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How Does Thumbtack Make Money?

By Amanda Postma
Jan. 9, 2023
Last Modified and Fact Checked on:

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How Does Thumbtack Make Money?

If you offer services like appliance repair, piano lessons, or photography, you understand the challenges of attracting clients. Enter Thumbtack—a dynamic platform that connects service providers with customers. But since it’s free for customers to use, how does Thumbtack generate revenue?

In this article, we’ll explore how Thumbtack operates for service providers and help you determine if it’s the right platform for your business in 2026.

Key Takeaways

  • Thumbtack earns revenue by charging service providers for leads and customer connections.

  • The platform empowers service providers to select the customers they wish to engage with.

  • The cost of a lead on Thumbtack varies based on the job’s value and specifics.

How Does Thumbtack Make Money?

What is Thumbtack?

Combining the convenience of an e-commerce platform with the trustworthiness of customer reviews, Thumbtack has transformed how people connect with service professionals.

Unlike traditional search models like Angie’s List or Craigslist, Thumbtack allows new customers to specify local services they need. Service providers can then connect with potential clients and assess if they’re a suitable match for the job.

How Does Thumbtack Make Money?

Thumbtack Credit Pricing
To send a quote to customers, professionals using Thumbtack must purchase credits. Essentially, you’re paying to make customer connections, with Thumbtack referring to this as compensation for each quoted interaction.

The cost of each lead is determined by the type of service the expert is offering. Credits can be purchased individually or in various bundles.

Once a potential customer specifies the services they need, Thumbtack provides a curated list of experts that match those criteria. Conversely, experts receive a list of potential clients to evaluate.

If the customer selects you as their expert and you also choose them, you receive a discount on the credits spent for that lead. This direct match is essential for a successful connection.

Thumbtack’s revenue model has evolved over time. Originally functioning similarly to Angie’s List or Craigslist, new customers would fill out job requests, which experts would then review to send quotes. Experts were charged if customers viewed their quotes.

Now, Thumbtack supports experts until they connect with customers. You only incur costs after establishing a connection, but you are responsible for converting that lead into a sale. Note that there are no refunds for unsuccessful connections.

A significant advantage of Thumbtack is that experts only pay for leads; there are no commission fees. Additionally, once you’ve connected with a customer, you won’t incur charges for repeat jobs or referrals. However, credit costs can vary widely; individual credits are priced at $1.50, while bundles range from $17.99 to $84.99.

How Does Thumbtack Work For Customers And Experts?

Customers can choose the expert they believe is the best fit. Once they decide, they can message, call, or book the expert directly. From that point, the expert must effectively showcase their skills to secure the job, or risk losing credits on that lead.

Experts also have the ability to select their clients. By setting specific targeting preferences, Thumbtack filters potential customers, allowing experts to focus on leads that match their interests and specialties, which may include location and job types.

Is Thumbtack Worth Paying For?

Numerous success stories illustrate that investing in Thumbtack can yield substantial returns, with some professionals reporting earnings of over $200,000 after an initial $200 investment. However, experts caution against relying solely on one platform for client acquisition.

While Thumbtack can be a powerful tool for gaining clients, it’s advisable to diversify your client acquisition strategies, such as building your own website. Understanding your competition’s pricing through Thumbtack can be beneficial, but it also means competing against others who might undercut your rates. Nevertheless, the platform can expedite client acquisition, particularly for newcomers to the field.

How Much Does Thumbtack Cost?

The cost of leads varies based on whether you buy credits individually or in bundles. Thumbtack aims for fairness by aligning the cost of leads with the value of the job. Job values can fluctuate based on project specifics like size and the number of available experts.

While most leads are priced under $50-$60, larger jobs, such as kitchen remodels or home additions, may incur higher costs. Typical handyman jobs generally range from $8 to $10 in credits. After creating an account, users can access lead pricing in the “Price of Leads” section of the weekly spend page.

Thumbtack leads

Lead prices can fluctuate based on market demand. If there’s a high demand for your service, costs might decrease, while higher willingness to pay from potential customers could drive costs up. Thumbtack will notify you in advance if significant changes to lead prices are expected, helping you manage your budget.

Does Thumbtack Work for Your Particular Skill?

In short, yes! If you provide in-demand services, you can find success on Thumbtack. From plumbing to photography and even dog grooming, Thumbtack features a wide array of service providers. As long as your services are included in the categories below, there’s a market for you:

  • Home Improvement

  • Wellness

  • Pets

  • Business

  • Events

  • Lessons

  • Crafts

  • Design and Web

  • Legal

  • Personal Services

  • Photography

  • Repair and Technical Support

  • Writing, Translation, and Transcription

Ultimately, Thumbtack can be a valuable platform for launching your business. However, it’s wise to have multiple strategies for attracting clients and not to rely solely on one source.

Thumbtack FAQ

  1. Does Thumbtack charge a fee?

    No, Thumbtack does not charge a fee to list your services. However, there is a cost to contact customers and provide quotes, which varies based on the lead’s value.

  2. Do businesses pay to be on Thumbtack?

    No, businesses do not pay to be listed on Thumbtack. They do incur charges when they provide quotes to customers seeking their services.

  3. How do Thumbtack pros get paid?

    Thumbtack professionals receive payments from their customers through the platform. As a service provider, you can utilize Thumbtack’s payment software to handle deposits, tips, and payments without additional fees.

Never miss an opportunity that’s right for you.

Author

Amanda Postma

Amanda Postma is a writer for the Zippia Career Advice blog with a focus on creating entertaining content to help you through your job search. She received her BA from the University Of Missouri-Columbia.

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