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Research Details

Marketing ANGI Homeservices

Abstract

In October 2017, HomeAdvisor, an online home services company based in Denver, Colorado, went public in a merger with Angie's List, forming ANGI Homeservices Inc. The merger would create the biggest company in the online segment of the largely untapped home services industry. Together the combined companies were well positioned to capture a large share of the industry. ANGI Homeservices' network featured 211,000 service professionals and 22 million monthly unique visitors to its website. Despite being the industry leader, however, the combined companies were estimated to have generated only $17 billion in project value on a pro forma basis for its service professionals, accounting for less than 10% of the total possible online market. Nevertheless, in a market with plenty of room for growth, ANGI Homeservices had a promising future ahead. ANGI Homeservices now had to determine how to best leverage the HomeAdvisor and Angie's List brands. HomeAdvisor had reinvented itself with a rebrand in 2012, which prompted a 4-year period of rapid growth. However, part of that success was attributable to grabbing market share from Angie's List, the largest incumbent in the online space. Although the merger comfortably propelled ANGI Homeservices into a majority market share and the number one position in the online category, it also pressed the company to find new ways to grow.

Type

Case

Author(s)

Aparna Labroo, Kathryn Bostwick

Date Published

05/06/2020

Discipline

Marketing

Citations

Labroo, Aparna, and Kathryn Bostwick. Marketing ANGI Homeservices. Case 5-419-751.

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