Last updated on September 24, 2020 by Chad Tennant
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Fiverr is a global freelance marketplace with tens of thousands of services. Many offerings start at five dollars but can increase in price for different packages and add-ons, for example, additional revisions. Main service categories include graphic design, digital marketing, business, writing, translation, video, audio, coding, and more. Fiverr rounds out its freelance hub with AND CO (invoice software), Elevate (partner discounts), and Learn (online courses).
Fiverr makes money by keeping 20 percent of seller service fees. For example, if you price your service at $20, Fiverr will retain $4, and you’ll get $16. It also generates revenue from subscription fees (AND CO) and course sales (Learn). It shares revenues or collects fees through third-party product and service arrangements (Elevate).
Fiverr began as one of several “it” websites to make money online. However, through the mid-2010s, it appeared to be losing steam. Many unqualified freelancers jumped on the Fiverr gold rush only to pump out low-quality work. Many sellers offered “product reviews” with the intent of providing fake reviews to deceive customers on other websites, including Amazon. Also, Upwork, a competitor, launched in 2015 from a merger between Elance and oDesk.
Fiverr is emerging victorious. It overhauled its quality standards and terminated thousands of sellers and questionable services. It launched Fiverr Pro to offer “verified, exceptional talent, hand-vetted for stellar quality and service.” Many Fiverr Pro sellers charge rates in the thousands. Fiverr has risen above many of its competitors, making it a two-company race between it and Upwork. In 2019. Fiverr became a publicly-traded company. Given Fiverr’s evolution in an increasingly remote working landscape, it’s a legitimate website to make money as a full-time freelancer or part-time side hustle.
Ways to Make Money on Fiverr
There are three promising ways to make money on Fiverr, including seller/freelancer, affiliate marketer, and instructor.
Sellers on Fiverr sell services, from voice overs to business card designs to impersonations of presidents. Therefore, the first thing to consider is what you will sell to make your customers happy (high customer satisfaction can attract repeat orders). An excellent place to start is by reviewing where you excel and your skills. Suppose you’re good at and enjoy graphic design. You could research Fiverr’s graphics & design category and 30+ subcategories to identify opportunities and gaps in the market. I recommend playing to your strengths and work experience initially. You can diversify and experiment with different services later.
Over time, you can make four to five figures monthly on Fiverr, and millions aren’t out of the question. Moreover, big money is made as a Fiverr Pro seller because they can charge hundreds to thousands per gig. It’s critical to establish rates that will attract a steady flow of buyers to keep your project pipeline full. Some sellers make the mistake of pricing themselves out of the market, for example, can $1,300 for logo design be justified when another seller will do it for $10?
Can you make money on Fiverr without a skill? No. As a freelancer, as with any profession, you need a skill to make money. Even if you list a service only to outsource it (service arbitrage), you will still need project management, management, and organizational skills to complete the gig.
Should you promote your Fiverr profile and services? It depends on your income goals and how much you want to depend on Fiverr. If you join Fiverr to make a full-time income, then you should consider some free or low-cost marketing activities. For example, you could add your Fiverr profile link to your website or LinkedIn profile. If Fiverr isn’t going to be your primary income stream or focus, then don’t worry about marketing your services. Even if you do no marketing, Fiverr spends millions of dollars on advertising to attract new users.
How to Become a Successful Seller
Create a Seller Account
In the primary menu, click on “Selling.” Explore the seller dashboard to understand it. Add your info, including your name, profile picture or logo, and bio. Add your professional details, such as your skills, education, and certifications.
Make your profile unique and marketable to attract buyers. Examine four to six successful sellers to extract ideas to use for your profile. A seller who is doing well is a level two or top-rated seller with 500+ mostly positive reviews. The person is also active and has some orders in his or her queue. Studying the strengths and weaknesses of new and existing sellers with low ratings can help too.
Fiverr, in partnership with ExpertRating, is beta testing skill testing to increase overall marketplace quality. Like Upwork and LinkedIn, tests verify and help to promote skills. You may take a test twice within three months. You can show or hide your score on your profile. If you show your test results, users will see various details, including your score, ranking by percentage, time spent, and more.
Create a Gig
Create an enticing service and value proposition. Add a title, category, subcategory, metadata, and search tags. In the Scope & Pricing section, add your offer and a detailed description so that buyers will know what is and isn’t included in your package. Add your price and extras for upsells. For example, buyers can pay $5 for extra fast delivery. Lastly, add FAQs and answers as you get them.
Add requirements that buyers must fulfill before you can start their orders. For instance, you’ll need the company name before you can create a company logo. Add pictures, videos, and work samples to enhance your gig visually. Some sellers feature themselves in introductory videos. For example, “Hi, my name is Bobby, and I’m passionate about graphic design. I offer three packages to assist you. You can review my work samples and send me a message if you have any questions. Choose the gig that works best for your budget, and let’s get started.”
Review Orders & Messages
Review your orders and messages for delivery times, updates, and revision requests. Stay on top of these items to improve your performance and standing on Fiverr.
The analytics tab displays earnings and rating details. It also shows what you must achieve to reach the next seller level, i.e., level two and top-rated. Closely monitor your outcomes, build upon your strengths, and fix your weaknesses.
Note: Fiverr’s editorial team awards the “Rising Talent” badge. Gigs with that label will receive increased marketplace exposure and credibility. Rising talent is not a seller level.
Find Ways to Improve
Orders and analytics tell much of the picture about your prospects on Fiverr. Review the data on those two tabs daily to improve your profile, gigs, pricing, descriptions, and so on. For instance, maybe the wording for your gig needs simplifying, or your thumbnail needs a redesign. A small change here or there can lead to higher conversion rates. You can also conduct split tests, once you begin getting enough page views.
Fiverr has a terrific affiliate program. An affiliate promotes Fiverr with a unique link and receives a commission when a first-time buyer purchases a gig. Fiverr offers two commission plans. Also, when you get others to join Fiverr’s affiliate program, you’ll earn 10 percent of their revenues. Other benefits of the program include deep linking, marketing materials, and affiliate support.
The affiliate program is self-hosted using tracking software from CellXpert. The program is also available on the CJ Affiliate network. I recommend going with CellXpert because first-party links are more advantageous than third-party links, and you can make money through sub-affiliates. Here’s a snapshot of the program.
- Cost per action (CPA): Pay per sale
- Commission rate: Up to $150
- Commission type: Nonrecurring and recurring options
- Cookie duration: 30 days
- Payout threshold: $100
- Payment options: PayPal
- Affiliate software/network: Cellxpert and CJ Affiliate
Fiverr is carving out its place in e-learning with “Learn.” While it can’t compete with behemoths such as Skillshare and Udemy, it does offer useful courses in several categories relating to freelancing. Classes are available in design, Adobe, digital marketing, SEO, and more.
You must apply to become a teacher. A brief three-page questionnaire will ask you about the topics you want to teach and your experience. Fiverr doesn’t disclose what it pays instructors, so it’s unclear how much teachers get per sale. I imagine the revenue share would be 50 to 70 percent for instructors.
Fiverr is growing because an ever-changing global and remote working environment demands it. Individuals and business owners hire freelancers to stay lean and agile, which creates opportunities for Fiverr sellers. Additionally, Fiverr has a robust affiliate program and blooming e-learning division. The combination of ways to make money with Fiverr makes it unique.