Online marketplace platform TaskRabbit facilitates different types of service transactions including home cleaning, plumping, and more. The company operates on a marketplace business model and connects local service providers with customers. TaskRabbit makes money through service fees, registration fees, etc.
If you’re thinking of starting a service business with an app like TaskRabbit and want to know more about the company’s work, business, and revenue model, this article can help you with the same. Read on to find everything about the TaskRabbit business model, its workflow, and its revenue model right away.
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What is TaskRabbit?
TaskRabbit is an online marketplace platform that matches freelance labor with customers. The easy-to-use platform makes it easier for customers to find help for their day-to-day tasks, including handyperson, moving, delivery, furniture, and more.
Founded by Leah Busque in 2008, TaskRabbit received $37.7 million in funding in 2012. The company has also acquired One Jackson, an eCommerce kid’s clothing site. The marketplace platform has tens of thousands of “Taskers” to help people.
TaskRabbit was acquired by the INGKA Group (IKEA) in 2017. The two-sided TaskRabbit business model now provides access to more than 40 service categories, including home cleaning, plumbing, repairs, etc. The company has launched in Cumbria. The marketplace platform creates new job opportunities for job seekers and allows them to earn extra money.
Figures, Facts, & Success Story of TaskRabbit
Founded: 2008
Founder: Leah Busque
Headquarters: New York, North America, and Europe
Area served: Across cities in the United States, United Kingdom, Germany, Italy, Canada, France, Portugal, Monaco, and Spain.
Services: Online marketplace
Website: www.taskrabbit.com

Recently the two-sided marketplace platform has launched a global brand refresh. TaskRabbit has introduced a lower-case wordmark with different “a” characters and removed the “rabbit” image from its logo and updated the brand color. Distinct “a” characters in “task” and “rabbit” represent the uniqueness of Taskers and clients, but are important for the company.
Getting impressed by the success timeline and working model of TaskRabbit, many service businesses are looking to give a modern touch to their business. If you are also looking to take your service business online, White Label Fox is here to help. You can invest in our delivery anything app to manage your service business systematically without hassle.
TaskRabbit Business Model: Explore Everything Here!
Started working as a platform for getting the daily chores done, TaskRabbit has come a long way. The platform connects needed customers with skilled and professional experts who can complete home projects when you don’t have time to work by yourself. Whether users need furniture to assemble, the bathroom cleaned, or the plumbing, they can use TaskRabbit to find and hire independent contractors.
The two-sided marketplace platform enables professionals or taskers to get financially stable for their families and themselves. The TaskRabbit app is divided into two parts:
- Task Posters
- Service Providers or Taskers
This marketplace app is a boon for those who are very busy with their schedules. It’s also beneficial for those who don’t have time for performing their own simple household chores.
The on-demand app connects local demand with labor, many are choosing to build an app similar to TaskRabbit to let their targeted customers find instant help for completing their everyday chores such as moving, delivery, handyman, and cleaning work. If you are also planning to build an app similar to TaskRabbit, you must have an idea about a TaskRabbit business model, check the important segment of each here.
Value Proposition
- Get easy help
- Save time
- Background checked taskers
- Cash-free payment
- Insurance
- Enables taskers to work flexibly at anytime
- Local job opportunities
- Instant money
- Better income on an increase in reputation
Customer Segment of TaskRabbit Explained:
TaskPosters
- Users can outsource errands by posting the job on the platform, and the app similar to TaskRabbit connects them to background-checked taskers.
- People who are busy can easily post the task through the app, taskers will take care of time while completing the task.
- People can easily pay through TaskRabbit after the task has been accomplished.
Taskers
- People who are unemployed can make money by registering themselves on the marketplace app.
- Background-checked taskers are interviewed to provide you with professionals.
- The previous TaskRabbit business model would bid for jobs. After the upgrade in the business model in 2014, taskers are automatically assigned a job.
- Taskers can choose to accept or reject the job.
How Does Taskrabbit Work for Task Posters (Users)?
TaskRabbit enables users to search for household chores professionals to get their tasks done when they have a busy schedule. Older or disabled people can even search for professionals who require help to perform tasks.
- Users can register with the marketplace platform by entering their name, number, email, and address. They can even enter the payment details to complete transactions hassle-free.
- Users can post a job and they can search for taskers by entering the description of the task, the address where they have to do the job, and details depending on the task type.
- Users can check the taskers list after entering the details. They can even filter taskers by entering the date and task.
- Users can sort taskers on a price basis, tasks completed, and positive reviews.
- Users’ Geolocation details help them to find taskers nearby.
- Once users place the request, Taskers receive the task request.
- Once the tasker accepts the request, the user can interact with the tasker through in-app chat.
- After task completion, users can rate and review taskers depending on experience.
How Does Taskrabbit Work for Taskers (Service Providers)?
- Just like Task posters or users, taskers can create a profile. Taskers can enter details such as an address, area, contact details, information about their profession, and other details. This detail helps them to win the trust of users and avoid scams.
- Taskers can enter credit card details or account information to pay quickly.
- TaskRabbit checks taskers’ backgrounds before approving their profile keeping users’ security at the center focus.
- Once the platform approves taskers, they can start by accepting the request.
- Taskers can accept or reject the task request depending upon their availability.
TaskRabbit ensures to provide top-quality service to ensure users’ safety. The marketplace app analyzes taskers’ profiles and rewards them with tags, badges, etc., depending on their performance. TaskRabbit ensures that their taskers are qualified and have expertise with their services. Let’s explore more about the previous TaskRabbit business model and why the company updated it right below.
Three-Step TaskRabbit Business Model: How Marketplace Platform Works?
- Once the Task Posters post a job, TaskRabbit suggests three options along with details like hourly rate, feedback, experience, and other details.
- Taskers can accept or reject the job request as per their convenience.
- Once taskers accept the request and complete the tasks, they are paid for it through the payment option of their choice.
Shift TaskRabbit Business Model: Inspiring Story
When TaskRabbit was launched in 2008, the approach was favorable towards TaskPosters. They can post a job and the price they are willing to pay and Takers can bid to win that job. But the updated TaskRabbit business model is tasker centric.
TaskRabbit updated its business model in 2014, the company rebooted its original task of posting and bidding model to a direct hire-only model. Various changes came along with the 2014 reboot, these includes:
- Taskers are assigned the tasks instead of choosing the one by themselves.
- Taskers must use an app for booking, scheduling, and chatting with task posters.
- Taskers can use a calendar for scheduling and availability.
- Taskers should respond to assignments within a time limit (30 minutes), even though the task isn’t within the area they choose.
The marketplace platform also declared that it will pay taskers hourly basis, instead project basis.
TaskRabbit Business Models Key Problems and Solutions
In the earlier TaskRabbit business model, the price the TaskPosters quoted were less than the minimum wage. But thanks to a new model, Taskers can specify their skills and hourly rate, and they will be auto-assigned without the need to go through the bidding process.
Task Posters can lie about the work amount, the amount of work portrayed would contradict the one on the marketplace platform. Most Taskers hence feel underpaid. But in the new model, TaskPosters need to pay based on an hourly rate. The bidding process in previous TaskRabbit’s business model was time-consuming, but the process is automated in the new business model connecting three taskers.
Taskers get 30 minutes to respond to the “invite”. TaskRabbit has also updated its review and rating system to rate Taskers and their service. Also, rate TaskPosters that have mistreated the Taskers.
TaskRabbit Revenue Model: How Does a Company Make Money?
Taskers earn around $80 for holiday tasks like gift wrapping and decorating. TaskRabbit works like other on-demand home service platforms and acts as a mediator between users. The main earnings for a platform are a commission which it charges. Let’s explore the TaskRabbit revenue model in-depth to know how it makes money.
Commission Fee
TaskRabbit receives a commission for every task that is completed on the app. The service fee that the marketplace platform charges is calculated as 15% of what taskers are paid. Once the task poster makes an online payment, 15% is charged by TaskRabbit and the rest amount is transferred to the taskers.
Trust and Support Fee
TaskRabbit charges around 7% of support and trust fee to each online invoices, these fees are paid by task posters. The trust and support fees are what the company gets in exchange for the support the company provides.
Peak Pricing
TaskRabbit can add peak pricing if certain services are in great demand. The demand for certain services is high, this ensures that the task posters who are ready to pay high get top priority.
Advertising Charges
Advertisers who want them to be featured on top need to pay advertising costs. Advertising helps them get visibility and work.
Get Your App like TaskRabbit Developed Today!
On-demand apps have made our lives easier and faster. Handyman apps and marketplace apps have given way to professionals to make money and get job flexibility. People are not only using an app like TaskRabbit for their daily work but also to find support during their busy schedules. This has opened huge opportunities for businesses who are thinking to start a business like TaskRabbit.
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Frequently Ask Questions
TaskRabbit is an online marketplace that connects people with local
freelancers (known as "Taskers") who can help with a variety of tasks
such as cleaning, moving, furniture assembly, home repairs, and more.
TaskRabbit operates on-demand, offering a convenient platform for users
to outsource everyday tasks.
TaskRabbit offers a wide range of services, including:
- Home Cleaning: Regular cleaning, deep cleaning, and
one-time cleaning services.
- Furniture Assembly: Assembling furniture from stores like
IKEA.
- Handyman Services: Minor repairs, installations, and
improvements around the house.
- Moving Help: Assistance with packing, moving, and
unloading heavy items.
- Delivery & Pickup: Tasks like grocery shopping or parcel
delivery.
- Event Assistance: Help with setting up or cleaning up
after events.
- Home Cleaning: Regular cleaning, deep cleaning, and one-time cleaning services.
- Furniture Assembly: Assembling furniture from stores like IKEA.
- Handyman Services: Minor repairs, installations, and improvements around the house.
- Moving Help: Assistance with packing, moving, and unloading heavy items.
- Delivery & Pickup: Tasks like grocery shopping or parcel delivery.
- Event Assistance: Help with setting up or cleaning up after events.
TaskRabbit generates revenue by charging both customers and Taskers.
Here’s how:
- Service Fees: TaskRabbit takes a percentage of the total
payment made by the customer. This fee usually ranges from 15%
to 30%, depending on the task.
- Tasker Fees: Taskers may also be charged a fee for using
the platform. In addition, TaskRabbit may charge Taskers for
background checks or for premium services like featured
listings.
- Surcharge: Some specific services, such as those
requiring urgent delivery or specialized skills, may include
additional charges.
- Service Fees: TaskRabbit takes a percentage of the total payment made by the customer. This fee usually ranges from 15% to 30%, depending on the task.
- Tasker Fees: Taskers may also be charged a fee for using the platform. In addition, TaskRabbit may charge Taskers for background checks or for premium services like featured listings.
- Surcharge: Some specific services, such as those requiring urgent delivery or specialized skills, may include additional charges.
No, TaskRabbit is not available everywhere. The platform primarily
operates in major cities across the U.S., Canada, the UK, and a few
other countries. However, availability can vary, and the list of cities
where TaskRabbit operates continues to grow. You can check the
TaskRabbit website or app to see if the service is available in your
area.
TaskRabbit ensures the quality of Taskers by conducting background
checks, verifying credentials, and collecting reviews and ratings from
customers. Taskers are also required to maintain a good track record to
stay on the platform. This helps build trust between Taskers and
customers.
Yes, Taskers have the flexibility to set their own hourly rates,
although TaskRabbit provides guidelines based on the type of task and
location. Taskers can also choose which jobs they want to accept, which
gives them full control over their schedule and earnings.
For customers, TaskRabbit offers several benefits:
- Convenience: It allows people to outsource tasks quickly
without needing to search for individual service providers.
- Time-Saving: Users can have household tasks completed
while they focus on more important responsibilities.
- Trusted Workers: TaskRabbit's background checks and
ratings system ensure that customers can trust the Taskers they
hire.
- Flexibility: Tasks can be completed on-demand, making it
ideal for urgent or last-minute jobs.
- Convenience: It allows people to outsource tasks quickly without needing to search for individual service providers.
- Time-Saving: Users can have household tasks completed while they focus on more important responsibilities.
- Trusted Workers: TaskRabbit's background checks and ratings system ensure that customers can trust the Taskers they hire.
- Flexibility: Tasks can be completed on-demand, making it ideal for urgent or last-minute jobs.