Even though I'm a bit late in reporting the news, it's still worth sharing with Spend Matters readers that Rearden Commerce recently raised $100 million in a new funding round. According to Tech Crunch, "The company has no raised $200 million in its drive to marry big enterprise customers to a wide array of services ... [investors in the round include] American Express, JPMorgan Chase, Oak Investment Partners, and Foundation Capital ... All in all, Rearden now offers its services to more than 1,700 corporations, up from 92 two years ago before signing AmEx as a partner. Pharmaceutical giant GlaxoSmithKline alone has about 60,000 employees on Rearden. Collectively, those corporate customers have about one million employees using Rearden to book flights, cars, hotels, dinner reservations, baseball games, theater tickets, conference calls, and even ground shipping."
In my view, what is so remarkable about the size of this funding round -- not to mention the growth of Rearden's customer base -- is how important the channel has been to the company's growth. Two years ago, Rearden was struggling to reach customers of all sizes despite having a wildly better "personal services" mousetrap. But their deal with American Express changed all of this -- and fast. Stay tuned for further coverage of Rearden in the coming months as we analyze updates to their product and the rationale for why companies should incorporate Rearden in their procurement technology arsenal.
- Jason Busch