Pricing strategy · Marketplaces

How have you decided on rake for your marketplace?

Megan May UI Designer at Chicyy

December 14th, 2015

We’re launching a human capital-related marketplace in the immediate term and going back and forth on how much rake (aka commision that we take) to charge.  Too low and margins suffer, too high and liquidity of the marketplace suffers. Curious to hear how others have gone about testing this and lessons learned.

Too many founders wing it when it comes to financials; they have no idea how to explain them to investors. In this course, we’ll teach you how to build a basic financial model; read financial statements; and understand cash flow, balance sheets, and income statements.

Daniel-Flavius Lucica

December 15th, 2015

Have you identify your target market an target customer? 
Have you identified your competition? 
How much are they charging and what is the value they offer compared to yours? 
What is your target market share? 
What is your growth plan? 
Have you asked your target customer how much are they willing to pay?

All those questions and more will point you to the right answer. And that's just your starting point. You will have to adapt to what the market is telling you.

Bottom line: there's no going around doing your job. You need to know your numbers or get someone who does.