Monday, October 6, 2014

CommonFloor - Virtual house hunt [Business Model]

Sumit Jain, Lalit Mangal and Vikas Malpani co-founded CommonnFloor in 2007. CommonFloor offers apartment management tool (ERP level tool) with over one lakh gated communities and ten lakh residents using it across the country.

Through its tool, it connects resident with neighbour, assists in forming discussion forums and interest group. It has integrated payment gateway that enables resident pay maintenance bill online. It also offers complaint management, ability to view personal dues, track payments, seek recommendations, view notifications and put up notices. 
It also arranges personalized free sit visit for its customer. Other feature includes verified property listings, map search, direct call (to property owners, available on its mobile app) and a virtual tour. Its tool is also available in form of app.

CommonFloor generates revenue by allowing advertising and vendor listings on its apartment management tool. Also, Architects, plumbers, carpenters etc use platform to reach out to people who own homes and advertise their services. All listing are free to view by home seekers. Commonfloor has raised around Rs. 109 crores from Tiger Global and Accel Partners.

Revenue Model (CommonFloor)
Note: Representative icon adopted from Board of Innovation

Common Floor services are free for house buyers. It earns revenue by charging for its Apartment management software (AMS). Advertiser and vendors pay for listing on commonfloor website. Architects, plumbers, carpenter and other basic service providers use commonfloor platform to reach out to their prospective customers to advertise their services and pay subscription to commonfloor. 

In 2014, it acquired The company assists students in finding flatmate without payment of brokerage and has tieups with 200 colleges. 

Revenue Model (
 Note: Representative icon adopted from Board of Innovation

Likely Future Monetization Opportunity 
  • The Company can expand its services for rental management. It can provide rental bills and enable rent payment through its application. It can integrate its services for flatmates user, by allowing them to make rental payment through its application.
  • It can provide feature of scheduling. Service provider can fix timing for rendering services to member of gated community through its application.
  • It can integrate its house listing facility with social media. This would assist home buyer to take inputs of their friends and relatives over social media. Also, this would enable commonfloor to expand its audience reach.

So, next time do some virtual hunt before embarking on physical house hunt venture.