Online On-Demand Home Services Market Size, Share, Trends, Growth 2032

Online On-Demand Home Services Industry Prospective:

The global online on-demand home services market size was evaluated at $5 billion in 2023 and is slated to hit $21 billion by the end of 2032 with a CAGR of nearly 13% between 2024 and 2032.

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Online On-Demand Home Services Market: Overview

Online on-demand home services have brought a paradigm shift in effectively managing our routine and daily household activities. They link end-users with service providers and provide a slew of services timely. Reportedly, they offer home cleaning & maintenance, beauty & wellness, home improvement, laundry, grocery delivery, and tutoring services. For the record, one can book services anytime and from any place.

Key Insights

• As per the analysis shared by our research analyst, the global online on-demand home services market is projected to expand annually at the annual growth rate of around 13% over the forecast timespan (2024-2032)
• In terms of revenue, the global online on-demand home services market size was evaluated at nearly $5 billion in 2023 and is expected to reach $21 billion by 2032.
• The global online on-demand home services market is anticipated to grow rapidly over the forecast timeline owing to a rise in smartphone use and seamless web connectivity.
• In terms of service type, the home cleaning & maintenance segment is slated to register the highest CAGR over the forecast period.
• On the basis of business model, the subscription-based platforms segment is likely to contribute majorly towards the industry growth over analysis timeline.
• In terms of consumer demographics, the age segment is likely to maintain segmental dominance in the forthcoming years.
• Region-wise, the Asia-Pacific online on-demand home services industry is projected to register the fastest CAGR during the assessment timespan.

Online On-Demand Home Services Market: Growth Factors

Large-scale use of iPhones and smartphones is likely to propel the global market expansion

A rise in smartphone use and seamless web connectivity is likely to drive the growth of the global online on-demand home services market. Furthermore, swift urbanization and hectic lifestyles are some of the major factors that have played a pivotal role in influencing the demand for time-saving services, thereby driving global market trends.

Moreover, changing customer tastes and an increase in the use of new technologies are expected to proliferate the size of the global market. In addition, the rapid expansion of the gig economy has produced a pool of independent service providers that can easily connect with consumers with the help of digital tools. This can pave the way for humungous growth of the market globally.

Online On-Demand Home Services Market: Restraints

Rise in the incidences of data breaches is projected to hinder the global industry surge

Surging data security concerns and the limited availability of skilled workforces have posed a huge hindrance in the growth path of the global online on-demand home services industry. Strict legislation pertaining to online transactions can also obstruct global industry expansion.

Online On-Demand Home Services Market: Opportunities

An increase in the gamut of new service offerings is likely to shape the growth of the market across the globe

An increase in service offerings and technological integration, such as the use of AI for personalized services, can open new growth avenues for the global online on-demand home services market. Furthermore, implementing eco-friendly initiatives by service providers to offset carbon footprints on the environment will prop up the global market expansion.

Online On-Demand Home Services Market: Challenges

Fluctuations in the service demand and high consumer acquisition costs can deter the global industry expansion

Rising operating costs and seasonal demand can challenge the growth of the global online on-demand home services industry. Moreover, customers are price-conscious, which can limit the industry demand globally. Escalating prices related to customer acquisition strategies, such as advertising and promotional activities, can shrivel global industry revenues.

Online On-Demand Home Services Market: Report Scope

Online On-Demand Home Services Market: Segmentation

The global online on-demand home services market is divided into service type, business model, consumer demographics, and region.                                             

In terms of service type, the online on-demand home services market across the globe is segmented into beauty & wellness, home cleaning & maintenance, pet care, and home improvement segments. Apparently, the home cleaning & maintenance segment, which accrued nearly half of the global market earnings in 2023, is predicted to register the fastest CAGR in the next couple of years as a result of the huge demand for home cleaning & maintenance services in various households. Additionally, a rise in awareness about health and hygiene will steer the segmental surge.

Based on the business model, the global online on-demand home services industry is sectored into commission-based tools, direct service provisions, and subscription-based platforms segments. Furthermore, the subscription-based platforms segment is likely to contribute noticeably towards the global industry surge over 2024-2032, and this can be due to predictable revenue streams of subscription-based models. Moreover, this model provides discounts on bundled products, which helps increase the value of the demand for home services for customers along with augmenting long-term consumer relations.

On the basis of consumer demographics, the global online on-demand home services market is segregated into age, location, and income-level segments. Moreover, the age segment, which led the segmental surge in 2023, is predicted to retain the segmental leadership position in the forecasting timespan owing to young professionals opting for online on-demand home services due to busy lifestyles.

Online On-Demand Home Services Market: Regional Insights

North America is projected to maintain leading position in the global market over the assessment period

North America, which accounted for nearly 70% of the global online on-demand home services market size in 2023, is expected to maintain a number one position in the global market during the forecasting timeline. In addition to this, the regional market surge in the coming few years can be credited to the presence of a strong customer base.

Apart from this, seamless web connectivity and a prominent rise in smartphone use will proliferate the size of the market in North America. Presence of key service providers in the countries such as the U.S. will drive the growth of the market in North America.

The Asia-Pacific online on-demand home services industry is set to record the highest CAGR in the predicted timespan. The swift elevation of the industry in Asia-Pacific can be credited to the surging per capita income of the consumers, supportive demographics, and swift urbanization.

Moreover, countries such as China, Japan, Thailand, and India are projected to be the major regional revenue growth drivers in the near future.

Online On-Demand Home Services Market: Competitive Space

The global online on-demand home services market encompasses key players such as:

• LawnStarter
• Merry Maids
• TaskRabbit
• Angi Inc.
• Helpling GmbH
• Amazon Home Services
• Jobber
• Handy
• Thumbtack
• HomeAdvisor
• Urban Company
• Care.com
• Bizzby
• HouseJoy

The global online on-demand home services market is segmented as follows:

By Service Type

• Beauty & Wellness
• Home Cleaning & Maintenance
• Pet Care
• Home Improvement

By Business Model

• Commission-Based Tools
• Direct Service Provisions
• Subscription-Based Platforms

By Consumer Demographics

• Age
• Location
• Income-Level

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa