URBANCLAP BUSINESS MODEL

UrbanClap Business Model ?

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Urbanclap Business Model? How does Urbanclap make money?

In this blog, I am going to share with you the complete business model of UrbanClap so let’s get started. UrbanClap is a multi-specialty online platform that lets users hire professionals for various homecare and day to day needs.  The portal was founded by three partners Raghav Chandra, Varun Khaitan, and Abhiraj Bhal. In this post, we will look at factors that define how the UrbanClap business model works by connecting users with various service professionals. It provides services like beauty, photography, cleaning services, and more. Basically, This Company removes the middleman and this is the biggest pro-feature of this platform

UrbanClap Business Model:

UrbanClap is a web marketplace that connects service professionals from customers. Customers use the platform to seek out and hire professionals for a good range of services. this might include home-service professionals like electricians or plumbers; repair technicians for home appliances; a fashion photographer or a beautician.

How Does UrbanClap make Money?

After creating an understanding of the Urbanclap business offerings and execution mode, we will plan to understand the revenue model of Urbanclap so that you can understand how UrbanClap makes money?
As alluded to above, users use the UrbanClap platform to rent a good sort of service provider.
And, the revenue which the UrbanClap platform earns depends upon the kinds of services on offer. Let us assume that you simply wish to use the platform to rent a plumber to exchange a leaking tap. Let’s say that there are 10 registered professionals on the platform who can do the work for you. As long because the job is completed right, you remain indifferent on which of the professional performs the work. Here we are talking about more generic services. Next, we come to more specialized services. Now, allow us to assume that you simply wish to rent a photographer for your pre-wedding photoshoot. Since the service involves a considerable cost and you would like the images to show out good, you’d want to possess quotes from multiple photographers, verify their credentials before handing the contract to the person you deem the foremost fit within your budget. UrbanClap makes money within the following ways:

Commission based Model for Generic Services:

For generic services just like the hiring of a plumber or an electrician, UrbanClap works on a commission-based model. Here, UrbanClap is a platform that connects the appropriate service professional directly with the customer and in this process makes money by charging the professional a particular fee/commission which supports the cost of the delivered service. Note that under this model, the fee that the professional charges are usually controlled by the platform.
Lead Generation based Model for Specialised Services:
For more specialized services like those provided by a photographer or a dietitian, UrbanClap operates on a lead generation model. Here the platform focuses on generating leads for the service providers with the ultimate choice of hiring the professional remaining with the customer.
This is how it works:
When a user enquires a few certain services on the platform, the relevant service providers get a notification from the platform with the small print of services being looked for. Now, if a service provider considers the cause to be relevant, he/she has got to pay a fee to the UrbanClap platform to access the customer’s contact details and thus make a suggestion. Here, the platform plays no part choose the fees and other technicalities of the services on offer and this is often mutually decided upon by the customer and therefore the service provider. For specialized services, thus, This Company makes money by generating leads for service providers in the form of a lead-generation fee. The fee is payable regardless of whether the lead finally converts or not.
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