Opinion

Slideshow? This time, it was different: Redfin’s $50 million financing all about customer value

Insights from Redfin CEO Glenn Kelman

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Redfin just announced a $50 million financing round led by T. Rowe Price and Tiger Global Management. We are, of course, proud to have the support of two of Wall Street’s best investors, and glad to have the money to invest in making our service to homebuyers and sellers even better. But that doesn't capture what was so strange to us about raising this round of financing, which began with the slideshow we carefully prepared but never presented to either investor. Both just asked question after question about the customer experience. Stranger still was that even though we’d been told it would be harder to raise money from public-company investors than venture capitalists, it was actually much easier. Redfin turned out to be the moonshot real estate stock that public-company investors have been waiting to buy. Whereas Redfin's bizarre, half-fish-half-reptile combination of its own technology and its own real estate agents had earlier made venture capitalists fret about our b...