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I run a small lead generation company that competes with Service Magic in some contractor categories (dumpsters, demolition, and roofing, currently). Overall, they seem like a decent company... though definitely more consumer friendly than contractor friendly. The biggest drawback to Service Magic is that each lead is sent out to at least 3 other contractors (sometimes many more, so we've heard).
In response, we decided to focus on generating exclusive leads from the internet for our contractors. We make less because we aren't charging 4 contractors for the same lead, but our contractors book jobs at a higher rate and tend to stick with us as a result.
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