Renoviso thinks it can take the hassle out of home redecorating. Instead of searching for the right contractor, Renoviso determines which local partner can help you on projects like replacing your windows or getting new floors.
And the Boston-based startup is now raising $3.5 million in funding to execute their vision. The round was led by Bessemer Venture Partners, with existing investors, including RRE Ventures and NextView Ventures participating in the round.
“It’s a massive market,” said Kent Bennett, partner at Bessemer Venture Partners. “There’s some interesting businesses out there, but there was never one we fell completely head over heels for until Renoviso.”
Steve Schlafman, principal at RRE Ventures said he estimates that “the renovation market in America is north of $300 billion annually.” He feels that “they’re going after a segment that is very competitive when it comes to offline businesses, but the online segment is underappreciated and underserved.”
There are quite a few startups in the home redecorating space, including Thumbtack and Houzz, but many of them give consumers the burden of choice. Renoviso markets itself as a more efficient business where users can readily determine a project price and pay for it via the online platform.
“We’re further down the funnel,” CEO Eric Horndahl tells TechCrunch. “We’re taking a tech-enabled approach to what’s a pretty boring industry.”
They may seem like competitors, but Renoviso actually uses sites like Angie’s List or HomeAdvisor for lead generation. Renoviso touts their great reviews on their selected contractors.
But some people may prefer to evaluate contractors themselves, especially when it comes to more creative projects like kitchen redesigns. They may be willing to pay more for a professional with a particular style.
Renoviso is most-focused on “highly predictable, repeatable projects” said Bennett. They hope that for projects like flooring and door replacement, consumers are more focused on efficiency than design.
Currently in New England, Renoviso plans to use the new funding for expansion.