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So, is a "one time referral fee" business model the key to success? This is effectively the yellow pages model, where cleaners pay for leads via advertising pl

So, is a "one time referral fee" business model the key to success? This is effectively the yellow pages model, where cleaners pay for leads via advertising placements, and own the long-term relationship with the customer.

Goopplesoft 11y ago
Is it working for http://www.angieslist.com/ http://www.angieslist.com/ (assuming thats their model)?
- ssmoot 11y ago
  Seems to? I dunno. My success rate was 25% at best. Found a few contractors I really liked and kept contact info for. And had a half dozen that only used the "deals" to try to land big remodeling jobs.
username223 11y ago
Probably, and for far more than just cleaning. For example, tutoring companies do all sorts of ridiculous things to try to prevent "disintermediation," but they take such massive cuts of a tutor's fees that a compatible student and tutor can split the difference (i.e. each take half of the company's 20% cut) and both benefit. Why on earth wouldn't they?
hugh4 11y ago
Yep. But then you've got to ask yourself whether you've really got a business model that supports a big global company, as opposed to a business model that works best when you're one person in an office who has personal relationships with every cleaner in town and a flyer on every lamppost.
frankdenbow 11y ago
Yep, thats what Thumbtack.com does.
WillAbides 11y ago
The business model was articulated above. You join a successful crew and scrub toilets with them for a couple of years until you know the business and have people who trust you enough to employee you directly. The they spread the word among their friends and you get more clients. Eventually you get more than you can handle yourself and find some people you trust to help you out.
pbreit 11y ago
Basically for every category you have to really try and figure out what the customer needs are, the service dynamics, how to put together a proposition, etc. Office By Q is a good example of really trying to understand customer needs and putting a compelling proposition into the marketplace. For in-home cleaning, there might be a middle-ground. I could see trying out a few cleaners to be useful and selecting a favorite. Or maybe 2 different cleaners with different specialties rotating. But for just scheduling the same person at the same time, you can't really count on taking an ongoing cut.

Goopplesoft 11y ago

Is it working for http://www.angieslist.com/ http://www.angieslist.com/ (assuming thats their model)?

ssmoot 11y ago
Seems to? I dunno. My success rate was 25% at best. Found a few contractors I really liked and kept contact info for. And had a half dozen that only used the "deals" to try to land big remodeling jobs.

username223 11y ago

Probably, and for far more than just cleaning. For example, tutoring companies do all sorts of ridiculous things to try to prevent "disintermediation," but they take such massive cuts of a tutor's fees that a compatible student and tutor can split the difference (i.e. each take half of the company's 20% cut) and both benefit. Why on earth wouldn't they?

hugh4 11y ago

Yep. But then you've got to ask yourself whether you've really got a business model that supports a big global company, as opposed to a business model that works best when you're one person in an office who has personal relationships with every cleaner in town and a flyer on every lamppost.

frankdenbow 11y ago

Yep, thats what Thumbtack.com does.

WillAbides 11y ago

The business model was articulated above. You join a successful crew and scrub toilets with them for a couple of years until you know the business and have people who trust you enough to employee you directly. The they spread the word among their friends and you get more clients. Eventually you get more than you can handle yourself and find some people you trust to help you out.

pbreit 11y ago

Basically for every category you have to really try and figure out what the customer needs are, the service dynamics, how to put together a proposition, etc. Office By Q is a good example of really trying to understand customer needs and putting a compelling proposition into the marketplace. For in-home cleaning, there might be a middle-ground. I could see trying out a few cleaners to be useful and selecting a favorite. Or maybe 2 different cleaners with different specialties rotating. But for just scheduling the same person at the same time, you can't really count on taking an ongoing cut.