When you achieve 20% of new users through word-of-mouth referrals in a traditionally tech-resistant industry, you’re doing something right. In a recent episode of Category Visionaries, Digs founder Ryan Fink revealed how they’ve turned homebuilders from skeptics into enthusiastic champions of their platform.
Starting with Research
Before writing any code, Digs took an unusual approach. “We interviewed 25 or more builders before writing even a single line of code, just to get like our prototype out in front of them, have them test it, use it, and then we would iterate,” Ryan explains. This deep customer understanding laid the foundation for their word-of-mouth success.
The Power of Concrete Results
Instead of making vague promises about efficiency, Digs focuses on specific, measurable outcomes. “We have builders like Masarosa out of Oklahoma who he sold ten more homes this year because of Digs,” Ryan shares. This focus on concrete results has transformed their platform from a nice-to-have into a competitive advantage for builders.
A Different Marketing Philosophy
Rather than pursuing broad market penetration, Digs developed a relationship-focused approach. Their strategy started with early investment in marketing leadership. “One of our first hires was VP of marketing… and her mission was to come on from day one and help us create our go to market strategy and really deeply understand our core target audience,” Ryan notes.
Turning Product into Sales Advantage
Digs has positioned their platform as a sales tool for builders. As Ryan explains, builders are “using Digs as a sales tool, telling these homeowners, hey, we use a digital experience to better help you track all of your decisions. For us to collaborate and communicate more clearly and concisely together, and then at the end of the build, you’re going to get a full digital version of your home for better maintenance and home ownership.”
Building Strategic Partnerships
The company’s relationship-based approach extends beyond individual builders to industry influencers. Their partnership with Mike Rowe, known for his advocacy of trades education, aligns with broader industry challenges. As Ryan explains, what they’re “trying to do on the technology side with amplifying through AI, amplifying the existing workforce that builders have, our software can also become a really great recruiting tool for the up and coming generation.”
The Focus Factor
A key element of their word-of-mouth success has been maintaining strict product focus. “Digs is not a project management software,” Ryan emphasizes. “We’re focused on the client experience layer for pre-construction design, handoff and warranty.” This clarity helps builders understand and communicate Digs’ value proposition to their peers.
For B2B founders looking to build their own word-of-mouth engines, Digs’ approach offers several key lessons:
- Start with deep customer research before building
- Focus on concrete, measurable customer outcomes
- Position your product as a sales advantage for customers
- Build relationships at both individual and industry levels
- Maintain clear focus that makes value easy to communicate
The power of this approach is evident in their results. Beyond the 20% referral rate, Digs has achieved a 41.4% stickiness ratio – nearly triple the “world-class” benchmark of 16%. They’ve expanded to all 50 states and several Canadian provinces in just their first year.
Their success suggests that building word-of-mouth in B2B isn’t about clever referral programs or incentives. It’s about creating so much value that your customers naturally become your champions. By focusing on concrete outcomes and maintaining clear product focus, Digs has made it easy for builders to understand, implement, and ultimately advocate for their platform.
For founders building B2B products, particularly in traditional industries, the lesson is clear: word-of-mouth growth starts with creating genuine customer success stories, not with referral mechanics. When your product delivers clear, measurable value, your customers become your most effective sales force.