Tree.com has acquired the operating assets of DoneRight, a service that provides guaranteed referrals for service professionals in at least 38 markets via dedicated phone lines. Referrals come from print directories (“the orange book”) and online sites, which are thought to act in concert.
DoneRight was launched in 2005 and has made over 50,000 referrals for 1,000 plus service professionals. It has had at least $6 million in funding.
Tree.com is the publicly-owned company that was created last fall by the spinoff of IAC’s Real Estate division, including LendingTree.com and Real Estate.com. Its mission is described as “being an ally for those looking to comparison shop loans, real estate and other financial products from one location.”
Tree.com Senior VP Greg Hanson said in a statement that “The acquisition of Done Right perfectly complements our mission. We’re excited to enter this new market with its untapped opportunities for rapid growth, and we’re on track to continue helping contractors both large and small expand like so many other providers in our network.”
The company’s leadership, as leaders within IAC, obviously had a close look at ServiceMagic, an IAC company that has a run-rate of $120 million per year. It will now compete directly against ServiceMagic, as well as other entities in the space, such as Angie’s List and Sears’ ServiceLive.
ServiceMagic Co-Chairman Rodney Rice, however, thinks there is plenty of room for the competition. In comments at a recent Kelsey conference, Rice said that “we’re gnats compared to the context of the industry.”
Tree.com’s acquisition of DoneRight is an interesting example of how strategies are dropped and revived. ServiceMagic previously worked with real estate but dropped it several years ago as “non strategic.”
Hey Guys,
Speaking of Angie’s List, I just signed up and saved huge. I used a promo code I came across and saved 25% off for life. Use one of these and save big:
LEVIN
MEVRADIO
SONIC
BOOTCAMP
I hope this helps guys!
~Sara
Wow, I just checked with Angie’s List and you really can buy a “lifetime” membership. Rates vary based on locale, but a lifetime membership in San Diego is about $1,000. Angie’s List doesn’t really market this option.
Question: WHY would ANYBODY want to become a lifetime member to a service that they can easily rejoin on an annual basis for $53 a year (in San Diego)? It isn’t the Sierra Club or anything….