NoBroker Business Model: How Does Nobroker Make Money?

NoBroker business model

NoBroker has emerged as a game changer in the real estate sector, which has disrupted the traditional brokerage model with its innovative approach for property transactions. 

NoBroker business model

In this article, we’ll study about how the NoBroker business model works and makes money to run its business. 

1. NoBroker Company Profile 

NoBroker is an online platform which has revolutionized the way people used to buy, sell, or rent properties. It is one of the prominent names in the real estate market. This platform directly connects property owners with various potential buyers or tenants, eliminating the need for middlemen or intermediaries like the agents or brokers. 

Company name NoBroker 
Founded 2014 
Founders Amit Kumar Agarwal, Saurabh Garg,
and Akhil Gupta. 
Headquarters Bengaluru, Karnataka, India . 
Operating in sector Real Estate, Proptech 
Operating space C2C (Consumer-2-Consumer)
Became unicorn in November, 2021 (when the business raised $ 210 million
in Series E funding to become the first proptech unicorn)
Revenue Rs.326 crore (FY22)
Overall income Rs.370 crore (FY23)
NoBroker Company Profile

Key Points

  • The company has 30 lakh+ monthly customers.
  • Has saved around Rs.130 crore+ monthly brokerage. 
  • Has got 2 lakh+ new listings monthly. 
  • The company allows tenants and buyers to use 9 connections and 25 contacts respectively without subscription (free of cost). 

2. Working Strategy

(2.1) Business Model 

NoBroker works on a C2C (consumer-to-consumer) model, where it directly connects property owners with the various property seekers, buyers or renters without any middlemen and brokerage fees.

NoBroker working

This model has streamlined the property transaction process and has helped both the parties to reduce the associated costs with the property matters. 

Apart from real estate services, it offers services like home painting, packers and movers facility, home interiors, loans, etc. which contributes to its earning. 

(2.2) Verified Listings 

NoBroker platform deeply verifies the property owners and listings in order to minimize the fraud rate and ensure that their users are getting the right property information. 

(2.3) Maintaining Database 

It maintains a verified and extensive database of property listings and owners, which is being regularly updated, ensuring that the users are getting access to the latest updates information and options regarding various properties. 

(2.4) Personalized Offers 

By making use of AI technology and its algorithm, the company offers their users a  personalized recommendation about property options based on their preference and choices. 

(2.5) Working Channels/Mediums

The company makes use of a variety of channels to connect with their customers. Its primary operating channels is its online platform, and apart from that it makes use of digital tools like SEO, SEM, billboards, print media, etc. 

3. Revenue Sources 

Below are some sources through which NoBroker earns money. 

(3.1) Subscription based model 

NoBroker offers subscription plans designed for the needs and specifications of property owners, buyers, sellers or tenants. By availing the subscription plan by the company, the user gets access to the special services, plans, features, priority customer support, etc.  

NoBroker revenue sources

(3.2) Transaction fee 

The company charges a minimal amount of processing fee and GST on transactions. Users can avail upto 50% discount on processing fees by referring their friends or family to the NoBroker rent payment service. 

(3.3) Rent Charges 

NoBroker generally charges around 1% of the total monthly rent paid through the platform. With that it offers exciting rewards and offers if the rent is paid through credit card on the company platform. 

(3.4) Additional Service Charges 

NoBroker on its platform offers additional value added facilities like home services, loan facilities, AC services, etc, on which the company earns a commission. 

(3.5) Strategic Partnerships 

The company partners with various financial institutions like banks, home service providers, technology partners, property developers, etc, which helps them in enhancing overall user experience and to have more earning sources. 

4. Marketing Strategies 

The company has used various marketing campaigns to promote their message and services, and with that ensuring their users to have a seamless property experience. 

(4.1) Advertising 

NoBroker uses various channels and mediums to advertise its services and products, like television ads, billboards, online ads, radio ads, etc. which all in turn helps the business to grow and have a more recognized name in the market. 

NoBroker Ads

(4.2) Digital marketing 

It has made use of various digital channels like social media, search engine optimization, i.e. SEO, SEM, and online advertising to reach their target customers and audience. It runs multiple campaigns on channels like Instagram, Facebook, and on other social platforms. 

(4.3) Word of mouth marketing

NoBroker supports word of mouth marketing by delivering great services to their users and encouraging them to refer their friends and family to the platform. 

At last, NoBroker has indeed revolutionized the traditional way people used to sell, buy or rent property. As the name of the company says, NoBroker, which means the platform connects the potential buyers, sellers or tenants directly with the property owner, without the intermediaries, which all results in a hassle free property process. 

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Published By: Aashita Singh
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Nitya Rai
Nitya Rai
3 months ago

My friend recommended me this when I shifted to Bangalore, and I must say it’s services are pretty affordable and user friendly.

Shalini Dhar
Shalini Dhar
3 months ago

I agree paying rent through NoBroker has saved me a lot of money!

Shivam Jain
Shivam Jain
3 months ago

With this detailed info got to know about other Nobroker services too apart from brokerage ones only!