TaskRabbit, Inc. d/b/a TaskRabbit operates an online marketplace that matches freelance labor with local demand, allowing people to find help with tasks including personal assistance, furniture assembly, moving, delivery, and handyman work.[1][2][3][4][5] The company was founded in 2008 by Leah Busque and was acquired by an affiliate of IKEA in 2017.

Quick Facts Company type, Founded ...
TaskRabbit
Company typeSubsidiary
Founded2008; 16 years ago (2008) (as RunMyErrand)
FounderLeah Busque
HeadquartersNone, distributed company
Area served
United States, Canada, United Kingdom, France, Germany, Italy, Portugal, Spain, and Monaco
ServicesOnline marketplace
ParentIKEA
Websitewww.taskrabbit.com
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TaskRabbit founder Leah Busque at TechCrunch Disrupt (2012)

More than 200,000 independent workers use the TaskRabbit platform.[6]

History

The company was founded as RunMyErrand in Boston in 2008, during the Great Recession, by Leah Busque, a former software engineer for IBM.[3][7] She got the idea to start the company when she needed dog food but didn’t have time to get it herself.[8][9]

In 2009, the company received funding from Facebook's startup incubator, fbFund, and Tim Ferriss became an advisor.[10][8]

The firm raised $1.8 million in seed money from angel investors.[11]

In April 2010, the name of the company was changed from RunMyErrand to TaskRabbit.[12]

In June 2010, the company moved its headquarters to San Francisco.[13]

In May 2011, TaskRabbit raised a $5 million Series A financing round from Shasta Ventures, First Round Capital, Baseline Ventures, Floodgate Fund, Collaborative Fund, 500 Startups, and Lisa Gansky.[14][11][2]

In July 2011, TaskRabbit launched a mobile app for iOS.[15][16][17][18] At that time, the company had 1,500 active taskers.[13]

In October 2011, Eric Grosse, the co-founder and former president of Hotwire.com, was named CEO.[19][20] At that time, the company had operations in Boston, the San Francisco Bay Area, New York City; Chicago; Los Angeles; and Orange County, California.[21][22]

In December 2011, Taskrabbit received an additional $17.8 million in a Series B round of funding from existing investors as well as Lightspeed Venture Partners, Allen & Company, and The Tornante Company. It also engaged Michael Eisner as an advisor.[11][23][24] At the time, the firm had 35 employees and generated $4 million in business each month.[2][25]

In June 2012, Busque reassumed the role of CEO, with Gross staying on with the company's board of directors, advising on strategy and operations.[26]

In July 2012, the company raised $13 million in funding, bringing its total funding to $37.5 million.[27]

In January 2013, the company hired Stacy Brown-Philpot, formerly of Google, as the company's first COO.[28][29]

In March 2013, "Taskrabbit Business" was launched. It allowed businesses to hire temporary workers from the Taskrabbit users, with a 26% commission.[30]

In November 2013, the company launched in London, its first international market.[31] Because of declines both in bids and in completed and accepted tasks in the U.S., the company chose to test a new system in London whereby Taskers set their own rates and schedules, and when a new job was posted that matched their profile, the platform would send them an alert. The first to respond got the job.[9][5][32] In London, the results were positive: almost all the company's metrics improved, and the average amount of money that individual Taskers on the platform were taking home increased.[5]

In June and July 2014, TaskRabbit began implementing this new format in all markets.[33] The new format was met with significant backlash from the Tasker community.[34][35] Taskrabbit incorporated some of the feedback into an updated version of its app that launched in January 2015.[34] In 2014, Taskrabbit received 4,000 applications to be a tasker; it received 15,000 applications in 2015.[5]

In April 2016, Stacy Brown-Philpot was promoted from chief operating officer to CEO and founder and former CEO Leah Busque became executive chairwoman.[36][37][38][39]

By January 2017, the company had 55,000 active taskers.[40]

In September 2017, the company was acquired by an affiliate of IKEA.[41][42][43][44][45]

In February 2018, TaskRabbit began operations in Birmingham, Bristol, and Manchester.[46]

In March 2018, IKEA launched a furniture assembly service from Taskrabbit in the U.S.[47][48][49][50]

In April 2018, the company was affected by a data breach. At that time it had 1.5 million users and 60,000 taskers.[51][52][53][54]

In September 2018, Taskrabbit expanded to Toronto, Vancouver, Montreal, and other Canadian cities.[55][56]

In December 2018, the company launched operations in Brighton, Cardiff, Coventry, Liverpool, Warrington, Oxford, and Reading.[57][58]

In September 2019, TaskRabbit launched service in Paris and followed it with a rollout to other French cities.[59][60]

In October 2019, the company launched in Germany, with operations in Berlin, Bochum, Cologne, Dortmund, Duisburg, Düsseldorf, Essen, Gelsenkirchen, Krefeld, Monchengladbach, Oberhausen, Wuppertal and the Rhine-Ruhr metropolitan region.[61]

In January 2020, Taskrabbit launched service in 39 cities in Spain.[62]

In August 2020, Brown-Philpot resigned as CEO.[63] Taskrabbit named Ania Smith, formerly of Walmart, Expedia, Airbnb, and UberEats, its new CEO.[64][65][66][67]

In November 2020, the company launched service in Portugal, with operations in Lisbon, Porto, Braga, Coimbra, and Faro.[68]

In March 2021, Taskrabbit launched in Italy in Rome and Milan.[69]

In May 2022, TaskRabbit launched a global brand refresh, introducing an all lower-case wordmark with two different "a" characters. The company also removed the image of the "rabbit" from its logo and updated its default brand colors.[70][71][72]

In May 2022, TaskRabbit announced that it would close its physical offices, including its San Francisco, California headquarters, and transition to becoming a distributed company, with all employees engaging in remote work.[73][74]

In July 2022, Taskrabbit launched service in Monaco.[75]

Controversies

Criticism

TaskRabbit has been criticized by users and in the media for high fees on tasks; fees added by the platform can be as high as 70% of the original bid. Users of the platform have complained that this contributes to an exploitative attitude by clients using the platform.[76] Taskers have also complained that decisions taken by the platform have detrimental effects on taskers, and leave them no recourse to address their grievances.[77] In 2016, MIT Technology Review wrote about the research related to racial and gender biases in Fiverr and TaskRabbit's recommendation algorithms.[78][79] TaskRabbit's "Happiness pledge" which allows users to claim up to $10,000 for damages caused by taskers has been criticized as deceptive due to numerous exclusions and clauses.[80]

TaskRabbit was the subject of a class action lawsuit in which 10,000 taskers alleged that they had been improperly labeled as "independent contractors" rather than employees. On August 17, 2020, the plaintiff was awarded $1.75 million by the court.[81][82] The company has also been criticized for its terms of service, which claim indemnity even in cases where a court determines taskers can be legally classified as employees.[83]

References

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