Lamudi, the Rocket Internet-backed real estate listings portal, has secured a fresh round of investment worth $31.4 million to solidify its business in Asian and Latin American markets.
Lamudi was launched in 2013, an online site that dealt with real estate trading features. It is currently present in Pakistan as well as Philippines, Indonesia, Bangladesh, Myanmar, Sri Lanka, Mexico, Colombia and Peru.
The company has expanded far and wide, which is why its current move to stay its expansion is a strategic one. The company has decided to enhance its presence in the 9 markets it currently operates in.
We can become profitable with this money. The question for us [with regard to pursuing future market expansions or profit] is where we’ll be in two years’ time. – Mr. Paul Philipp Hermann, Lamudi CEO
According to Lamudi, its earnings grew by a staggering 460 percent last year, and with 2016 looking even more rosier. Its management believes that if it holds off on its expansion plans this year, the company can attain profitability in 2016.
Lamudi revealed that right now their online portals averages 4 million visits, with 1 million listings being closed. Mexico and Philippines are proving to be its most valuable markets based on data available.
How Lamudi Fares in Pakistan
For the company, the toughest challenge is witnessed in the 190 million-strong Pakistan. This is primarily due to Pakistan’s still growing mobile user base and the presence of a competitor Zameen.com, which itself raised $20 million recently. Zameen also operates Bayut in UAE, and has plans to expand to other Middle East states as well as Bangladesh, moves that position it as a direct rival to Lamudi in these territories.
Zameen has done a good job [in Pakistan] over the last eight years. We see ourselves as a strong number two… and are pushing to close the gap. – Mr. Hermann