How To Make Money On Fiverr
The biggest problem with Fiverr
You’re probably getting a little excited about Fiverr at this point. In fact, you might be itching to put up an ad and see what kind of money you can generate. You might want to take a short break from your heels for a moment.
What is the reason for this? That being said, here’s the sad reality of Fiverr: most money made on Fiverr is made in one way. What do you mean by that? You are in the business of selling your time for money.
“What exactly is the problem with this?” you might wonder. If that’s what you wanted to do, you should have just gone out and gotten a job instead. Seriously, rather than wasting time, you should have simply gone to monster.com or another online job search platform and hunted for a position.
With a regular job, you can count on receiving a paycheck every 14 days, which is a wonderful security blanket. When you work as a freelancer, you don’t have that assurance. Apart from that, most jobs in the United States offer a medical and dental insurance plan, besides a 401K pension scheme. With freelancing, you don’t have to worry about that. Remember to keep this in mind.
Because if you’re only going to be selling your time for money, getting a regular job will allow you to maximize your return on your investment of time. It’s simply not going to cut it unless your hourly rate is $1,000 or higher. If your primary goal is to make money by selling your time, there is no comparison.
Is it really such a big deal if you sell your time for a monetary gain?
There are several issues with this method of generating income. Foremost, you only have a limited amount of time to sell. I believe there are only 24 hours in a day, last time I checked. Well, if you’re like most people, you’ll need at least six of those hours to sleep, and most likely even more.
There is only one of you. It would be fantastic if you could gather many people and use them to effectively farm yourself out to work on a variety of different freelance projects. You will then be compensated many times over. But, unfortunately, there is only one of you, and there are only 24 hours in a day in which to do it.
Traditional freelancing is not very scalable. You must wait until you have completed all of your available time slots and production slots before you can accept any additional clients until you have completed some work.
Is it possible that they will not respond if you tell them to wait? According to my observations, at least half of them will seek employment elsewhere. And, thanks to the robustness of the Fiverr platform, they won’t have to look far or for long to find what they’re looking for.
The tendency to be pigeonholed is too great.
In addition, one difficulty of Fiverr freelancing is that it is all too easy to feel as if you are restricted to only offering a single service in a single type of context. It becomes tiresome quickly. It appears that you are completely barred from taking advantage of all of Fiverr’s incredible features. You quickly realise that it is hard work.
It’s possible that you enjoy what you’re doing; however, if you become pigeonholed and only provide one type of service (for example, if you’re a graphics artist and you only design banners for people), your skill set will not grow as a result You will be limited in your ability to improve if you are working on banners all day, every day. If you are working on banners all day, every day, you will be limited in your ability to progress to the next level.
There is also the possibility that someone will undercut your pricing besides all of this. Remember that the vast majority of people on Fiverr either do not make any money at all, or make very little money, so be realistic about your expectations.
There are a slew of factors contributing to this situation. Some people simply do a poor job, and, as a result, they receive negative feedback. Other people overcharge for their services.
Maintaining perspective is essential when dealing with the market’s expectations based on the services that you provide. If the going rate for banner design, for example, is $5 and I come along and offer my service for $25, it’s likely that I won’t receive many orders from potential customers. Orders may come in once in a blue moon, but you can bet that they will not be repeated orders from the same customer.
Customers must believe that they are getting a good deal in order for them to return. You can deliver that value based on either quality or price, but the problem is that Fiverr attracts people who are drawn to the site primarily because of the low prices they offer.
I understand how difficult it is. We can moan and groan about it, and we can certainly whine about it, but I seriously doubt that any of that will make a difference. That is simply the way things are.
How to Make Money on Fiverr
I don’t want to make you feel downhearted. I certainly don’t want to discourage you from taking advantage of this fantastic platform. It’s truly amazing. It has the potential to generate income. However, you must use it in the proper manner.
If you use it in the wrong way, it can quickly devolve into a race to the bottom for everyone. You must ensure that your pricing is as low as possible when considering your options because, if there is any room for a reasonable profit margin, someone will come in and offer a lower price.
When it comes to virtual assistants, data entry, and other services like these, this is especially true. It is extremely harsh. We’re talking about people who are forced to work for ever-decreasing wages.
It used to be that low-cost service providers would come from Southeast Asia and South Asia — from countries such as Bangladesh, Sri Lanka, Pakistan, India, the Philippines, and Indonesia — to compete with the high-cost service providers. The action has now moved to the continent of Africa. If you believe that people from India are charging low rates, you are mistaken.
In order to survive in this environment, there is fierce competition and a race to the bottom when it comes to pricing. It’s not a pretty sight. As a result, if you plan to trade your time for money, you’ll have to accept the actual possibility that you’ll be forced to charge lower and lower prices in order to remain competitive.
One way to make up for this unfortunate reality is to turn up the volume on your music. You can lower your prices to the bone in order to increase sales volume.
This sounds fantastic, but there’s a problem: there’s only the two of you. If you’re like most people, you’d probably prefer to spend some quality time with your family. You would most likely want to read and spend time on yourself in order to become a better person in this manner. Unfortunately, you’ll have to say goodbye to all of that time because producing volume causes burning through a significant amount of time.
What’s the bottom line?
Assuming that you now understand what Fiverr’s promises are and what the dangers of its reality are, I have some exciting news to share with you. You are not required to take part in the Fiverr freelancing game in order to lose. There are six more effective ways to make money from Fiverr.
In the following chapter, you will learn everything there is to know about playing the Fiverr game the right way, starting with the fundamentals. Let me show you how to win at the Fiverr freelancing game, and I’ll show you how to do it.
©️ Chandra Vijay Singh (C V SINGH). All Rights Reserved.
Author of Fictions & Non-Fictions Books on Amazon.
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