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Re: Survey (Help us make Upwork Better)

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Community Guru
John K Member Since: Feb 17, 2015
1 of 174

I just took a survey after receiving an email with the title "Help us make Upwork Better". The topic of the survey is a new fee structure -- 18% instead of 10% for the first $500 earned from a client, then 10% for the next $9500 earned, and finally 7.5% after that. If anyone else has taken the survey, I'd like to hear your thoughts. For me, this will force me to raise my hourly rate, and if I have less success landing new clients as a result then I will have to seek out clients elsewhere.

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"No good deed goes unpunished." -- Clare Boothe Luce
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Community Guru
Nichola L Member Since: Mar 13, 2015
2 of 174

This would be a move that would force most writers, translators, editors et al to close their accounts. I certainly had to close mine on a smaller site in UK because of a percentage hike.

 

And it would encourage farming and pyramid structures within the company.

Community Guru
Ela K Member Since: Feb 9, 2015
3 of 174

I haven't seen the survey yet. But it sounds like a really bad move.

 

In this context it seems even more ridiculous that being top rated is apparently such a big deal nowadays - even tough you "earn" that dubious status after only making $1000 over the course of 12 months...

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Community Guru
Jennifer M Member Since: May 17, 2015
4 of 174

Ouch. 18% is quite a hike. Should be 10% for under 500 and 7.5 for something over. I'd like to see some data on the number of $9500+ jobs there are vs something like $1000.

 

Was it per milestone or per project? Because I have some customers who want to try me out and then we just add milestones to the job.  These often go over $500.

 

It could actually squeeze out farmers though.

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Community Guru
John K Member Since: Feb 17, 2015
5 of 174

Jennifer,

 

It's not per milestone or project, it's per client regardless of how many contracts. So it's 18% of the first $500 earned from a new client. Basically, out of the first $500 Upwork takes $90, leaving the freelancer $410.

__________________________________________________
"No good deed goes unpunished." -- Clare Boothe Luce
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Active Member
Dhanushka V Member Since: Jun 25, 2015
6 of 174

I too got the survey email and do not like it.

 

This is too much of an increase/hike.

 

Dhanushka

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Community Guru
Ela K Member Since: Feb 9, 2015
7 of 174

So they REALLY want us to have long-term contracts only. Wait, they actually don't as that would mean they earn less. 

I wonder what the average contract value (per client) is on Upwork. It must be way below $500 - otherwise this doesn't make any sense from their perspective.

 

Setu? I think one of your nice graphs is in order.

 

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Community Guru
Jennifer M Member Since: May 17, 2015
8 of 174

@John K wrote:

Jennifer,

 

It's not per milestone or project, it's per client regardless of how many contracts. So it's 18% of the first $500 earned from a new client. Basically, out of the first $500 Upwork takes $90, leaving the freelancer $410.


oh, ew. Do not want. I'll eat the 10% for some customers, but 20 is a bit high to eat. :-\ 

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Community Leader
John T Member Since: Mar 19, 2015
9 of 174

Aside from questions about the fee itself, I can't work out what this is for. What would it achieve?

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Community Guru
Douglas Michael M Member Since: May 22, 2015
10 of 174

@John T wrote:

Aside from questions about the fee itself, I can't work out what this is for. What would it achieve?


For all the talk about increasing Upwork's market tenfold [!] in a few years, what its investors are demanding is profitability. My guess is this is a strategy to get there. It may also reflect a likely enormous amount of attrition (one- or zero-hit wonders) among providers and clients, so that Upwork feels the need to "get while the gettin's good."

 

Speculatively yours,

Michael

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