Thermondo, one of the pioneers of the digital revolution in the heat solution and installation market, has raised fresh capital, €6 million in fact, from Holtzbrinck Ventures and Rocket Internet, as well as from their existing investors E.ON, IBB and Grey Corp.
The Berlin-based startup digitises the process of the HVAC exchange, from lead generation, to sales, to installation, to after-sales. This deep vertical integration leads to market disrupting service quality and an outstanding customer experience. At thermondo, homeowners enter 15 data points about their current heating system and their future needs. An algorithm matches the customer’s requirements with solutions, and provides quotes in real time. In addition to the algorithm, Thermondo has created the largest digital product database with millions of solution packages for gas, oil heating systems and for solar based systems. Fully vertically integrated, locally-based teams install the new HVAC system at the customer’s homes. House owners benefit by enjoying an extremely efficient installation process, providing a customised HVAC system – often at prices significantly lower than those of conventional companies.
Lars Langusch, Partner at lead investor Holtzbrinck Ventures, said: “The team at Thermondo has managed to digitise a very complex craft service to a very high degree. This revolutionary approach combined with impressive growth convinced us to invest.”
Thermondo is technology-driven along the value chain: manufacturers and wholesalers are connected via an interface with the IT of Thermondo, which enables just-in-time delivery of the hardware and simplifies the ordering process. Thermondo is an inventory free company. The installation teams are connected with a proprietary Android app, which collects all the relevant information for the preparation and management of the installation. Centralised procurement translates into economies of scale at extremely low transaction costs.
“We are happy to welcome Holtzbrinck Ventures and Rocket Internet as shareholders. Both have shown fantastic success as investors. Together with our diverse group of investors, we will scale Thermondo further, so that thousands of homeowners will enjoy a new and better customer experience“, said Philipp Pausder, co-founder and CEO of Thermondo.
The fast growing startup already employs 90 people, half at its headquarters in Berlin and the other half in 12 German metropolitan regions. In 2015, more than 140 new hires are planned to support the rapidly growing business.
By the way: You can find out about other interesting startups from Germany in this list.
