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Seller Commission Fee Structuring Based on Level Please


evanego

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The thing is, you actually get a ton of work done for you in return for the 20%. Not sure what that is? I wrote a Fiverr blog post about it. TL;DR - The platform provides lots of functionality that saves me much more than 20% of my time, so I am happy to give Fiverr 20% of my earnings.

http://blog.fiverr.com/so-how-and-why-does-fiverr-commission-work-anyway/

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Guest offlinehelpers

@bigbeardvo oh well, you are increasing the percentage in this case. wouldn’t you like to offer a decreasing percentage rate to give incentive to those who are really “DOERS”?

I’d like to be 6’ tall, slim, blonde and 30 years younger, but that’s not going to happen either! :rofl:

If you don’t like the 20% commission rate, then work from your own website - you’ll soon find out why 20% is a bargain! 😉

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Guest mctimon

I’d like to be 6’ tall, slim, blonde and 30 years younger, but that’s not going to happen either! :rofl:

If you don’t like the 20% commission rate, then work from your own website - you’ll soon find out why 20% is a bargain! 😉

I’d like to be 6’ tall, slim, blonde and 30 years younger

😂

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The thing is, you actually get a ton of work done for you in return for the 20%. Not sure what that is? I wrote a Fiverr blog post about it. TL;DR - The platform provides lots of functionality that saves me much more than 20% of my time, so I am happy to give Fiverr 20% of my earnings.

http://blog.fiverr.com/so-how-and-why-does-fiverr-commission-work-anyway/

@paulmaplesden thanks so much for this article. It now makes sense why it’s 20%. I now understand why.

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Guest mctimon

But actually, (another freelancing platform) has commissions of 20%, 10%, 5% and/or 0% based on certain conditions… Not necessarily level of the seller, but other conditions.

I’m just bringing it up to show that fees other than 20% are possible, even though we are used to 20% flat rate.

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But actually, (another freelancing platform) has commissions of 20%, 10%, 5% and/or 0% based on certain conditions… Not necessarily level of the seller, but other conditions.

I’m just bringing it up to show that fees other than 20% are possible, even though we are used to 20% flat rate.

(another freelancing platform

Another freelancing platform takes extra prices for each offer, listing upper, bold title, extra start to your profile etc.

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Guest mctimon

(another freelancing platform

Another freelancing platform takes extra prices for each offer, listing upper, bold title, extra start to your profile etc.

the one I’m talking about doesn’t 😉. Everything’s free except their cut from your revenue.

Anyways, I’m just trying to say that change is possible, even though we have been with this system for years. If they want to introduce those charges too, its up to them.

But change is possible

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Lets think about that;

Fiverr develop web site, mobile app, mobile web site for us,
Fiverr make advertisement to get more seller member,
Fiverr has a payment gateway, (they also pay commissions to payment company for each successful transaction),
Fiverr has lots of servers, backup servers, test servers, production servers,
Fiverr has disaster plans,
Fiverr has a customer service to care about all situations,
Fiver has several employers,
Fiver pays tax,
Fiverr cares about dos attacks, brute force attacks and kinds of unexpected attacks,
Fiverr has to pay lots of think even there is high or low income,
Fiver has fixed expenses but we only pay if we earn money.

I can add more reason. 🙂 I think this is fair business model.

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Guest mctimon

Lets think about that;

Fiverr develop web site, mobile app, mobile web site for us,

Fiverr make advertisement to get more seller member,

Fiverr has a payment gateway, (they also pay commissions to payment company for each successful transaction),

Fiverr has lots of servers, backup servers, test servers, production servers,

Fiverr has disaster plans,

Fiverr has a customer service to care about all situations,

Fiver has several employers,

Fiver pays tax,

Fiverr cares about dos attacks, brute force attacks and kinds of unexpected attacks,

Fiverr has to pay lots of think even there is high or low income,

Fiver has fixed expenses but we only pay if we earn money.

I can add more reason. 🙂 I think this is fair business model.

“another freelancing platform” also does all of that 😉

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Guest mctimon

I just like to be open minded. I don’t have a problem with the current fees. But I don’t think this is the only model they can use either. Each model will have its pros and cons. It will be interesting to see what they do next.

If we take Price Elasticity of Demand into account, lowering the rates during some conditions may even increase their profits overall. Just like “another freelancing platform” who now have to reject new freelancers from signing up because too many people are going there. 😅

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Guest mctimon

But actually, (another freelancing platform) has commissions of 20%, 10%, 5% and/or 0% based on certain conditions… Not necessarily level of the seller, but other conditions.

I’m just bringing it up to show that fees other than 20% are possible, even though we are used to 20% flat rate.

has commissions of 20%, 10%, 5% and/or 0% based on certain conditions…

This is their commission structure

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I’ve bee here in Fiverr since 2014 that I just hope they consider restructuring the seller commission fee next year, 2018. I am thinking like this:

Level 1 Seller - 20%

Level 2 Seller - 10%

Top Rated Seller - 5%

What do you think? Is this possible? 🙂

Level 1 Seller - 20%

Level 2 Seller - 10%

Top Rated Seller - 5%

If you do it like American taxes, it would work the other way, with higher level sellers paying more, not less.

Well now since the passing of the new tax bill it’s back the way you have it with the top levels paying the least.

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