Booking Marketplace

While investing in an booking marketplace may seem as a lucrative business opportunity
we are aware that you may have some doubt of your own before getting started.

To help you overcome this we have designed a complete guide on how you can get started
with your own booking marketplace.

Booking Marketplace Checklist

  • Build with right platform & features
  • Manage your Vendors
  • Generate Revenue
  • Grow with the right strategy
  • Launch Your Marketplace

Perhaps, you may not know this but according to a recent online booking market report, the global online booking software market continues to expand. It is expected to experience a compound annual growth rate of 15.1% through the year 2024, with its total market value reaching $360 million.

Even popular industries like tourism industry have grown massively by banking on online booking. Its is estimated that there has been around $817 billion worth of online bookings by 2020. But of course, this shouldn't be enough to for you to start investing in an online booking marketplace platform. But with the right tools and knowledge, you too can be a part of this profitable business.

Fun Fact:

  • People who book online are far more likely to show up to their appointment.
  • With over 100 Million tour bookings less than 15% travelers book their tour Package online
  • Brian Chesky conceived the idea for Airbnb while changing his mattresses with his roommate

Select Your Platform

Decide the platform which you are going to use to build your marketplace

CMS Platform Recommend

CMS is a content management system with a set of scripts for creating, editing, and managing site content.

  • Get ready-made infrastructure from the provider
  • Add any feature compatible with WordPress
  • With many developers, save time!
  • The Support team's got your back
  • Save cost on development

Custom Platform

Custom platform is created keeping specific needs of users in mind.

  • Personalize your platform
  • Added feature equals to added cost
  • Customisation takes time
  • Create a unique platform
  • Not ideal for future customisation

Top Booking Marketplace Features

Time Management tools
  • Advanced Real-Time Calendar
  • Flexible Time Range
Product Management Tools
  • Product Listing Option
  • Inventory Manager
Marketplace Analytics Tools
  • Business Analytics Tool
  • Detailed Sales Report
Payment Management Tool
  • Flexible and Secure Payment Channels
  • Real-time Split Payment
Advertising Options
  • Automated Notification reminders
  • Voucher and Coupon Code system
Cloud-Based System
  • Booking planner
  • Booking Log

Know Your Vendors

Understand the variations available in the marketplace
Healthcare Professionals

After this deadly pandemic, booking doctor's appointments from home has become a necessity. So why not create a marketplace that allow booking medical consultations.

Transportation Companies

Why not add different airlines, cab services, and bus services sellers to your marketplace and allow customers to book journey from the comfort of homes.

Hotel and Lounges

If the success of Airbnb is not a motivation. we don't know what it! Allow various hotel, lounges and motel owners to rent out their rooms on your website.

Restaurants

Around 13% of diners said they've made online reservations at restaurants many times. And 32% said they've done so once or twice. Restaurant owners may just be your potential customers.

Salon and Spa- Booking

Include various hair salons and beauty salons in your marketplace and facilitate your customers in joining the current trend.

At-Home Services

Plumbers not picking calls on time? Been there right? Why not create a booking platform through which users can hire plumbing, gardening, lighting and other servicemen.

Solve the Chicken and Egg Problem

Who Comes First Buyers or Sellers? Easy tips to add sellers

Marketplaces are built on the premise of buyers and sellers transacting with each other. But when you start, you have none of those. So how do you convince sellers to join a platform without buyers and vice versa?This problem is referred to as the chicken and egg problem of online marketplaces. Read Here to gain an in-depth insight.

  • Ensure excellent service providers
  • Build a community
  • Find an enterprise client
  • Be the single-player
  • Promise to find buyers for your suppliers
  • Create a super niche and leverage

Marketplace Monetization Strategy

  • Sales Commission

    This is the most common way for an online marketplace to make money. A seller pays a predefined amount or percentage to the site owners when they make a sale. This monetization strategy is best for multivendor marketplace.

  • Subscription Fee

    Choose this model if you don't want to depend on the sales volume. Just charge your users a small fee every month or once a year. You can also have different subscription packages. Offer limited functionality for free and the full package for a monthly fee, for example. Or charge only the vendors. Or only the clients. You get the idea.

  • Listing Fee

    If your marketplace has a lot of traffic and active users you can implement a listing fee. A user can place ads for free. If they want their ad to be placed above all the free ads from other users they can pay for the placement.

  • Pay Per Contact

    This is a common monetization model for a service marketplace. There is a fee to contact a customer, while no one guarantees a successful transaction. In this case, the vendor relies on long-term cooperation with the client.

  • Pay-Per-Action Fee

    A pay-per-action revenue model implies the vendor has to pay a fixed amount when a client performs an action. For example, when a user books a table in a restaurant through the marketplace, the restaurant pays a fixed fee to the platform.

  • Mixed Model

    You don't have to stop at one monetization strategy. Many marketplaces use a combination of multiple monetization strategies. The ad-vantage of the mixed model is that it creates additional value for some marketplace users. While not interfering with everyone else's work.

Study of Important Marketplace Module

Key Takeaways
Components AirBnB BookMyShow
Type AirBnB is an Accommodation Booking Marketplace. BookMyShow is a Service(ticket)Booking Marketplace.
Revenue Generating Process AirBnB's main source of income is service fees from the reservation. After a successful booking, AirBnB charges a particular amount of money from both parties. BookMyShow charges extra money as an internet convenience fee. They also charge multiple and organisation owners for banner advertising and paid promotion
Relationship between Price & Demand Hosts can not increase the price even if the demand is high. In this case, businesses may increase charges depending on the demanding time.
Analysis Service providers do a data analysis regarding the vacation months and top tourist locations. Service providers analyze the weekends and festivals/holidays.
Time of work Host can freely list out the dates when they'll be able to rent out their services and so Service Providers can choose the time and date and also separate slots according to their preference

Grow Your Marketplace

If you are looking to grow your business, here are a few option for you to try
Competition Research

Make sure to analyse your competitors

Right Price

Product price should be the same as market price

Surprise Offers

Surprise offers always keeps customers coming back

Social Media Marketing

A current generation marketing strategy

Launching and growing your business

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