Last Updated: 30th October, 2024
The gig economy is expanding and providing lucrative work opportunities to diverse service industries, including the cleaning services industry. Marked with a CAGR of 6.83% in the forecast period 20230-2030, the cleaning service industry is expected to reach $633.18 billion by 2030. Delivering its services to residential and commercial establishments such as homes, office buildings, restaurants, hotels, and hospitals, the industry’s future looks bright.
Furthermore, the industry received a boost during the lockdown period of 2020-2022 because of strict cleaning and disinfection regulations that skyrocketed the cleaning services demand globally. Because of its nature, the industry remains invulnerable to even the most drastic market fluctuations. This is where the idea of launching a centralized cleaning service marketplace arises where multiple cleaning service providers can sign up and deliver their services to highlight themselves amongst competition and increase online presence.
Several examples of cleaning service marketplaces are available in the industry, such as Helpling, MyClean, Housekeep, Handy, and TaskRabbit. In return for connecting service providers with customers, these marketplaces primarily charge a small commission rate for revenue generation. Let’s take a closer look at how you can build your cleaning service marketplace along with the industry outlook and business model.
The following factors can help you analyze the scope of business in launching a cleaning service marketplace.
The cleaning service sector is primarily unorganized in numerous regions. Organizing the unorganized not only holds business potential but can also help you open new business opportunities for independent service providers and cleaning services. This inadvertently benefits the entire cleaning services community and gives your marketplace a word-of-mouth boost.
As stated above, the cleaning service industry delivers services to diverse areas that include both residential and commercial cleaning. Furthermore, many new specialty cleaning service areas are also emerging. These include but are not limited to:
Back in the day, cleaning service professionals grew their business via word-of-mouth marketing, which is still as effective today but less prevalent because of reasons such as the busy occupied schedules of working professionals and the emergence of individualistic societies where citizens have less time for face-to-face connections. Instead, as the internet grew, the reliance on building an online presence also grew. A cleaning service marketplace can assist all service providers in increasing their online presence.
In a world where the internet has taken over pretty much everything, it has become the primary platform to search for solutions. For finding cleaning service providers, customers also prefer searching on the internet and placing a direct booking instead of connecting and checking the availability of multiple professionals. On a cleaning service marketplace, they can easily find diverse professionals and book them directly, ensuring a hassle-free booking experience. In case of any post-service issues, they can directly raise their concerns on the marketplace.
Building a cleaning services marketplace does not require you to own any inventory or hire any cleaning professionals. You only need to monitor operations over the marketplace. This makes the entire business venture highly cost-effective. There are no inventory costs and warehousing costs involved, the hired workforce is small and utility bills are low. The only primary expenditure that you will need to bear as the cleaning services marketplace owner is the technology infrastructure costs.
The actual workflow of the cleaning service marketplace varies on business preferences, market preferences, and the available technology. For a brief overview, we have given an exemplary workflow below:
Alternatively, some marketplaces also have a direct hiring option that bypasses the entire bidding process. The direct hiring model works in two ways:
Diversification in income streams is required to ensure steady returns and become profitable. On a cleaning services marketplace, the marketplace owner can use the following revenue generation channels:
The following cleaning service marketplaces have been delivering online services in the industry for years and have successfully distinguished themselves from the rest of the competition. To launch your own cleaning service marketplace, you can take a reference from these marketplaces:
Company | Established Year | City | Funding | Top Investors |
Helping | 2014 | Berlin | $97 Million | Phenomen Ventures, Lakestar, and Point Nine |
Book a Tiger | 2014 | Berlin | $36 Million | German Media Pool, DCM, and Moacon Ventures |
Properly | 2014 | San Francisco | $9 Million | Keyword Venture Capital, AccorHotels, and Fabio Cannavale |
The Minte | 2017 | Chicago | $9 Million | Math Venture Partners, Network Ventures, and Blue Note Ventures |
SweepSouth | 2014 | Johannesburg | $4 Million | Black Coffee, Seed Engine, and Futuregrowth |
Freska | 2015 | Helsinki | $2 Million | Acton Capital Partners, Harald Aalvik, and Lasse C. Smedsvig |
After thoroughly understanding the business model and market dynamics, you can move forward toward developing your cleaning services marketplace. There are multiple development approaches to select from with each having varying benefits. From a business perspective, let’s analyze which approach will provide more value to entrepreneurs.
Primarily, you get two approaches, which are either using custom development or readymade software. These approaches can be further divided into the waterfall development method, agile development method, and SaaS software and self-hosted software. However, we would highly recommend opting for readymade self-hosted software because of the following reasons:
Thus, out of all the options, self-hosted readymade software provide the benefits we are looking for, including readymade support with a feature-rich architecture, long-term cost-effectiveness because of their one-time cost, and reduced time to market.
To ensure the proper functioning of your cleaning service marketplace, you need a thoughtful set of features that can help you deal with numerous business use cases and streamline daily operations.
You should look for the aforementioned features in your readymade software. You can either find these on the software’s official website or might need to book a personalized demo. Once, you find the readymade software, you can purchase its lifetime usage license and start building your cleaning services marketplace.
After purchasing the lifetime license, your software provider will deploy it on your selected server, which can either be an in-house server or a third-party hosting service like AWS. Once deployed, you can start configuring the marketplace.
Consider the following checklist to configure the marketplace:
The entire marketplace configuration can take anywhere between 2-10 days. You can also speed up the process by preparing webpage content in advance. Once configured, create test profiles on the marketplace to review workflows and other processes.
On any online marketplace, the number of customers is directly proportional to the number of cleaning service providers and vice versa. This requires you to have a well-thought service provider onboarding strategy, including various incentives for new registrations.
To encourage more registrations, the following are some incentives and marketing campaigns that you can implement on your cleaning service marketplace.
For more information on how to attract cleaning service providers, you can take reference from this blog.
Yo!Gigs is a dedicatedly developed end-to-end service marketplace solution. Unlike other software solutions that are more or less page builders, requiring you to manually do a lot of customizations, Yo!Gigs provides comprehensive support right out of the box. Along with all the essential features mentioned above, Yo!Gigs come with a highly professional and intuitive design that helps you establish a strong brand image and provide the best in the industry customer experience.
Additionally, Yo!Gigs caters to all use cases that you may encounter during your cleaning service marketplace operations. It helps you overcome various challenges and provide more flexibility and freedom to customers. Let’s take a look at all the top reasons to select Yo!Gigs.
Cleaning service marketplaces primarily gain popularity because of two reasons: the sheer number of cleaning service providers looking for new jobs and the convenience they provide to customers. To meet both of these criteria, a proper execution of your business model is required. This includes paying focus on technology, services, branding, customer support, vendor onboarding, and more. While growing any marketplace business takes time and effort, the right software, you need to direct your time and efforts in the right direction. You can get a better understanding of the market in less time and start providing quality services, which further helps in reaching the breakeven point faster.
All innovation starts with an idea to solve real-world problems. At FATbit Technologies we are passionate about driving digital transformation to prepare businesses for a digital-first tomorrow. Let’s discuss your BIG idea NOW.
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