BuildDirect, a technology company reinventing how do-it-yourselfers to building professionals search for, sample and purchase heavyweight home improvement products, announced today that it has received CDN$30 million in financing. The Series B round is led by Mohr Davidow Ventures and supported by high profile Canadian investors including existing investor, BDC Venture Capital.
This latest round of financing will be used to fuel the company's growth, innovation and transformation of the US$492 billion building product marketplace by supporting the continued evolution of BuildDirect's proprietary technology platform, the expansion of BuildDirect's extensive product offerings and the rapid growth of the company's employee base.
'Despite its multi-billion dollar size, the home improvement product supply chain is fragmented and inefficient. In the past several years, BuildDirect has achieved phenomenal growth by effectively leveraging sophisticated predictive analytics to address gaps and inefficiencies in the home improvement products industry,' said Katherine Barr, General Partner, Mohr Davidow Ventures. 'With this latest round of funding, BuildDirect is well poised to fulfill its goal of transforming the home improvement industry by leveraging its innovative data analytics and technology platform.'
Through an advanced technology platform plus analytic and forecasting tools, BuildDirect creates a simple and service-oriented online shopping experience where consumers enjoy savings of up to 80% for high quality products supported with free samples, coordinated shipping for goods that average 1500 lb and a 30-day satisfaction return guarantee with free shipping. Suppliers around the globe are able to reach an unlimited marketplace without sacrificing margins. BuildDirect also identifies and shares with suppliers in real-time, how a product is performing, forecasted trends and pinpoints production needs to help improve manufacturing efficiencies.
'Since its inception, BuildDirect has been steadfastly working to change the dynamics of the home improvement products industry,' said Jeff Booth, CEO, BuildDirect. 'As a builder I experienced the pain, complexity and lack of customer support when it came to finding high quality products at an affordable price. With goods changing hands multiple times from manufacturer to retail, these suppliers lose touch with consumer demand, their product costs' increase at each turn, and no one along the chain is willing to take responsibility for a missed deadline or product quality issue. The consumer assumes the padded costs and risks. This process does not make any sense.'
By leveraging technology and combining BuildDirect's commitment of putting the customer first, the company creates a new landscape for how the home improvement market operates. Booth adds, 'It was important for us to find a partner who not only reflected our commitment to completely re-inventing the home improvement industry, but our core values which help to drive our ability to hire and retain the best people. We feel that Mohr Davidow Ventures is the best true partner to help attain our ambitious goals.'
Barr will join the Board of Directors and add her technology leadership and business vision to BuildDirect. Mohr Davidow Ventures invests in early stage technology startups that redefine or create large new markets, with notable investments such as 2013 IPO's Rocket Fuel (NASDAQ: FUEL) and Rally Software (NYSE: RALY), in addition to Kabbage, Coupa, Proofpoint (NYSE: PFPT), Shutterfly (NASDAQ: SFLY), Ticketfly, and Visible Measures.
About BuildDirect
BuildDirect is a technology company reinventing how do-it-yourselfers to building professionals search for, sample and purchase heavyweight home improvement products. Through an advanced technology platform plus analytic and forecasting tools, the company creates a simple and service-oriented online shopping experience where consumers enjoy savings of up to 80% for high quality goods, and offers real-time data for supplier forecasting to improve manufacturing efficiencies. BuildDirect is headquartered in Vancouver, BC with warehouses located throughout North America. For more information, visit www.BuildDirect.com.
About Mohr Davidow Ventures
For 30 years the Mohr Davidow Ventures (MDV) team has invested in early stage technology-based startups that redefine or create large new markets. The Firm partners with exceptional entrepreneurs to build companies where big data, applied analytics, and the reach and power of the web/mobile cloud can be leveraged to drive emerging opportunities in verticals ranging from social commerce to finance to online marketing and consumer-driven healthcare. Leading companies funded by MDV include: Agile (acq. NYSE: ORCL); Brocade (NASDAQ: BRCD); Coupa; HealthTap; Hotchalk; Infusionsoft; Kabbage; Proofpoint (NYSE: PFPT); Rally Software (NYSE: RALY); Rambus (NASDAQ: RMBS); Retention Science; Rocket Fuel (NASDAQ: FUEL); Ruby Ribbon; Shutterfly (NASDAQ: SFLY); Ticketfly; and Visible Measures. For more information, visit www.mdv.com.