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dzmir10
Community Member

UpWork Is Getting Greedy

UpWork is getting greedy day by day.
I am just not happy with upwork current system. UpWork costs too much for job fee. Abnormal connects cost for bid on fixed price job, withdrawl free, currency conver fee etc. When i apply for $50-75 fixed-price project it costs me 4 connects. after appllying for about 15jobs i awarded only once. So technically i spend 50-60connects to get a 50-75USD project.

I mostly do single time project. After pay all fee i dont get decent amount from the project.

Suppose, if i awarded a job for $75. How much i get from that?
-20% upwork fee. 75-20%=60.
-connects costs $8

-Withdraw fee $2. (more for bank fee and currency).

After that i get like $45 from a $75 project.

When i were at Elance it was so cool and fee was only 8.75%.

 

7 REPLIES 7
moonraker
Community Member

Getting greedy?

Are you aware that Upwork is LOSING money year on year? Connects are not intended to make money for Upwork anyway, they are they intended to discourage excessive applications from poor-quality freelancers. 

petra_r
Community Member


Mir A wrote:


When i were at Elance it was so cool and fee was only 8.75%.

 


And it went out of business having haemorrhaged money for years.

It never fails to amuse me when people talk about the great features of a failed business which were instrumental in causing it to fail in the first place.

 


Mir A wrote:

So technically i spend 50-60connects to get a 50-75USD project.

Suppose, if i awarded a job for $75. How much i get from that?
-20% upwork fee. 75-20%=60.
-connects costs $8

-Withdraw fee $2. (more for bank fee and currency).

After that i get like $45 from a $75 project.


Well, As Upwork are trying to move more towards larger contracts, those tiny contracts are not attractive for them and neither are the freelancers who specialize on them.

 

The calculation looks very different for freelancers who concentrate on larger, more long term, repeat and ongoing relationships with their clients. They pay far less in fees and buy very few connects.

 

 

tlbp
Community Member


Mir A wrote:

UpWork is getting greedy day by day.
I am just not happy with upwork current system. UpWork costs too much for job fee. Abnormal connects cost for bid on fixed price job, withdrawl free, currency conver fee etc. When i apply for $50-75 fixed-price project it costs me 4 connects. after appllying for about 15jobs i awarded only once. So technically i spend 50-60connects to get a 50-75USD project.

I mostly do single time project. After pay all fee i dont get decent amount from the project.

Suppose, if i awarded a job for $75. How much i get from that?
-20% upwork fee. 75-20%=60.
-connects costs $8

-Withdraw fee $2. (more for bank fee and currency).

After that i get like $45 from a $75 project.

When i were at Elance it was so cool and fee was only 8.75%.

 


You should use this data to inform your bidding choices. If it costs you an average of $8 to land a job, then make sure your bid for each job is sufficient to cover that acquisition cost. Or, try to find another lead generation platform that charges a lower percentage. Are there any surviving platforms that charge only 8.75%? 

megavv2
Community Member

On the other hand, I read in Forb's magazine that Upwork has planned to make $10 Billion in profit.
What I am really unhappy about is the fact that you have to compete for a job by laying down more and more connect. If you are asking for connect, then it should not ask you to kay down more and more connect in order to stay more visible on a client's bid list. This is really a cheap shot.

petra_r
Community Member


Cyrus K wrote:

On the other hand, I read in Forb's magazine that Upwork has planned to make $10 Billion in profit.


I don't think you did...


Especially given that Upwork has, to date, never made any profit at all.

megavv2
Community Member

Petra R.

 

Making a profit, is not a bad thing
however
you calling me a LIAR, is very pproblematic:
https://prnt.sc/mlFwmQC1HjCl

 

a_lipsey
Community Member

Cyrus, the article you cited and the sentence you highlighted said "revenues" not "profit". They are different things. Petra didn't call you a liar. She corrected your interpretation of the article, which you did have incorrect. Yes Upwork has planned to make $10 billion in freelancer revenues six years from now; however, that does not say Upwork plans to grow profit by $10 billion six years from now. Revenue and profit are different things. 

 

Revenue is simply any money coming into the company. 

Profit is what you have left over after you pay all your expenses and liabilities. 

 

What you highlighted says nothing about profit. 

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