Fiverr Fees Are Too High

[misscrystal]

Maybe fiverr wants buyers to know that the days of only $5 services are over and they should expect to spend more. The prices here, in 2020, are still only a fraction of what people would normally pay in most cases.

Seven dollars is not a lot of money.

[bitishrail]

I was shocked to see that when I decided I wanted to leave a tip they suddenly wanted to charge me £1.70 to leave a tip. I decided to tip the seller, not fiverr, yet they unexpectedly demand money in order to tip. Makes you think “ok, well I won’t bother tipping then” (or as eventually decided, to go back and deduct £1.70 from the tip to make up for the silly fee)

I can understand they have expenses and have to run a business, but to charge to give an optional extra is plain greedy and outrageous.

If a restaurant has policies on what happens to tips given to servers, they don’t shun it so blatantly into your face that the person you are tipping won’t receive all the money. I’d rather just pay a total and fiverr can deduct whatever it’s ToS states behind my back!

[amdrewther]

It’s horrible, they’re so damn greedy. 20% is flat out insane, but then they also double dip and charge the buyer. They took over $100 from a $350 sale. All for just offering escrow service for craiglist ads. Fiverr doesn’t actually do anything, and their overhead to run the site is next to zero, because the only service they offer is holding your money. It’s a pretty smart scam, TBH.

[amdrewther]

Fiverr created a place where sellers and buyers are connected. There is a lot money and effort Fiverr put for their Business. They have beautiful functionalities and security system. The programmers are knew that how these things are really hard to maintain and costly. I think Fiverr do their right thing and these charges are fair.

This is BS. They’re just offering escrow for classified ads. Fiverr has almost no overhead outside of server space and a relatively small payroll. Their business model is almost all profit for very little effort on their part.

[looseink]

If Fiverr was a free service, it would have gone broke some time ago and you wouldn’t be getting any work.

I look at the Fiverr fees as a commission to the source that brought me the work.

I also charge enough to make it worth my while after Fiverr takes their fees.

[Guest ruthsalmun]

I dont like it as much either, but since Im using it I think its fair since its their platform, you can always choose to use other platforms. As long as the fees dont get higher I think Ill stay lol

[titanglade]

Fiverr is far from the worst platform.
They have a lot of things to improve, and cutting their greed would be great. It is especially shitty that they take from our tips. I can guarantee I have lost out on tips entirely, because the buyer does not want to pay extra/have my money taken away. I wish that there was a way to pin this site down on that…

[greystorm2]

It’s horrible, they’re so damn greedy. 20% is flat out insane, but then they also double dip and charge the buyer. They took over $100 from a $350 sale. All for just offering escrow service for craiglist ads. Fiverr doesn’t actually do anything, and their overhead to run the site is next to zero, because the only service they offer is holding your money. It’s a pretty smart scam, TBH.

It’s horrible, they’re so damn greedy. 20% is flat out insane, but then they also double dip and charge the buyer. They took over $100 from a $350 sale. All for just offering escrow service for craiglist ads. Fiverr doesn’t actually do anything, and their overhead to run the site is next to zero, because the only service they offer is holding your money. It’s a pretty smart scam, TBH.

In order to sell here, we don’t have to pay up front. While some might consider 20 percent a bit of a steep commission, the alternative is to pay a large chunk up front in order to set up shop. On one hand, that might not be a bad idea, considering the number of people who flock to the site under the misguided impression that they’re going to “get rich quick.” On the other hand, that would be quite a hinderance to a lot of freelancers who are serious, and do have great value to offer, but not necessarily a lot of start-up funds.

Along the same lines, I think the fees they’re charging buyers was also an attempt to cull scammers and less-serious buyers? I mean, yes, more money, more profit of course, a business is going to do what a business needs to do not only to survive, but to thrive and expand. But Fiverr has made a lot of improvements over the years, especially fairly recently, and I think forcing folks to have a little more skin in the game, so to speak, was also an attempt to improve the quality of buyers to the platform as well. I also think spreading the love a bit is also better than absorbing an even higher commission than our current 20%.

Fiverr does a LOT of advertising. The amount of advertising Fiverr does on our behalf is WAY more extensive than I could pull off on my own. You could always try to round up as much traffic as they do, yourself. :woman_shrugging: Frankly, I’m happy to put that time and effort into other areas of my business, and let Fiverr do its thing. 😃

I wouldn’t go so far as to say it’s a perfect system. It does make me twitch a little to see that 20 percent cut, and I have struggled through some bugs and glitches in the system, as well as a handful of less than pleasant customers. I’d love to see something along the lines of a scale of reduced fees the more money spent, or even as a reward for achieving higher levels as sellers. But since I’m not privy to Fiverr’s overhead, payroll or other costs (is there a way to find that information out?), I have no idea if that’s even a feasible suggestion.

But they aren’t just sitting stagnant letting a swamp of unscrupulous scammy buyers and lackluster, get-rich-quick sellers take over the whole platform. They’ve improved over time, and those improvements aren’t free, or cheap.

And since cost of living pretty much everywhere on the planet never ever decreases, don’t be surprised when you see fees getting adjusted to compensate. We just have to remember to adjust our own businesses to keep up, as well.

[rendernew]

If they take 50% i would still work on fiverr…

200-300 ?? Are you for real sir ROFL? 50 percent , i would instantly deactivate my account as i have delivered more than 900$ orders , if it was 50 percent i would be driving uber instead

[mariashtelle1]

This is BS. They’re just offering escrow for classified ads. Fiverr has almost no overhead outside of server space and a relatively small payroll. Their business model is almost all profit for very little effort on their part.

Their business model is almost all profit for very little effort on their part.

They had 36 million $ in losses in 2019.

[anniejenkinson]

It’s horrible, they’re so damn greedy. 20% is flat out insane, but then they also double dip and charge the buyer. They took over $100 from a $350 sale. All for just offering escrow service for craiglist ads. Fiverr doesn’t actually do anything, and their overhead to run the site is next to zero, because the only service they offer is holding your money. It’s a pretty smart scam, TBH.

“Fiverr doesn’t actually do anything”… eh, what?

If Fiverr “does nothing”, tell me how I earned $53,000 inside 20 months from Fiverr, without having any other way to meet those buyers. It’s unlikely I’d have met these buyers without Fiverr and all the “nothing” that it apparently does, ha.

Have you any idea what it costs to market Fiverr to global customers?

[psykkopatte]

Yes, 20% is too much, for an order of 90€ I get 72€, hard…

[gina_riley2]

Why don’t you just raise your prices to make up for the 20% loss?

If you want $40 charge $50.
That way you get the full amount and buyers pays the commission.

[glynjt]

I was shocked.  I got good service and understand that Fiverr needs to charge a commission for the original service.  But not the tip.  Was going to be charged £1.84 in addition to the £5 tip.  That's not 20% as some people have said, it is an additional 37% when I was at school.  Downright extortion.  I often ask in a restaurant how the tips are managed as some owners use tips as part of the salaries.  FIVERR should re-think their terms and conditions.  

[graphics_trust]

The main problem is minimum price. Time to raise it to 10 dollar. what would you call fiverr then ? 🙂

[findtruth]

Not only are they charging sellers but as a buyer here as well, I paid $40 to my coder and $60 to fiverr and tax. Like what? They're charging the buyers and sellers and so much? Quite unbelievable.

[michmikaia]

On 10/24/2018 at 4:58 PM, javier_darosa said:

However, in other freelancer networks I work, they have per-customer, tiered commissions:

• from $0 to $500: 20%
• from $501 to $10,000: 10%
• over $10,001: 5%

I haven't claimed about the 20%. But this quite a good idea. 

[mabelma]

14 hours ago, michmikaia said:

I haven't claimed about the 20%. But this quite a good idea. 

This seems interesting. Personally in all my years working with Fiverr I've never had an issue with their 20% rate. I work in other fields as well like merchandising, and the percentage for consignment items can go all the way to 50% which makes the 20% on Fiverr a great one. All about perspective I guess.

[advanceseonahid]

i think i  agree with this

[formspaceco]

Transaction today, can confirm, as a buyer;
(small gig) ~5.5% fee on gig
~34% on tip. 
Which is how I found this thread. 
In my view, 34% on tip is a bit obscene, especially when your other gig fees are 6x+ lower. 
You kind of expect the fees to be fairly consistent when you hit the "tip" button. Not 6 times plus higher. 
That's shady in my view. 
I still do it, but it leaves a bad taste. 
I'm going to instead, advise my freelancer to charge more which is not a great model at all because this is a very free market type system but Fiverr is forcing this with those exorbitant tip fees. 

Interested to know if the 20% on the seller side is across board still. Gigs and tips both 20%. 
If so then tips are a dumb idea from a transactional standpoint for buyers and sellers. 

 

Edited May 20, 2023 by formspaceco

[dypream]

On 1/3/2021 at 1:18 PM, rendernew said:

200-300 ?? Are you for real sir ROFL? 50 percent , i would instantly deactivate my account as i have delivered more than 900$ orders , if it was 50 percent i would be driving uber instead

agree

[adetimilehinade]

The 20% fee Fiverr fee is way too much, they should please reduce it. 

[abdheshkjha]

The Fee to quite high. 

[abdheshkjha]

On 10/21/2018 at 5:55 PM, smfrajobs said:

Hi @selfmadengineer,

First you have to understand what service you received from Fiverr. Fiverr gives you opportunity to do freelance job and safety with security. So Fiverr obviously deserve their fees and charges because you earn through their dedicated services. Besides clients only trust Fiverr services and their freelance seller not you.

I agree with you. Buyer trust on Fiverr, that's why I placed an order with us.

[ajjuiglesias]

I'm selling a service for $120, I'm supposed to get $100 but the order says you earned $96 on this project, and on the earning page it's showing $94.80 to be clear. Why they are charging at every step? Please give attention to this.