Porch (company) explained

Porch Group, Inc.
Company Type:Public
Traded As:NASDAQ:
Location:Seattle, Washington
Country:United States
Area Served:United States
Ceo:Matt Ehrlichman
Key People:Asha Sharma (COO)[1]
Industry:Home improvement
Revenue: $430 million (2023)
Num Employees:895 (2023)[2]
Website Type:Consumer service
Registration:Optional
Language:English

Porch is a website that tries to connect homeowners with local home improvement contractors. The site features advice articles, cost guide, and online booking for over 160 home projects.

History

Porch was founded in September 2012 after co-founder Matt Ehrlichman.[3] [4] Porch was launched as an online home improvement network connecting homeowners with professionals.

As of 2018, the listings are in excess of 300,000 professionals[5] across the U.S. Porch partners with Lowe's,[6] Wayfair,[7] and Pottery Barn.[8] Porch offers access to more than 160 different home services offerings through Porch.com associates.[9]

The company facilitated over 2 million home-related projects in 2017,[10] generating almost $1 billion in revenue.[11]

Porch became a public company via a special purpose acquisition company merger in December 2020, and was listed on the Nasdaq.[12]

Funding

In June 2013, Porch announced a $6.25 million seed round, including investments from Ron Conway of SV Angel, Javier Olivan, and Jeffrey Skoll.[13]

In September 2014, Porch reported a $27.6 million Series A round, led by Lowe's.[14] Joe Hanauer, Chairman of Move and former CEO of Coldwell Banker, joined the board of directors.[15]

In January 2015, Porch reported a $65 million Series B round, led by Valor Equity Partners. Backers included Lowe's, Founders Fund, Battery Ventures, Panorama Point Partners, Capricorn Investment Group and Ty Pennington. Valor Equity Partners’ Antonio Gracias also joined the board of directors.[16]

Lowe's partnership

In April 2014, Porch announced a nationwide partnership with home improvement retailer Lowe's, establishing in-store promotional signage and computer kiosks, with the ability to search for Porch's professionals database.[17]

Headquarters relocation

In May 2015, Porch relocated their headquarters to the SODO neighborhood in south Seattle, Washington.[18]

Acquisition of Fountain Software, inc.

In October 2015, Porch announced the acquisition of Fountain, an online communication service. Fountain was co-founded by Aaron Patzer, the founder of Mint.com, and Jean Sini. Sini joined Porch; Patzer did not.[19]

Wayfair partnership

In April 2016, Wayfair implemented the Porch Retail Solution nationally starting in 15 markets.[20]

Layoffs

After growing to 500 employees, Porch began a series of layoffs which resulted in the headcount being reduced to about 250 employees. Many key executives, including the Chief Product Officer, Chief Financial Officer, and Chief Technology Officer, left the company.[21]

In April 2018, it was announced that Porch had grown to 450 employees.[22] Porch places a strong emphasis on investing in the 100-person EPDA team (engineering, product, design, analytics).[23]

Facebook Marketplace

In May 2018, Porch was added as a service provider in the home services category of Facebook Marketplace.[24]

Notes and References

  1. News: Bishop. Todd. Challenges at Porch: High-flying, heavily funded startup learns the lessons of rapid growth. 5 November 2015.
  2. Web site: 2023 Annual Report (Form 10-K) . March 15, 2024 . U.S. Securities and Exchange Commission.
  3. Web site: About. Porch.com. 16 July 2014.
  4. Web site: Hilmes. Kelsey. Porch.com's Bright Idea. Seattle Business. 16 July 2014.
  5. News: Home improvement data startup Porch emerges from 2-year quiet period, rebounds to 450 people. 2018-04-20. GeekWire. 2018-07-10. en-US.
  6. News: Lowe's goes big on home-improvement startup Porch.com. Fortune. 2018-07-10. en.
  7. News: Wayfair gets into the swing of home services. 2016-04-19. CNET. 2018-07-10. en.
  8. News: Porch.com and Rejuvenation, a member of the Williams-Sonoma, Inc. Portfolio of Brands, Partner to offer Home Services. Porch.com. GlobeNewswire News Room. 2018-07-10. en-US.
  9. Web site: How it Works - What is Porch?. porch.com. en-US. 2018-07-10.
  10. News: Overstock and Porch team up as they battle Amazon, others in home services industry. 2018-06-26. GeekWire. 2018-07-10. en-US.
  11. News: Home improvement data startup Porch emerges from 2-year quiet period, rebounds to 450 people. 2018-04-20. GeekWire. 2018-07-10. en-US.
  12. News: Porch Group goes public, gains stock listing and capital . December 24, 2020 . The Seattle Times.
  13. Web site: Grant. Rebecca. Porch raises $6.25M seed round for 'smart house porn'. VentureBeat. 5 June 2013. 16 July 2014.
  14. Web site: Weiss. Geoff. With $28 Million in New Funding, Porch Is the 1-Year-Old Startup Looking to Remodel the Home Improvement Market'. Entrepreneur. 17 September 2014. 17 September 2014.
  15. Web site: Notice of Exempt Offering of Securities. sec.gov. US Securities and Exchange Commission.
  16. News: Mac. Ryan. Lowe's-Backed Porch.com Gears Up For Local Services Battle With $65 Million Round. Forbes. 20 January 2015.
  17. Web site: Roberts. Daniel. Lowe's Goes Big on Home-Improvement Startup Porch.com. Fortune. 16 July 2014.
  18. News: Porch.com moves to former Zulily space in Sodo, could grow to 600 employees. March 29, 2015. Puget Sound Business Journal.
  19. News: Lardinois. Frederic. Porch Acquires Mobile Advice Marketplace Fountain. 29 October 2015.
  20. News: Wayfair gets into the swing of home services. 2016-04-19. CNET. 2018-07-10. en.
  21. Web site: After cutting its 500-person workforce in half, Porch focuses on profitability over revenue growth. 31 October 2016.
  22. News: Home improvement data startup Porch emerges from 2-year quiet period, rebounds to 450 people. 2018-04-20. GeekWire. 2018-07-10. en-US.
  23. News: Porch's Rightly Timed Pause. 2018-04-19. 2018-07-10. en.
  24. Web site: Facebook teams up with Porch, HomeAdvisor and Handy for new Marketplace home services offerings. 2018-05-23. GeekWire. en-US. 2020-05-21.