Startup Proptech Lamudi lays off a number of employees

Proptech startups Indonesian Lamudi announced business efficiency to achieve business sustainability in the long term. This efficiency includes reducing the number of employees (PHK) in several divisions.

Lamudi Indonesia CEO Mart Polman revealed that it was not easy to make the decision to restructure this organization.

"However, it is important for the company to continue to provide the best offers for [property] developers, banks, and the 30.000 property agents who work with us. With this, Lamudi can continue to provide competitive services as the leading technology property company in Indonesia," he said. .

For employees affected by this restructuring, Lamudi is committed to providing the best support, in the form of financial support, health according to applicable regulations, and programs outplacement to help affected employees find their next job.

Despite this layoff decision, Lamudi claims to have experienced significant growth in the last two years. Lamudi recorded an increase in the number of paying subscribers by 185% and revenue by 88%.

At the end of 2022, the company acquired the OLX Indonesia property business where the two platforms now together serve more than 22 million visitors and receive more than 1,35 million listing new properties every month.

Lamudi Indonesia was founded in February 2014, then acquired by Dubizzle Group (formerly EMPG) in 2020 which is a global proptech group, overseeing five brand leader in the Middle East, North Africa, South Asia, and Southeast Asia.

Startup restructuring

Restructuring is a challenging but important process for startups that are experiencing growth. Although it can lead to layoffs, restructuring is often driven by the need to adapt, optimize resources and long-term business continuity.

The proptech platform currently provides solutions beyond the core business to achieve a sustainable business. No longer just playing on listing and traditional transactions, proptech services platforms in Indonesia offer innovative solutions covering various aspects of the property lifecycle.

Starting from Cabin which focuses on simplifying the construction process by utilizing modularity, pre-fabrication, and wood as the main material. Then, there my tan which builds platforms to facilitate online property purchases and transactions; IDEAL and concise whose ambition is to democratize the mortgage application process and facilitate housing loans.

pinhome currently also presenting more and more attractive options to target users, ranging from tiered mortgage programs to home search and maintenance solutions.

Meanwhile Travelio claims to continue to experience positive growth with 600 staff, and has never made a layoff since the pandemic. Travelio is aiming for a positive adjusted EBITDA by the end of 2023.