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Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

techcrunch.com

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Re: Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

#11

Post by tvjunky »

I think there are some big problems with this latest round of "TaskRabbit for X", aggregated labor services (Cherry, GetMaid, and others). In the case of Pathjoy, the differentiation they are trying to sell is price. The technology is nothing special unless your idea of finding a house cleaner is Craig's List. Yet, is price the problem to be solved with these services? Is pushing down the price on a service like this beneficial to anyone except the aggregator?

For some TaskRabbit type tasks, especially the last minute or one-off tasks, it make a lot of sense because the transaction may not have happened otherwise. However, for these kinds of specialized labor type tasks, isn’t there some harm done to the service market through lower wages for the cleaner and inconsistent service for the customer?

Also, how does Pathjoy maintain customer loyalty? If service is a kind of “on-demand” how can you maintain consistent work for the cleaner? What is to stop the cleaner or customer from doing an “under the table deal”?

I think there could be an opportunity to “Disrupt” these older services but I’m sure lowering the price is NOT the way to a sustained business, even at scale.

Re: Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

#12

Post by ryanglasgow »

andrewljohnson wrote: post #10

No way the $20/hour rate is going to stay that low in the Bay Area, unless they run it as a loss leader. You cannot get any cleaning person around here for less than $30/hour. I don't think it would be possible to pay people the legal minimum wage and make profit at $20/hour.

I currently pay $20/hour (in SF proper) for an independent cleaner who does an excellent job. Language barrier is a major issue tho, and I'd much rather schedule cleanings online. If minimum wage is <$10, why would it be impossible to profit off charging $20/hr?

Re: Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

#15

Post by smackfu »

BvS wrote: post #7
arbuge wrote: post #2

Reminds me of GetMaid... was on HN a week or so ago. Seems to be a similar model. I think GetMaid even used backpacks to carry cleaning supplies in dense urban areas too.

GetMaid charges 45US$/hour, Pathjoy only 21US$/hour.

Makes you wonder... how is Pathjoy so much cheaper?

Re: Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

#16

Post by pg »

famousactress wrote: post #13

Pathjoy might be great, but at this point fluf-pieces from techcrunch about ycombinator companies make my brain turn off.

For you this is just another startup, but for the founders this is their big moment. So please show at least enough respect not to dismiss them without evaluating them.

Re: Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

#17

Post by tptacek »

pg wrote: post #16
famousactress wrote: post #13

Pathjoy might be great, but at this point fluf-pieces from techcrunch about ycombinator companies make my brain turn off.

For you this is just another startup, but for the founders this is their big moment. So please show at least enough respect not to dismiss them without evaluating them.

He didn't dismiss Pathjoy. He dismissed TechCrunch. And your comment is welcome, but would be even more welcome if you applied it to every company that "launched" to HN, not just the ones you helped shepherd.

Re: Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

#18

Post by staunch »

I'd bet that least 2x more people would use a maid service if someone did it in just the right way. I think the biggest issue to fight is procrastination and fear of uncertainty. Some kind of loss-leader promotion might pay huge dividends.

The front page is perfect and if it only said "First cleaning is on us. No upsells. No commitment. No kidding" or something I bet you'd get tons of people to try it and the LTV would make up for the acquisition costs.

Re: Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

#19

Post by andrewljohnson »

ryanglasgow wrote: post #12
andrewljohnson wrote: post #10

No way the $20/hour rate is going to stay that low in the Bay Area, unless they run it as a loss leader. You cannot get any cleaning person around here for less than $30/hour. I don't think it would be possible to pay people the legal minimum wage and make profit at $20/hour.

I currently pay $20/hour (in SF proper) for an independent cleaner who does an excellent job. Language barrier is a major issue tho, and I'd much rather schedule cleanings online. If minimum wage is <$10, why would it be impossible to profit off charging $20/hr?

Minimum wage is 10.24 in SF, and rising. On top of that:

* there will be refunds (grubhub gives a lot of refunds for bad food)

* they will need insurance (remember airbnb?)

* there will be legal challenges - like Uber, this kind of startup walks a fine line - if you employ 50 maids, you would usually have to provide workers comp at least, and maids seem more prone to file a claim than lots of professions

* there needs to be a margin for pathjoy

I believe you can possibly scale 20/hour maid service in parts of the country, but in the Bay, it will be at a loss or the price will rise. I really don't see how the math works any other way.

Grubhub's strategy was to raise delivery fees after they got traction, and it wouldn't surprise me if thats what pathjoy does. They will need to differentiate on something other than price though.

Re: Pathjoy (YC S10) Offers Affordable Housecleaning With Easy Web Booking

#20

Post by tvjunky »

andrewljohnson wrote: post #19
ryanglasgow wrote: post #12

Earlier quoted context omitted.

I currently pay $20/hour (in SF proper) for an independent cleaner who does an excellent job. Language barrier is a major issue tho, and I'd much rather schedule cleanings online. If minimum wage is <$10, why would it be impossible to profit off charging $20/hr?

Minimum wage is 10.24 in SF, and rising. On top of that: * there will be refunds (grubhub gives a lot of refunds for bad food) * they will need insurance (remember airbnb?) * there will be legal challenges - like Uber, this kind of startup walks a fine line - if you employ 50 maids, you would usually have to provide workers comp at least, and maids seem more prone to file a claim than lots of professions * there need…

Great points.

On the topic of working elsewhere. Large urban areas provide the best opportunity for lower cost and more efficient operations. Two things limit growth for this kind of service in smaller less dense areas. Travel and population. Both limit the number of jobs that can be requested or completed.

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