Fiverr Community Forum

Possible reason impressions/sales are dropping?

So I know everyone is suffering from the gig impression plague. I have been searching for reasons as to why this might be and feel that it may be linked to marketing expenditure.

Of Fiverrr’s $190m revenue in 2020, $94m of that went towards sales and marketing. I feel that it is safe to assume a huge chunk of that would be Google and Facebook related, with Fiverr always dominating the paid ads for keywords like “logo design” in Google Search which would run up a huge bill. I’ve noticed that using NordVPN to proxy into different geographic zones, notably in the US, they do not appear to be paying for PPC ads on Google Search and are in 4th or 5th spot for organic.

Not sure what others think, but could this be a reason for the huge drop in some gig orders?

I feel we might have a better idea of what is going on after the Q1 2021 investor call on 05/06/2021.

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You are forgetting one non-Google factor.

There are new members joining Fiverr daily.

That waters down the pool of Sellers and increases competition.

Here’s my proof: do the math.

Let’s say there are 1,000 Fiverr Sellers offering logo design and in one day there are 5,000 impressions.

The average would be 5 impressions per Seller.

In a week, the number of Sellers offering logo design jumps to 10,000.

The impressions one day are still at 5,000.

The impressions per Seller (on average) will decrease.

That’s your answer.

Obvious to me.

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New members have been joining daily for years and years, the only way that would be correct would be if they have changed their algorithm to no longer favour Sellers with more sales, more reviews, more positive feedback and a track record of providing a good quality service. If that is the case, it’s great they are giving new Sellers more opportunity, but I’m not sure that would be the best move business wise.

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Yes, new members have joined over the years.

However, you are forgetting that you are thinking pre-COVID.

In the past year and a bit I would hazard to guess that the number of new members joining has increased at a far greater pace than in previous years.

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I guess my question would then be, why is Fiverr prioritising new Sellers over older Sellers which they have never done in the past? I understand the frustration of new Sellers wanting to get a start on Fiverr and understand that people are experiencing difficult times and need a new avenue of income. But at the same time, would they feel comfortable establishing themselves on Fiverr if their success and good quality service was not rewarded with any form of growth or potential for longer-term financial security due to the fact that new Sellers will take their impressions anyway?

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I think what amazes me most about many new Sellers is the misconception that Fiverr is the answer to all their financial woes - and it will happen now!

I’ve been here five years.

I use Fiverr as one of several streams of freelance income.

I have been freelancing since 2014, full-time since 2016.

Fiverr provides about 30% of my monthly income.

I don’t believe in putting all my eggs in one basket.

It appears to be a concept that is foreign to a lot of people.

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