{"id":9861,"date":"2014-11-08T14:00:00","date_gmt":"2014-11-08T19:00:00","guid":{"rendered":"https:\/\/www.wework.com\/creator\/?p=9861"},"modified":"2020-03-30T18:59:31","modified_gmt":"2020-03-30T22:59:31","slug":"handy-scaled-startup-metric-based-planning-2","status":"publish","type":"post","link":"https:\/\/www.wework.com\/ideas\/professional-development\/handy-scaled-startup-metric-based-planning-2","title":{"rendered":"How Handy scaled their startup with metric-based planning"},"content":{"rendered":"

Handy, an online booking platform for cleaners, plumbers and home services, has outgrown its digs five times in the past two years. Now that the packing peanuts have settled in Handy<\/a>\u2019s new headquarters in the Flatiron district, general manager Alex Levin has some tips on planning around metrics for other companies experiencing quick growth.<\/p>\n

Levin divulged the details of Handy\u2019s growth at WeWork West Broadway<\/a> in New York City on Wednesday night. Levin described company\u2019s growing pains as it transitioned from around five employees in May 2012 to more than 200 as of last month.<\/p>\n

Handy\u2019s first metric was the number 1,000. When Handy, then Handybook, reached 1,000 bookings on the site in 2012, the team decided it was time to move past their Boston roots. With $2 million in seed money, they opened shop in a space owned by one of their investors that Levin generously calls \u201ca hallway with a table in it.\u201d<\/p>\n

Within a year of its founding, Handy grew to between 10 and 20 employees and the team started dividing tasks. The key to doing so, said Levin, was to consult quarterly metrics.<\/p>\n

\u201cThat\u2019s really how we drive our business,\u201d Levin said. \u201cThe reason we were able to do this is because we were hitting the goals that we set.\u201d<\/p>\n

Handy uses a combination of MixPanel<\/a>, Tableau<\/a>, and a booking system that Handy built internally to view their metrics and test pitches, marketing ideas, and price points. Different Handy team members watched and determined the most important metrics as the company continued to grow.<\/p>\n

By October 2013, Handy had $13 million and around more than 100 employees, many of whom used metrics to measure customer acquisition. Instead of just canvassing the streets to get the word out, the Handy team directed their \u201chustle\u201d toward 20 sales channels for customer acquisition, including social media sites, mobile, blogs, and advertising.<\/p>\n

At first, Handy targeted every channel, relying on trial and error. Then they returned to metrics to determine to the channels that were most effective, such as Groupon and search-engine marketing, and focused on scaling up their efforts there. Meanwhile, another $30 million of funding in May 2014 moved them to their next office.<\/p>\n

Gone are the days when they crowded three people to an IKEA desk. Handy has scaled up to over 200 employees and counting. \u00a0Employees work on different teams, and each one manages goals for two to three test metrics. By isolating the lower bounds for the main metrics, the team is revisiting some of the 20 channels that they didn\u2019t focus their scaling efforts on before.<\/p>\n

Levin recommended having guardrails when you\u2019re driving towards one metric, but have the freedom to do what you want under these restrictions. \u201cBy really thinking through what those metrics are, you are empowering that team to succeed,\u201d Levin said.<\/p>\n

Although Handy\u2019s metric-based customer acquisition has been a success, the company\u2019s unexpected growth has presented challenges in scaling hiring, real estate, and their product (professional cleaners).<\/p>\n

Levin suggested that once a company begins hiring more than 10 people per week, it\u2019s time to move beyond traditional hiring. For Handy, that meant a committee of passionate employees, rather than a dedicated HR staff.<\/p>\n

He makes sure to wait for the right applicant before he makes an offer, even though there is pressure to add to the fast-growing team.<\/p>\n

\u201cIt takes a lot of discipline when you\u2019re under stress and when a lot of things are happening to wait for that person,\u201d Levin says.<\/p>\n

Handy relies on metrics to guide staffing decisions, but also budget plans and real estate opportunities. The company now hones in on short leases and allows six months to find the right space and move in.<\/p>\n

Regardless of the next challenge ahead for Handy, Levin returns to his metrics team to plan his next move.<\/p>\n

\u201cIt is critical to figure out for your business what are the two or three numbers or charts that you\u2019re looking at all the time,\u201d Levin said. \u201cThat will allow you as a business leader to diagnose problems quickly.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Handy, an online booking platform for cleaners, plumbers and home services, has outgrown its digs five times in the past two years. Now that the packing peanuts have settled in Handy\u2019s new headquarters in the Flatiron district, general manager Alex Levin has some tips on planning around metrics for other companies experiencing quick growth. Levin […]<\/p>\n","protected":false},"author":1334,"featured_media":9848,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[43902],"tags":[],"class_list":["post-9861","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-professional-development"],"acf":[],"yoast_head":"\nHow Handy scaled their startup with metric-based planning<\/title>\n<meta name=\"description\" content=\"Handy, an online booking platform for cleaners, plumbers and home services, has outgrown its digs five times in the past two years. 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