Angie's List: The Building of the Business

“The original mission of Angie’s List – and I’m not changing it – is to relentlessly elevate the local services experience.” Angie’s List (NASDAQ:ANGI) CEO Scott Durchslag, who joined the company in 2015, is staying true to the founding principles of the company. But, there’s always room for a little change…

The Early Days

When Bill Osterle was relocated to Columbus, Ohio, the renovation of his home proved to be a major challenge. Without any previous experience or recommendations, finding a reliable local service provider was no easy task. Osterle turned to his friend Angie Hicks, who was also from Indianapolis, where there was a program called Unified Neighbors. The program had a screened list of service providers that received positive feedback from former customers. Osterle and Hicks then set out to make the same information available in Columbus.

Building The List

When the company started, it was entirely reliant on the telephone. Hicks would receive calls asking for recommendations for service providers. She would then call around to homeowners who had experience in that area. As you might imagine, this took a lot of time and energy. Durchslag explains, “The ability to go online created the ability to scale this much more quickly and cost effectively.”

Getting... and Staying on the List

To be on Angie’s List, service providers have to have a certain threshold of A and B reviews. While Angie’s List does not give businesses the ability to remove negative reviews, Durchslag advises them to act proactively to be able to correct the issue.

The Takeaway

In July, Angie’s List redefined its business with major change. As reported, after more than 20 years, the subscription-based review service is now free. What’s behind the change? Durchslag explains, “Millennials will not pay for reviews so we really want to embrace that and fight gravity.”

Nevertheless, Durchslag is staying faithful to the company’s culture, saying, “I haven’t wanted to fundamentally change the core values of the company because Angie’s List people really, truly, and deeply care about our consumers and our homeowners and that whole experience.”