Introduction
There was a day when hiring a plumber in India meant finding a number from a visiting card, dialing a number that may or may not connect, and then waiting forever for someone to pick up . There was no assurance of expertise, no quoted price, and definitely no redress if something went wrong.
Then came Urban Company (formerly UrbanClap), a startup that turned this messy, unorganized system on its head. Launched in 2014,it designed a clean, mobile-first platform on which consumers could reserve anything from beauty salon services at home to AC repairs, deep cleaning, and massage therapy all with the assurance of verified professionals, upfront pricing, and a satisfaction guarantee.
Urban Company operates in 50+ cities across India and multiple countries abroad, has onboarded over 50,000 service professionals, and is valued at over $2 billion. It is now the largest home services platform in Asia, processing millions of bookings each month.
Founders & Vision — The Trio That Wanted to Fix “Jugaad Services”
Urban Company was founded by three friends:
- Abhiraj Bhal — IIT-Kanpur and IIM-Ahmedabad alumnus with prior experience at BCG.
- Varun Khaitan — IIT-Kanpur graduate and ex-BCG consultant.
- Raghav Chandra — Former Twitter and Yelp engineer, with expertise in building scalable tech systems.
The idea came from their own frustration with the lack of trustworthy, organized, and high-quality service providers in Indian cities. They saw an opportunity to standardize the experience.
In interviews, Abhiraj often explains their vision:
“We didn’t want to be just a lead generator. We wanted to control the experience end-to-end pricing, service quality, punctuality. That’s the only way to make customers come back.”
This full-stack approach owning both the customer interface and the service delivery quality became the foundation of Urban Company’s success.
How Urban Company Works
Urban Company is a two-sided marketplace connecting customers and service professionals, but unlike simple listing platforms, it controls the service experience through training, pricing, and quality monitoring.
Income Sources
- Commission from Service Providers — Urban Company takes 20–25% commission on each booking.
- Subscription Plans for Professionals — Professionals can pay for premium access, better placement in search results, and exclusive leads.
- Customer Subscription (UC Plus) — Customers can pay an annual fee for discounted services, priority booking, and free delivery on certain categories.
- In-App Advertising — Partner brands can feature in-app banners and promotions.
Why Professionals Choose Urban Company
- Assured flow of leads and bookings.
- Training programs to upskill in beauty, appliances, cleaning, etc.
- Access to bulk-purchased tools and products at discounted rates.
- Digital payments and transparent settlement cycles.
Product & Service Ecosystem
Urban Company started with a handful of services but now offers 80+ categories, including:
- Beauty & Wellness at Home — Salon, spa, massage therapy.
- Appliance Repair — AC, refrigerator, washing machine, microwave.
- Cleaning Services — Deep home cleaning, kitchen cleaning, water tank cleaning.
- Plumbing & Electrical — On-demand repairs and installations.
- Painting & Carpentry — Home improvement projects.
- Fitness & Yoga — Trainers at home.
Technology
Urban Company’s app is its beating heart. Key features include:
- Smart Matching Algorithm — Assigns the best-fit professional based on location, skills, ratings, and availability.
- Real-Time Tracking — Customers can track professional arrival times.
- Secure Payments — UPI, cards, wallets, or cashless settlements.
- Feedback Loop — Ratings, reviews, and issue resolution are integrated into the platform.
- Training Modules — Professionals can learn via in-app video courses before qualifying for certain categories.
Financial Performance — From Startup to Unicorn
- FY 2015-16 Revenue: ₹1.7 crore (mostly from lead generation).
- FY 2019-20 Revenue: ₹216 crore (pivoted to managed marketplace model).
- FY 2021-22 Revenue: ₹437 crore, still loss-making due to expansion costs.
- FY 2023-24 Revenue: Crossed ₹1,000 crore, with narrowing EBITDA losses.
- Valuation: Over $2 billion after multiple funding rounds.
Compliance & Operations
Urban Company complies with India’s labour laws and marketplace regulations, but also introduced welfare benefits for service partners:
- Health insurance coverage.
- Accident protection plans.
- Earnings guarantee during low-demand periods.
This has been part of its effort to brand itself as a fair gig-economy employer—something competitors haven’t always prioritized.
Marketing Strategy
Urban Company’s growth has relied less on mass advertising and more on performance marketing + word-of-mouth.
- Referral Programs — Discounts for referring friends.
- Localized Social Media Campaigns — City-specific promotions.
- Seasonal Service Bundles — Festive cleaning packages during Diwali, winter appliance servicing, etc.
- Content Marketing — Blog and YouTube tutorials on home maintenance, beauty tips.
By keeping marketing spend lean and retaining customers through quality, Urban Company enjoys high repeat booking rates.
Lessons for Entrepreneurs from Urban Company’s Growth
- Own the Customer Experience — Don’t just be a middleman; control quality.
- Empower Your Supply Side — Your service providers are your brand. Invest in them.
- Focus on Everyday Use Cases — Services people need regularly to drive repeat orders.
- Don’t Scale Without Systems — Training, quality control, and tech must scale with demand.
- Build Trust Before Branding — Satisfied customers will market you better than any ad.
Conclusion — More Than Just a Home Services App
Urban Company has redefined the gig economy for skilled trades in India, giving customers confidence and professionals dignity. From fixing leaky taps to transforming living rooms, it has built a brand that’s about time, trust, and quality.
As it eyes international growth and deeper penetration into tier-2 cities, its biggest challenge will be balancing hyperlocal execution with global ambition—but if its journey so far is any indication, it’s more than up for the task.
Social medias
Instagram: @urbancompany
Facebook: Urban Company
Twitter: @UrbanCompany
LinkedIn: Urban Company
YouTube: Urban Company
