Customer Discovery

How we identified the problem

First of all, we tried to identify a problem that is quite present in our lives. None of the team members was born in the city where we live, so we became tenants. We discussed different topics that represented an inconvenience for us, and found that a very common problem was the communication with the owner of the apartment we live in, the way owners usually handle the documents and bills, and the lack of knowledge we had about the owner’s history before we moved in.

What we thought is a solution

Considering the problem we identified, we thought about Homie, our companion for renting and managing bills stress-free. Homie is a web(/mobile) application that facilitates the communication between landlords and tenants and simplifies the process of managing bills enabling users to monitor rent, utility, and payments. Furthermore, app users will have a history and can receive reviews from people they have interacted with in the past.

Our plan for customer delivery

To connect with possible customers, we'll have conversations with people looking for new places to live or those seeking to generate passive income from their properties. Engaging in open dialogues with these individuals will be highly valuable in capturing their unique habits, understanding their problems and identifying potential solutions.
We'll also participate in online groups and communities on platforms like Facebook, where renters and landlords share their experiences and concerns. This approach will help us reach a larger audience and gather feedback through online surveys.
To attract people interested in our idea, we'll have a sign-up option for email updates on our landing page. We'll use these emails to keep them informed about what we offer. Finally, we'll be active on social media to increase our visibility and popularity, which will help us build a strong network in the real estate industry.
In summary, by talking to both renters and property owners, using online communities, email marketing, and social media, we aim to learn about their specific needs and general preferences, which will allow us to tailor our services effectively and to realize who our customers really are.

The process

With most of the people, we have talked on WhatsApp/Messenger, but we also had face-to-face interviews and phone calls (see evidence). The individuals we interacted with included some who were acquaintances and others we didn't know at all who were happy to help us after posting on their online community.

The interviews were based on open answers, our aim being to learn more about the potential customer's life to understand their challenges better.

In order to lead the discussion, we prepared a set of 3 questions:

How do you keep in touch with your renter/landlord?
How do you manage your bill payments?
How challenging was it to find someone you could resonate with when there was no prior feedback based on previous interaction with other landlords or tenants?

These questions were followed by various follow-ups tailored to each individual's response during our discussions, such as:

Tell me when was the last time you discussed something with your landlord/renter besides bill payments and what was the subject.
Did you try any alternatives for payments?
How do you manage to always give reminders/respect deadlines? Have you ever forgotten about it?

What we found out:

All of them are using WhatsApp for communication and to keep track of documents and they are actually enjoying it.
The bill payments are not such a big problem.
Both tenants and landlords would appreciate having access to feedback about the person they are about to engage in a contract with, based on previous rentals.
They tend to forget about deadlines such as: reading the meters, paying maintenance fees, etc.
If they don't have any payments to make, tenants typically have other requests including seeking approval for having pets, purchasing new furniture items, installing an air conditioning system, etc.

How did it affect our product

From our perspective, the primary challenge revolved around the communication between landlords and tenants, including how bills were sent, payments were made, and emergency situations were addressed. We initially assumed that finding rental properties was straightforward, given the abundance of online platforms for property listings.
However, during our discussions, we realized that the actual interaction between landlords and tenants was quite minimal. On average, managing rent, along with all associated communication, consumed only 15 minutes to 2 hours per month. Landlords had developed their own methods for handling bills and were comfortable with their processes. The common issue they faced was related to reminders for consumption data or payments.
One significant aspect missing from the equation was a structured system for feedback records. It was challenging to determine from various social media groups if a tenant had failed to pay their bills, and even harder to identify trustworthy landlords. Additionally, there was a lack of effective search filtering, making it difficult for users to find specific rental properties, such as pet-friendly options or landlords willing to provide written contracts.
After talking with more individuals, we have significantly narrowed down the target audience, reaching to landlords and tenants seeking to form a detailed impression of the people they are considering for rental collaboration and aiming to streamline their interactions with a one-click approach.

Wireframe and Landing Page

Our functionalities are like puzzle pieces, each fitting perfectly to create a seamless user experience. You can find our prototypes here:

Tenant Flow

Landlord Flow

Landing Page

Users are greeted by an inviting landing page (Check it yourself) that serves as the starting point for their Homie experience. Here, they can gather more information about our platform, log in or sign up, and seamlessly explore available rentals. They can choose to subscribe for more info.

Update Milestone 11

Our landing page has undergone some changes following the midterm presentations. We have added filters to the home page to help users better understand the platform. Users now could filter the posts by city and also search by a tenant/landlord name for seeing its profile and review.
Additionally, we have translated the page into Romanian, as it has a better reach with our customer segments.

Exploring Rentals

During the exploration of rentals, users can utilize filters to refine their search, delve into detailed information about each rental, and gain insights into the landlord's profile and feedback.

User Flows

Upon logging in, landlords gain the ability to edit rental details and manage bills, including the addition of new bills to their listings.

Tenants, following login, enjoy the ability to access and manage bills specific to their rented apartment, as well as editing their personal profile.

Interview with potential users

Check the full interviews here

Discussion with the tenants

Based on the interview we conducted with one of our potential customers, we deduced that, due to the lack of strong feedback, he experienced the displeasure of encountering cockroaches during one of his apartment visits. Additionally, he faced the hassle of toggling between real estate agents who would mislead him into viewing an apartment not in line with his requirements and then stop responding to messages. This reinforced our assumption that our solution should prioritize feedback from other tenants regarding an apartment, as well as feedback from landlords towards the tenants, and vice versa.

From another interview, Ruxi, told us that she preferred searching for an apartment on a Facebook group, because she did not want to deal with real estate agents, who can be deceiving about their descriptions of the flats since their end goal is to make a profit. Another strong point, which further validated our idea, is that she looked for feedback from former tenants that lived in the apartment she wanted to rent. She pointed out that aspects like: "Did someone else rented this place before?", the interaction with the landlord, how the bills were paid, which currency they used for the rent, were some of the things she wanted to know beforehand. All of this is leading us to the conclusion that the problem we identified is real and impacting people's lives, which means they could all benefit from our solution.

Discussion with the landlords (did not consent to photo/video of interview)

Based on the interview with a landlord, we noticed again the feeling of not wanting to deal with real estate agents, this view seems to be shared by both parties, who would much rather communicate directly with each other. This particular landlord said he had a great experience with his first tenant, however, we could not miss the use of the word "lucky" on more than one occasion, more specifically how lucky he was to have found this particular tenant. He also shared a story in which another landlord was not so fortunate, thus emphasizing that a strong feedback could help tenants with great reviews to find a flat faster and landlords to pick the right fit for their apartment.

User Persona

The tenant's user persona

The landlord's user persona

Marketing Lead

Campaign

Objective: Increase brand awareness and engage with potential customers through a strategic social media outreach campaign on Facebook and Instagram.

Step 1: Account Setup

Create and optimize business profiles on Facebook (HOMIE) and Instagram(@homiez.home).
Ensure that profile details, including bio, contact information, and profile pictures, reflect the brand identity.

Step 2: Email Collection

Design and implement a lead generation strategy to collect email addresses.

Utilize engaging content, such as exclusive offers or informative newsletters, to encourage users to subscribe.
Integrate email subscription forms on relevant platforms, such as the business website or social media pages.

Step 3: Initial Email Communication

Craft a compelling welcome email to be automatically sent to subscribers upon submission.
Ensure the email includes a warm greeting, a brief introduction to the brand, and a call-to-action, inviting recipients to explore the business further.

Step 4: Social Media Engagement

Identify and join relevant Facebook groups related to the business niche.
Develop a posting schedule for sharing content on the business profiles, ensuring consistency and optimal engagement times.
Reach out to individuals interviewed during previous milestones, sending them personalized direct messages on both Facebook and Instagram.

Step 5: First Post on Facebook Groups

Share the first post on targeted Facebook groups, focusing on groups with high engagement and relevance to the business.
Craft a compelling caption that introduces the business, its unique selling points, and encourages group members to engage with the post.

Step 6: Private Messages to Interviewees

Send personalized private messages to individuals interviewed during previous milestones.
Express gratitude for their participation and encourage them to share their interview posts to leverage their network.

Step 7: Monitor and Respond

Regularly monitor social media platforms for comments, messages and engagement.
Adjust the strategy based on audience feedback and analytics, ensuring continuous improvement.

Step 8: Track Metrics

Utilize social media analytics tools to track key performance indicators (KPIs) such as engagement, reach, and conversion rates.
Analyze data to identify successful strategies and areas for improvement, informing future marketing efforts.

Clarity Insights

User behaviours

Users on desktop devices scrolled down the entire page, indicating high interest in the content and the offer.
Users on desktop devices clicked mostly on the send email button and the homie title, suggesting they wanted to learn more or contact the company.
Users on mobile devices scrolled less than desktop users, and some dropped off after 40% of the page, implying lower engagement or difficulty in viewing the content.
Users on mobile devices clicked on the logo and the navbar multiple times, indicating frustration or confusion with the navigation.
Users on mobile devices also clicked on the sign up and log in buttons, as well as the send email button, showing interest in the service or the offer.

Key takeaways

To optimize the website for mobile devices, the company could use a responsive design that adapts to different screen sizes and improves the readability and usability of the content.
To reduce the dead clicks on the logo and the navbar, the company could make them more interactive and functional, such as linking the logo to the homepage and adding a menu icon or a dropdown list to the navbar.
To increase the conversions and the leads, the company could showcase the benefits and the features of the service more prominently on the page, and use clear and compelling calls to action that encourage users to sign up, log in, or send an email.

Update Milestone 11

In our quest for a more refined online presence, we recently revamped our landing page. To evaluate the impact of these changes, we initiated a Facebook campaign, strategically posting our content in 12 rental groups. We are keenly observing the results of this effort as we strive for enhanced visibility and engagement within our target audience.

Even it was a short campaign (only a few hours), we discovered that people were mainly interested on searching for someone's review ( See evidence by Clarity Recording). The majority of users accessed the mobile version of the site, this reflecting in our need to pay more attention to responsiveness.

The conversion rate was quite good, considering we gained 7 new users and collected 4 emails using the contact form.

Market Research

Target Market Size

In Romania, there are approximately 20 million landlords, which make up 96% of the population. Interestingly, Romania has the most homeowners in the European Union, but also the most crowded living spaces . Every year, approximately 131,500 students graduate in Romania, and they need to find rental accommodation after moving out of student dorms.

To analyze the market share, we also looked at the presence of rental groups on Facebook in major cities, including:

Cluj: 40,000 members and 13,000 members, with an average of 85,000 members
Bucharest: 100,000 members
Iași: 19,000 members and 37,000 members, with an average of 28,000 members
Brasov: 31,200 members
Sibiu: 10,500 members

In total, there are approximately 250,000 members in rental groups. Assuming an equal number of landlords and tenants, we estimate that there are around 200,000 tenants and 200,000 landlords who need to find each other annually. This takes into account that some people may search for rentals using other methods such as Google or word of mouth.

Competitors

Imobiliare.ro - 162,000 ads
Olx.ro - 180,000 ads
Storia, an Olx site
Imoradar
Chirii.ro
Homezz

All of these websites offer rental and purchase options, but do not feature reviews for landlords or tenants.

Market share and market value

Based on our estimation, the target market consists of 400,000 users annually (landlords + tenants). However, we assume that only 60% (40% landlords + 20% tenants) of them post ads on different platforms, which means there are 240,000 ads being posted. We propose that by the 5th year, our app should have at least 50,000 ads. Here is a breakdown of how we plan to achieve this:

In the first year, we aim to have 10,000 ads with a 4.1% market share. Assuming 10% of people pay for a 3 Euro sponsored ad which boosts visibility on top of the ads list), it could bring us 3,000 euros. Also, if we retain 5% of users through our CRM, which costs 2 Euro per user per month, we can make an additional 12,000 euros. This brings our total earnings to 15,000 euros.

In the second year, we aim to have 20,000 ads with an 8.3% market share. Assuming 15% of people pay for a 3 Euro sponsored ad which boosts visibility on top of the ads list), it could bring us 9,000 euros. Also, if we retain 10% of users through our CRM, which costs 2 Euro per user per month, we can make an additional 48,000 euros. This brings our total earnings to 57,000 euros.

In the third year, we aim to have 30,000 ads with a 12.5% market share. Assuming 15% of people pay for a 4 Euro sponsored ad which boosts visibility on top of the ads list), it could bring us 18,000 euros. Also, if we retain 10% of users through our CRM, which costs 3 Euro per user per month, we can make an additional 108,000 euros. This brings our total earnings to 126,000 euros.

In the fourth year, we aim to have 40,000 ads with a 16.6% market share. Assuming 15% of people pay for a 5 Euro sponsored ad which boosts visibility on top of the ads list), it could bring us 30,000 euros. Also, if we retain 10% of users through our CRM, which costs 4 Euro per user per month, we can make an additional 192,000 euros. This brings our total earnings to 222,000 euros.

Finally, by the fifth year, we aim to have 50,000 ads with a 20% market share. Assuming 15% of people pay for a 5 Euro sponsored ad which boosts visibility on top of the ads list), it could bring us 37,500 euros. Also, if we retain 15% of users through our CRM, which costs 4 Euro per user per month, we can make an additional 360,000 euros. This brings our total earnings to 3970,500 euros.

Minimum Viable Product

Check the MVP

When developing our Minimum Viable Product (MVP), we meticulously addressed the insights gathered during the validation process. Originally conceived as a CRM tool for managing landlord-tenant relationships, we strategically pivoted to a review platform, responding to the predominant challenge faced by our clients.
The pivotal starting point was the creation of a user-friendly page for landlords to effortlessly add their property listings, enabling them to validate tenant interest effectively.

Subsequently, we recognized the importance of presenting a comprehensive view of all property ads on our platform, as well as individualized pages for each ad. Users could navigate to these pages to access detailed information and engage with the landlord profiles.

Acknowledging the necessity for transparent feedback, we implemented reviews at both the landlord and ad levels. This approach aimed to provide prospective tenants with insights into the property and the landlord, fostering informed decision-making and facilitating long-lasting tenant-landlord relationships.

A crucial juncture in our development journey was the midterm feedback, which served as a turning point. Post-feedback, we opted to enhance the landing page for increased clarity, incorporating search filters to streamline the rental search process.

Recognizing the value of tenant feedback, we plan to introduce the ability to review tenants after initially focusing on landlord reviews to gauge interest. The homepage requires further refinement, incorporating additional filters, and a favorites feature should be added for user convenience.
In the near future, we envision incorporating the initial feature of apartment management post the signing of the contract between the landlord and tenant.

In summary, our MVP encompasses essential pages such as the ads page, individual ad pages, register an ad page, profile page, and the enhanced home page. These iterations were designed and validated to cater to the diverse needs of both landlords and tenants, fostering a platform that facilitates transparent communication and informed decision-making for a harmonious landlord-tenant relationship.

We faced a technical issue during the deployment of our application. To be precise, we found out that cookies from the frontend were not being sent to the backend because they were hosted on different domains. This caused the application to stop working altogether, as the pages were dependent on login information. As a solution, we decided to buy a domain and proceed with the deployment, even though we missed the deadline.

First Sale

Initial ads

Our plan was to take some ads from Facebook groups or competitors' sites and post them on our platform, notifying users in advance and offering them a free trial. However, the deployment issue became a hurdle for us.

We were fortunate to have one of our interviewees, who was interested in using our application, living in the same complex as one of our team members. This made it possible for us to meet with him in person and guide him through the process of creating an account using our development environment.
He also introduced our application to his friend, who also signed up for an account. This is great news for us. After we finish the deployment, our first user plans to collect feedback from other property owners he has worked with and ask for reviews from his landlords.

Social media posts

We have shared the second post on Instagram and Facebook.
Shared the post into targeted Facebook rental groups.
Shared the post into college WhatsApp groups to raise awareness among students.

Reach

The feedback from our posts was positive, people identifying their problems on our platform.

Analytics

The Google Analytics report shows that our platform had 110 visitors in the last 30 days. We saw the highest traffic on the day we posted on Instagram.

It is worth noting that the majority of new traffic is coming from organic social media.

Regarding Microsoft Clarity, it shows 163 unique users in the last 30 days. It is observed that most of them are coming from instagram refferer.

Next plans

How to gather initial data?

Aggregate ads and reviews from other platforms. People feel the need to share reviews but do not have a proper place to reach a large audience.

How to continuously gather data and traffic?

Implement also the first solution we came up with: a CRM system where tenants and landlords can maintain an accurate database of their relationship, pay bills and receive reminders easily. By doing so, we can send regular short notifications to our users, asking them to leave a new review about the other party. This will help us keep track of the history and maintain an up-to-date picture of the relationship between them.

How to be unique?

Tenants currently lack a dedicated platform to share their preferences and needs when it comes to finding a new rental property. Instead, they are forced to post on Facebook groups, where their posts may or may not be visible to potential landlords. Our aim is to provide a safe and reliable platform for tenants to advertise their requirements, with multiple filters available to help them find the perfect home. By doing so, we can act as a real estate agent, connecting landlords and tenants who have similar needs and preferences.