Why I love paying 20% commission

[paulmaplesden]

As a professional freelance writer both on the Fiverr PRO platform and outside it, I have had the opportunity to work with multiple clients in multiple ways. What’s interesting to me is what I get for the 20% commission I pay to Fiverr, compared to charging my standard rates outside.

At the moment, I charge the same for Fiverr gigs as I do to my other, non-Fiverr clients, and even though I earn 20% less, I don’t mind - here’s why:

• Marketing opportunities - Marketing is expensive, in times of energy needed, time spent, and money invested. Fiverr is a known quantity for many and has excellent brand recognition. As the biggest freelance marketplace in the world, I get exposure here that I wouldn’t otherwise. That’s resulted in $700 more revenue in July than I would have had otherwise.

• Not having to chase new work - Much of my non-Fiverr time is spent looking for new work - applying to freelance jobs, following up with old clients, and trying to create opportunities. The fact that people come to me on Fiverr means I do not have to spend time doing that here, which is huge.

• Positioning my gig - When I apply for work outside Fiverr, I have to write a cover letter, position my work, link to my portfolio, and all sorts of other admin. With Fiverr I do not have to do any of that, which is a big time saver.

• Fixed pricing - This is another big one. A lot of the time when I am applying for other work I have to justify my pricing. Here, it’s a known quantity - that’s a big persuader for buyers.

• Gathering requirements - This is probably the single greatest time saver. With external clients, I often have to have a 30 minute phone call to understand exactly what they need. Here, they provide all that information when they order. That’s a big win in terms of time saved.

All in all, I think the 20% commission is pretty good value in terms of the effort and efficiency it saves me in finding and completing work. Just wondering what your thoughts are?

[indieoven]

True! I like the fact I don´t have to worry that much about some ´´administrative´´ aspects around here.

I work outside Fiverr too and it means having to set payments customized to each client and project, different messaging systems, updates here or there, each project is unique and has its own workflow… but having all in one place makes it easier. The only ´´con´´ is that I get bigger projects outside, but I believe is something that will change with time.

So yup, somehow the commission is worth it.

[eoinfinnegan]

Fully agree with you on the time spent generating off-site orders.
As for other freelance platforms, I get emails from these other sites notifying me of jobs that meet my skills. I then have to log on to their site, assess the request (which could often be for <$20, create a custom proposal, perhaps have an interview, then maybe get the job - and then pay 20% commission! Not only that, if I go over a certain amount of these proposals in a month, I am expected to pay extra for the privilege of sending more proposals!

As you mentioned, if I do send clients to order on Fiverr there is the bonus of the client being able to trust the platform which is easier for them to do than with an independent site as well as see my independently generated profile with reviews and ratings.

[paulmaplesden]

Fully agree with you on the time spent generating off-site orders.

As for other freelance platforms, I get emails from these other sites notifying me of jobs that meet my skills. I then have to log on to their site, assess the request (which could often be for <$20, create a custom proposal, perhaps have an interview, then maybe get the job - and then pay 20% commission! Not only that, if I go over a certain amount of these proposals in a month, I am expected to pay extra for the privilege of sending more proposals!

As you mentioned, if I do send clients to order on Fiverr there is the bonus of the client being able to trust the platform which is easier for them to do than with an independent site as well as see my independently generated profile with reviews and ratings.

Yes, I forgot about the social validation / review part, that’s a great incentive too.

[indieoven]

Fully agree with you on the time spent generating off-site orders.

As for other freelance platforms, I get emails from these other sites notifying me of jobs that meet my skills. I then have to log on to their site, assess the request (which could often be for <$20, create a custom proposal, perhaps have an interview, then maybe get the job - and then pay 20% commission! Not only that, if I go over a certain amount of these proposals in a month, I am expected to pay extra for the privilege of sending more proposals!

As you mentioned, if I do send clients to order on Fiverr there is the bonus of the client being able to trust the platform which is easier for them to do than with an independent site as well as see my independently generated profile with reviews and ratings.

Sending a proposal is a very time-consuming thing to do! I always read everything carefully check if is something I can definitely do, and then evaluate the best approach for the project. Having to do that with each client, without knowing if there is the minimum interest in working with you, can be frustrating.

I do the same process at fiverr, but I least I know that the proposal or idea is going to someone that you know is interested in your service.

[paulmaplesden]

Sending a proposal is a very time-consuming thing to do! I always read everything carefully check if is something I can definitely do, and then evaluate the best approach for the project. Having to do that with each client, without knowing if there is the minimum interest in working with you, can be frustrating.

I do the same process at fiverr, but I least I know that the proposal or idea is going to someone that you know is interested in your service.

Yes, proposals can be exhausting! Freelancers often underestimate the sheer amount of admin required to onboard clients, put together briefs, etc. I would say that at least 40% of my time is spent doing that, as opposed to chargeable work.

[hadassahwayne]

Yes. You raised very true points. Fiverr is worth everything! Thanks for sharing.

[designerz_edge]

Yes. You raised very true points. Fiverr is worth everything! Thanks for sharing.

#Agree with you.

The topic sounds like you have been working on Upwork & Freelancer.com.

[paulmaplesden]

#Agree with you.

The topic sounds like you have been working on Upwork & Freelancer.com.

Never! Fiverr is my first freelance platform - I don’t work for bidding sites.

[designerz_edge]

Never! Fiverr is my first freelance platform - I don’t work for bidding sites.

Then how you come to know?

This topics seems exactly as a member of biding sites.

[paulmaplesden]

Then how you come to know?

This topics seems exactly as a member of biding sites.

I am very familiar with the Upwork and Freelancer business models and marketplaces, which is why I do not use them.

[fidan06]

@paulmaplesden so you have been work as a freelancer in offline world only?
P.s I really like your modesty.

[paulmaplesden]

@paulmaplesden so you have been work as a freelancer in offline world only?

P.s I really like your modesty.

No, I work online, just not through Upwork or Freelancer. As I said at the start of this thread, I have a number of private clients.

[sue_mcl]

I completely agree with this. I could get higher paying jobs on other platforms, but I would have to spend 50% or more of my time auditioning and writing a proposal to go along with each audition, which is the part of my job I dislike the most, especially when every single audition has 20-50 others applying, its hard to get anywhere with it - even if it does pay really well when you land a job. I love the fiverr platform most for that reason, all the rest is a bonus. The 20% is absolutely worth it!

[reskiyoer]

@paulmaplesden, I totally agree with your points. Fiverr is a great platform to get clients without being tied to large amounts of administrative and advertising work.

However, I’d love to see some changes related to calendars, such as availability settings. What I mean by that is having the possibility to sync your calendar with Fiverr and indicate your free spots for the next two or three months (or even more) to your potentials clients.

As for you, Fiverr is one of several income streams for me and I’m usually working on bigger projects. Thus, most of the time my schedule is at least 2-3 months booked in advance. On Fiverr, people can order instantly. That’s why I must always leave some spots open in my schedule each week to use them for Fiverr or acquisition (depending on whether or not I got orders on Fiverr).

I know that Fiverr primary offers quick services but I get more and more clients who are planning longer projects or contact me many weeks/months ahead beginning their project (e.g. I already got a request for December).

Said all that, I love Fiverr as it is for its simplicity as a seller but I’d love even more to see some changes as above.

[paulmaplesden]

The idea of having a calendar sync is a really good one. I was interviewed yesterday by Fiverr on how the PRO platform was working for me and made a couple of suggestions for improvement. I have another meeting with them in a couple of months and will bring this up.

[n4y33m]

just wanted to see a person who would not agree with Paul… 😝

[paulmaplesden]

just wanted to see a person who would not agree with Paul… 😝

just wanted to see a person who would not agree with Paul.

I try to get along with everyone 😉

[syedjeffery]

Same here. 20% commission is nothing when you sit back, and think that you’re gaining 80% of the remaining revenue by doing almost nothing. As you have said, non-Fiverr platforms charge commission too but you also have to chase buyers to purchase your services whereas here, on Fiverr, people come to you.

[abauer5188]

I would totally agree with this sentiment. I tried out Freelancer for several months and it was such a pain to bid for projects and never get selected. Took so much time!

[ej_digital]

True! I like the fact I don´t have to worry that much about some ´´administrative´´ aspects around here.

I work outside Fiverr too and it means having to set payments customized to each client and project, different messaging systems, updates here or there, each project is unique and has its own workflow… but having all in one place makes it easier. The only ´´con´´ is that I get bigger projects outside, but I believe is something that will change with time.

So yup, somehow the commission is worth it.

Hello indioven,

Define bigger? For me I have been luck to get quite a lot of clients (repetitive one). Depends on how you position yourself.

What I usually do is break up the project in smaller gigs - so if there is a digital marketing project, each phase or step is a single gig:

Like:

• SEO (1 Gig)
• FB Ads (1 Gig)
• FB Ads Modification (1 Gig)
• Social Media Manager (1 Gig)

When you total the whole thing up your overall billing value can be north of 500$ per client per month. This is good for client as they don’t see a big amount to run away and they get comfortable with the quality of the servers so they become sticky.

Regards,

[quikstudio]

Makes sense. The main reason is the well established platform for sellers to promote their services.

[indieoven]

Hello indioven,

Define bigger? For me I have been luck to get quite a lot of clients (repetitive one). Depends on how you position yourself.

What I usually do is break up the project in smaller gigs - so if there is a digital marketing project, each phase or step is a single gig:

Like:

• SEO (1 Gig)
• FB Ads (1 Gig)
• FB Ads Modification (1 Gig)
• Social Media Manager (1 Gig)

When you total the whole thing up your overall billing value can be north of 500$ per client per month. This is good for client as they don’t see a big amount to run away and they get comfortable with the quality of the servers so they become sticky.

Regards,

I mean more complex - different process involving actors, agencies or other third party teams

[ej_digital]

I mean more complex - different process involving actors, agencies or other third party teams

Yes. That is a constraint. But, I hope that Fiverr will evolve to get large “teams” - we have already seen that Ticket Size of Fiverr has increased. They have got Fiverr Pro, which really helps to change the perception that Fiverr is only for 5$ Gigs.

Once there are clients who are willing to spend money, the ticket size will go up. As soon as the ticket size goes up, Fiverr WILL need to create a more comprehensive platform to allow “teams” and collaborations.