/// Hipmunk Plans to Take Off Internationally With $15 Million in New Capital

June 12, 2012  |  All Things Digital

Hipmunk , the offbeat travel site that has made “taking the agony out of travel planning” its tagline, tells All Things D that it has raised $15 million in a second round of funding. The financing will enable the team to double to 32 employees in the next six months and to accelerate its product plans going forward. For those who haven’t used the site before, Hipmunk is different from other travel services because it displays search results visually. Instead of seeing a list of flights, the user can easily scan flights by price, duration, departure and arrival in a grid layout. Users also can sort by “agony,” which is a combination of price, number of stops and duration. Since launching in 2010, the company has created a mobile application that has been downloaded more than one million times, and more recently, has added hotel search. In the future, it plans to continue improving flight and hotel search on both the Web and mobile, while also expanding internationally. “We want to be the de facto travel tool. We have a great user interface that helps people find the best options, but we knew our ability to ramp would be easier with additional funding,” said Adam Goldstein, CEO and co-founder of Hipmunk. ”The fact is that now instead of building one thing at a time, we can build multiple things at once.” The company’s second round was led by Institutional Venture Partners (IVP) with investors from the company’s first round, including angel and Ignition Partners, also participating. In total, Hipmunk has raised $20 million. IVP’s General Parnter Todd Chaffee, who previously invested in Kayak and HomeAway, will join Hipmunk’s board. Goldstein said that Hipmunk is not just about creating a better user interface, it’s about creating new experiences. “Hipmunk is a different place to shop with alternate sources of inventory,” he said. For example, when searching flights, it features private jets along side traditonal flights,and when searching for hotels, it displays apartments for rent on HomeAway and Airbnb. As with other travel sites, like Kayak, Hipmunk earns a commssion from traffic it sends to aggregators, such as Orbitz or Expedia. He declined to disclose the agreement it has with HomeAway, Airbnb and less traditional sites. Chaffee said even though Goldstein is only 24 years old, he feels like he’s talking to a 45-or-44-year-old CEO.

Excerpt from:
Hipmunk Plans to Take Off Internationally With $15 Million in New Capital

Leave a Reply

You must be logged in to post a comment.