In the United States, more than 11Million consumers make use of an online marketplace platform, and hence the revenue of the online marketplace has increased up to a whopping $50Billion. Everyone is after tools and technology that makes their life more convenient and simple. From renting furniture to purchasing groceries to, everything can be bought via the internet. And the current pandemic situation has added more fuel to the growing revenue of online shopping.
In the first half of the year 2020, consumers in the US have spent over $345Billion online which is up by almost 30% from $266Billion for the same period in 2019, according to the latest study conducted by the Digital Commerce 360 analysis. Here is a simple graphical representation of the impact Covid has had on the US online market compared to the previous year.
Among the three types of marketplace platforms (Service based, Product based, Rental based), we are going to concentrate on how to build a service marketplace website in this article. A service marketplace is an online website that acts as a bridge between service seekers and private individuals and professionals who offer their services.
For example Taskrabbit, Upwork, Thumbtack, etc.
Before we start working on how to build the marketplace website, first let’s take a look at what are all the basic features required to build a Service marketplace.
- User Panel
- Admin Panel
- Social Media, Email Login
- Service Listing Interface
- Availability and Booking management
- Delivery and Return management
- Review and Rating management
- Google Maps integration
- Multiple payment gateways along with Cash on Delivery Facility and
- Customer Care Chatbot and EMailing facility
Integrating all these features into one app is not easy. You will require the right technical knowledge, suitable budget at disposal and the time period required for the development of the application. Basically, there are three ways in which you can build any type of marketplace platform. They are-
- Code it from scratch- by yourself or by hiring a tech team
- Use a SaaS platform
- Buy a clone script
Keeping all the above factors in mind, you will have to make an informed decision with regards to which method you choose that will help you build a robust and efficient Service Web Application. There is no right decision here. It all depends solely on your requirements. However, here we will elaborate on how to build your online service marketplace using a Clone Script. For example Taskrabbit Clone.
White-labeled clones are pre-coded scripts that are designed & developed for budding entrepreneurs to help start their own service marketplace website within a small time frame. With just minimal technical knowledge you can start your own service marketplace website by listing the professionals who do services like plumbing, laundry, cleaning, spa services, moving, handyman works, etc. How it works is-
- A TaskPoster/Customer enters service requirement on the website
- The Website suggests three professionals based on their ratings and reviews along with their charges and experience level
- A Tasker can choose to accept or reject the proposals and then finally schedule when he/she wants the service to be done
- When the service is completed, the payment is automatically processed through the app through whichever payment module the customer has chosen.
When customers are paying the professionals for their services, then how does the Service Web Platform make money?
Though there are many monetization models, the most chosen one is the Commission Based Revenue model. They take a percentage of the amount out of each transaction that happens on their marketplace platform.
It is widely used because it is usually the fastest model to get your business up and running. It is also a strategy to attract the customers as there is no need to be paying any registration fee or other kinds of fees to avail of services from your website.
However, the biggest challenge is to find the optimal commission rate and also the prevention of platform leakage i.e payments exchanging hands bypassing the application payment system.
Some services marketplaces also earn by charging a fee for registering/subscribing or even through posting or listing services. This will prove to be a good strategy only if your customers are difficult to find and your service professionals are willing to pay to access them. Or vice versa.
Some platforms also charge for ads and any ad hoc additional services. But these strategies only work best as an additional revenue stream in addition to the commissions based system.
Some of the most popular services offered by the Service Marketplace platform are,
- Event Planning
- Home Repairs
- Arts / Crafts
- Carpentry & Construction
- Data Entry
- Parlor services
- Pet sitting
- Web Design & Development
- Content development
So on and so forth.
Here is how a Taskrabbit Clone works:
Step 1: The customer logins and enters the required service in the websites by answering a set of questions which are prepared to provide optimum results based on the details entered
Step 2: The service vendors bid on the service requests. And the top bids are displayed to the customers from whom they choose depending on the ratings and reviews
Step 3: Appointments are fixed based on customer’s convenience
Step 4: The user can also track the live location of the service provider
Step 5: Upon completion, the user pays the vendor through the site using any listed payment gateways
Step 6: The user can submit reviews and ratings for the vendor based on their service experience. This plays a major role in the vendor’s visibility in the coming inquiries.
Finally, what does it cost to purchase a clone script and get your business on the floor?
The cost is based on the number of features the clone provides, license provision, compatibility with iOS, Android Operating systems etc.
It can vary from $300 up to $3000 based on your requirements.
The features that are included in the fully-loaded versions will consist,
- 3 Domain License
- One-Time payment plan
- 100% Source Code
- 1 Year technical support
- Unlimited updates
- Free installation services
- Android App
- IOS App
- Mobile app submission
- Access all features
Hope this article has helped you gain knowledge regarding building a service marketplace application without having to code from scratch. Do drop in your queries in the comment section. We are here to help guide you in all possible ways.