Owned and Operated - A Plumbing, Electrical, and HVAC Business Growth Podcast

Episode #187: Junk Removal as a Scalable Business? Release Date: April 17, 2025
Host: John Wilson
Guest: Walter Hindman, Founder of Junk Drop

Introduction

In episode #187 of the Owned and Operated podcast, hosts John Wilson and Jack Carr delve into the niche yet impactful world of junk removal as a scalable business. This episode features a special guest, Walter Hindman, founder of Junk Drop, a burgeoning junk removal company with three locations across the United States. The conversation explores Walter's journey, the unique philanthropic approach his business adopts, and the strategies employed to scale within the competitive home services industry.

Guest Introduction: Walter Hindman and Junk Drop

John Wilson introduces Walter Hindman, who runs Junk Drop— a junk removal business with two locations in Texas and one in Nashville. Walter brings firsthand experience in growing a home service business from the ground up, sharing insights into the challenges and triumphs encountered along the way.

Why Choose Junk Removal?

Start of Business Amidst a Pandemic

Walter recounts his entrepreneurial journey, which began in 2020 during the height of the COVID-19 pandemic. Graduating college that year, he faced unexpected challenges when his job offer in New York City was thwarted by the pandemic’s onset.

Walter Hindman [00:15]: "If I were to do it over again, I don't think I would do it."

Returning home, Walter took on the humble task of hauling trash in his hometown, which sparked the inception of Junk Drop.

Unique Business Model: Philanthropic Niche and PR

Differentiating Through Donation Logistics

Walter explains that Junk Drop’s model goes beyond typical junk removal by emphasizing the donation of reusable items to those in need. This philanthropic angle not only sets Junk Drop apart from competitors but also garnered significant press attention early on.

Walter Hindman [02:31]: "I reached out to them and I was like, hey, if we get any good reusable stuff, do any of your recipients want it? We'll store it, we'll deliver it, we'll set it up."

This strategy led to rapid growth, aided by media coverage and a strong presence on social media platforms, showcasing the company’s commitment to community support.

First Year Growth and Challenges

Leveraging Press for Exponential Growth

The initial phase of Junk Drop saw remarkable growth, largely fueled by press coverage that highlighted their unique approach to junk removal.

Walter Hindman [05:36]: "So I think we would have probably made, if we just did it, boots on the ground, guerrilla marketing, maybe a little Google Ad spend, we probably would have made $150K. But I think the first year we did, like, I think it was $375K."

Despite earning a modest revenue compared to industry giants, Walter attributes this success to the strategic use of media and the philanthropic niche, which resonated deeply with the community.

Scaling and Multi-State Expansion: Lessons Learned

The Pitfalls of Rapid Expansion

As Junk Drop began to thrive, Walter decided to expand beyond Nashville, opening additional locations across Texas. However, this multi-state venture introduced unforeseen complexities.

Walter Hindman [14:00]: "If I were to do it over again, I don't think I would do it. I think it's just too much of a headache."

Challenges such as managing teams remotely, handling logistics across states, and unexpected operational issues led Walter to realize that staying localized might be more sustainable.

Lead Generation Strategy: Google My Business Acquisition

Smart Acquisition of Digital Assets

A pivotal strategy in Junk Drop’s growth involved acquiring Google My Business (GMB) profiles from defunct businesses. By taking over established GMB pages with numerous positive reviews, Junk Drop instantly gained visibility and leads in new markets.

Walter Hindman [16:25]: "If you can find the owner of that and somehow get that Google My Business page, this might be a slightly, slightly unethical tip."

John Wilson and Walter discuss the ethics and effectiveness of this approach, highlighting how it leverages existing digital assets to jumpstart lead generation without the exorbitant costs of traditional PPC campaigns.

John Wilson [20:03]: "That's definitely not unethical... it's a good strategy."

This method provided a competitive edge, allowing Junk Drop to capitalize on the reputation and search rankings of previously established businesses.

Seasonal Nature of Junk Removal and Current Operations

Managing Seasonal Fluctuations

Walter elaborates on the seasonal dynamics of the junk removal industry, where revenue peaks in spring and summer months and tapers off during winter.

Walter Hindman [29:59]: "Junk removal is a seasonal business. It's similar to landscaping, where in the spring and summer we do double the revenue that we do in winter."

To manage this, Junk Drop adjusts its workforce accordingly, scaling up during busy seasons and maintaining lean operations during slower periods.

Current Marketing Initiatives and Content Strategy

Maximizing Digital Presence Through Content

Currently, Junk Drop focuses on enhancing its donation-centric model through robust content creation. By partnering with influencers like Mallory Irvin and consistently publishing content that showcases their philanthropic efforts, the company has significantly grown its online following.

Walter Hindman [30:50]: "We've published all the content that we make when we furnish the homes with our client's stuff... made a big initiative with that in the past six months and grown our following online."

This content strategy not only reinforces the company’s brand values but also drives engagement and attracts the desired demographic, primarily local families and community-minded individuals.

Future Plans: Local Linux

Innovating with Local Linux for Competitive Analysis

Looking ahead, Walter introduces Local Linux, a tool designed to analyze and compare customer reviews across competitors within specific locales. This platform leverages Large Language Models (LLMs) to generate SWOT analyses based on aggregated review data, providing actionable insights for businesses.

Walter Hindman [37:22]: "It'll create a SWOT analysis for what this business is doing really well... what you can implement to know what you're doing well and what you can improve on."

Local Linux aims to revolutionize how home service businesses interpret customer feedback and understand market dynamics, enabling more informed strategic decisions.

Conclusion and Contact Information

Wrapping Up and Future Engagements

As the episode concludes, John Wilson recaps the key discussions around Walter’s entrepreneurial journey, the unique interdisciplinary strategies employed by Junk Drop, and the innovative future with Local Linux.

For listeners interested in learning more or engaging with Walter Hindman and Junk Drop, contact information is provided:

Walter Hindman:

• Twitter: @_WaltRussell
• Website: beta.locallytics.co
• Special Offer: Free access to Local Linux’s first month during the beta phase.

John encourages listeners to visit OwnedandOperated.com for more resources, workshops, and to join Owned and Operated Pro for exclusive content and support.

Notable Quotes:

• Walter Hindman [02:31]: "We started posting it on social media, we started posting it on next door and showing our clients directly where their stuff went and tried to be as transparent as we possibly could."

• Walter Hindman [05:36]: "The first year we did, like, I think it was $375K."

• Walter Hindman [14:00]: "If I were to do it over again, I don't think I would do it."

• John Wilson [20:03]: "That's definitely not unethical... it's a good strategy."

• Walter Hindman [37:22]: "It'll give you an idea of real, tangible things that you can take into your business and implement to know what you're doing well and what you're doing poorly."

Final Thoughts

This episode offers a comprehensive exploration of transforming a modest startup into a scalable business within the home services sector. Walter Hindman’s experiences with Junk Drop provide invaluable lessons on leveraging unique business models, strategic PR, and innovative digital strategies to carve out a competitive niche.

For entrepreneurs in the home services industry, especially those considering ventures like junk removal, this episode underscores the importance of differentiation, community engagement, and smart use of digital assets in achieving sustainable growth.