7 Examples: How Much Does it Cost to Build an Online Marketplace Website?

Consumers today expect seamless shopping experiences, and platforms like Amazon, Etsy, and Fiverr are leading the charge in delivering that convenience. In fact, global online marketplaces generated over $3.5 trillion in Gross Merchandise Value (GMV) in a single year—a clear indication of the booming demand.

But what does it actually cost to build a marketplace app or website in 2025?

The marketplace app development cost depends on several factors, including your business model and the type of software solution you choose. While the marketplace website development and building a marketplace from scratch involves significant investment in planning, development, and validation, modern no-code solutions offer a faster and more cost-effective alternative. Platforms like Shipturtle provide a powerful, scalable solution starting at just $49/month, in addition to the Shopify store plan.

In this article, we will learn the cost of developing the following types of online marketplaces with their features and costs:

1. How much does a marketplace website like Amazon and eBay cost?
2. How much does it cost to build a marketplace website like Airbnb?
3. How much does it cost to build a website like Coursera or Udemy?
4. How much does it cost to build a travel marketplace similar to Booking.com or Expedia?
5. How much does it cost to create a freelance marketplace site like Upwork, Fiverr, or Freelancer?
6. How much does building a real estate marketplace site like Zillow cost?
7. How much does it cost to create an online marketplace similar to Foody?

Image: Top 100 global online marketplace platforms' total Gross Merchandise Value (GMV) from 2018 to 2024. ( Source )

Why Choose the Marketplace Model?

For entrepreneurs and small businesses, the marketplace business model offers a host of practical advantages that can make launching and growing an online venture much more accessible.

Key Benefits for Small Businesses:

• Low Barrier to Entry: Instead of investing heavily in infrastructure or inventory, you can start selling with minimal upfront costs. This is especially helpful if you’re working with a tight budget or testing new product lines.
• Immediate Audience Access: Marketplaces allow you to tap into existing pools of potential customers, eliminating the need for hefty marketing spends to generate initial traffic.
• Streamlined Operations: Features like secure payment gateways, order management tools, and user-friendly interfaces come standard. This reduces your workload and lets you focus on what matters: sourcing great products and growing your business.
• Scalability: As your business grows, marketplaces make it easy to expand your reach—whether you’re adding new products or exploring entirely new markets.

In short, the marketplace model provides a launchpad for entrepreneurs ready to compete with established players, without requiring enterprise-level budgets or technical teams.

Cost of building an MVP vs custom marketplace development

The cost estimation is based on the website's complexity levels.

Click here to check out successful Shopify stores converted into multi vendor marketplaces using Shipturtle app.

4. How much does it cost to build a travel marketplace similar to Booking.com or Expedia?

This type of online marketplace website allows consumers to stay within their location and requirements. You need to book a hotel of your choice, choose the room type and amenities, and make the payment. The entire transaction takes place on the platform itself. The cost of making a hotel e-commerce website can vary as on features and integrations.

Features of these types of websites:

• Hotelier section, where hotel owners list their hotel rooms, room prices, and availabilities.
• The guest section has a host of functionalities and features like guest profile, reservation panel, room availability with dates, and price tag. From booking a hotel to payment and canceling with a refund, all happen on a single marketplace platform.
• The admin section has control of the user and fee management, CMS, reports and so much more.

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Time taken to make a website similar to Booking.com or Expedia

• 6 to 7 months
• 1 to 2 months for a simple white-label website builder

5. How much does it cost to create a freelance marketplace site like Upwork, Fiverr, or Freelancer?

Today, gig or freelance marketplaces have become a hit among individuals, brands, and enterprises looking for customized and specialized solutions like content marketing needs, social media creation, website development, and so on. Freelance saves costs for companies while also giving them an experienced and skilled professional. The freelance online marketplace in 2024 has become a hit among recruiters.

Features of freelance or gig websites:

• The client section is where work requirements or job postings are done. Order management can also be tracked.
• There is a section for job or work finders. The job details page includes the description, requirements, and client information. To apply for a job, users can submit proposals or place bids. Proposal management allows users to view invitations and manage past and current job orders.
• My job/work/contract section provides details for each work/job, which can be paid hourly using an online web tracker or at a fixed price with escrow protection. The cost of creating an online site like Upwork or Fiverr will vary depending on many parameters.
• The admin panel is where you can keep track of user management, data and analytics, fee management, and more.

The building costs of a marketplace like Upwork or FiverrTime TakenAnywhere between $30000 to $50000If you build an MVP freelance marketplace, then it could take approximately 3 to 5 months.

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Time taken to build an MVP freelance marketplace like Upwork or Fiverr could take approximately 3 to 5 months.

Check out our guide on how to build a service marketplace.

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6. How much does building a real estate marketplace site like Zillow cost?

Zillow is a famous online real estate marketplace that allows consumers to buy, rent, and lease out properties to prospective clients. They provide a deep understanding and information of the property that aligns with the consumer demand and need.

Features of the platform:

A real estate marketplace platform includes essential tools that help users discover, evaluate, and manage property listings efficiently.

• Registration and Authorization

Users can quickly sign up or log in to access platform features. Once registered, they can list properties, browse available listings, and save preferences based on their needs.

• Detailed Listing Profiles

Each property listing includes complete information such as high quality images, descriptions, amenities, pricing, square footage, property facing direction, and estimated total cost. This helps buyers make informed decisions without confusion.

• Advanced Search and Filtering

Smart search tools allow users to filter properties by location, price range, property type, size, and other specific criteria. This improves property discovery and reduces search time.

• Map Integration

Map based search enables users to view property locations visually along with nearby amenities. This makes it easier to evaluate neighborhoods and compare options.

• Push Notifications

Real time alerts notify users about new listings, price updates, and responses to inquiries. This keeps engagement high and ensures users do not miss important updates.

Together, these features create a user friendly, transparent, and efficient real estate marketplace experience.

7. How much does it cost to create an online marketplace similar to Foody?

Foody is a global marketplace for chefs and cooks. It is a digital platform that brings chefs, culinary experts, and cooks to individuals looking for customized, local food options. It is also a great online store that connects sellers, including local farmers, food producers, and restaurants, offering a vast selection of food products in one convenient location.

Features of the website:

• The foody platform has a registration dashboard with two account types for foodies (home cooks) and creators (chefs and influencers), allowing seamless sign-ins.
• The home page includes blocks showcasing featured recipes, creators, and collections.
• Users can create recipes with pictures and videos, rate and review recipes and collections, and access an admin panel with analytics and management tools.
• Moreover, the platform integrates modernized payment systems like Stripe on the platform itself.

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Time taken to create a website like Zillow or Foody: Anywhere under 6 months

Check out our guide on how to build a C2C marketplace.

Top factors influencing the cost of building a marketplace website

The marketplace website development cost can depend on many factors. However, roughly and depending on the complexity of the website, the cost to build an online marketplace business site could vary anywhere between $30000 to $300000. Here are the factors to consider for your website building costs.

I. Ready made or customized website development from scratch

If you are planning to get a ready-made marketplace app development provider, then the overall cost will depend on the software application and fees. If you choose to hire a freelance website developer, who will build a marketplace website from scratch then the cost will vary as per requirements.

Building a website through ready-made templates could cost between $10 to $500 US dollars. Hiring a website developer could cost you anywhere between $500 to $150,000. You can also hire a developer on an hourly basis. It would cost you between $50 to $100. They can help build a customized marketplace app or website solution.

II. Technological Stack Factors

Your technology stack is the foundation of your marketplace. It includes the programming languages, frameworks, databases, and hosting infrastructure that power your platform. The stack you choose directly affects performance, scalability, security, and long term costs.

Open source technologies can reduce initial development expenses and offer strong community support. Licensed or proprietary solutions may provide advanced features, but they usually come at a higher cost. Ready made marketplace templates are affordable, yet often limit flexibility and customization.

Before building your marketplace, evaluate the tools carefully. Popular technologies such as JavaScript with React for the frontend and Node.js or Python for the backend make it easier to scale and hire developers. A widely adopted stack also simplifies future upgrades and integrations.

The wrong choice can lead to slow load times, limited scalability, and higher maintenance costs. For a growing multi vendor marketplace, prioritize technologies that are scalable, flexible, and easy to update. Your tech stack should support your business goals today and adapt as your marketplace expands.

Image: Top tech stack to build a marketplace

III. Type of marketplace

There are various types of marketplaces to consider. For instance, Vertical, Horizontal, or Global marketplace. When you develop a website, your marketplace type will decide the overall cost of building the platform and investments. From the three, building a global-like marketplace will incur a higher cost, have more technicality, and are generally loaded with a host of features.

• Vertical Marketplace: They have many sellers on the platform but the products sold are of a specific type.
  
• • Example: Zillow, Chegg, Etsy, Uber. Comparatively low cost of setting up this type of online store.
• Horizontal Marketplace: Offers goods and services in different categories with many sellers but with common characteristics.
  
• • Example: Poshmark, Dogvacay, Dote, Couchsurfing. It involves medium investment cost.
• Global Marketplace: They offer multiple sellers and a huge range of products and services across the continents.
  
• • Example: Amazon, Alibaba, Walmart,eBay, Airbnb. It involves high investment cost.

IV. Type of business model

When building your marketplace, niche business models are very important. If you want your business to focus solely on providing products and services to companies then the B2B model is best. For serving consumers, then B2C or direct consumer bases then C2C. The marketplace app development cost also depends on these factors.

V. UI/UX designs, maintenance, and running cost

Even a basic marketplace website requires multiple integrations and systems working together. This includes payment gateways, shipping configuration, product catalog management, inventory tracking, platform maintenance, and ongoing UI and UX updates.

The complexity of your marketplace directly impacts development and operating costs. Every additional feature such as advanced search, multi vendor functionality, real time chat, or analytics dashboards increases both build time and maintenance effort. Custom development costs can rise quickly depending on the level of customization and developer expertise required.

Launching with a minimum viable product can help control initial investment. By focusing only on essential marketplace features, you reduce upfront costs and go to market faster. However, adding advanced capabilities later such as loyalty programs, detailed reporting, or custom integrations can significantly increase long term expenses.

Design is another important factor. A fully customized UI and UX experience improves user trust and engagement, but it also adds to development costs. The more tailored your marketplace experience, the higher the investment required.

To manage marketplace development costs effectively, it is important to:

1. Prioritize core features that drive revenue
2. Evaluate long term maintenance and upgrade costs
3. Avoid unnecessary complexity in early stages
4. Plan scalability from the beginning

Careful planning ensures your multi vendor marketplace remains scalable, cost efficient, and competitive without unexpected expenses in the future.

VI. Strategies to Optimize and Reduce Marketplace Development Costs

Developing a feature-rich online marketplace doesn't have to drain your finances if you take a strategic, well-thought-out approach from day one. Here are a few time-tested steps to keep your development expenses in check and maximize value:

1. Start with In-Depth Research and Planning

Begin by clarifying your idea through thorough market research and product discovery. Mapping out your objectives, features, and user journeys upfront can help you avoid costly detours later. This proactive approach reduces risks and helps you focus resources where they're needed most.

2. Launch a Minimum Viable Product (MVP)

Instead of building the entire feature set upfront, develop a Minimum Viable Product. An MVP includes only the core functionalities your users need to interact with your marketplace. This allows you to gather feedback from real users early on, iterate quickly based on actual use, and avoid spending on features that might never catch on.

For example, many platforms—think early stages of Airbnb or Etsy—started by focusing on their essential marketplace functions before expanding into more advanced territory.

3. Prioritize Security and Ongoing Quality Assurance

Online marketplaces handle sensitive data, from payment information to user profiles. Investing in security protocols, testing, and reliable infrastructure from the outset protects you from headaches (and costs) down the line. Regular quality assurance identifies issues early, minimizing expensive fixes after launch.

4. Choose Your Development Team Thoughtfully

Your choice of technical partner can have a significant impact on both cost and outcome. Look for teams or freelance professionals with strong portfolios, transparent pricing, and positive feedback on platforms like Clutch, Upwork, or Glassdoor. A collaborative, problem-solving approach often leads to smarter, more budget-friendly solutions.

5. Leverage Agile Development Methodologies

Working in short, iterative cycles lets you adapt as your project evolves. Regular check-ins, feedback loops, and reprioritization allow you to adjust your plans quickly—preventing costly missteps and ensuring your funds are always directed toward features your users actually want.

By focusing on these strategies—careful planning, launching lean, prioritizing security, choosing capable partners, and staying agile—you can unlock savings throughout the development journey and lay a scalable foundation for your marketplace.

Hidden costs to consider when budgeting for an online marketplace in 2025

Beyond the initial development expenses, it's important to plan for several ongoing costs that can sometimes fly under the radar. These include regular website maintenance, upgrades to keep your platform secure and up-to-date, periodic server backups, and scaling costs as your user base grows. Additionally, budget for ongoing security enhancements and marketing efforts to attract and retain customers. Neglecting these can catch new marketplace owners off-guard, so it's wise to factor them into your overall financial planning from day one.

Post-Launch Cost Architecture (Simplified with Shipturtle)

1. Hosting & server infrastructure

• Cloud Pricing Models: Hosting varies across AWS, Azure, and Google Cloud, starting around $0.08/hour. if you're using Shipturtle, this is covered under your Shopify store plans.
  
• Scalability & Autoscaling: Shipturtle includes autoscaling features that adjust resources automatically based on traffic, helping you optimize infrastructure costs without manual effort.

2. Compliance maintenance

• GDPR & PCI DSS: Ongoing compliance with GDPR and PCI DSS is critical. Shipturtle ensures secure data handling, consent management, and up-to-date compliance through built-in tools and workflows.

3. Feature iteration cycles

Quarterly feature upgrades typically range from $1,200 to $5,400 depending on scope. Shipturtle’s platform offers frequent updates, customizable modules, and the ability to add new functionality through API extensions, reducing development overhead.