John Katsimatides announced in Facebook:
Proud to announce that we made an investment in Sonder @sonderstays , which just announced its $210 Million Series D today, valuing the company at over $1 billion. Sonder is an alternative accommodation hospitality company run by a world class management team (the amazing CEO & CFO pictured 💪🏼). The company provides 4 star apartments in 5 star areas at 3 star prices. Its accommodations present incredible experiences that remove the volatility out of stay, with customers knowing they will have a great time, every time. No more “Bingo” with quality control, it’s Uber Black for AirBnB. Next time you travel, I highly encourage you to check them out: www.Sonder.com
Macro Thesis: If you imagine a two sided market place like AirBnB, with many customers/renters and many suppliers/apt owners, since neither side is consolidated, most of the bargaining power rests with the platform (AirBnB or other OTA’s). The customer side obviously cannot conduct group purchasing, since everyone is on their own trip. However the supply side (apartment owners) is starting to aggregate (e.g. Sonder), and bargaining power is beginning to shift/increase away from the platform. This will only continue, and is the same & one of the reasons that I would be short Spotify (where supply/back catalogs are aggregated and required for any decent platform). The company is run by an unbelievable team and I couldn’t be more happy to be joining them for the journey.
All stars CEO Francis Davidson and Sanjay Banker pictured. @ San Francisco, California