Angie’s List recently celebrated its 20th anniversary and CEO Scott Durchslag is very proud of that milestone. But a main challenge ahead, he said during Tuesday’s fourth-quarter conference call, is to strengthen customer loyalty and share of wallet.
“So while we are making progress in a number of important areas, both financially and operationally, we’re not monetizing all of our assets to their full potential,” Durchslag said, according to Seeking Alpha. “Put simply, we must reignite revenue growth. To do so, we must strengthen our loyalty and share of wallet by better delivering and demonstrating value to our customers, which requires improvements in our pricing, our products, and our user experience. We just marked a major milestone for Angie's List, as it was our 20th year in business, and that is, in itself, a success metric worthy of reflection and respect. As the pioneer of the local services space, Angie’s List set the bar for delivering great outcomes between members and service providers.
Angie’s List has accumulated more than 10 million verified reviews, built a base of more than three million members, created an iconic brand in home services, and attracts 10 million to 12 million unique visitors per month to the company site.
In the fourth quarter, site traffic grew 21% year-over-year. What’s more, 2015 marked the company’s first fiscal
year generating a profit, as net income checked in at $10 million for the year, a $22 million positive swing from a net loss of $12 million in 2014.
“Importantly, we achieved this profitability milestone while investing in growth and while transforming our technology, including introducing new products like LeadFeed and the Fair Price and Service Quality Guarantees, and while beginning to rollout our new AL 4.0 platform,” Durchslag said.
Durchslag also noted one of the key areas of emphasis for Angie’s List.
“The first area of focus is measuring what matters most for improved execution,” he explained. “This begins with Net Promoter Score or NPS. In the fourth quarter, we contracted with a third-party to baseline NPS. We conducted surveys of thousands of Angie’s List members and service providers, probing critical segments to understand competitive positioning, customer usage and engagement, member demographics, and service provider profiles.”