where the best white, red and rosé wines as well as sparkling wines compete for the attention of the judges and wine lovers.

With it’s fascinating culture and vast array of events, Budapest has been added to the “World’s Greatest Places 2023” list by Time Magazine and, thus ranked among the top tourist destinations; along with Barcelona and Naples. Let’s find out why it’s one of the most interesting tourist spots.

Budapest is the 9th largest city in the European Union, with centuries of history dating back to antiquity, with both Eastern and Western influences located at the heart of the continent. It is one of the most popular tourist destinations in the region, which is also supported by the opinions of the tourists who visited Budapest. With more than 800,000 TripAdvisor reviews, Budapest received the highest number of positive evaluations, exceeding any expectations

A Walk on the Reborn Chain Bridge and in the Castle District

The compilation by Time Magazine highlights that the world-famous, more than 160-year-old Chain Bridge was reopened to the public this year after a lengthy renovation process. The Buda Castle District has also seen the revival of many of its attractions, including St. Stephen’s Hall, the tower of Karakas Pasha and the Guards’ Barracks. The new, modern building of the Museum of Ethnography and the House of Hungarian Music with its special acoustics, situated in the City Park, which has been awarded an international architectural prize, have also recently been opened, and the Opera House is back to its former glory as well.

Start the Morning with a Real Coffee from Budapest

Budapest has always been renowned for its coffee and café culture since the time of the Turkish occupation. Today, the city still boasts of numerous high-quality cafés – all with a unique vibe. Some of them are more elegant, while some have a distinct patina or a modern feel, where you can enjoy delicious cakes, sandwiches, and salads alongside numerous coffee specialties.

A Dip in Europe’s Largest Spa

Hungary is uniquely rich in thermal waters.  “Taking the waters” in Budapest dates back to the times of ancient Roman and later the Ottoman occupation. One of the most famous spas in Budapest is the Széchenyi Spa, the largest in Europe and the 3rd largest in the world. The neo-baroque spa was also praised by the British newspaper, The Mirror, and it was included among its top 7 thermal spas.

Exploring the Nearly 200,000 Square Feet of the Parliament

Besides the Széchenyi Spa, the Hungarian Parliament is also a favorite tourist destination. According to the Stasher tourism blog, which lists the world’s top tourist attractions, the Hungarian Parliament beat-out even Disneyland in Paris. The building has been a World Heritage Site since 1987. With a floor area of around 18,000 square meters (approx. 200, 000 square feet), the Parliament building was constructed using nearly 40 kilograms (approx. 90 pounds) of gold, and its highest point, the dome tower stands 96 meters (approx. 315 feet) high.

A Tour of the Historic Jewish Quarter

Pest’s historic Jewish Quarter is one of the most atmospheric parts of the capital and its historic buildings rival those of other Jewish quarters in the region. The unique area of central Erzsébetváros, which dates back more than 200 years, has been recognized as a World Heritage Site by UNESCO in 2002, along with Andrássy Avenue. Having survived the tragic twists and turns of history, it still has a vibrant social life, with landmarks such as the Dohány Street Synagogue (built in the late 1850s), the Hungarian Jewish Museum, the Raoul Wallenberg Memorial Garden, and the Gozsdu Courtyard, now known for its nightlife.

Budapest is celebrating the 150^th anniversary of the city’s unification and it is preparing a colorful cultural program to mark the occasion, thus in addition to popular attractions such as the Fisherman’s Bastion, the Basilica or the Hungarian National Museum, the Hungarian capital offers tourists a wide range of seasonal activities too

Immerse Yourself in the Budapest Night

Budapest offers plenty of options for those looking for entertainment, whether it’s traditional pubs, modern bars, or dance clubs. The city is full of reasonably priced catering facilities, enhanced by uniquely decorated and atmospheric “ruin pubs”, which are a popular choice with foreign visitors.