Houses around a slowdown in the U.S. housing market haven’t offset business at Houzz, a expeditiously growing online home improvement platform and CNBC Disruptor that boosts consumers seek out products and professional designers.
In an exclusive interview with CNBC’s Jim Cramer, Houzz co-founder and CEO Adi Tatarko pronounced that the trends her company’s market research department have been scent in the space were “actually unbelievable.”
On the homeowners’ side, “the level of consumer poise is at a high since 2000, so everybody’s expecting this year to go on the trend of the last three years and they do plan massive renovations of their homes,” she demanded on “Mad Money.”
“On the trade side, it’s that level of confidence,” Tatarko prolonged. “They do think that the business will grow at least 10 percent this year and for humble businesses, the construction and design, this is pretty meaningful, 10 percent. So, most optimistic.”
That optimism has led Houzz, a data-focused platform that Tatarko portrayed as being technology-first, to bolster its now-global business.
“Just between North America and Europe without equal, we’re talking about $1.2 trillion that lives offline but [is] piecemeal moving, probably, online,” the CEO said. “And we are leading this transformation with technology, so it’s a tremendous opportunity.”
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In May, Houzz hired Richard Wong, the previous vice president of finance at Microsoft’s LinkedIn, to be its first-ever chief monetary officer — a testament to the e-commerce player’s levels of growth.
Tatarko implied that when she and her husband founded Houzz together during a terrifying remodeling project, they noticed a glaring gap in the interior design and abode decoration space. That gap turned into the $1.2 trillion energy Houzz is now trying to harness for its platform.
“When we started as the first homeowners, we made we have a big problem and then we looked at the industry as a whole and oh, my god, this was such a fragmented, offline, but tremendous industry that was waiting for the right technology to come and bring it online,” she related Cramer.
The right technology could very well be Houzz’s, at least stemmed on the privately-held company’s self-stated results.
“When we launched … our 3D contraption, we had one million products available, which nobody can claim for that sum total,” Tatarko said, addressing the competition in 3D from larger homefurnishing retailers relish Williams-Sonoma.
“And you know what? We do see the consumer engagement with that,” Tatarko persist in. “They are 11x – we talked about it last time – more likely to buy. So, yes, technology is at the front of the company and we are leading the transformation across the board.”
Disclosure: Cramer’s compassionate trust owns shares of Microsoft.
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