Install Error with AppDaemon?

Struggling to install AppDaemon. I’m running DietPi and following the PIP3 instructions here

Installed
sudo pip3 install appdaemon

Home Assistant Location
/home/homeassistant/.homeassistant

Created appdaemon.yaml in /home/homeassistant/.homeassistant/conf

HASS:
  ha_url: http://192.168.0.37:8123
  ha_key: hello
AppDaemon:
  logfile: STDOUT
  errorfile: STDER
  threads: 10
HADashboard:
  dash_url: http://192.168.0.37:5050

I tried to start
appdaemon -c /home/homeassistant/conf or appdaemon -c /home/homeassistant/.homeassistant/conf

and get this error

Traceback (most recent call last):
  File "/usr/local/bin/appdaemon", line 7, in <module>
    from appdaemon.admain import main
  File "/usr/local/lib/python3.5/dist-packages/appdaemon/admain.py", line 2, in <module>
    from pkg_resources import parse_version
ImportError: No module named 'pkg_resources'

Did you create a virtual environment? I would start there.