Don't buy leads from your digital competitor. Build your own...Read More
Go into any construction Facebook Group or talk to any contractor and you will hear nothing but HomeAdvisor horror stories. And yet, they stay in business, call you daily. I get them for the simple fact of the name of my company. In this “Is HomeAdvisor Pro, worth it?” for contractors article, I am going to answer many of the questions you have about HomeAdvisor for pros.
Things like the class action lawsuit contractors vs. Homeadvisor, getting a refund, what homeowners are saying about them and their contractors, plus the option you have.
One thing I want you to remember.
As a contractor, you are HomeAdvisor’s product. You are what they are selling. Their customer is not you, but the homeowner looking for you. They in essence are a middle man, a road block between you and the customers you seek.
Let’s dive in.
First, let me say HomeAdvisor has their game together when it comes to getting in front of their customers, which is homeowners. They run commercials on TV, they have a great digital marketing strategy which includes SEO (search engine optimization) as they appear on page one for almost every type of home service, home repair or other service a homeowner could need.
HomeAdvisor has patented ProFinder technology. Which identifies home service professionals for the projects that homeowners request. The technology searches through home pros by filtering availability, service type, and location preferences. Once the ProFinder discovers a match, the homeowner’s information is sent to the professional as a lead and your credit card is billed.
My opinion is, they have their place. But it should be your intentions before you start with them to get away as soon as possible. They are not a long game marketing plan whatsoever.
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Are there any?
Let’s see, I found three pros.
One advantage of using HomeAdvisor is that it can be effective. If not, they wouldn’t be in business.
Another is if you are a new contracting business who has no marketing or digital presence they get you leads and your start-up running with prospects. If your website, Google My Business and social media accounts are new and not yet able to sustain and grow your business, this is where HomeAdvisor fits into your business.
HomeAdvisor even allows you to turn your leads on and off whenever you want. So, if you are swamped with work, you can shut off your leads. Then when your schedule is looking empty, you can turn on the leads again and start getting leads.
That’s it. Those are the only three reasons I can see you using HomeAdvisor to get leads for your business.
Are you using HomeAdvisor Pro? Are you thinking of using HomeAdvisor Pro?
Find out what they charge per lead.
My number one complaint with HomeAdvisor is they steal your business identity and use it for their benefit. In HomeAdvisor’s terms of service, it states they can use any information in your profile to direct links back to their own site. You are paying them to steal your digital marketing juice and then they sell that juice back to you. Very unethical in my opinion.
Another thing is bad quality leads. Leads come in many forms. From price shoppers and tire kickers to those who have some questions. Once in a while and/or for certain trades leads are actually serious or ready to hire a contractor on the spot. Though this is rare. Remember, it takes little effort for a homeowner to fill out a form, send it to HomeAdvisor and them sell you the contact information for $20.00 and up to $120.00 or more.
My last gripe with HomeAdvisor is that the leads you are paying for go to more than just you. You have to monitor your phone and get right on those leads fast. Which when you are working in the field, can be a pain in the ass. Even if you are fast, there is no guarantee you will get the job.
I have worked with a lot of contractors and about 90% of my clients have used HomeAdvisor or Angie’s List before working with me. So, I am speaking the words that have come from their mouths. Taking out the cuss words of course.
HomeAdvisor can be good for contractors who are just starting out. It’s also a helpful for contractors who hit a slow season or don’t have a proven marketing system in place.
One thing I have noticed is after about a year, if you total up all the costs you have been charged for leads, you could have put that into building your own marketing system for your contracting business. Getting better quality leads, that you are not sharing and you have more control over your business’s destiny. Buy leads, you become dependent on HomeAdvisor. That is not a good feeling as a contractor.
Your next paycheck depends on paying for the next job.
Let’s move on to the lawsuit and how homeowners look at HomeAdvisor. You don’t want homeowner having a bad interaction with HomeAdvisor and taking it out on you.
Hundreds of contractors (1300 and growing) join class-action lawsuit accusing HomeAdvisor of fraud. The lawsuit, filed by a Haverford, Pennsylvania law firm, claims HomeAdvisor’s business model is defective, deceptive and fraudulent.
All types of businesses from appliance repair to landscapers, plumbers, painters and roofers have all been ripped off by HomeAdvisor according to the lawsuit.
Many claiming bogus leads, which you paid for in advance. It even accuses HomeAdvisor’s sales representatives of ” blatantly lying to service professionals.”
Many contractors in the lawsuit start when they were Service Magic in 2006. It has since merged with Angie’s List to become the largest contractor lead broker in the country.
One thing that is common among all contractors is charge creep. Contractors set a budget and then over time HomeAdvisor has exceeded the budgets set by contractors. Which leads us to the next commonly asked questions is getting a refund from HomeAdvisor.
Unfortunately, the Denver based Home Advisor does not offer money-back guarantee.
HomeAdvisor is not obligated to refund to you any amounts of prepaid Lead Fees or other prepaid fees such as subscription fees, except solely in the event you rescind or terminate your subscription within the seventy-two (72) hour period following your agreement to purchase a subscription.
You can view HomeAdvisor Contract Here.
Other industry specific about refunds from HomeAdvisor.
If you are a contractor that does good work and cares about your customers, let me ask you this?
Do you want these types of reviews reflecting on your business?
Guity, by association? Perhaps!
How do you think a homeowner thinks after reading these reviews and you show up to either give an estimate or do the project?
You will be at a disadvantage and not even know it.
Plus, the type of homeowners who use a service to find contractors like HomeAdvisor are normally a pain in the ass and they treat you like a commodity. Because it is so easy to just fill out the form and get a replacement contractor.
So, think about that for a moment.
How do you want to be treated and viewed?
Well you have Angie’s List, but they are owned by the same company who owns HomeAdvisor. ANGI HomeServices Inc. is an internet services company formed in 2017 by the merger of Angie’s List and HomeAdvisor.
To name a few. If you choose, choose wisely.
But before you do, here is the thing.
None of them are about building your business.
They are in business to sell you leads.
You are the product that they sell, just to be clear.You are only RENTING marketing leads.
You have two more options to generate leads. You can do it yourself or you can hire a reputable marketing agency.
So there you have it. What Homeadvisor Pro is, what they are good for and not so good for. Plus, you options.
I would say work on building your business.
With help or not.
The choice is yours.