Apartment-hunting site Zumper has acquired PadMapper, one of its competitors, in a deal aimed at helping both companies maintain a competitive edge in a crowded market, according to TechCrucnch.
Zumper and the apartment mapping startup plan on using the deal, which was completed in January, to make improvements to their business, among them being the newly renovated PadMapper app and logo that just went live. The companies' heads say that the combination will make them the largest independent apartment lister in North America.
The merger gives the companies a wider reach, which will help them stay alive and compete against the popular online real-estate site Zillow, according to Forbes.
"It was get bought or partner up and do something," Zumper CEO Anthemos Georgiades said.
PadMapper CEO Eric DeMenthon echoed those thoughts, saying, "It made sense to join forces instead of getting eaten up."
The company heads admitted that the market is somewhat "incestuous" for firms like theirs. There are numerous search engines looking to get revenue from clicks, some of which are not so reputable. However, Georgiades and DeMenthon believe that the new merger will be just what they need to truly stand out.
"We have significantly more scale," said Georgiades.
