Fiverr vs. Upwork: How the Freelancer Platforms Compare

Fiverr vs. Upwork: How the Freelancer Platforms Compare
Freelancing has become a lucrative side hustle, and some can make a full-time freelance career from our gig economy. From copywriting and graphic design to writing, digital marketing and project management, freelance work is available across almost every service imaginable. But obtaining clients on your own can be challenging for freelancing beginners, which leads many of them to turn to freelancing websites like Fiverr and Upwork.
Fiverr and Upwork are arguably two of the most popular freelance platforms, so today, we will examine how each one operates and what they specialize in. And if you’re thinking about starting a freelance business and enjoy remote work, one of these platforms may be a way for you to launch your career.

What is Fiverr?

Fiverr offers a platform where you can advertise your freelance services or gigs. Two main groups use the Fiverr services:
  • Sellers: These are the freelancers offering services on Fiverr. As a seller, you can provide a service of virtually any creative nature and set your own prices per gig. As you take on freelance jobs through the platform, you earn a rating from people who hire you. The higher your ratings, the more you stand out as a seller on the platform and ultimately win more gigs.
  • Buyers: Buyers or recruiters are searching for a freelancer to complete a task. Buyers can be anyone who needs an individual for a project to be completed, a small business owner, or a major company. You never know who is behind the request.
The buyer works with a seller to iron out the terms of the project, which includes both the delivery time and pricing. The freelancer agrees to the project timeline and is then expected to deliver the project according to the dates. Once the project is complete, the freelancer is paid through the Fiverr platform.

Getting started with Fiverr

One of the biggest appeals of a platform like Fiverr is how easy it is to get started, whether you’re a new freelancer or an experienced one. In general, you can expect the following steps in the beginning:
  • Create a profile describing your services and past clients you’ve worked with (if applicable). After verifying your details, the account will be approved.
  • Provide a gig description and gig title. This is where you should show your creativity! You can make yourself stand out using keywords your potential clients are likely searching for, use a high-res picture, and other elements to show off your expertise. 
  • Set your rates. You can set your own rate and charge per project. Look at what other freelancers in the same niche and industry are charging if you need an idea of how much to charge.
  • Apply for gigs. You can either wait for people to contact you or actively apply to gigs on the platform. 
Once you accept a gig and complete the work, you are paid via the platform via PayPal, Payoneer, or wire transfer, while the buyers have multiple payment methods at their disposal. Payments are safe and secure through the platform, and Fiverr offers additional payment protections to both sellers and buyers. 

Pros and cons of Fiverr

Pros
  • You don’t have to bid on the gigs.
  • Potential clients can easily browse and find your profile based on keywords.
  • Fiverr sellers can earn special ratings, with various Seller Levels, with each level offering different benefits to the seller.
  • Offers a top-tiered benefit for top-rated sellers called Fiverr Pro. Fiverr Pro gives sellers access to a larger elite clientele, faster payment processing, and access to Success Managers.
  • All money is handled through the platform.
  • Focus is on gigs, which is ideal for short-term projects.
  • Highly rated customer support. 
Cons
  • Fiverr takes 20% of a Seller’s projected earnings and charges a 5.5% service fee for the buyer. 
  • Specializes in short-term gigs, which may not suit your business model.
  • Tough to compete with hundreds (possibly thousands) of other freelancers within your niche.
  • Fiverr’s higher fees make it harder to earn high commissions for beginners.

What is Upwork?

Like Fiverr, Upwork is a freelance platform connecting freelancers to individuals or companies who need work for projects. However, this is where the similarities end. The platform boasts an impressive client resume, including some of the world’s largest brands. This means as a freelancer, you may be able to add serious credibility to your portfolio. 
Upwork platform works differently than Fiverr in setting up your account and connecting with potential jobs, making it critical to complete your profile as thoroughly as possible. Potential clients will see your profile and may offer to connect with you and possibly book a job.

Getting started with Upwork

Your profile is your main selling point, so optimizing these steps as much as possible is important. Here is what to expect to get started on Upwork:
  • Establish an account. It’s free to start (although there are potential fees later). From here, you’ll select “work as a freelancer.”
  • Create a robust profile. Honesty is key; you must include as much relevant information on your profile as possible. This includes adding your work history and pay structure. This part is time-consuming, but it pays off to put effort into this piece.
  • Select the membership plan. You can join the platform for free with the Freelancer Basic option. This gives you 10 Connects each month. “Connects” are what Upwork charges you to reach out to potential clients. The Freelancer Plus Plan costs $14.99 monthly, offering benefits like greater visibility to potential clients, insights, and better engagement. 
  • Choose your payment preference. You can set up automatic payments, but you also have the option of how frequently you are paid. Upwork offers quarterly, monthly, bi-weekly, and weekly options.
  • Start bidding on jobs. You can search for work in the Proposals area, let a business find you by pitching a project idea in the Project Catalog, and accept job invitations from potential clients.
You are paid for your work based on your agreed-upon payment schedule. Clients will also rate your work, which can increase or decrease your chances of future job success. 

Pros and cons of Upwork

Pros
  • Designed for long-term relationships.
  • Allows all Upwork freelancers to set an hourly rate.
  • Wide range of job opportunities across the platform.
  • You can qualify for certifications highlighting your skill set.
  • You can work with a client directly after working together for two years on the platform.
  • Offers higher-paying freelance jobs in some cases.
Cons
  • Screenshots are taken every 10 minutes while working on a project on the platform.
  • You have to pay to play if you want to be connected to as many jobs as possible.

FAQs

Which is better? Fiverr or Upwork?
It truly depends on your preferred work style when comparing Fiverr vs. Upwork as a freelancer. Fiverr is typically better for short-term projects or gigs; plus, it’s so easy to get started on the platform. Upwork tends to be better for long-term projects and may offer higher-paying opportunities, but navigating the platform can be confusing. Both charge processing fees and commissions, which eat into your profits.
Do you make more money with Fiverr or Upwork?
Upwork is known for offering more lucrative, higher-quality freelance jobs, but there is no guarantee you will be selected. Upwork charges 10% commission. Fiverr charges a 20% processing fee, too, so neither platform is “free” to use if you book a job. 
How much does Fiverr cost?
It is free to set up an account on Fiverr as a freelancer. However, booking a gig through the platform will cost you 20% of the gig payment. For example, if you charge $100 for digital marketing services, your take-home pay will be $80, after the processing fee is removed. 

The bottom line

Starting as a freelancer or even maintaining your freelance career can be tough. Platforms such as Fiverr and Upwork allow freelancers to connect to others they might not otherwise be able to work with. Before accepting any work, be sure to understand the project timeline, the fee structure, and your net earnings and ensure they help you meet your goals. 

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Sara Coleman is a former corporate gal turned creative entrepreneur. She began writing professionally several years ago and now contributes to multiple websites, blogs, and magazines. She’s also an avid reader and can’t resist a great historical fiction novel. Sara holds a BA in journalism from the University of Georgia and can be found supporting her Bulldogs every chance she has. She resides in Charlotte, North Carolina, with her wonderfully supportive husband and three children. When she’s not ushering her kids to sports and dance lessons, she can be found creating content for her own website, TheProperPen.com.

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