New Venture Lab: Equipping Christian Entrepreneurs

First of all, your decision to focus on influencers and channels of distribution with a focused group of realtors rather than trying to sell directly to the homebuyers is an excellent move. While realtors know when someone needs an inspection (what I call “in-market timing”) and can drive many inspections per year per realtor (a “channel”), it would be very difficult to figure out when a homebuyer needs an inspection on your own. 

I’ve purchased around 15 homes over the years and in every case I’ve always used the home inspector that the realtor recommended. I believe most homeowners would be in the same position: busy, perhaps a cross-country relocation, swoop in, make and offer, fly back home, and ask the realtor to get it inspected and get you a report. 

Because the realtor has both in-market timing and the trust of the buyer, they will be an excellent sales channel for you. In terms of getting to the top of any particular realtor’s most recommended list, I am willing to bet that it is all about having served them well before and earning their trust for being thorough, on time, helpful, etc. I believe the very best way for you to really understand how the realtors think and how they choose a home inspector is to meet with them and ask them. There is no substitute for looking them in the eye and asking them how they choose, if they would be willing to give you a try, etc. 

You may find that well-established realtors are more settled into using the same firm every time because of a trusted relationship and they may be reluctant to give you a try. My gut feel is that a new realtor may be the most open because they are still trying to figure out what service providers to recommend to their customers. 

Given both situations, I would suggest a two-prong strategy: 

• A lower-cost “try me once” promotion for the established realtors to make it compelling for them to try you once to prove yourself to them; and
• An introduction campaign to all newly-licensed realtors in your market to try to onramp them to your service

Other promotional strategies would be to sponsor continuing education meetings and breakfasts that realtors often have in order to get in front of them. 

But of course it will also help to have a distinctive value proposition. When you do get in front of a realtor, how will you describe your home inspection service and how will it be different than every other home inspector out there? As we describe in our  in the Market Positioning, Communications, and Venture Analysis sections, you will need to decide upon the dimensions on which you will compete, (typically price, quality, or service) and you will need to determine how you communicate your message in a way that makes your distinction stand out. If you solve for that and serve your customers well, I believe you will be very successful in the long haul. It might take a while to build your business, but I believe your patience will pay off.

Any home inspectors or realtors out there that want to weigh in?