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the problem is that most property owners aren't tech savvy. Most of them don't even have a webpage. And I'm not talking about the 1-2 unit owners...I'm talking
by vaksel 16y ago
the problem is that most property owners aren't tech savvy. Most of them don't even have a webpage.
And I'm not talking about the 1-2 unit owners...I'm talking about multi building companies with $600K in yearly revenue who haven't even bothered to setup a 1 page site with their phone # and hours of operation.
If you are going to take on this market, you are going to need a direct on the ground sales team.
- oojacoboo 16y agoyou would think this is the case, and yes, an on the ground sales team will be helpful in addition to our affiliate program and partnerships, but these days are starting to phase out. These people are starting to realize they can't operate their companies the same way they did 10 years ago, and as the younger generation steps up the ladder in these companies, it's getting more attention.
- earle 16y agoAdditionally, since the aforementioned demographics on property owners and management companies is accurate, you should consider alternative tactics. What about modifying the initial workflow from the Tenants perspective and allow Tenants to make rent payments to Landloards who are not yet even on this site? Seems like the easiest way to address your potential market (landlords) since there is certainly a huge demographic of renters who would like to use this service from the payment perspective. Changing the focus on the landing page to be directed at the Tenant -- as in PAY YOUR RENT NOW, and focusing on the benefits to the tenant as part of your conversion process.
- oojacoboo 16y agoYES, but there are SERIOUS issues to doing this with regards to payments. You essentially have to be a registered bank or approved status in order to aggregate payments in order to support this. It's very complicated, expensive, and there is tons of red tape. This is where we wanted to go from the start before addressing many of these concerns.
- earle 16y agosorry, but these are just excuses. disrupting process is the entire goal, so start thinking outside the box and figure it out, not avoiding it because its "hard"
- maukdaddy 16y agoYou completely dismissed the parent, who is 100% correct. While you think these days are "starting to phase out" you are incorrect. Despite younger managers taking over, this is an industry where even younger people are not as tech savvy. Take your technical blinders off, step back, and look at the big picture. A 100% awesome tech experience is not going to matter when you don't have users.
- oojacoboo 16y agowe won't get entire market saturation over night, no. So, yes, you are right, there are technical hurdles, but we believe that the market is large enough right now, at it's current state to support this company. Our competitors agree, and our traction thus far hasn't proved any different. This is something we will address as we grow, but for now, we are pleased with our traction.
- karanr 16y agoTake it from someone who has pounded the pavement doing sales for my previous start-up, selling online lunch ordering service to restaurant owners, there is a lot of merit to what the parent's and grand parent's comments. You would be surprised how much many people despise technology. I think its because many of them were early adopters for various tech services sold to them by slick salesmen in the early days of software, and were then burned by how expensive and complicated it all was. They are now skeptical So yes you would need a stellar sales team, which I'm sure you will get. I love the idea by the way, and I do think there is a lot of scope. Best of luck!
- Travis 16y agoHow many potential customers have you talked to that said they would 100% purchase this? While I would love it if you'd prove me wrong (go, do it! be a success!), your responses here appear a little naive. Spending 2 years building something like this is very impressive, but it doesn't sound like you've talked to very many customers. (I get that just from the vague statements you're making about "these days", "starting to realize", etc.) I know nothing of the space, so I can't comment to that. But it does sound like you would benefit greatly from doing some customer development, Steve blank style.
- oojacoboo 16y agoWell, we have hundreds of beta accounts currently. I'd say that is something. Also, the interest has been quite high, not to mention, we aren't pioneering anything in this space, there are quite a few other competitors that do very well.
- Travis 16y agoHow many of those beta accounts are paying? Like I said, I know nothing of the space, so I wasn't even aware of competitors. I think that's good news that there are others already succeeding, now you just have to do things better than they do! That said, how do you know they're doing so well? Another spin on the idea that I'm sure you've thought of: what about targeting this software to a bigger client, the companies that run apartment buildings? Include a notification system (so they can notify all building residents), and you could start to build building-based online communities. Anything like that in the works?
- clistctrl 16y agoI just forwarded it to my manager, it would not surprise me if i'm not the only one doing the advertising for them.
- amirmc 16y agoI'd be interested to know what kind of Customer Development went on here. How many discussions took place with potential users and what were the problems they pointed out that RentPost is now solving?
- hippo33 16y agoTotally agree - I'm not sure most people on this list are actually landlords/property managers to be able to say whether or not landlords/property manager would or wouldn't be able to use this. From an end user perspective, I think the design looks totally awesome. And, I would be thrilled if my property manager would adopt this.
- oojacoboo 16y agoI think you hit the nail on the head.. thrilled if your manager adopted this... Management companies are offering things like tanning packages, gym memberships and all sorts of crazy perks to get tenants, this is yet another advantage for them over the competition. We aren't pioneering the space here either, there are half a dozen competitors.
- roel_v 16y agoCheck out http://www.landlordmax.com/ http://www.landlordmax.com/ and especially the blog. This guy (selling Java-based desktop tenant management software) managed to eke out quite a profitable business in a few years time. His blog has stats, afaik with sales and nr of users etc. (he used to hang out on the old BoS boards (maybe still does?) and was one of my inspirations back then to get into actual product development).
- troymc 16y agoProperty owners are a diverse group. They range from boneheads with no high school education to college professors. This service is clearly intended for those who like to use web services, which is still a big group (and growing).
- oojacoboo 16y agobingo, you nailed it. At least that's how we see it ;)
- MrFoof 16y agoA lot of that has to do with the fact that people tend to be short sighted. i.e. What can you do for me "right now". They're not as concerned of the benefits over 3 or 6 months -- for example, having a tenant be happier because a work order was made and taken care of more quickly doesn't have an immediate, measurable return... hell, it might scare people off out of the fear that they'll get a deluge of inane requests (valid, how do you address that). Getting their money faster? That has an immediate measurable return. Possibly being able to see if a prospective tenant always pays on time? That might as well. I'll agree that some form of pounding of the pavement and sales are going to be required. Just be picky in that regard -- there is a massive range in the quality of sales people, and the ones that genuinely care about the customer (instead of themselves) are also in the minority.