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Raising Prices Can Help You


fastcopywriter

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This week I’ve decided to raise my prices for most of my gigs, and noticed that while sales dropped, my profits increased.

Today for example I made $44 out of just 4 orders. Only one of those orders was $5.

Yesterday I made $76 out of 6 orders.

One thing I’ve noticed is that if the price increase is realistic, you will get sales. Going from $5 to $10 is realistic. Going from $5 to $50 isn’t realistic, unless you’re doing a very complicated job.

My monthly average has jumped from $37.6 a day to $46.4. My cancellation rate has decreased from 18% ($204) to 3.6% ($32).

So if you want to raise prices, do it. If you keep track of every sale on an Excel sheet, you’ll see if your prices are working for you or against you.

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Another good reason to raise your prices is to weed out difficult buyers who expect the world for $5. I’ve had orders where I spent 9-10 hours on a $5 gig because the buyer was not happy with the result. For some gigs, revision takes just 30 minutes, but I used to offer screencast videos for $5 and making a revision takes another 1-2 hours.

Since then I’ve raised by prices, included FAQ’s and updated order requirements. Orders have gone down, but the quality of buyers has gone up.

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I have decided against raising my prices as I have very long delivery times, and wouldn’t be able to justify that with higher prices. Higher prices = greater expectations from clients. Also, I am very happy with what I make from Fiverr and work in a relaxed manner. Work here is fun for me and I have some really nice clients. I wouldn’t want to change that. But of course, raising prices is a very good strategy, but it’s not something I would want to do.

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But maybe raising your prices would reduce your backlog. Currently your average delivery time is 19 days, which is very high for a copywriting gig.
You have 17 orders in queue, meaning by the end of it, you’ll make $85. Why not raise your price to $10 and with just half of those orders you’ll get pretty much the same amount, but you won’t have a backlog.

I don’t know how Fiverr works, but aren’t you afraid that you’ll get negative feedback due to delays in delivery?

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I think raising prices is all our ultimate goal in the long run.

However, when you are just starting off with not many reviews it is less likely for a customer to order if you price your gig above $5. With less orders means less reviews. And with less reviews means your Fiverr Search Ranking will stay low which causes lesser traffic, lesser impression and etc…

In my opinion, prices have to be very tight in the beginning when you start up a new gig on Fiverr. It is like using the cheap price as bait for customers to bite.

Once you build up your ranking and gathered a bunch positive reviews of you will be able to raise prices and probably benefit from the increase in prices.

This is because your gig has attained a certain status in Fiverr search ranking. Therefore, you will be generating stable traffic. With a stable traffic and good reviews customers are more than likely to order at $5 or $10 since in general prices are already quite cheap.

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With just 9 reviews I think raising your prices is not a good idea. Lizzy has explained it nicely in her post here.
Raising prices makes sense when you are getting orders on regular basis and you wish to improve the quality of your buyers, increase revenue and maybe even reduce your backlog.

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If that’s the case then I’m happy for you. It was just a genuine question about delivery time vs negative feedback. I’m not a top seller, but I assumed you have enough orders and feedback that you can afford price change. If someday I will get to that stage then I would probably raise the price to deliver high quality, but that’s just my opinion.

Thanks for sharing the insight

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No offence, I wasn’t trying to teach you how to run your business. I was just trying to understand why you would sacrifice your delivery time over price change. I’ve ordered articles myself and I usually pay 10-15 for copywriters because I prefer quick delivery.

Anyways, thanks for the explanation and I’ll promise I’ll do my math before asking questions from you 😉

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I assume it certainly would help but only for someone whose gigs get huge traffic and gigs are market leader. Let’s take your branding gig as an example, You have 1K+ reviews and mine has just about 20 odd reviews so as a level 2 seller who is looking to grow client base, increasing price could bring drastic decrease in sales however that being said I’ll give it a try some day for sure! I even tried to decrease my delivery times, my branding gig was express delivery gig even the extras in 24 hours yet it didn’t get any response 😦 All in all, TRS and Level 2 sellers with handsome junk of reviews at least about few hundreds can afford to increase price, others can’t.

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Can you shed some light about increasing traffic? I often share my gigs on social media, that increases social gig views but it still does not get much of organic fiverr traffic that is search terms and category search because even after uploading a video it appears to be down the order.

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I did similar and first month my earnings increased but now after that month passed, i am at 0 orders and the earnings are at 1/5 it was before. i guess fiverr search works like #orders/30 days so if this rate is lower you will be more down on search and that means less orders so in the next months you go even more down on search. so please update me after a month when you will be at 0 orders for a week long. just message me when you’ll be at this point

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The only thing I would say is: in my own personal experience, the same amount of people complained about my delivery time when my prices were lower as do now when my prices are almost double what they were when I started. People would complain when my delivery took five days and they complain when it takes twenty-five days. Most people just think their project is The Most Important and can’t understand why theirs can’t be pulled up the queue ahead of people who ordered way ahead of them. Anyway, what I’m trying to say is that if you’re concerned about long delivery times being an obstacle to raising your prices, that hasn’t been my experience, but you should obviously do what you think is best for your work.

By the way, I would totally disagree with uxreview that nineteen days is “very high” delivery time for a writing gig. When it’s just you writing everything, you have a bunch of orders for more than one article each, and you’re not interested in working yourself to death, all that writing takes a lot of time. Most buyers understand that. They see that you have a long turnaround time because you have lots of work and most of them say, “Okay, cool. If you have a lot of work it must be because you’re a good writer.”

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