Everyone starts a business to earn and to develop their business exponentially. For every business, initial investment is needed to start and after making an investment, they expect returns after some time, that is based on the revenue model.
Revenue model is the theoretical structure that decides and clarifies the income procuring methodology of the business. Revenue model is a structure for creating monetary pay. It is the technique of dealing with an organization’s revenue streams and the assets needed for every revenue stream. It incorporates the product or services of value, the revenue sources, and the target consumer of the product.
Here are the top 3 revenue model for startups,
- Commission Revenue Model
- Markup Revenue Model
- Subscription Revenue Model
Commission Revenue Model
Commission Revenue model is a most used revenue model and high profit returns revenue model, while compared to others.
Commission Revenue model is where the consumer and provider meet at a platform and make a business, for every service or product sold, the admin of the platform will get the revenue in the form of commission or service fee.
For example, Airbnb clone which provides the platform, where providers can list the properties from all around the world, where consumers will come to book the property.
For each and every booking, the admin of the platform will get revenue in the means of service fee and commission.
Service Fee : On an online rental community, the Airbnb clone connects guests and hosts for a percentage of service fee.
Host fee : Our property rental scripts offer a space to list a property, so that the admin gets some share as fee from the host, to list property.
Host experience service fee : Exclusive addon is also a earning element. Admin, who manages experience can acquire service fees for bridging hosts and guests.
You can get a clear vision by checking our demo details and this airbnb clone can be used for any types of rental businesses (not only for property rentals). For ex: Space rental business, Car rental business, Boat rental business, Vacation rentals, Tools or equipment rental.
Subscription Revenue Model
Subscription revenue model is the most simple and well known model.
Subscription revenue model is the one where consumers will be charged for a particular service in a monthly / yearly / weekly manner.
This model is having a high recurring ratio, where users will come back to the platform if the customer likes the service, which will create constant revenue to the admin.
For example, Tinder clone which provides the platform for connecting two people if they are interested in each other, they can chat and meet.
In this platform, if the user doesn’t find any perfect match, they can subscribe to the plan to get special features for a particular period. After that period, if they like that service they can continue with a subscription to extend.
You can get a clear vision by checking our demo details and this tinder clone can be used for any types of matching peoples (not only for dating or mate finder). For ex: Sports persons, Business partner, Music mate, Dancer mate etc.,
Markup Revenue Model
Markup Revenue model is the most normal and well known model.
Markup Revenue model is the one where the provider purchases the one item for a particular price and sells it to the customer for the price that is higher than the purchased amount.
Seller buys the product from the manufacturer, before selling it to the consumer at low price.
For example, Seller will buy the shirts from the manufacturer at the price of 6 $ USD, and sell it at 8 $ USD, that 2 $ USD will be the markup for the product.
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