building your own home services marketplace

From Concept to Reality: Building Your Own Home Services Marketplace

The home services marketplace facilitates easy and convenient booking of essential services like refrigerator repairs, AC repairs, fan or HVAC repairs, or any other service that can be provided at home.

Imagine your ceiling fan making cranky noises for a while, and you have trouble reaching the height to see what’s causing the problem. You may need a ladder or table to check the issue, only to realize you know nothing about fixing it.

So, you need a fan repair service professional who can solve your problem. The actual problem starts when you have to go through several directories, websites, etc., to find a professional who’s not always keen on doing the job.

That was not pleasant at all. But we’re past that situation now with on-demand service apps like UrbanClap ready to serve. This app has reached over 10 million downloads on the Google Play Store and enjoys a solid 4.1-star rating! Here’s why:

When you search for electricians for fan repairs in the “Services available in your area” using the app, you get options like:

  • Ceiling Fan Regulator Replacement
  • Decorative Ceiling Fan Installation
  • Fan Repair (noise issue)
  • Fan Repair (speed issue)
  • Fan Replacement
  • Fan Uninstall

Each service comes with respective price tags that you can “add” and pay for, along with add-on services and convenience charges. The app is like the Holy Grail for people, facilitating convenience at their fingertips.

But that’s not all. You can access multiple services like AC Repair, Refrigerator Repair, Plumbing Services, Carpentry Services, and more, based on your location.

The whole point we’re driving here is the home services marketplace in a single app that helps you call for any kind of electronic repair and installation, plumbing services, and more. Just sit in the cozy corner of your home and book a servicing specialist.

Building a Home Services Marketplace

If you want to build a home service marketplace with a solid business model, you need to enter the competition systematically. Wrapping your brain around this idea can help you build a successful startup venture.

Building a Platform for Home Services

To start, consider building an MVP (Minimum Viable Platform) to discover the viability of your business in the specific service area you want to focus on.

Instead of diving into complex jargon, focus on practical steps. A simple website is feasible for most startup entrepreneurs. Platforms like JOBOY, Hilt, and EasyFix are some websites that enable on-demand home services in India. These one-stop local home booking services allow both customers and providers to register themselves for availing two different sets of features – relevant to their profiles.

Starting a website from scratch may take too long for you to see results, but it helps you learn various technologies. However, your go-to-market may get extended by the time you fully develop it.

You can choose online marketplace development platforms to build a custom marketplace website at an affordable price. However, if you don’t have time to spare, you should hire a home services website development company for a quick and effective solution.

Opting for an On-Demand Home Services App

Another popular and practical approach is developing an on-demand home services app. Since mobile app downloads have soared, creating an app is both fair and practical these days.

According to Statista, In the most recent quarter, the total value of global consumer spend on mobile apps amounted to 35.28 billion U.S. dollars, up by almost five percent compared to the corresponding quarter in 2023. Between 2019 and 2021, consumer spend on mobile apps has experienced a constant increase. In 2023, the total consumer spend on mobile apps was of approximately 171 billion U.S. dollars.

Design & Technology for App Development

Key elements like UI design, GPS location tracking, multi-touch gestures, and social media connectivity are crucial for app development. A lightweight and clutter-free design can work wonders. App development companies work hard on creating reliable designs powered by robust technology for long-term use.

For an app to be successful, it must perform well and offer an aesthetically appealing and user-friendly experience. You should decide between native or hybrid app development based on your current requirements, initial costs, audience size, and expected returns. Consulting a reliable app development company can help you resolve these queries effectively.

Business Revenue Model for Home Services Marketplace

Generating revenue from an app is crucial for running any business. Without a solid monetization strategy, you can’t build other revenue streams.

On-demand home service apps typically earn through commissions. Entrepreneurs follow different business models, such as horizontal/vertical integration, bundling/unbundling, C2C, and more. While customer acquisition costs, demand, and margins are important factors, a straightforward model like commission on transactions can work well.

Additional revenue streams include advertisements, cross-selling services, and more. Ensure you provide a proper platform where users are willing to pay.

Finding Early-Stage Providers

Building a marketplace is one thing; populating it with service providers is another. Here are some options:

  • Find active service providers in other marketplaces. Different Facebook groups dedicated to home services marketplaces can help you find them quickly. Offer a high-quality and lucrative alternative to draw them to your platform.
  • Check Google, directories, and aggregators. Platforms like Google, Yelp, and Yellow Pages are great places to find service providers. Offer them a working space that helps them find clients quickly.
  • Social networking sites and online forums. Platforms like Quora, Facebook, Twitter, Instagram, and Reddit can help you connect with service providers and potential customers.

Costs for Developing a Home Services Marketplace

Developing a platform from scratch may cost around $50,000 or more, given the effort required to build a robust transaction engine, admin functionality, and multi-feature set. However, more cost-efficient alternatives exist. Building a website or app, creating a brand name, and marketing can cost between $2,000 and $15,000.

Evaluate app development companies with essential credentials, a strong track record, critical examples for references, and a transparent outlook. One-on-one consultations can help you understand their services better.

Go-to-Market Strategy for Developing an On-Demand Mobile App

A lack of proper product release strategy, poor marketing, and inadequate customer acquisition plans are common pitfalls for failing apps. Here are a few considerations for a healthy go-to-market strategy:

  • Know your market viability. Explore the market viability along with an understandable product definition. Identify your competitors and their strengths.
  • Organic marketing and paid advertising. Use Google Ads, SEO, Facebook advertising, and Instagram advertising to boost online visibility and convert traffic into customers.
  • User acquisition strategy. Offer early access programs, teasers, and deals to attract new users. Provide a value proposition that beats your competitors.


A well-begun project is half done. Startup owners struggling at the start may not identify clear ways to succeed. Adopt a realistic and smart strategy to create a home services marketplace that offers people what they need, especially during times of distress.

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