Publications
Publications
- November 2017 (Revised December 2019)
- HBS Case Collection
Redfin: Redefine Real Estate
By: Hong Luo and Huafeng Yu
Abstract
Founded in 2004, Redfin envisioned a light-touch model in which clients self-served using the digital platform in exchange for a significantly lower fee than traditional agents. Realizing the narrow appeal of its initial model, Redfin had made significant changes to its strategy while maintaining some key distinctive choices. As of 2016, Redfin served in more than 80 markets throughout the U.S., employed over 700 full-time agents, and had grown over 40% annually since 2014. With additional capital raised through an IPO, Glenn Kelman faced decisions on how to allocate these resources in order to grow. Should Redfin adjust its advertising strategy? Should it reconsider the policy of hiring lead agents only as full-time employees? Should Redfin purchase homes and hold inventories?
Keywords
Adaptation; Growth and Development Strategy; Decision Choices and Conditions; Real Estate Industry; North America
Citation
Luo, Hong, and Huafeng Yu. "Redfin: Redefine Real Estate." Harvard Business School Case 718-430, November 2017. (Revised December 2019.)