Your marketplace just closed Q4 with $50 million in GMV, which is a 40% jump from last quarter. Your CEO posts the milestone on LinkedIn. The team is excited, and investors start asking about Q1 projections. Then you look at revenue.
You brought in $6 million against that $50M GMV. That's a 12% take rate. Last quarter, you did $35M GMV and $5.25M revenue, which is a 15% take rate. Your GMV exploded, but your actual revenue barely moved. Worse, your take rate dropped 300 basis points in three months.
What happened is that you ran an aggressive seller promotion to hit a GMV target. You waived fees for new merchants, offered buyer discounts, and subsidized shipping, making the platform look busy. Suddenly, there were transactions everywhere, and your GMV was climbing. But you gave away so much margin that the growth wasn’t real. Strip out the promotions and you’re left wondering if you can sustain any of it once the discounts end.
This is the GMV trap. The number looks great in headlines, but it doesn’t pay salaries or fund growth. Take rate is where the truth actually lives.
Marketplaces rise and fall on these two metrics working together. Gross Merchandise Value (GMV) is the total value of goods or services sold on your platform, indicating the raw economic activity flowing through your system. Take rate is the percentage you collect as revenue from each transaction. Together, they show whether your business is actually sustainable or just busy. If you’re on a finance team at a marketplace, these numbers drive your revenue forecasts, shape your unit economics, and determine how investors value your business. But getting them right and keeping them honest takes more care than most people expect.
Defining gross merchandise value (GMV) and take rate
Gross merchandise value (GMV) is the total value of everything sold through your marketplace over a set time. It's calculated before you deduct fees, expenses, returns, or cancellations. You can think of it as the raw economic activity flowing across your platform.
Take rate is the percentage of each transaction your marketplace keeps as revenue. It’s your commission for connecting buyers and sellers. If you push $1 million in GMV and book $150,000 as revenue, your take rate is 15%.
Each metric gives you a different view of your business. GMV spotlights your scale and the value you create. Take rate measures how well you turn that value into revenue. You can have high GMV and still struggle if your take rate doesn’t cover costs. On the flip side, a strong take rate with weak GMV could mean you’re just squeezing your existing base instead of growing.
The GMV formula
Calculating standard GMV is simple. You multiply the sales price by the quantity sold, then sum it up.
GMV = Sales Price of Good x Number of Goods Sold
Say you sell 50 pairs of shoes at $100 each. Add 20 jackets at $150 each. That totals $8,000 GMV.
You'll likely want more detail. Net GMV subtracts returns, cancellations, and chargebacks. This gives you a true picture of actual transaction volume.
Net GMV = Gross GMV - (Returns + Cancellations + Chargebacks)
If customers return $500 worth of goods from that $8,000 in sales, your net GMV comes out to $7,500.
You should tracking both metrics. Gross GMV tells you how hot your marketplace is. Net GMV shows what actually stuck, answering different questions. Gross GMV works great for understanding demand and market size. Net GMV helps you nail revenue forecasting and see how happy your customers are.
The take rate formula
Calculating the basic take rate is straightforward. You divide net revenue by Gross Merchandise Value (GMV) and multiply the result by 100 to get a percentage.
Take rate = (Net revenue / GMV) x 100
If you earn $150,000 in revenue from $1 million GMV, your take rate sits at 15%.
Most marketplaces rely on more than just transaction fees. You likely charge seller commissions, buyer service fees, or generate revenue from ads and subscriptions. A blended take rate covers it all by comparing total platform revenue to GMV.
To go deeper, calculate the contribution margin per transaction. Subtract variable costs like payment processing from revenue, then divide the result by GMV. This highlights your true unit economics after accounting for direct business costs.
Understanding the importance of GMV and take rate
GMV and take rate connect to every other key metric in your business. Net revenue equals GMV times take rate. These numbers are must-haves for revenue forecasting and planning.
They also show how liquid your marketplace is. If GMV is growing and your take rate is steady, you’re connecting buyers and sellers at scale. If GMV falls or take rate drops, it could signal you’re losing ground with supply, demand, or facing more competition.
Sellers watch your take rate closely. If it’s too high, you might lose supply. If it’s too low, you won’t generate the revenue you need to grow. The right rate balances your business needs with the value you provide sellers. You grant them trust, discovery, and smooth transactions in exchange for what you need to keep moving forward.
Investors care about both metrics. GMV growth highlights market demand and execution. Take rate shows how well you monetize. Marketplaces with high GMV and low margins often struggle to prove their value. Strong businesses combine healthy GMV growth with a sustainable take rate.
You want to see take rate holding steady, or climbing as you grow GMV. This is what happens when your platform gets stronger, delivers more, and earns the right to charge for better matching, trust, or convenience. If take rate falls while GMV grows, you could be buying growth with discounts, not building for the long haul.
Key variations and calculations
Marketplace models define GMV and take rate differently. E-commerce sites usually count the full product value in their GMV. Service platforms often focus on just the service fee or include the total transaction value based on their specific business logic.
Your blended take rate relies heavily on location. Operating in multiple countries with distinct fee structures shifts your financials. Expanding into lower-margin markets pulls your overall take rate down, even if rates within each market remain stable.
Promotions directly influence GMV. Discounts make GMV look larger without providing the same revenue lift. It’s effective to separate organic GMV from incentivized GMV to see which growth actually lasts. You'll measure sustainable progress rather than subsidized spikes.
Both buyer and seller fees drive take rate, but they work differently.
- Buyer fees are visible at checkout and directly impact conversion rates. Add a $5 service fee and you’ll see cart abandonment increase. These fees fund your operation but create friction.
- Seller fees are less transparent to buyers but affect supplier profitability and retention. Take too much and your best sellers leave for competitors with better economics.
Marketplaces often use a mix of both to support growth and protect returns.
Core components to consider
Get clear on what counts as a "transaction." Will you count canceled orders as GMV? What about orders that get refunded later? Make sure your definition lines up with how you recognize revenue and watch your key metrics.
Returns and cancellations get treated differently depending on the business. Some teams report gross GMV and track returns separately. Others go straight to net GMV. If you’ve got high return rates, net GMV tells you more. If returns are rare, both answers look similar, but be consistent.
Promos and discounts reduce your real take rate. If you charge a 15% seller fee but fund a 5% buyer discount, your true take rate is closer to 10%. Track these numbers separately so you know your real margins and growth costs.
Payment processing cuts into what you keep. A 15% gross take rate could drop to 12% after payment fees. Some teams show gross, others go net. Pick one and stick to it, and always make sure stakeholders are clear which number they’re seeing.
If you mix marketplace and first-party sales, separate them. First-party sales mean full revenue but tie up inventory. Marketplace sales mean you collect the take rate, without carrying stock. Mixing GMV for both can muddy your true model and margin story.
Industry benchmarks and best practices
- E-commerce specialty marketplaces average around 18.9% take rate. Median is 10.8%. Some niches go from 2.5% up to 80%, based on services or value.
- Service marketplaces often see higher take rates than product marketplaces, around 15-30%. These platforms add value with vetting, scheduling, payment protections, and more. Companies like Uber usually charge 20-25% for matching, dispatch, and payments.
- High-value B2B marketplaces work with 3-10% take rates. The deals are bigger, so even small percentages deliver big revenue. Lower rates help adoption for enterprise buyers.
- Food delivery platforms show how take rates shift, even in one category. DoorDash’s ending take rate for 2023 was about 12.9%, but total monetization including consumer fees can hit 36%. Buyer and seller side rates can look different from each other.
- Managed marketplaces offering fulfillment services earn higher take rates, since they deliver more. If you handle logistics, quality checks, or support, you can charge more than a simple matching site. Amazon’s marketplace take is often 8-15%, shifting by category due to competition from its own retail sales.
- Take rate and average order size tend to move in opposite directions. High-ticket items make big revenue with smaller percentage cuts. Low-ticket categories need higher rates to cover fixed costs. This impacts which categories you go after, and how you price.
Top pitfalls to avoid
Distinguish revenue from GMV in every conversation
GMV represents total transaction value, while revenue is the cash you actually keep. If you process $10 million GMV at a 10% take rate, you net $1 million in revenue. That difference changes how you handle planning, staffing, and board updates. Keep these clearly defined to manage expectations.
Separate gross GMV from net GMV
Gross GMV helps you size overall demand, but net GMV is the best tool to forecast growth and track customer satisfaction. If $5 million GMV sees 20% returns, your net GMV sits at $4 million. Use net numbers to keep your results grounded in reality.
Break down blended take rate by revenue stream
Transaction fees usually offer dependability. Setup fees or ads often look lumpy by comparison. Break out your blended take rate to see which revenue streams work the hardest for your business. It helps you spotlight where the real value lives in your model.
Track organic GMV separately from incentivized GMV
Promotions might double your GMV for a month, but that growth often fades when the discount ends. Track organic GMV separately from incentivized stats. You need to know your base is growing without the help of a coupon code.
Segment metrics by geography and category
Expanding to new regions can pull numbers up or down. A change in geography or category shifts your take rate even when pricing stays still. Split your metrics by location or offer for better visibility. It gives you the clarity to explain why your numbers move.
Compare marketplaces within their context
Managed marketplaces usually command higher take rates than simple matching platforms. B2B models with massive deal sizes often post lower percentage rates. Always consider the business model and service level before you compare numbers.
Include payment processing in unit economics
Payment fees subtract points from your take rate. Calculate these costs into your net take rate and contribution margin. This habit keeps your unit economics accurate and helps you plan with confidence.
How to calculate gross merchandise value and take rate in Runway
To track Gross Merchandise Value (GMV) and take rates effectively, you need to start with raw data. Connect your payment processor or CRM, such as Stripe or Salesforce, to Runway. This builds an integration-powered database with one row per transaction. Make sure your database includes columns for the transaction date, order ID, customer, and a numeric amount. To handle roll-ups correctly over your timeline, set the amount column to show as time series.
Define GMV per order
If your integration’s amount column already represents the full order value, you can treat it as GMV directly. Otherwise, add a number driver column called GMV and apply a column-level default formula. This ensures every row inherits the correct value, for example: GMV = Gross_Amount. You can still override the formula on specific rows if you need to make manual adjustments.
Set your take rate
Next, determine how much of that GMV you capture. You have two main options here.
- Flat take rate: If you take a standard percentage, add a
Take_Rate_Pctnumber driver column to your transactions database. Set a default formula using standard arithmetic operators, such asTake_Rate_Pct = 0.10. - Variable take rate: If rates vary by merchant or deal type, use a separate mapping database. Create a
Take_Rate_Pctdriver there for each segment, similar to how you map commissions. In your transactions database, reference that driver so each transaction automatically pulls the correct rate. This works just like a lookup.
Calculate platform revenue
Calculate your cut for every order by adding a Platform_Revenue number driver column in the transactions database. Use a simple multiplication formula: Platform_Revenue = GMV * Take_Rate_Pct. Make sure to view this column as a time series so fees contribute to the correct month.
Aggregate totals and blended rates
Bring your transaction-level data into a model or driver table to see the big picture. Create a GMV_Total driver and use the sum() function to aggregate the GMV column from your database. Do the same for Platform_Revenue_Total. This mirrors the standard approach for revenue recognition.
To find your effective monthly rate, create a Take_Rate_Blended driver. Divide your total platform revenue by the total GMV. It's smart to wrap this in an ifError() function (available in our functions library) to prevent errors during months with zero volume.
Handle actuals and forecasts
You can separate history from the future by defining different formulas for the same driver. Set actuals formulas that strictly reference your integration data, then use forecast formulas for your projected volumes. Runway automatically applies the actuals up to your last close date and switches to your forecast formulas afterward. This keeps your historical GMV grounded in real data while giving you the flexibility to model future scenarios.
Stop fighting with spreadsheets
You didn't get into finance to debug broken formulas at 11 PM before a board meeting. But manual GMV tracking often ends there anyway. Spreadsheets are fragile, and one broken cell reference corrupts your entire model right when you need answers fast. You spend hours verifying numbers instead of analyzing what they mean.
Runway eliminates the busywork. It pulls live data directly from your payment systems and CRMs, so you never copy-paste transaction data again. Your formulas are self-documenting and version-controlled. Your team collaborates in real time instead of emailing final_FINAL_v3.xlsx back and forth. It handles the complex logic of marketplace businesses (like multiple take rates, promotions, refunds) without the manual reconciliation.
This is about reclaiming your time and your sanity. We give lean finance teams the power to run scenarios, test pricing changes, and model growth assumptions on the fly. You gain control over your data and your narrative. You stop firefighting and start leading strategic conversations.
Build a better roadmap
Marketplaces are inherently complex, but your financial planning doesn’t have to be. When you master GMV and take rate, when you track them honestly, segment them properly, and understand what drives them, you make decisions that actually move your business forward. You see exactly which levers to pull: pricing, promotions, category mix, geographic expansion.
Give your team the clarity they deserve. Get started with Runway and see how simple marketplace planning can actually be.