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7bd0d548
Community Member

Hourly Rate - Countries

Hello,

 

I'd like to know how clients behave, so clients from third world countries in most case would be paying less hourly rate ?

 

I'd like to know how clients in developed countries thinks. I am seeing many freelancers (ex: skills translating) were able to obtain high paying clients (most from developed countries), meanwhile with the same skills, there are many other freelancer with same skills same quality (check ratings/reviews) but they are earning less. So why would these clients are paying higher while they can still find freelancers whom are cheaper with the same skills & quality ?

So is it because, if the client are from developed countries, they will eventually pay higher any ways to any freelancer ? where's the logic behind that ?

51 REPLIES 51

Thanks Cristine for the clarification. I'll leave my answer as is as i believe it contributes to the overall conversation. Clients pay very well everywhere if they can find a good use of your services. I always thought otherwise, until someone very near accepted to pay the same rate as clients in US and Canada.

sorry I need to disagree on this.. most clients look at your origins. I bet so many Indian/pakistani freelancers here would agree to my comments. lol

It's a very good move from your side to reach out to the community and ask about their experience. But in the end it's up to you to decide which answer you'll take and apply to your future. Nobody's going to take you to a new dimension unless you're willing to accept new facts provided to you by people from different backgrounds.

Yeah, but I really want to try freelancing and get high paying clients like freelancers in western countries. I guess that would be hard for me since I am from a third world country. So it's never be about 'price to quality' but 'price to origin', right ??.

 

The big question is, why is it our problem if we can provide same skill of service hence as good quality as the developed nations do, but their living cost standard are higher ?

Yeah, but I do want to get high paying clients as freelancer my self. I know how the hiring process work here very well, so in my head was like, so I should be able to get high paying clients like you guys living in expensive countries while I live in cheap country. But the fact is, most client care so much about your origin for an "unclear reason"

Ely B.,

 

You still haven't responded to this reality: "All things being equal, you shouldn't expect clients to look outside their own country for quality work at the same price as they can get from freelancers from their own country."

 

It's not about "developed" versus "undeveloped" countries. It's basic human nature.

 

Most German clients are not usually going to ignore all German freelancers in order to employ American freelancers just for the heck of it. British clients are not usually going to decide to work with Australian freelancers without thinking there is a tangible reason that UK freelancers can't do the work at a comparable price. National economic status is not always, or even usually, a major factor in these decisions; cultural, business and language differences, as well as time zone differences, are.

 

In business, the grass really isn't always greener on the other side (of national borders).

wlyonsatl
Community Member

Ely B.,

 

There is no reason to think just being from a "third world country," meaning not a "developed" country (however you define those terms), puts you at a disadvantage in winning quality jobs on Upwork.

 

In the nine months ended 9/30/22 nearly 14% of revenue was generated by freelancers from India, nearly 12% were generated by freelancers from the Philippines - lower cost-of-living countries, for sure. In some cases such freelancers can provide quality work at a lower cost than their Upwork competitors from the US, etc. and still be making a good living by their own local standards. What's wrong with that? Nothing. Those economics are at work in all global industries from auto manufacturers to textiles/clothing to children's  toys.

 

Upwork is no place for a person who's afraid of global competition to try to be successful.

 

"Origin" is not always irrelevant in making winning proposals, but that is often likely due to major differences in culture, language and other skill- and non-skill elements. (If I were looking for a voice-over freelancer for a nationwide ad campaign in the United States, I would not expect to hire a person who grew up in Scotland, South Carolina or the Bronx. Those are all "developed" countries, and fine places to live, no doubt, but that would be irrelevant to my choice of freelancer.)

 

If you live in a lower cost-of-living country and think you have skills and experience compared to excellent freelancers in high cost countries, you should welcome the chance to make a relatively lower bid that is still a good rate of pay for you. We know that is already happening considering that there are plenty of "high cost" freelancers on this message board complaining about their inability to match bids from low cost-of-living countries. 


Will L wrote:

We know that is already happening considering that there are plenty of "high cost" freelancers on this message board complaining about their inability to match bids from low cost-of-living countries. 


That's exactly my question here, If there were three person offering same service with same good quality and other things are considerably the same, except their origin and price as follow :

1. Adam - Cheap country, $50

2. Bill - Cheap country, $500

3. Sarah - Expensive country, $500 

The client is from an expensive country were seeking for a designer.

 

So the real question is, why would the fact would this client goes for Sarah in most case ?

I have checked as a freelancer and client account, that would certainly be the case happening mostly. In my mind, the client would think, you are from a cheap country, why are you bidding at $500 ?? , so that is why I said "it is not our problem if we can provide the same skill of service hence as good quality as the developed nations do while their cost of living standard are higher there".


Ely B wrote:

That's exactly my question here, If there were three person offering same service with same good quality and other things are considerably the same, except their origin and price as follow :

1. Adam - Cheap country, $50

2. Bill - Cheap country, $500

3. Sarah - Expensive country, $500 

The client is from an expensive country were seeking for a designer.

 


I very much doubt that you've ever actually found that much of a price difference between freelancers whose experience, training and work quality is identical. If that were true, the $500 freelancer would get no work at all, whereas the $50 freelancer would be so overrun with offers that he'd have no time to eat or sleep. In reality, "Adam" would probably charge only a little bit less than Bill and Sarah and gain a competitive advantage, while being able to live like a king in his country.

 

I live in an expensive country, but even here, the living wage (which is higher than the legal minimum wage) is about $13 U.S./hour, and you can find freelancers on Upwork who charge that much or less. So, while it might be difficult (though probably not impossible) to find an English freelancer for $3/hour, the price discrepency isn't as much as you seem to think. I've found UK clients who post projects in the UK-only marketplace with miniscule budgets, and they still get bids. 

 

If you want to be a highly-paid freelancer, then give clients a reason to pay you more. As you've already noticed, there are some very well-paid freelancers on Upwork who live in low cost-of-living countries, just as there are plenty of freelancers in developed countries who struggle to get hired no matter how little they charge. It sounds like you're just making excuses.


Christine A wrote:

Ely B wrote:

That's exactly my question here, If there were three person offering same service with same good quality and other things are considerably the same, except their origin and price as follow :

1. Adam - Cheap country, $50

2. Bill - Cheap country, $500

3. Sarah - Expensive country, $500 

The client is from an expensive country were seeking for a designer.

 


In reality, "Adam" would probably charge only a little bit less than Bill and Sarah and gain a competitive advantage, while being able to live like a king in his country.

 

So, while it might be difficult (though probably not impossible) to find an English freelancer for $3/hour, the price discrepency isn't as much as you seem to think.


This is not true, see it your self in a client's account. You'll be surprise, why do you think I am making things up here ?!

In reality, there are more Adam (whom speaks english) than the other 2 guys. Because there are more people looking for jobs/money than the ones opening them.

 


If you want to be a highly-paid freelancer, then give clients a reason to pay you more. As you've already noticed, there are some very well-paid freelancers on Upwork who live in low cost-of-living countries, just as there are plenty of freelancers in developed countries who struggle to get hired no matter how little they charge. It sounds like you're just making excuses.


True, the only reason I can think of those guys are because they are lucky to find those freelancers... But I said, there are only few a few such successive freelancers like 'Bill in cheap country' who earns $500

but why would I make excuses ?! I have tried...

 

So you did not explain anything here why client would go for Sarah,

 

wlyonsatl
Community Member

Well, Ely, if the client were from Adam's country, which of the three freelancers would that client likely choose to use?

 

You don't have any hard data as to which of the three freelancers either client would choose.

 

But I think we can assume budgets always play a role when the average client chooses a freelancer; why would either client choose to pay Bill or Sarah 10X as much as Adam charges for the same end product? And it is only logical that clients would prefer to hire freelancers they can easily understand in conversation, etc.

 

Low-cost workers from low-cost countries benefit greatly from open global markets (which Upwork certainly is). But as wages rise in those countries, manufacturers (clients, in Upwork's case) look elsewhere to continue to receive quality work at lower prices (just ask China how much work has drifted to Vietnam and other even lower cost markets as China's own labor costs have risen in recent years).

 

All things being equal, you shouldn't expect clients to look outside their own country for quality work at the same price as they can get from freelancers from their own country.


Will L wrote:

You don't have any hard data as to which of the three freelancers either client would choose.

 


I do, just open a client account and see it for ur self

 


Will L wrote:

 

 And it is only logical that clients would prefer to hire freelancers they can easily understand in conversation, etc.


This is depends on the individual clients, we are talking about general clients.

 


Will L wrote:

All things being equal, you shouldn't expect clients to look outside their own country for quality work at the same price as they can get from freelancers from their own country.


Exactly my point, but these western clients would go for Sarah, yet you can't explain why.

 

Why is it so HARD for you my friends to understand these facts I am pointing ??

Because you all don't have a client account and you are living in western expensive countries, getting expensive clients. You are SARAH !.

 

 

I am still waiting for Bill to give me some heads up here !

 

"1. Adam - Cheap country, $50

2. Bill - Cheap country, $500

3. Sarah - Expensive country, $500 

The client is from an expensive country were seeking for a designer."

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