What's up and welcome to another Founder's Diary entry! As a fresh face in the world of SaaS marketplaces, I'm tackling the challenges of connecting homeowners, renters, and Airbnb hosts with the best in cleaning, maintenance, and laundry services. But, as with any startup, my path is filled with learning curves and adventures.

In this blog, I'm not just sharing our story; I'm opening up our playbook for fellow startups and anyone curious about the intricacies of launching a marketplace SaaS platform. From understanding the nuts and bolts of a SaaS-based business to navigating the tricky waters of market demand and supply, I've got some stories to tell.

We'll dive into what a marketplace SaaS platform really is, recount the highs and lows of our early journey, and discuss how we're adapting and pivoting to address our challenges head-on. My goal? To offer a transparent, real-world glimpse into the startup world of SaaS marketplaces and hopefully, share some valuable lessons along the way.

So, whether you're a budding entrepreneur, a SaaS enthusiast, or just curious about our journey, I invite you to take this ride with me. I'm either going to crash or I might actually succeed at this thing. Let's dive right into it.

Demystifying Marketplace SaaS: What It Is and How It Works

So for starters, let's break down "SaaS" – Software as a Service. This is a software distribution model where applications are hosted by a service provider (that's us!) and made available to customers over the internet. Think of it like renting a service rather than buying a product. You get all the benefits of the software without the hassle of maintenance or high upfront costs.

Now, what we did was add 'Marketplace' into the mix. A Marketplace SaaS platform, like RentalRunner, is where this software service is used to connect two or more groups. In our case, it's about creating a seamless connection between service providers (like cleaners and maintenance pros) and those who need these services (homeowners, renters, and Airbnb hosts). We’re leveraging this model to simplify how people find and use home services. It's not just about technology; it's about creating a community and a reliable marketplace where everyone's needs are met, and services are just a few clicks away.

The beauty of a marketplace SaaS platform lies in its efficiency and scalability. It's a one-stop-shop that brings together supply and demand, often providing tools and features like payment processing, reviews, and scheduling – all under one digital roof. For startups, this means we can focus on what we do best – improving our service – while the platform handles the logistics. But don't get it twisted, this is definitely not for the faint of heart. My first couple of days live on the app store, I got an influx of signups and something odd happened with my database which prevented everyone from being able to sign up. I've only been live about a month now and my beard also has about 6 new gray hairs in it as well. Nonetheless, still worth it!

Our Early Hurdles And Our Strategic Shift

Eager to "hit the ground running" I sprinted ahead, eager to cover as much ground as possible. But as they say, sometimes more isn't always better. I have a business plan, and I knew exactly what I was supposed to do but I didn't listen to myself at all. That business plan at this point is just about as worthless as the computer its stored on.

I was just so happy to finally be live on the app store, I knew I had early subscribers already and they loved the idea. And since knew that they loved the idea and the concept, I also knew that everyone else would love the idea as well. I have great product market fit. So I posted in a Facebook group and took off. I instantly had about 60 or so service providers sign up on the app. Sounds great when you think about it, but on the other side, not so great too. Now I have about 60 or so service providers spaced out between San Diego, Ohio, Florida, Georgia, Maine, etc. Just all on the supply side, and hardly any on the Demand side of the equation.

I quickly realized that managing a vast network scattered across various states was not only a logistical nightmare but also diluted the quality of our service. My ambition to scale rapidly made me overlook a crucial aspect of starting a marketplace SaaS platform and ignore everything that I wrote in my own freaking business plan I might add: the balance between quality and quantity. We had a vast network, but not enough concentrated demand in specific areas to support it. This imbalance led to service providers not getting enough work and for the few people that we did have on the demand side (homeowners, renters, Airbnb hosts) not always finding the best match for their needs.

This realization was a turning point for me. A hard head makes a soft ass they say. Luckily I'm still early in my journey so I decided to pivot my strategy and stick to exactly what I had written down. Instead of casting a wide net, I chose to concentrate my efforts on a more focused area. I scaled back, narrowing our scope to specific regions where I could ensure a high density of both service providers and customers. This shift allowed me to not only improve the quality of matches between service providers and customers but also to better manage and support our network.

This strategic shift has been a learning curve for sure. It taught me the importance of growing sustainably and prioritizing the needs of our users. As we move forward, our goal is to expand responsibly, ensuring that every new area we enter is a place where we can truly add value and provide excellent service.

My Realization: Focused Growth and Continued Innovation

I just have to keep telling myself that its a marathon and not a sprint. Just keep providing great customer service, a fantastic user experience on the app and cater to the needs of my users and critical mass will follow. Now I'm focused more on a specific area. I'm crafting my landing page to cater to that specific area, adjusting my SEO and once I start seeing an influx of organic traffic, I'm going to incorporate some Google Pay Per click, possibly. Ultimately the goal is to be easily found in Google, because if you can't find yourself searching for relevant keywords, then chances are your clientele can't either.

Here's another thing that goes overlooked too that we are focusing on. ASO or App Store Optimization because once again, if you can't search and find your own product in the store utilizing some common and relevant keywords, then you are done before you even get started.

Final Thoughts

Our experience has taught us the invaluable lesson of focused growth. We've learned that expanding our reach doesn't necessarily mean stretching across the map. Instead, it's about deepening our impact where it matters most. By concentrating our efforts in specific regions, we can ensure that every homeowner, renter, and service provider in our network experiences the full value of RentalRunner. Oh and also create a plan early on and no matter what…

STICK TO THE DAMN PLAN!