CEO discusses new Spec Homes pricing strategy.
SpecHomes.com entered the Home Builder Internet Advertising scene with a great brand, and a new take on an established product offering. But a few months later, began feeling unsatisifed with the initial response received within the building industry.
“It just wasn’t enough, we really wanted to make an impact.” Says Lance Sonka, developer of the Spec Home Building Network which distributes home builder inventory listings across the internet.
“Spec Homes Inc. is a smaller company compared to some of the competing players in the new home internet advertising market. The feedback we got after launch was that we had a good product – but the customers were basically saying we are happy where we are at – with the competitor.”
After conducting user research and reviewing internal test results, they changed their approach, and came up with a new way to meet their audience demands, Lance explains how…
“We knew that Home Builders paid enormous sums of money each and every month to the “other guys” for basically the same service that we provided; and that the “other guys” depended on those exorbitant fees to stay afloat financially.”
“So we decided to offer the services of the Spec Home Building Network for FREE. It seems that our new pricing strategy solves both the Home Builder’s, and our competitor problem at the same time.”