PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1822502
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1822502
According to Stratistics MRC, the Global On-Demand Home Services Market is accounted for $157.6 billion in 2025 and is expected to reach $258.1 billion by 2032 growing at a CAGR of 7.3% during the forecast period. The On-Demand Home Services Market provides digital platforms connecting consumers with service providers for tasks like cleaning, plumbing, electrical repairs, appliance installation, and pest control. Increasing urbanization, rising disposable income, and consumer preference for convenience and time-saving solutions are key drivers. Technology-enabled platforms ensure service booking, tracking, and payments through mobile apps or websites, enhancing accessibility. Growth is driven by smartphone penetration, digital payment adoption, and gig economy trends.
According to the National Skill Development Corporation (NSDC), India's gig economy is projected to reach 350 million workers by 2027, with home services among the fastest-growing segments.
Growing urbanization and busy lifestyles
As urban populations rise, individuals are more pressed for time, seeking convenient and efficient solutions for household chores and maintenance. The proliferation of smartphones and internet connectivity enables easy access to service providers via digital platforms. Additionally, a shift toward dual-income households increases demand for outsourced home services, including cleaning, repairs, and maintenance. Moreover, rising disposable incomes and a focus on work-life balance further stimulate market growth, as consumers increasingly prioritize convenience and time savings over performing household tasks themselves.
Quality control of service providers
A significant challenge lies in ensuring the consistent service quality across diverse providers, as many platforms aggregate a large pool of freelancers with varied skill levels. Inconsistent service delivery leads to customer dissatisfaction and limits market trust. Moreover, the lack of standardized training or certification for service personnel exacerbates this issue. Regulatory challenges further complicate efforts to enforce quality control. Additionally, maintaining high service standards requires robust platform monitoring and support mechanisms, which increase operational costs for service providers and platform operators alike.
Offering bundled service packages
Offering bundled service packages presents a significant opportunity within the On-Demand Home Services Market. Service providers can create value-added offerings by combining multiple services such as cleaning, electrical repairs, and plumbing into comprehensive packages at discounted rates. This approach enhances customer convenience by providing a one-stop solution for various household needs. Bundled packages improve customer retention and encourage repeated usage of the platform. Furthermore, these packages allow service providers to optimize operational efficiency through scheduled visits and bundled logistics, reducing costs. Additionally, this strategy appeals to cost-sensitive consumers who perceive greater value in integrated service offerings, thereby enabling market expansion in both developed and emerging regions.
Service fraud and trust issues
Service fraud and trust issues pose a serious threat to the On-Demand Home Services Market's long-term growth. The platform-based model often lacks direct control over individual service providers, creating potential risks of substandard service delivery, unprofessional behavior, or fraudulent activities. Negative customer experiences can spread quickly via online reviews, damaging platform reputations. Moreover, the anonymity of freelance providers complicates accountability, while lack of sufficient background verification raises safety concerns. Trust issues reduce customer confidence in digital home service platforms, restraining market adoption.
The COVID-19 pandemic had a mixed impact on the On-Demand Home Services Market. Initially, lockdowns and social distancing measures led to a sharp decline in service demand as non-essential home services were suspended. However, as restrictions eased, consumer reliance on contactless, digitally enabled service platforms surged. Hygiene and sanitization services gained particular prominence, driving partial recovery. Moreover, increased health awareness motivated consumers to delegate cleaning and maintenance tasks to professionals rather than undertaking them personally. The pandemic accelerated digital adoption, strengthening mobile application usage for service booking. Despite early setbacks, the market is now better positioned to serve a health-conscious, digitally engaged consumer base.
The home cleaning and maintenance segment is expected to be the largest during the forecast period
The home cleaning and maintenance segment is expected to account for the largest market share during the forecast period. This dominance stems from the recurring and essential nature of cleaning and maintenance services, which are indispensable for modern households. Rising awareness of hygiene, especially after the COVID-19 pandemic, has further elevated demand. Moreover, urban consumers with busy schedules increasingly rely on professional services for regular cleaning, appliance maintenance, and minor home repairs. Providers offer flexible scheduling and on-demand solutions, making this segment highly attractive. Additionally, both organized players and local service providers focus on expanding cleaning and maintenance services due to their consistent revenue-generating potential.
The mobile applications segment is expected to have the highest CAGR during the forecast period
Over the forecast period, the mobile applications segment is predicted to witness the highest growth rate. The rise of smartphones and widespread internet connectivity has transformed consumer behavior, shifting preferences toward digital solutions for home service bookings. Mobile apps offer ease of use, on-the-go booking capabilities, real-time tracking, payment integration, and customer support. Additionally, providers are increasingly investing in app-based platforms with user-friendly interfaces, personalized recommendations, and seamless service management. The convenience and efficiency of app-based models attract tech-savvy urban consumers, while increased smartphone penetration in emerging markets accelerates growth.
During the forecast period, the North America region is expected to hold the largest market share. The region's advanced technological infrastructure, high internet penetration, and widespread smartphone usage support a mature digital services ecosystem. Furthermore, North American consumers exhibit strong demand for convenience-driven, on-demand home services due to busy lifestyles and dual-income households. The presence of well-established platform players and a highly organized service provider network strengthen market dominance. Moreover, regulatory frameworks and consumer protection laws in the region provide a safer and more trustworthy environment for service adoption.
Over the forecast period, the Asia Pacific region is anticipated to exhibit the highest CAGR. Rapid urbanization, rising disposable incomes, and increased smartphone penetration fuel growth in countries such as India, China, and Southeast Asian markets. The growing middle-class population increasingly seeks convenient, digital solutions for household tasks due to changing work patterns and urban living dynamics. Furthermore, younger, tech-savvy consumers are adopting mobile apps for booking home services, accelerating market growth. The relative fragmentation of local service providers in the region offers ample opportunities for organized platforms to expand. Additionally, governments are promoting digitalization, further driving market penetration across residential segments.
Key players in the market
Some of the key players in On-Demand Home Services Market include Urban Company, Angi Inc., TaskRabbit, Amazon Home Services, Handy, Thumbtack, Helpling, HomeAdvisor, HomeServe Plc, The ServiceMaster Company LLC, Airtasker, Porch.com Inc., Merry Maids, LawnStarter, AskforTask Inc., Bark.com, HouseJoy, Jobber, and Super Home Inc.
In June 2025, TaskRabbit announced its expansion to all 50 U.S. states, bringing trusted home services nationwide.
In April 2025, Thumbtack announced its collaboration with OpenAI's new Operator, integrating AI-driven assistance into its platform.
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.