Why does everyone work at fiverr such a low price?

[ariful_islam_wd]

Why wages is very low on fiverr? 

I charge $2k for design a website with wordpress for my local client. but in fiverr when I try to charge $400 buyer tell that prices are very high. I got another seller who will do it with $50 usd. it is very fraustrating for me. 😔 and I checked that later also. He actually done the work only $50. 

Do you have any solution for this issue? 

[katakatica]

Do your gigs start at/around the price you want to sell them at? From my personal experience (and what I've seen on here) Fiverr is smart enough to show your gigs to people at a similar price range. If you quote, say ten times the price...(not saying you do just bringing up an example) I can see why they would choose someone else. 

I used to be scared to set high prices as well but trust me if your work is good people are willing to pay for it. 

[smashradio]

3 hours ago, ariful_islam_wd said:

Why wages is very low on fiverr? 

I charge $2k for design a website with wordpress for my local client. but in fiverr when I try to charge $400 buyer tell that prices are very high. I got another seller who will do it with $50 usd. it is very fraustrating for me. 😔 and I checked that later also. He actually done the work only $50. 

Do you have any solution for this issue? 

Fiverr is a value marketplace. Buyers come here for the low price-to-quality ratio. I've solved this by working differently on Fiverr than off platform. I'm a voice over actor, so I can't give you educated examples of how to do this as a dev, but here are the main differences: 

I receive the script on Fiverr, record, edit, and send it. Fiverr does all the marketing for me. They deliver the CRM, hosting of files, and so on. 

Off Fiverr, I receive an audition request. I go into the studio, not knowing if I'll get the job or not. I audition for the job and send it in. If I'm picked for the job, I'll most likely be recording remotely with an audio engineer/the client listening in on the other end. This takes time and requires multiple takes most of the time. I have to pay for and organize all the marketing. I have to host my own CRM. All files are hosted in the cloud + locally, and that storage has to be paid for. 

So as you can see, there are significant differences between what I offer on Fiverr and what I do via agencies/direct marketing. 

I guess something similar can be said for developing websites. 

On Fiverr, you don't have to deal with external marketing, cold calling, and so on. You don't have to host your own website. The clients you work with are generally less demanding, so I'd say you could complete a website to their satisfaction with a less complicated process. For example, you can skip most meetings, perhaps a couple of "Brainstorming" sessions, and use ready-to-use adaptable templates you've created instead. 

Again, I'm not a developer, so these are just examples. 

Edited July 19, 2022 by smashradio

[smashradio]

1 hour ago, gnosysfiverr said:

When I run my numbers, the cost of my overheads (Website + Marketing expenses + Time/Efforts) is about 35%. Fiverr takes about 20% as commission. So, I am still saving 15%. Now, the logic for me here is to pass this 15% that I am saving to my clients on Fiverr.

That is logical, but only if the service you provide on Fiverr is identical to the one you're offering outside of Fiverr. For example, you can simplify the process, workflow and offer on Fiverr to a more basic product. Then you set up order extras for the things you exclude. That way, the buyer can add whatever they need and you would still earn similar amounts for similar work. 

For example, I offer sync-to-video. This is something that I often include for my clients outside of Fiverr when I give them a quote. On Fiverr, the buyer have to pay 15USD per minute of video. The final amount is similar, but on Fiverr, it's not included by default. That way, you can lower your offering to a more basic one, tailored to the type of client that you'll meet on Fiverr. 

1 hour ago, gnosysfiverr said:

For me each project will still have some assigned cost like a development server (usually a VPS). These cost are still built into my costing.

You could cut costs by doing this locally. I don't do web design for clients anymore, but I own several websites. I do most of the development locally. No VPS needed. 

 

[sarahhagwood]

I guess it depends on the gig and the seller. I usually do my main service for free locally (just to help people) and I am paid doing it on Fiverr at $20-$80/gig. A good formula I used to determine how much I would charge is to decide my "hourly" rate that I would like to have. I realistically quoted my gigs based on that rate depending on how much time it would take to complete the work. I feel like there are some sellers that sell way too low and others that sell way too high. I think buyers appreciate a middle ground and seek a seller that is reasonable. The price is often the first indicator about if the seller is reasonable or not. Personally, when I see something that I feel is overpriced, I tend to think the seller is a bit proud and prone to arguing with a buyer if they are dissatisfied. When I see a price that is way too low, I think of the seller as being desperate and probably not even able to deliver the product as expected. 

As someone mentioned earlier, Fiverr is doing a lot of work for us sellers that we do not have to do on our own. We don't have to find buyers. We just wait for them to come to us. The advertisement, transactions, resolutions, and communications are all handled by the platform (which is great). Also, the buyers on the platform are seeking an alternative to paying someone locally (for a variety of reasons - but price does often play a role in that choice). 

Using the platform levels the playing ground also. For those who are ambitious with no experience: they can test the waters and climb the ladder of success. For those who are career professionals: they can supplement their income. I've seen plenty of international sellers from 2nd and 3rd world countries who are able to earn an income that they would never have the opportunity to earn locally where they live. I rather enjoy the idea that opportunity is open for all who are capable of a service; not just professionals. 

[victel]

Since there are Fiverr sellers all over the world, the prices also vary because of that. Some countries have a cost of living 10x or MORE than in other countries. Second, it depends on experience. I started on Fiverr years ago charging $5 for article writing. Once my feedback was sufficient, I doubled my prices, then I doubled them again and finally tripled them. I'm still constantly busy and have repeat buyers, but a newbie selling something for $1000 who doesn't have any feedback would be viewed as a risk by some buyers. If they have 500+ 5-star feedbacks, they look like a safer bet.

Finally, you often get what you pay for. I've purchased gigs from cheap sellers, mid-priced and also high-priced sellers. Sometimes I'm pleasantly surprised by the cheaper options or disappointed by the higher cost ones. I'm in the US and couldn't afford to live or feed myself on my old prices but it's taken a while to get to the point where I charge more and where I finally think I'm worth it. I know there are hundreds of other writers on here charging $5 for what I charge $50 for, but it's taken me time to get here and I price my work according to what sellers will happily pay. Just my two cents... 

[alifshah01]

1 hour ago, ariful_islam_wd said:

I got another seller who will do it with $50 usd. it is very fraustrating for me. 😔 and I checked that later also. He actually done the work only $50. 

Normally, the cost of a domain and hosting is around $150 USD per month. A premium theme will cost around $60 USD, and Elementor Pro, the theme builder, will cost $49 for one website. If I sum the values, it will be ($150 + $60 + $49) = $259. If a developer charges for his work only $50, then there is a strong possibility that  the developer will say he will provide premium themes and plugins for free. The developer will use a null theme and null plugin that will damage his/her website one day.

Let the buyer face the problem first. The buyer will realize cheap misery.

[psykkopatte]

I'm not 100%, but I have a theory: everyone comes from different areas in the world, average prices are very different following areas we are.
Average price in north America and western Europe = almost same, but other than those 2 areas, average prices in other areas are way lower, and those other areas contain more people selling services for lower prices.
As the autor said, this is quite a pain because people don't like to like to pay, buyers would find my prices high but this is still lower than what I could earn in working in a company without every advantages i could have

[theratypist]

On 8/14/2022 at 2:24 PM, enhancedm24_it said:

Because I'm a voice actress,

First of all you are nowhere near this, and second of all I don't know why you copy pasted and slightly modified what my good friend @smashradio wrote earlier.......... Lastly, why did your response get so many likes 🥴🤣

[theratypist]

On 8/14/2022 at 2:24 PM, enhancedm24_it said:

I charge $2k to design a WordPress website for a local client. However, when I try to charge $400 on Fiverr, the buyer complains that the prices are too high. I've found another seller who will do it for $50 USD. It is highly deceptive to me, and I checked that afterwards as well. He did the work for only $50.

Do you have a solution to this problem?

Fiverr is a low-cost marketplace. Buyers flock here because of the cheap cost-to-quality ratio. I solved this by operating differently on Fiverr than I did elsewhere. Because I'm a voice actress, I can't provide you specific examples of how to achieve this as a developer, but here are the basic differences:

I get the script from Fiverr, record it, modify it, and send it. Fiverr handles all of my marketing. They provide CRM, file hosting, and other services.

I received an audition request from Fiverr. I walk inside the studio, unsure whether I'll get the job. I auditioned for the job and submitted my application. If I get the job, I'll probably be recording remotely while an audio engineer/client listens in on the other end. This takes time and usually requires numerous takes. All marketing must be paid for and organized by me. I must host my own CRM. All files are hosted in the cloud as well as locally, and storage must be paid for.

As you can see, there are big disparities between what I provide on Fiverr and what I provide through agencies/direct marketing.

I suppose something similar may be said about website development.

You don't have to bother with outside marketing, cold calling, or anything else on Fiverr. You are not required to host your own website. Because the clientele you work with are often less demanding, I believe you might create a website to their satisfaction using a simpler procedure. For example, you can avoid most meetings, maybe just a handful of "Brainstorming" sessions, and instead employ ready-to-use flexible templates you've built.

Again, I'm not a programmer, so these are merely examples.

Did you put this in Grammarly and used the thesaurus function... And if yes, whyyyyy

Edited August 17, 2022 by theratypist

[gayanchamira]

My idea is, number of sellers from a category is higher than particular industry you know. so then you can decide the price. but here it think number of sellers are increasing due to expanding the site. so demand is constant and supply is increasing with talent and skills. also buyers have lot of options to select. due to the competition of sellers, buyers  can select low price and get quality service

[dgm_tariqul]

On 7/19/2022 at 11:14 PM, ariful_islam_wd said:

Why wages is very low on fiverr? 

I charge $2k for design a website with wordpress for my local client. but in fiverr when I try to charge $400 buyer tell that prices are very high. I got another seller who will do it with $50 usd. it is very fraustrating for me. 😔 and I checked that later also. He actually done the work only $50. 

Do you have any solution for this issue? 

I agree with you

[zubairtopu]

The new sellers actually do this. Thanks for the question I got many information through your question.

[hannxm]

On 7/19/2022 at 6:14 PM, ariful_islam_wd said:

Why wages is very low on fiverr? 

I charge $2k for design a website with wordpress for my local client. but in fiverr when I try to charge $400 buyer tell that prices are very high. I got another seller who will do it with $50 usd. it is very fraustrating for me. 😔 and I checked that later also. He actually done the work only $50. 

Do you have any solution for this issue? 

If you can back up and justify your price, and you're getting buyers in, then keep your price as it is. It is frustrating when someone else offers a service at a very cheap price, but if you have good reviews and experience/qualifications, it's natural for your price to go higher and some people will be happy to pay for that. 

[ariful_islam_wd]

On 8/12/2022 at 10:04 PM, victel said:

Since there are Fiverr sellers all over the world, the prices also vary because of that. Some countries have a cost of living 10x or MORE than in other countries. Second, it depends on experience. I started on Fiverr years ago charging $5 for article writing. Once my feedback was sufficient, I doubled my prices, then I doubled them again and finally tripled them. I'm still constantly busy and have repeat buyers, but a newbie selling something for $1000 who doesn't have any feedback would be viewed as a risk by some buyers. If they have 500+ 5-star feedbacks, they look like a safer bet.

Finally, you often get what you pay for. I've purchased gigs from cheap sellers, mid-priced and also high-priced sellers. Sometimes I'm pleasantly surprised by the cheaper options or disappointed by the higher cost ones. I'm in the US and couldn't afford to live or feed myself on my old prices but it's taken a while to get to the point where I charge more and where I finally think I'm worth it. I know there are hundreds of other writers on here charging $5 for what I charge $50 for, but it's taken me time to get here and I price my work according to what sellers will happily pay. Just my two cents... 

Thank you victel for your beautiful answer. 

[smashradio]

3 hours ago, theratypist said:

First of all you are nowhere near this, and second of all I don't know why you copy pasted and slightly modified what my good friend @smashradio wrote earlier.......... Lastly, why did your response get so many likes 🥴🤣

I got confused for a moment, because I recognized what I wrote, but at the same time, I didn't. 😂 I've seen this a lot in the past few days. Users are just copy/pasting quotes or posts for forum credzzzzz. 

[robiulislam6]

hile Instagram has been an advantageous platform to market my services and connect with prospective clients, I can’t deny that Fiverr has also been a great help.

Fiverr has a bad rap. If you’re new to Fiverr, it’s an online marketplace for freelance services. It initially began as a platform offering gigs for only a fiver ($5), where the name originated. As of today, gigs can be priced at up to $995.

[shahriyarmamun]

Because of too much competition, I think.

[fahimeh22]

Because there is a huge competition in fiverr. New sellers offering low price to get order. 

[mrmajstyk]

It's not just Fiverr, it's rampant in just about ANY industry. It's called "a race to the bottom". Many clients do not care about quality, they just want "cheap"! So they hire the vendor with the absolute cheapest rate. And they usually get what they pay for! ("If you pay peanuts, you get monkeys!") And at some point, some clients finally realize that instead of paying 3 "cheap" vendors to get their project done correctly, they could have paid a little more for a more professional vendor and been done already!   However, some clients are actually seeking quality work, and are willing to pay for it, and those clients usually by-pass the "bottom feeders", and if you set your rate too low, you wont be considered for the job.  To be honest, there aren't as many clients looking for top-quality as there are clients looking for cheap...but...there are fewer vendors providing true quality, so it sort of evens out. But I'd rather work fewer jobs for more money, wouldn't you? And there are fewer vendors who even know how to write about what they offer in an appealing, professional manner.  So...when it's a race to the bottom, you have two choices...join in and reduce your rate to nothing just to win the job...or stand aside and let them pass you by as you stand firm and get your preferred rate. Also, it seems that the clients who pay the cheapest also tend to be less than professional,  more demanding and unrealistic...while the professionals who pay a decent rate know what to expect. If the quality of your work justifies a higher rate, ask for the higher rate. The quality clients will find you.  But if you just want the higher rate, without the credentials to back it up, then you're in for a lot of disappointment.  I know, some pros just starting out on the platform DO offer quality work at low, low prices, just to get a body of work and some reviews, but if they are smart, they raise their prices accordingly and rather quickly. Best advice? Do high-quality work and demonstrate it professionally and effectively. And be patient. 

[chriswoakes911]

Because every single seller on this platform wants to rank himself as they are new on this so thats why they pick order at very low prices.

[ariful_islam_wd]

On 8/19/2022 at 2:36 AM, mrmajstyk said:

It's not just Fiverr, it's rampant in just about ANY industry. It's called "a race to the bottom". Many clients do not care about quality, they just want "cheap"! So they hire the vendor with the absolute cheapest rate. And they usually get what they pay for! ("If you pay peanuts, you get monkeys!") And at some point, some clients finally realize that instead of paying 3 "cheap" vendors to get their project done correctly, they could have paid a little more for a more professional vendor and been done already!   However, some clients are actually seeking quality work, and are willing to pay for it, and those clients usually by-pass the "bottom feeders", and if you set your rate too low, you wont be considered for the job.  To be honest, there aren't as many clients looking for top-quality as there are clients looking for cheap...but...there are fewer vendors providing true quality, so it sort of evens out. But I'd rather work fewer jobs for more money, wouldn't you? And there are fewer vendors who even know how to write about what they offer in an appealing, professional manner.  So...when it's a race to the bottom, you have two choices...join in and reduce your rate to nothing just to win the job...or stand aside and let them pass you by as you stand firm and get your preferred rate. Also, it seems that the clients who pay the cheapest also tend to be less than professional,  more demanding and unrealistic...while the professionals who pay a decent rate know what to expect. If the quality of your work justifies a higher rate, ask for the higher rate. The quality clients will find you.  But if you just want the higher rate, without the credentials to back it up, then you're in for a lot of disappointment.  I know, some pros just starting out on the platform DO offer quality work at low, low prices, just to get a body of work and some reviews, but if they are smart, they raise their prices accordingly and rather quickly. Best advice? Do high-quality work and demonstrate it professionally and effectively. And be patient. 

Thank you for nice explanation. ❤️❤️

[shalock]

On 8/18/2022 at 10:36 PM, mrmajstyk said:

It's not just Fiverr, it's rampant in just about ANY industry. It's called "a race to the bottom". Many clients do not care about quality, they just want "cheap"! So they hire the vendor with the absolute cheapest rate. And they usually get what they pay for! ("If you pay peanuts, you get monkeys!") And at some point, some clients finally realize that instead of paying 3 "cheap" vendors to get their project done correctly, they could have paid a little more for a more professional vendor and been done already!   However, some clients are actually seeking quality work, and are willing to pay for it, and those clients usually by-pass the "bottom feeders", and if you set your rate too low, you wont be considered for the job.  To be honest, there aren't as many clients looking for top-quality as there are clients looking for cheap...but...there are fewer vendors providing true quality, so it sort of evens out. But I'd rather work fewer jobs for more money, wouldn't you? And there are fewer vendors who even know how to write about what they offer in an appealing, professional manner.  So...when it's a race to the bottom, you have two choices...join in and reduce your rate to nothing just to win the job...or stand aside and let them pass you by as you stand firm and get your preferred rate. Also, it seems that the clients who pay the cheapest also tend to be less than professional,  more demanding and unrealistic...while the professionals who pay a decent rate know what to expect. If the quality of your work justifies a higher rate, ask for the higher rate. The quality clients will find you.  But if you just want the higher rate, without the credentials to back it up, then you're in for a lot of disappointment.  I know, some pros just starting out on the platform DO offer quality work at low, low prices, just to get a body of work and some reviews, but if they are smart, they raise their prices accordingly and rather quickly. Best advice? Do high-quality work and demonstrate it professionally and effectively. And be patient. 

Exactly! You have to value your work and make it reflect what you charge for it! Will be harder to get more work with higher prices? Totally! But in the long run you'll achieve (in general) better clients that appreciate your work.

[chriswoakes911]

19 hours ago, chriswoakes911 said:

Because every single seller on this platform wants to rank himself as they are new on this so thats why they pick order at very low prices. 

[studiolo1]

this is common problem here... some sellers are undervaluing lots of jobs here...

[iamattique]

This happens more frequently here. Probably, the sellers want more orders and hence keeping them in the game by lowering the rates.

However, I believe it is bad for those who work really hard and deserve the right amount.

 

P.S.: I ain't saying the one who does this in lower price are not working hard. It's just the way I feel.