Fiverr has turned out to be a full-time job for a lot of freelancers. It was found on 1st February 2010. It requires users and employers to register, to avail of the services. Do you know? How Does Fiverr Work? The concept of this market is similar to that of an offline one. It provides both sellers and buyers access to the marketplace. Services offered on this site range from graphic designing to singing for you.
What is Fiverr?
Fiverr is an online marketplace that provides employment and a source of income to a lot of freelancers all around the world. It is an Israeli based company that helps people showcase their talent to the world and in return earn some money.
People even provide remote support to fix their computer or solve their programming questions. Fiverr started with a 1 Million dollar investment and across this long road, it has raised millions of dollars, ranging from 30 to 60 million dollars. The site comes in the top 100 in the US and in the top 200 in the entire world. In this article, we will be exploring Fiverr and will know how it works and caters to people’s needs.
How does Fiverr work?
Fiverr works on a contract basis. It has a category where sellers or service providers register themselves as an entity and offer their services through their portfolio. Every individual or group gets their own portfolio page to demonstrate what services are they offering. Initially, Fiverr use to ask for advance payment for getting services done. Earlier, Fiverr used to fix the service rate at $5 but now it has given flexibility to the service providers to ask for their rightful money.
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They have even quashed the advance amount. Now, payment is taken and put on hold until the payee is satisfied with the service he/she receives. After successful verification from the payee side, the seller gets 80% of the money whereas 20% is the commission charged by Fiverr. The site can be seen and understood from 2 different perspectives, one from the seller and the second from a buyer’s perspective. First, let’s go take a look at the terms and conditions of Fiverr in short points. After the terms, we will see from both perspectives.
Terms & Conditions of Fiverr
- Buyers refers to people or entity who are asking for the service. Sellers refers to those who are offering their service for money.
- Buyers can also offer custom prices and custom additional payment for any additional work they want to be included.
- The base pay for any service is $5, which can be changed according to the seller and buyer.
- Gigs or Post requests refers to buyers putting their request for some service they want to get from the sellers.
For more terms and conditions, refer to this article. LINK!
Fiverr From The Perspective Of a Seller
Sellers are the entity that offer their service as the buyer demands a fixed sum of money. Sellers make their portfolio page with a description and testimonials from their customers. This description consists of the services being offered by them. and at what prices, are the prices negotiable or not, how to contact them for an estimate. After a price is quoted, money is taken from the buyer and kept on hold until the seller delivers his service. After a successful transaction of satisfaction from both sides, 80% of the money is transferred to the seller accounts. Pro sellers are the sellers chosen by a group of editors from Fiverr who provide exceptional service to their customers.
After a successful gig, sellers ask buyers to rate their service out of 5. The more gigs they do, the more they can increase their rating. Also, the higher-rated sellers are given priority while buyers are looking for any service. As your rating goes higher, you can charge more to your customers for more premium service. As a regular seller on Fiverr, you can make $1,000 -to $2,000 a month. The more gigs you get the more you can earn. It also depends on your marketing methods and the ability to draw in more customers for yourself. The competition at the beginner level is really tough due to a lot of sign-ups popping up these days. However, once you get noticed, you can maintain your track record and get consistent customers. The seller to buyer ratio is increasing day by day, which means there are fewer buyers than there are sellers.
But this won’t stay for long, cause buyers are also increasing drastically. As the world is going online more and more day by day, people from all over the world are looking for getting services, hence these kind of freelance platforms are booming in business.
Fiverr From The Perspective of a Buyer
Buyers refers to people who are looking for their gig done. People who want any kind of service and are willing to pay are called Buyers. Buyers look for their service, where they are shown sellers ranked on the basis of ratings. Most rated are shown first. There’s an entire team that rates the sellers on their service quality, their after-sales service and customer care facilities. The best ones are shown first.
The team constantly check for the quality of service being offered by the top ones, and constantly pulls them up or pushes them down according to their service. Buyers after fixing a price for their service, pay the money to Fiverr. Fiverr holds the money until the seller delivers the service completely as said. If there is any problem in delivering the service or the seller doesn’t deliver the service according to what is told in its manifesto, Fiverr will stop its payment.
The customer care team of Fiverr will make arrangements between buyer and seller and come to a conclusion which suits best to both of them. Buyer can also ask for some additional over the top work, for which they have to pay extra or as mentioned in the description of the seller’s page. Fiverr also charges $1 as a processing fee for orders of $20 or below. The buyer can even talk to the seller before making the final decision. Buyer can check their service demo on the portfolio page. Once the payment is made from the buyer side, it won’t be refunded regardless of any reason.
One tip, always read the description of the seller page carefully cause they may try na trap you in their net of words. After getting the service, buyer has nothing more to do than rating the seller’s work.
Frequently Asked Questions:
How does one make money on fiverr?
Sellers on fiverr offer their service for money. Buyer and seller together fix a sum of money. After successful delivery of service, 80% of the money demanded by fiverr goes to seller’s account.
Can you get scammed on Fiverr?
Yes and No. Yes, cause sometimes the description of the sellers might be tricky and after agreeing with the terms and conditions with them you are entitled to do as it says. NO, cause there is an editors and customer care team which will look into the matter and carefully sort it out for you, no matter who you are seller or buyer.
Is Fiverr good for beginners?
For beginners, relying totally on fiverr will not be sufficient. It takes time to create and grow a profile to attract customers. But you surely shouldn’t hold back and start asking for or offering gigs on this amazing platform.
Does Fiverr really pay?
Yes, fiverr is a legal and trustworthy site. It pays 80% of the decided amount to the seller.
What jobs can I do on fiverr?
There’s no limit on what you can and cannot. Anything that can be offered online in a digital format can be done on Fiverr. Few examples, template designing, writing articles for blog, creating animation video.
Wrap up
So we have come to the end of the article. Hope you were amazed by knowing how this awesome platform works. By providing a platform for buyers and sellers to meet, company is making profit out of the seller’s and buyer’s pocket. It’s a very interesting business idea. We tried to explain the topic, “How does fiverr work?” in two different perspectives. This will help you understand the platform from both the sides and not just one. Hope you liked the article, you got any doubts or questions? Drop them down below and we will try to answer them ASAP. Until then keep scrolling…
Cheers!?
