How Much Does It Cost To Build A Marketplace Like Gumtree?

By Hyperlocal Cloud

September 06, 2023

How Much Does It Cost To Build A Marketplace Like Gumtree?

Classified websites have gained immense popularity on the web. They are convenient for users because they are helpful in providing exact searched products. As it is a multi-vendor platform, it allows several sellers to collaborate on a single platform to provide services. From the outlook of a business owner, it is a lucrative business idea to start.

Gumtree is a classified website for ads. On this platform, any vendor can post their product’s ad with description and pricing. This platform supports ads from every sector: cars & vehicles, homes & gardens, pets, jobs, and real estate. The following blog consists of the cost to build a marketplace like Gumtree. Let’s get started:

How Does Gumtree Work?

Gumtree is a global network platform that lets vendors register and sell their products worldwide. Let’s understand it in depth:

  • Vendors register their products. Then, they create a username and password, which helps them handle their services.
  • Vendors add pictures of the products or services for which they wish to post an ad for.
  • Now, vendors create an Ad for their items by choosing the right category, like home appliances, clothing & fashion, and gadgets, for their product.
  • Vendors add their selling location with postal code, and Gumtree will show your item to buyers in your local area.
  • Users search for the product and place an order.
  • After successfully placing the order, users receive a receipt of the order with location.
  • A user visits the location to claim the product in scheduled time.

Cost To Build A Marketplace Like Gumtree: Platform Development Cost

Technology is shaping the world rapidly, and due to the rise in demand and competition, technology gets updated every year. The latest technology needs high practice and skills and that’s why the development cost for Gumtree depends on different factors.

Development Stage
Web Development200$6,000
Testing Q&A450$13,000
Mobile App Development500$28,000

Note: The prices mentioned above are just an approx. number, actual cost might differ due to many possible factors.

Unleash Your Business Potential And Build A Marketplace Like Gumtree

Hyperlocal Cloud helps its clients attain a marketplace built with cutting-edge technology, immersive UI, and well-aligned, structured, and bug-free solutions.

Cost To Build A Marketplace Like Gumtree: Development Location

Considering the location of the company you choose to build a marketplace like Gumtree is important to calculate the investment. Explore the chart below:

LocationCost Per Hour
Europe$50 - $100
Gulf Countries$35 - $70
North America$30 - $75
Asia$25 - $80
Hyperlocal Cloud - New York< $25

Each country has its own economic pattern, so it is important to verify the cost before appointing an IT firm.

Cost To Build A Marketplace Like Gumtree: Company Size And Team Strength

The number of active workforce on the project can also affect the cost. The more manpower, the more efficient an application could be. Here is the cost breakdown:

Company SizeTeam StrengthCost
Small Scale Company50-200$2,000 - $8,000
Mid-Scale Company200 - 1000$10,000 - $20,000
Large Scale Company1000 - 10,000$30,000 - $50,000

To get a higher productive app, having expert brains on your project is important. It can cost a vast amount, but it can help you strive your business among competitors.

Cost To Build A Marketplace Like Gumtree: Complexity Of The App

The complexity of an app can occur from different factors like difficulty of integration, information environment and institution. An improvised app development goal can cause many issues, like glitches, lag, and bugs. A properly structured application needs planning, prototyping, and the use of cutting-edge technologies. If the complexity of the app is low, the price starts from $5000 and can easily surpass $15000 when the app's complexity is high.

Digitize Your Idea And Build A Marketplace Like Gumtree From Hyperlocal Cloud

Our seasoned developers are professional in creating a marketplace solution for your business that caters to all your needs, comes with revenue models, and is easy to use.

Advanced Features To Have In A Marketplace Like Gumtree

The features of an application decide its accessibility, usage, functionality, and how it will act with multi-tasks. Here is the list of advanced features that can make your platform, like Gumtree, stand ahead in the competition:


The spotlight feature posts your product’s ad on the homepage for seven days. It will be visible to every customer who will access the platform, which results in high customer engagement for your brand.

Bump Up

It will restart your ad and post your product on the top of its category for the next thirty days.


The urgent feature on your platform creates a label on your product for seven days, and it will let customers know that you want to sell it as soon as possible.


It creates a link to your product’s ad and allows you to share it on any third-party platform where there are an enormous number of users.

Analytic & Reporting

It is a useful feature for admins. It helps them monitor ongoing sales, overall revenue, payments & refunds, and active users on the platform.

Tax Management

The tax management feature can be a boon to those entrepreneurs who operate their businesses in multiple countries. It will help calculate tax on behalf of the platform, vendors, and customers.

Messaging & Communication

An admin can connect with any seller and buyer and vice versa with this feature.

Revenue Making Model Of A Marketplace Like Gumtree

Suppose, now, you have a platform. What could be the next step? Let’s explore some revenue-making models for your Gumtree-like marketplace.

Revenue Model

Listing Fee

Generally, product listing on a marketplace comes for free. But here, you can charge an amount from the vendors to list in the category. You can also determine prices for mass user’s base categories like vehicles, rentals, and more.

Product Marketing Fee

Sellers can pay for a package or subscription fee to boost reach and increase visibility of their product. You can create a subscription plan like silver, gold, or premium and determine pricing accordingly.

Advertisement Fee

Gumtree sends special product categories for advertisement on its platform. It creates a leaderboard, and the paid product is listed on the top. You can charge your vendor according to what size of banner they want for their product. For instance, a 728x90 pixel banner is good for the leaderboard, whereas a 300×250 pixel banner can be posted as an ad.

Referral Fee

Last but not least, Gumtree generates revenue with the referral model by promoting various items on any third-party platform. Whenever a user clicks and buys the product, a tiny amount of generated sales gets credited to Gumtree. It is a best practice to reach customers by connecting with a suitable platform.


Starting a marketplace like Gumtree comes with lots of business benefits. As people struggle on various platforms to find their relevant products, by building a marketplace like Gumtree, you will be solving their problem. Thus, you will increase your chances of attracting new customers, generating leads, building a strong economy, and sustaining continuous growth. By creating a business strategy and a marketplace from Hyperlocal Cloud, you will be increasing your chance of success among your competitors.

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