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How To Get Started With Handyman App Monetization?

April 17, 2023 Mohit Yadav
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Digitizing your home services business can help you more than you can imagine. The fast-paced world has made everyone appreciate convenience overall. Whether it is food, a cab, booking a hotel or flight, or purchasing clothes, customers love to have everything at their fingertips. Home-related services are no exception to the trend. People love the ability to hire skilled contractors with a few clicks.

The high demand for online home services makes it a booming field. According to, report, the handyman app market is estimated to cross $5257 million by 2030. When so many enterprises are leaping at the prospect, designing a robust and scalable application to make your presence visible seems the rational option. 

If you are considering entering the lucrative market of online home services, it is crucial to partner up with home services app development company to ensure that you can provide your customers with a seamless and user-friendly experience.

And, if you already have a digital platform, the you must convert your user base into a sustainable and profitable income source to justify your investment. This article will walk you through the types of handyman app monetization models and viable techniques and tips to optimize your app and generate revenue. So, read ahead!

Handyman App Monetization Models

Handyman app monetization models have a direct impact on business success. Selecting the ideal model is one of the most relevant aspects to consider before you release your application. It influences the capacity to onboard service providers and convert visitors into customers.

However, you must know the types of models available to implement the one that suits your values, needs, and goals. A few prevalent handyman app monetization models include:

1. Commission-Based Model

Commission-based model is the most preferred model among the handyman apps. Users can book the service and pay for the same. The handyman serves the customer and receives payment for his work. However, the amount a handyman gets is typically less than what the customer had paid. The difference between the amounts is known as commission. 

App owners retain commissions in exchange for creating a platform that brings customers and service providers closer. A handyman attains the full reward for delivering service as users pay the commission. Thus you earn a determined percentage from every service users render from your app. 

Sustainable commission rates lie between retaining service providers and users on the application and amplifying profits. However, there is no one-size-fits-all rate for the digital marketplace. The commission rates can range from low to massive; deciding the commission you deem fair is on you.


  • Lessens the friction for users and service providers to join the platform.
  • You monetize every time a user pays to engage a product or service in your app.
  • It scales tremendously; the higher the value of service, the higher the revenue.

→  If you’re just starting out in the handyman business, our blog “How to Build A Handyman App in 2024?” can be a valuable resource for you. It covers all the essential aspects of handyman app development and can help you get started in the right direction.

2. Subscription-Based Model

The subscription-based model requires a recurring fee to access the platform. Users pay monthly, quarterly, or yearly, per their convenience, to purchase a membership or subscription. It allows you to lock in customers for a longer duration, although you need to win your customers for that, not only once but through every billing cycle.

Customers typically pay in one-off pricing and acquire or provide the required service as the relationship fades into the background. Subscription models promise a premium experience and regular update cycles to users. It assists you in developing robust relationships with users and capitalizing on its compounding value.

However, a compulsory payment or an unnecessarily high fee can discourage users from exploiting your app. Hence, you must offer a unique and pleasant user experience and superior value to make it worthwhile for customers and providers. The attractive features will compel the users to subscribe to your platform and reap its benefits.


  • It promises a consistent source of revenue and income.
  • You can build long-term financial sustainability and grow your venture.
  • Simplifies the revenue stream prediction and demand forecast.

3. Freemium Model

You might have already guessed it; the third model combines two words, free and premium. The freemium model implies cost-free core offerings to customers. It begins with free features and furnishes premium services to users who pay for the additional capabilities and upgrades. It is a terrific way to generate leads and sell an expensive version of your app to users.

Suppose you operate an UBER-like app to facilitate taxi rides. Then, you can deliver basic and ordinary services to your customers, like booking a taxi and getting it timely. The premium or paid users, however, can leverage an advanced service with the availability of discount coupons and select the vehicle they wish to book.

You can implement the freemium model to monetize your app and acquire maximum users. When you deliver more than a quality experience and give customers the freedom to pay if they want, they will likely recommend your business to their friends and acquaintances.


  • You can gain trust and form a loyal customer base by charging no extra fee.
  • The exponential user growth produces healthy revenue and profits.
  • It helps in enticing new customers and getting them hooked on your services.

Build a Robust On Demand Home Services Platform with Us - ValueAppz

4. Advertising-Based Model

Visibility on the digital landscape is necessary to increase revenue and broaden the scope. Who would want to miss a chance of coming to the top in the middle of cutthroat competition? Yes, you answered that right, no one! Service providers often purchase advertisement privileges to make their services visible on the platform.

You can earn more by charging a reasonable fee to advertise or feature a particular service provider higher than the others. Suppliers pay a fixed amount and generate a steady income stream. However, the advertising model is a double-edged sword where you are catering to two audiences with conflicting interests.

Where sellers are eager to promote their service with a listing or ad, buyers find advertisements a hindrance. Excessive ads can interrupt or disrupt users and be detrimental to your business. Hence, striking a balance between advertising and user experience is essential.


  • An exemplary model to instigate a new revenue flow.
  • You can promote a top-grade service and attract new users to your portal.
  • It provides a top-line method to boost growth and organic traffic.

Strategies For Monetizing Your Handyman App

On-demand handyman app development comprises various complex stages, from planning and research to designing and testing. Regardless of the complications, apt strategies to monetize your final result will always be worth the effort. Some of the compelling solutions to amplify the income from the application are:

A. Pricing Strategies

A pricing strategy is imperative to set up your app and make money. The pricing approach has a mutual relationship with success. It affects your app rankings and influences audience engagement. There are primarily three types of methods:

1. Fixed Pricing: When you set a price and stick to it for a long-time, it is known as the fixed-price approach. Users can avail of the services at a determined price.

2. Dynamic Pricing: Dynamic pricing refers to the strategy where prices of services vary over time. The cost of services depends on the latest market demands. 

3. Surge Pricing: Surge pricing is a supply and demand model. It is activated when there are not enough handymen to handle a surge in customer requests. The price is calculated depending on real-time demand.

In essence, a suitable strategy can assist you in understanding and improving the return on your investment. You must consider your goals, target market, product value, customer orientation, and app purpose to select the correct strategy.

💡 Must-read: Top 10 Handyman Clones to Invest In 2024

B. Partnering with Local Businesses

As they say, “The more, the merrier.” Even if you are skilled or have a few experienced employees to handle services, it is not always enough. Customers will search for immediate services once your app takes off, and a handful of technicians will not be sufficient. Here is where you should consider partnering with local businesses and startups to get more hands.

1. Creating a Network of Service Providers: Many handymen find it challenging to get customers. Creating a network with nearby providers will not only help you, but it will also aid them in delivering services they excel at whenever a customer requests it.

2. Offering Exclusive Deals and Promotions: You can facilitate tempting deals and advertising techniques to promote the service of a specific business. While their quality services will assist your business, the promotions and discounts will make them visible to the customers.

C. Providing Premium Features and Add-Ons

A handyman app acts as an interface between service providers and customers. You must take care of both parties to reap the benefits. Where marketing deals and advertising will help retain service providers, you can improve customer engagement by furnishing add-ons and premium features.

1. Enhanced Search Options: You need not charge your customers for every feature. Instead, offering advanced capabilities at a fixed fee while providing the primary services for free is more feasible. Your paid customers can leverage modified search options to discover and book contractors.

2. Personalized Recommendations: Customers with premium access can avail of personalized services and recommendations that suit their requirements and interests. You can emphasize their needs and expectations to deliver tailored service, leveling the additional fee they pay.

3. Customer Support: An effective resolution to an issue can do wonders to increase customer service. You can ensure your paid customers receive 24/7 customer service to assist them with their queries and concerns.

Launch your handyman app startup - ValueAppz

Tips For Maximizing Your Handyman App Revenue

There are many routes you can take to accelerate revenue generation. The most common tips include: 

1. Optimize User Experience and Design

You have planned a great and flawless on demand handyman app development users can utilize on the web, mobile, and desktop. That is a lovely way to provide seamless services, but accessibility is not the only factor to work on. About 90% of users stop engaging with an app due to poor performance. Your app should be easy-to-use, pleasing in appearance, and gratifying to cruise from one page to another.

Moreover, ensure your tactics to monetize your app do not drop off the UX. The app design must take note of users’ requirements and offer smooth navigation. You must strive to make good impressions all the way from booking service to completing payment.

When you hit the right balance of functionalities and features in your user experience, you will leave clients satisfied and happy. And you know what happens then? The delightful experience will compel them to come back for more!

2. Offer Discounts and Loyalty Programs

As said, you have to earn loyalty, whether it is your favorite person or a brand. In your case, you have to win the trust of your clients to keep them on your side. Some users do not prefer purchasing in-app offerings or regular subscriptions. But everyone likes a good deal, yes? 

You can drive conversion by presenting eye-catching discounts and loyalty programs to users. Approximately 37% of consumers are willing to pay to receive an enriching loyalty program. Further, coupon and discount codes can change the behavior of 83% of regular customers. You can group the discounts and rewards with a referral campaign. This way, a user will need to perform or conclude a specific action to avail of them.

3. Leverage Data Analytics to Optimize Pricing and Promotions

With new trends and innovations, knowing what your customers want is nothing less than a pain. Data analytics is such a buzzing technology that aims to simplify the process. Around 57% of companies use data and analytics to drive strategy and transformation.

So, how does it work? Data has become an indispensable part of the digital realm. Your app generates piles of data daily as log files, customer-related data, and transactional data. You can use the accumulated data to determine customer patterns and understand their behavior to make sound decisions.

Data analytics helps derive value from user data and gain valuable insights to predict their next move and improve the overall app performance. You can measure the impact of current pricing and promote campaigns and evaluate users’ interaction with them.

4. Continuously Evaluate and Adjust Monetization Strategies

So it should be easy to form a broad user base now that you have some effective tricks under your belt, right? Well, not really! If you think implementing the best solutions to monetize your app is the end of it, you are mistaken. Market conditions change depending on the present needs of customers. After adopting the new strategies, you must assess the app’s performance and observe how users respond

Moreover, you must fine-tune your methods to meet customers’ demands for an impeccable experience. Ensure that your monetization efforts do not overly intrude on the customer journey. The key to an optimal conversion strategy is to offer quality services that entice users to invest in your app.

Best Practices For Successfully Monetizing Your Handyman App

Developing an uber-like handyman marketplace is the first step to a favorable business. However, you must practice some practical strategies to monetize the app. Listed below are the best ways to ramp up your app revenue stream:

A. Importance of Transparency and Communication with Users

Users often only desire to learn what they can expect from a particular service. However, setting unrealistic expectations to outshine your competitors can be a downfall for your company. That is why it is critical to be transparent and inform customers what they will get. 

Whether you are releasing a new product or discontinuing a service, do not keep your audience in the shade and particularly refrain from lying. Moreover, attracting new customers should not be your only priority. Work on retaining your loyal customers so they continue engaging with you.

Begin by deciphering what your customers seek and giving them that to satisfy their demands. Further, acknowledge their opinion and address the feedback they leave after taking your service. It will help you retain users for a long time, ultimately increasing your revenue. The more transparency and clarity you provide, the more you will step up the growth ladder.

B. Balancing Revenue Goals with User Satisfaction

Suppose you plan to incorporate an advertising model to boost your revenue. Your app will show ads to promote services, and you will get an amount for every click on the ad. The idea will only work as long as you do not compromise user satisfaction. 

How would you feel when you want to book a quick service, but the application keeps serving you with unnecessary advertisements? Maybe using the other platform would sound better.

Customer satisfaction is closely knitted with retention and revenue. It does not take much for a user to abandon the platform if your services are not up to par. If you fail to deliver satisfaction with your high-priced services, they will attain it from other apps. Therefore, aim for a customer-centric culture to attract and sustain customers that guarantees brilliant customer service.

C. Building Trust and Reputation in the Industry

The obvious factor that helps users trust your business is the security and honesty you promise. Data privacy has always been one of the hot topics in the virtual sphere. When your business uses customers’ data, holding the information securely and confidentially is essential. A minor breach from your side can cost you all your customers and ruin your reputation.

About 48% of users say earning trust is more tricky than ever for companies. Establishing and maintaining strong customer relationships is the answer to building trust and credibility in the marketplace. Happy customers will recommend you to their friends and acquaintances on a positive note and contribute to your success.


As the demand for online home services skyrockets, ensuring a seamless and user-friendly experience is crucial. Whether you’re a newcomer or an existing business owner, understanding and implementing effective monetization models and strategies are key to success.

You can explore various avenues such as commission-based earnings, subscription models, and freemium approaches to optimize your revenue streams. It’s important to balance revenue goals with user satisfaction, build trust, and leverage data analytics for long-term success. To stay ahead in the competitive market, adopt transparent communication, continuous evaluation, and strategic partnerships to unlock the full potential of your handyman app.

Feel free to get in touch with us if you need assistance with developing and monetizing your home services app. We will assist you throughout the process.

FAQs Related to Handyman App Monetization

Qn 1. How Can I Monetize my Handyman App Effectively?

Consider implementing various monetization models like commission-based, subscription-based, freemium, or advertising-based, based on your business goals.

Qn 2. How Can I Set Optimal Pricing Strategies for my Handyman App Services?

Evaluate fixed, dynamic, or surge pricing strategies based on market demand, user preferences, and the value proposition of your services.

Qn 3. Is partnering with Local Businesses a Viable Monetization Strategy for my Handyman Business?

Yes, forming partnerships can provide additional service providers, expanding your app’s reach and ensuring a more comprehensive range of services for users.

Qn 4. What are Premium Features in a Handyman App, and How do they Contribute to Revenue?

Premium features can include enhanced search options, personalized recommendations, and top-notch customer support, providing added value for users willing to pay extra.

Qn 5. How Can I Balance Revenue Goals with User Satisfaction in my Monetization Strategy?

Prioritize user experience, avoid intrusive advertising, and ensure that monetization efforts enhance rather than hinder the overall customer journey.

Qn 6. How can I Continually Evaluate and Adjust My Monetization Strategies for the Handyman App?

Regularly assess user feedback, market conditions, and performance metrics to adapt and refine your monetization strategies, ensuring alignment with evolving customer needs.


Mohit Yadav

As an expert in Digital Marketing, I always look forward to keeping up with the latest trends and customers’ changing demands. Hence, I focus on content that updates the readers in-depth about the industry.

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