HeyBryan Media (CSE:HEY) has its sights set on becoming to the home maintenance industry what Uber Technologies is to the transportation industry – a genuine disrupter.
In 2018, technologist and entrepreneur Lance Montgomery created the HeyBryan app, which seamlessly pairs homeowners and tradespeople. In short, the handyman app gives harried homeowners instant access to reliable experts in their zip code who can handle everything from electrical repairs to plumbing, and more.
Every expert undergoes a background check to ensure a safe experience. Montgomery, who has a strong track record of taking companies public, has done a good job of propelling HeyBryan’s user base, with the company recently announcing average monthly customer growth of some 115% since the beginning of 2019. Having contractor and TV personality Bryan Baeumler playing a key role in the business has certainly helped to drive that growth.
Public Entrepreneur caught up with Montgomery recently to talk about how he is creating a carpe diem moment for the company by tapping Canada’s $50 billion home maintenance market, while eyeing the even larger US market.
Can you share the story about how HeyBryan Media started?
HeyBryan started from a personal experience, as do most successful startups. One day, I came home and the dishwasher was broken. I did what everyone does and googled “dishwasher repair Vancouver” and got served with paid ads. Frustrated, I tried Craigslist and wasn’t comfortable with what I found. I didn’t feel confident about who would come, and what I would be charged. Are they vetted? Will they even show up? These are things homeowners deal with every day; it’s the small tasks that we all need done and it’s hard to find help.
So, I decided to research the space and really didn’t find anything that worked in Canada. That’s how HeyBryan Media was born.
Tell us about your marketplace app and what it does.
HeyBryan connects homeowners to home maintenance experts in your area, on your schedule. All experts are vetted and verified. It’s really an end-to-end solution that brings the connection together. Everything happens in-app – scheduling, payment, chat, ratings, reviews and rescheduling.
On the expert side, we provide the opportunity to work when you want and where you want. They set their own rates and get paid fast through the app, with money deposited in their account. We bring the business to them and allow both sides of the marketplace to rate and review each other. This gives us great data on the quality of the work and where experts rank in our system.
How long did it take the company to develop the app and line up reliable experts?
The app started slowly with just our CTO and me working on it in our spare time. But as we raised money, we were able to get additional support to speed up the process. To go live in Vancouver, we did a 30-day recruitment, so all in all it was 12 months from idea to first city launch.
Typically, does the tradesperson vetting process take a lot of time?
We partnered with Certn, an AI-based company that does ID/criminal and background checks in real time. We then have our customer success team onboard them, so it’s fairly quick. We currently have around 600 experts on the platform.
What are your key markets and how do you expect them to shape up?
We are currently live in Vancouver and Toronto with plans to expand across Canada in 2020. Our marketing efforts are showing growth in both markets and the focus is now on repeat customers, referrals and new customer acquisition, but the growth is solid. Future plans call for entering the United States.
What are the hallmarks of an innovative company and does HeyBryan fit the bill?
I think innovation is solving or disrupting an industry. This small task space has been painted with a negative brush and our goal is to change this perception. We are adding technology to a very outdated industry and bringing value to both the homeowner and the experts — this is highly innovative.
How important is it to have a company like HeyBryan with an aging Canadian population?
Peoples’ homes are their biggest asset and research shows that people are staying in their homes longer and home maintenance is a massive market. As the population ages, it’s important to have a trusted solution for this demographic so they can get help around the house with no worry.
Is the HeyBryan app the number 1 app for averting DIY (do it yourself) mishaps?
Yes, with a trusted brand like Bryan Baeumler, we feel we are number 1. There’s always competition, but we share the same values as Bryan and want to be the go-to home maintenance solution. We focus on the small tasks, so we are not looking to get into large renos, but if you maintain your home properly, you can avert larger disasters. Take a car – if you maintain it, the car will last longer, and you can avoid the engine blowing up.
Talk to us about the business model for the company.
Everything is done in-house, and we have a full team looking after technology, creative, design, development, data, marketing, sales and customer service. Everything has been built in-house, which allows us to grow and scale as well as pivot when needed.
The revenue model is two-sided. We take 20% of every completed task from the expert and a 7.5% trust and support fee from the customer. The customer fee takes care of our hard costs such as insurance/payment processing fees. All in, our margin is 27.5%.
HeyBryan is already disrupting the home maintenance industry, but do you have plans for new products?
Yes, we are exploring many avenues both in strategic partnerships and complementary new revenue streams. The opportunities in the gig economy are endless and we’re excited about the future of the overall company.
You were successful in getting Bryan Baeumler to sign on as the name brand and face of your company. How does the celebrity endorsement help keep marketing costs in check?
Securing a celebrity endorsement was a massive win. Trying to build brand awareness and consumer confidence is expensive and time-consuming. Bryan brought that reputation, as well as awareness and trust. We can leverage Bryan’s following and his massive reach allows us to spend money in other areas to evolve and grow the business.
You have the entrepreneurial DNA to take your idea and build it into a business. What is one of the important lessons that you’ve learnt?
Be patient and don’t try to rush to market with a sub-par product. Do your research, plan and always expect delays. The other major thing I learnt was how critical it is to have the right people in the right roles. Surround yourself with the right people in the right roles and allow them to shine. We have built an amazing team and I couldn’t be prouder.
This story was featured in the Public Entrepreneur magazine.
Learn more about HeyBryan Media at https://heybryan.com/.