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Estimate etiquette

Angie's List routinely encourages members to solicit three estimates before deciding on the best contractor for the job. And in a recent nationwide poll, 52 percent* of service companies said it's rude if they don't hear from a customer afterward – whether they want to hire or not.

Follow-up calls are a two-way street however, and you may be losing out on jobs if you don't check back with the customer. Twenty seven percent** of Angie's List members say they'll hire someone else if they don't receive a follow-up call after an estimate.
*1,405 service companies responded. **1,494 members responded.


60% of Angie's List service companies increasing prices due to gas spike

A recent nationwide poll of Angie's List service companies found that 60 percent are passing along the costs in the form of increased prices and fuel surcharges. Done properly, most customers will understand the added cost. Done on the sly, most will be unhappy.

Of the companies polled, 43 percent said their customers understand. "Be upfront; most customers will understand if they're alerted to it because they're paying more, too," said Angie Hicks, founder of Angie's List.

Companies are also cutting costs. Cutting ineffective advertising, combing routes and packing lunches were the three most common tactics. Here are some other ideas:
  • Deliver equipment to the worksite in a big vehicle on the first day of the job and then drive a fuel efficient car back and forth.
  • Confirm appointments. People that make appointments two or three weeks ahead tend to forget and don't show up, resulting in a waste of time and gas.
  • Instead of traveling for free estimates, ask customers to email photos of the area/item and discuss options over the phone.
  • Use sub-contractors for jobs that are far away from your main office.
  • Purchase gift cards for fuel discounts.
  • Get more ideas.


Lori Bujazia of Pipeco Plumbing in Columbus, Ohio, said they're trying everything. "We've re-evaluated most of our overhead, including cell phone contracts, internet service plans, even being careful to turn lights out when we're not in the room. Every penny counts."


80% of Angie's List members make sure companies know they're a member

In a recent poll of Angie's List members, 80 percent said they make sure the service companies they contact know they're a member.

The biggest reason - members want companies to know they have the power to report back on their hiring experience. They also believe their Angie's List affiliation prompts a quicker call back.

"Angie's List members are smart and they know how to leverage the local membership base," said Angie Hicks, founder of Angie's List. "Companies who cater to this group are rewarded with high ratings and more referral business."

Get tips on how to grow your business with Angie's List.


U.S. businesses earned $2.3 billion from Angie's List members in 2007

Last year, Angie's List members spent $2.3 billion on projects and repairs, and in a recent survey, 37% said they turn to the List every time they need to hire.

"Service providers across the country are quickly recognizing that Angie's List members can make or break their business," said Angie Hicks, founder of Angie's List.

Hicks anticipates that dollar amount to increase this year as health care categories are added to the List and current markets continue to grow. Plus, while home sales remain slow, more and more members say they'll spend money to renovate and repair their current house rather than try to buy a new one in 2008.

A recent Angie's List survey asked members how often they turn to the List when they have a home improvement need:
  • 66% find what they need 75% of the time.
  • 38% turn to the List more than 75% of the time.
  • 37% submit reports more than 75% of the time they hire.



Average '08 Home Improvement Spending to Top $11,000

The national downturn in home sales that began in 2007 may cause an uptick in the home remodeling industry in 2008. The annual Angie's List project poll indicates homeowners will spend about $11,250 on home improvement and maintenance projects in 2008, up 13 percent over last year.

On average, homeowners answering the poll plan to spend 2.9 percent of their home's value on repairs and renovations this year. "More than 60 percent of our respondents tell us they will update their homes this year, and nearly half of them will hire a specialist to complete their project," said Angie's List founder Angie Hicks.

"Building experts tell us they're getting calls for work from homeowners who would otherwise move and put their current home on the market, but are afraid they can't sell it quickly enough to afford the newer, bigger house."

Most poll respondents plan to invest in kitchens and baths – areas real estate experts say provides the best return when selling a home. They're also the rooms people spend the most time when they're at home. The top 10 projects for 2008 are:
  • Kitchen/bath remodel
  • Landscaping/yard work
  • General remodeling
  • Flooring
  • Interior painting
  • Doors/windows
  • Deck/porch
  • Roofing
  • Exterior painting
  • Interior decorating

*1,309 Angie's List members took the 2007 poll. Responses are representative of Angie's List members but not the general public. Detailed results are available upon request.