Readymade Solutions Make it Easier to Start an On-Demand Marketplace Business

Nowadays, traditional handyman and daily-delivery businesses are transforming into on-demand services platforms. On demand services are very much flexible and easy to handle. As we all know that with the support of relevant on-demand services apps, the instant provision of goods and services is possible. On-demand services have gained more attention, popularity and response in recent times.

Aspiring startups have started pouring investments in these platforms as there are many statistical proofs that clearly show the growth of on-demand services.

Interesting stats about on-demand services

• 44.1 million smartphone users use at least one food delivery app on their phones.

• On-demand home service market is expected to grow $1500 billion during 2021 to 2025.

• Around 45% of consumers who utilize on-demand marketplace platforms are millennials.

• Video streaming apps have greater response in the US. 82% of Americans use Netflix.

• Uber holds 69% of the share market in the US.

On-demand service marketplace websites like TaskRabbit, Upwork and Fiverr, provide an easy way for working professionals to find work. Starting an on-demand marketplace is also one of the best online business ideas of recent times due to the fact that it is an asset-light business.

Here is the business model behind this:

Business Model Entities

Service Seekers — This group brings money to the marketplace by hiring service providers to get their work done.

Service Providers — These are experienced professionals that offer their skills and services in exchange for monetary reward.

Marketplace Owner — All the profits made in the form of service fees, commission and website ads go to the marketplace owner.

Business Model Workflow

• Service seekers upload a job on the portal

• Service providers apply for job and quote price

• Seekers pick the best service provider

• Providers deliver the work and get paid

• Marketplace owners earn a cut as commission

Ways to build an on-demand services marketplace platform:

• By hiring a dedicated team of developers, designers, quality professionals. By contacting a readymade solutions provider

I recommend going with a readymade solution provider because this option is cost effective, time saving, and convenient.

What are the earning models of an On-demand services marketplace?

Here is the list of some earning models that are applicable on an on-demand services marketplace:

• By Transaction Model/Commission Model

• By Lead-Based Model

• By Subscription Model

• Freemium Model

• By charging Listing Fees

• By Advertisements

Top 3 on demand service software providers:

1. Yo!Gigs

The Yo!Gigs platform provides all the necessary features, such as admin dashboard, security, mobile-readiness, SEO, and more to make the life of a marketplace owner much easier.

It provides a platform where service seekers can hire skilled workforce to get the required work done. Admin, on the other hand, manages the platform. You can launch a service marketplace like Task Rabbit and Upwork with YoGigs (Important Note: Customization will be required in the base copy of Yo!Gigs for the same).

2. ShareTribe

Sharetribe is one of the easiest ways to start your own online marketplace. Using ShareTribe, you can create a platform where users can rent or sell goods, spaces, or services online. Sharetribe handles all the hosting, transactions, and online payments. It is also easy to use and customize. Sharetribe takes care of the tech so that you can take care of your business. It also comes with a 30-days free trial.

3. Arcadier

Arcadier is a multi-award winning marketplace SaaS (Software-as-a-Service) provider that powers business-to-business (B2B), business-to-consumer (B2C), and peer-to-peer (P2P) marketplaces. It's off-the-shelf and enterprise customizable marketplace solutions have enabled thousands of marketplace owners across 170 countries to build and grow their business without the worries of speed to execution, budget, technical knowledge, and future platform updates.

Conclusion

Important information regarding how to start an on demand services marketplace has been shared in this post. Now you can pursue this business idea and start your own on-demand service based business. Feel free to share any doubts and queries in the comment section below.

To read a detailed blog on starting an On-demand services marketplace Business.