{"id":1855,"date":"2023-11-17T08:43:00","date_gmt":"2023-11-17T08:43:00","guid":{"rendered":"https:\/\/thewealthcircle.com\/?p=1855"},"modified":"2023-11-17T08:52:42","modified_gmt":"2023-11-17T08:52:42","slug":"how-does-letgo-make-money","status":"publish","type":"post","link":"https:\/\/kiiky.com\/wealth\/how-does-letgo-make-money\/","title":{"rendered":"How Does Letgo Make Money | Full Business Model?","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"\n<p>LetGo came up with a business model that shocked the world. After the company&#8217;s official launch, it charged no fees for its services. It spurred questions like &#8220;How does Letgo make money?&#8221;<\/p>\n\n\n\n<p>Many people thought it was a crazy thing to do, but today, their results speak otherwise. A market cap of billions and annual profits hitting $1.5 billion tell you they&#8217;re doing well.<\/p>\n\n\n\n<p>What was the business model that made this company grow big? How does LetGo make money? <\/p>\n\n\n\n<p>These are some of the questions this article will provide answers to.<\/p>\n\n\n\n<div class=\"wp-block-yoast-seo-table-of-contents yoast-table-of-contents\"><h2 id=\"table-of-contents\"><strong>Table of Contents<\/strong><\/h2><ul><li><a href=\"#h-the-letgo-business-model\" data-level=\"2\">The LetGo Business Model<\/a><\/li><li><a href=\"#h-how-does-letgo-make-money\" data-level=\"2\">How Does LetGo Make Money?<\/a><ul><li><a href=\"#h-freemium-model\" data-level=\"3\">Freemium Model<\/a><\/li><li><a href=\"#h-ad-based-model\" data-level=\"3\">Ad-Based Model<\/a><\/li><li><a href=\"#h-subscription-based-model\" data-level=\"3\">Subscription-Based Model<\/a><\/li><\/ul><\/li><li><a href=\"#h-final-thoughts\" data-level=\"2\">Final Thoughts<\/a><\/li><\/ul><\/div>\n\n\n\n<h2 id=\"what-is-letgo\" class=\"wp-block-heading\"><strong>What is LetGo?<\/strong><\/h2>\n\n\n\n<p>LetGo is a free and simple-to-use online marketplace for local buy-and-sell transactions. LetGo allows the exchange of used items, just way OLX and Craigslist do. <\/p>\n\n\n\n<p>The platform, however, differs from Craigslist in that it is designed for smartphones, offers video postings, has a better user experience, and lists products using artificial intelligence and image recognition technology.<\/p>\n\n\n\n<h2 id=\"how-does-letgo-work\" class=\"wp-block-heading\"><strong>How Does LetGo Work?<\/strong><\/h2>\n\n\n\n<p>LetGo functions similarly to other classified websites by displaying ads in user-relevant categories. The platform lists adverts based on the user&#8217;s taste and location using artificial intelligence, picture recognition, and geolocation technologies. <\/p>\n\n\n\n<p>While the platform only functions as classifieds and not a payment channel, the adverts are published within a 50-mile radius of the user to improve the chance of transactions and person-to-person exchanges. The transaction itself happens offline.<\/p>\n\n\n\n<p>According to the business, listing an item for sale takes fewer than 10 seconds. You only need to take a picture of what you want to sell. The app automatically establishes the title and category using artificial intelligence and image recognition technology.<\/p>\n\n\n\n<p>On LetGo, putting an ad is completely free for any category and location, unlike Craigslist. Relevance and proximity to the user are used to order the listings. LetGo differs from Craigslist in another way because the platform only allows for the sale of commodities, not services.<\/p>\n\n\n\n<p>Your search can be filtered depending on the listing&#8217;s category, location, cost, and age. You can also speak with the opposite party on the platform to get your questions concerning the advertised product answered.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-the-letgo-business-model\"><span id=\"the-letgo-business-model\"><strong>The LetGo Business Model<\/strong><\/span><\/h2>\n\n\n\n<p>Letgo is a classified online platform where you can quickly sell or buy things. Their business model holds a lot of similarities to OLX.<\/p>\n\n\n\n<p>Their mobile app is available in more than 34 countries in the world, featuring over 20 million users as well. \u201c Letgo featured listings and Letgo Pro\u201d remain the two advanced features of this company.<\/p>\n\n\n\n<p>A fantastic aspect of the Letgo Business Model is that it uses geolocation, artificial intelligence and image recognition. This listing of the products is wholly based on the user\u2019s location and preference.<\/p>\n\n\n\n<p>As a buyer, you meet with the seller at an agreed location. In this place, you exchange the product for money. <\/p>\n\n\n\n<p>Since this transaction happens offline, how does Letgo make money?<\/p>\n\n\n\n<p><strong>Read more: <a href=\"https:\/\/kiiky.com\/wealth\/offerup-vs-letgo-know-my-best-selling-app-in-2020\/\" target=\"_blank\" rel=\"noreferrer noopener\">Offerup vs letgo: Know my best Selling App<\/a><\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-how-does-letgo-make-money\"><span id=\"how-does-letgo-make-money\"><strong>How Does LetGo Make Money?<\/strong><\/span><\/h2>\n\n\n\n<p>Letgo has grown significantly since its debut in 2015. Letgo is the most popular app for local buying and selling in the United States, with 100 million downloads and 400 million postings, according to the company&#8217;s website.<\/p>\n\n\n\n<p>Also, there are reportedly 20 million active users each month. OfferUp, the closest rival of Letgo, has received 80 million downloads in contrast.<\/p>\n\n\n\n<p>In addition, Letgo estimates that 500,000 goods are listed daily, with 100,000 of those items sold daily. The app&#8217;s phenomenal success is also evident in its net worth, which, as of 2018, was estimated to be $1.5 billion.<\/p>\n\n\n\n<p>LetGo makes money using three different models, which include:<\/p>\n\n\n\n<ul>\n<li><strong>Freemium Model<\/strong><\/li>\n\n\n\n<li><strong>Ad based Model<\/strong><\/li>\n\n\n\n<li><strong>Subscription-Based Model<\/strong><\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-freemium-model\"><span id=\"freemium-model\"><strong>Freemium Model<\/strong><\/span><\/h3>\n\n\n\n<p>The freemium model of Letgo is for product owners who seek to list their products on the top. Letgo freemium model comes with a feature called the \u201c bump up \u201d &amp; featured listing.<\/p>\n\n\n\n<p>The \u201cbump up\u201d feature allows users to list their products on the top positions for approximately seven days in a row. The product owner even has a part in attracting the audience with the sale.<\/p>\n\n\n\n<p>Letgo usually charges the product owner fees ranging from $0.99 to $3.99, depending on the product. Many users on Letgo are attracted to this feature as it allows them to play safely. This way, Letgo earns revenue from the Freemium model.<\/p>\n\n\n\n<p><strong>You should check out: <a href=\"https:\/\/kiiky.com\/wealth\/make-money-from-home-posting-ads\/\" target=\"_blank\" rel=\"noreferrer noopener\">10 Ways to Make Money from Home Posting Ads in 2023<\/a><\/strong><\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-ad-based-model\"><span id=\"ad-based-model\"><strong>Ad-Based Model<\/strong><\/span><\/h3>\n\n\n\n<p>After LetGo gained traction, it sought to increase its earnings. As much as they had a marketplace buzzing with people, they were not ready to set commissions.<\/p>\n\n\n\n<p>To still earn, they started publishing sponsored adverts as banner ads. The higher their impressions on the ad, the more money they made.<\/p>\n\n\n\n<p>Don&#8217;t fail to read: <\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-subscription-based-model\"><span id=\"subscription-based-model\"><strong>Subscription-Based Model<\/strong><\/span><\/h3>\n\n\n\n<p>Letgo comes with two subscription plans for its users.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-1-the-super-boost-mode\"><span id=\"1-the-super-boost-mode\"><strong>#1. The Super Boost Mode<\/strong><\/span><\/h4>\n\n\n\n<p>When a user subscribes to <a href=\"https:\/\/we.letgo.com\/blog\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">super-boost mode<\/a>, a product of the user will automatically remain in the featured list by the systems every day. <\/p>\n\n\n\n<p>Letgo will adopt the data of products in the marketplace and show it in the featured list. In fact, the effect with the highest probability of being sold can be seen on the featured list.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-2-the-letgo-pro-plan\"><span id=\"2-the-letgo-pro-plan\"><strong>#2 The Letgo Pro plan<\/strong><\/span><\/h4>\n\n\n\n<p>This subscription plan is designed for car dealers. The goal of this plan is to provide more leads to car dealers. <\/p>\n\n\n\n<p>The pricing for the Letgo Pro plan goes like $99 for 30 vehicles, $399, and $599 for 70 and 150 cars, respectively. These plans are every month. It even comes with a 30-day free trial.<\/p>\n\n\n\n<h2 id=\"letgo-net-worth\" class=\"wp-block-heading\"><strong>Letgo Net Worth<\/strong><\/h2>\n\n\n\n<p>Letgo has grown significantly since its debut in 2015. Letgo is the most popular app for local buying and selling in the United States, with 100 million downloads and 400 million postings, according to the company&#8217;s website.<\/p>\n\n\n\n<p>Also, there are reportedly 20 million active users each month. OfferUp, the closest rival of Letgo, has received 80 million downloads in contrast.<\/p>\n\n\n\n<p>In addition, Letgo estimates that 500,000 goods are listed daily, with 100,000 of those items sold daily. The app&#8217;s phenomenal success is also evident in its net worth, which, as of 2018, was estimated to be $1.5 billion.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-final-thoughts\"><span id=\"final-thoughts\"><strong>Final Thoughts<\/strong><\/span><\/h2>\n\n\n\n<p>Many web platforms have marketplaces, but few have recorded the same success as Letgo. They&#8217;ve grown so big within a short while. <\/p>\n\n\n\n<p>The write-up answers the question, &#8220;How does Letgo make money&#8221;? I believe their business model is replicable.<\/p>\n","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"excerpt":{"rendered":"LetGo came up with a business model that shocked the world. After the company&#8217;s official launch, it charged&hellip;\n","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"author":11,"featured_media":1864,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[56],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v22.5) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How Does Letgo Make Money | Full Business Model?<\/title>\n<meta name=\"description\" content=\"If you asked &quot;How Does LetGo Make Money&quot;? The answer is through their ad-based, freemium, and subscription-based models. 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