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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:
Gumtree is a global network platform that lets vendors register and sell their products worldwide. Let’s understand it in depth:
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.
|Mobile App Development||500||$28,000|
Note: The prices mentioned above are just an approx. number, actual cost might differ due to many possible factors.
Hyperlocal Cloud helps its clients attain a marketplace built with cutting-edge technology, immersive UI, and well-aligned, structured, and bug-free solutions.
Considering the location of the company you choose to build a marketplace like Gumtree is important to calculate the investment. Explore the chart below:
|Location||Cost 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.
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 Size||Team Strength||Cost|
|Small Scale Company||50-200||$2,000 - $8,000|
|Mid-Scale Company||200 - 1000||$10,000 - $20,000|
|Large Scale Company||1000 - 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.
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.
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.
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.
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.
It is a useful feature for admins. It helps them monitor ongoing sales, overall revenue, payments & refunds, and active users on the platform.
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.
An admin can connect with any seller and buyer and vice versa with this feature.
Suppose, now, you have a platform. What could be the next step? Let’s explore some revenue-making models for your Gumtree-like marketplace.
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.
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.
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.
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.