Take Rate

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Take rate is the percentage of the total value of transactions on a marketplace or platform that the platform keeps as its own revenue, through commissions and fees.

Marketplaces connect buyers and sellers, such as online retail platforms, ride-hailing apps, food delivery services and travel booking sites. The total value of transactions flowing through them is often called gross merchandise value or gross booking value. The take rate shows what share of that value the platform earns.

For example, a marketplace processes transactions worth 100,000,000 in a year and earns 15,000,000 in commissions and fees. Its take rate is 15%.

Take rates vary widely by industry and business model. Platforms that provide more services, such as delivery, payment processing or advertising, often earn higher take rates.

A rising take rate increases revenue without needing more transactions, but pushing it too high can drive away sellers or buyers, or attract competitors offering lower fees. Investors watch take rates alongside transaction volume to understand how a marketplace's revenue is growing.

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