Hootsuite, the Vancouver-based social media management unicorn, laid off more than 100 employees, or about 10 percent of its workforce on Tuesday.
“Unfortunately, this included some reductions to our staff.”
The company did not disclose which departments or offices were impacted or exactly how many staff members were let go, but a source told the Daily Hive that the layoffs included more than 30 marketing staff and more than a dozen sales staff.
“Today Hootsuite communicated organizational changes in order to drive greater alignment with our growing company’s strategic priorities that best serve our customers. Unfortunately, this included some reductions to our staff,” Hootsuite told BetaKit in a statement. “We remain committed to helping employees affected by today’s announcement through these times of transition. Our goal is to ensure they are treated with dignity and respect.”
Hootsuite spokeswoman Naomi Hurley told the Vancouver Sun the company would not provide further comment beyond the statement.
The Vancouver company, which administers posts for several social media platforms became one of the first to enable users to pre-schedule social media posts, said it has about 1,000 employees around the world, spanning Toronto, London, New York, Paris, Bucharest, Hamburg, Mexico City, Milan, Rome, Singapore, and Sydney, but most are located in Vancouver.
Launched in 2008 with 21 staff, Hootsuite has been valued at over $1 billion and claims to have more than 16 million users, surpassing 15 million in October 2016. In 2015, the company laid off 20 staff members, citing trouble managing its massive scale. In 2016, the company announced it was cash flow positive following a challenging previous year. Over a year later, in March 2018, Hootsuite raised $65 million from CIBC Innovation Banking.
According to a Bloomberg story from last October, Hootsuite had hired Goldman Sachs to explore selling the company at a valuation of at least $970 million CAD. However, according to a January report from The Globe and Mail, the company halted the sale after initial offers were lower than expected.
BetaKit has reached out to Hootsuite for further comment.