It’s true, I’ve just been informed and have confirmed that Zillow has laid off 25% of its staff. This comes on the heels of a rough week already including Redfin, and various other tech startups. Rich Barton says this is preventative:
The unprecedented economic events that are playing out on a global stage began in our own industry and have made a prolonged recession likely, in our judgment. We are a young company that is not yet making a profit. Despite having sizeable cash reserves, we deemed the responsible course was to meaningfully reduce expenses, so that Zillow emerges from the other side of the recession in a very strong position, even if the recession lasts many years.
We’re being told that for obvious reasons the Zillow family will keep intimate details inhouse as this is a difficult time for the associates involved- we’ll bring you the latest as we get it. Our thoughts and prayers are with anyone struggling during this difficult time.
October 17, 2008 at 1:58 pm
It all seems inevitable in the current market. Redfin doesn’t cover my market so I can’t say I’ve ever used it. Zillow had a lot of publicity but received a ton of criticism from Realtors and appraisers for the inaccuracy of zestimates.
I’ve personally found much more value in Trulia and will be sad if the same happens to them. I used many of their products, some with better success than others. The Publisher Platform was an incredible free national home search tool. The guys who helped integrate it with my site were very patient and worked hard to make it perfect – couldn’t have been happier with the service. When I was one of the first people to use Trulia Pro I got a phone call and email from the co-founder saying ‘thanks.’ When I decided to stop using it I got a phone call (not just a canned email) from a rep asking for feedback so they can improve the service. So from my experience Trulia seems to have customer service nailed down. Is that part of the reason Zillow and Redfin had to lay off 25%, probably not. But it sure wouldn’t hurt them to look at Trulia and take some notes.
October 17, 2008 at 2:03 pm
Everyone I’ve met from Zillow has been a exceptional — smart, dedicated and just a good person. I wish those that have to leave, and those still there, all the best.
October 17, 2008 at 2:15 pm
I echo the above sentiments – my thoughts and prayers are with those at Zillow and elsewhere through these times.
Viability aside, these companies and the people in their employ, have helped to redefine our industry. For that, thank you.
October 17, 2008 at 2:45 pm
Never good news to hear a company has to lay off a large number of people like Zillow had to. Hopefully they can come out of this stronger as a company and remain in a good position for future success.
As Jim Duncan said, these people have helped redefine the RE industry and likely gained invaluable experience in marketing on the internet. Success will no doubt follow the people who come out of the woodwork at Zillow.
October 17, 2008 at 6:19 pm
Sorry to hear this. I was just beginning to feel more comfortable with Zillow too.
Glenn fm Naples
October 18, 2008 at 5:44 am
My hopes and prayers are with those individuals losing their jobs at Zillow.