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Fiverr’s Stock Value Took a Plunge, Here’s Why

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You’re a freelancer in a booming gig economy increasingly under scrutiny. Is Fiverr right for you? 

COVID-19 shook up our economy. That’s no secret. Employees relocated to their home offices, many were laid off entirely, and some took the opportunity to explore a new career. For some, freelancing was the stepping stone for millions curious about embarking on that personal journey. 

If you work freelance, you’ve likely heard of Fiverr. The company is known for connecting freelancers with projects and the benefits one might reap. For someone about to dive into the scary world of freelancing, Fiverr sounds like a great place to start. 

What Does This Stock Dip Mean

Unfortunately, the “safe bet” has had a bit of a tumble of 24.8% in the stock market lately. While some consider the dip a minor hiccup, it speaks to larger unreliability for freelancers. Whom the company relies on entirely. As people head back to work, they need freelancers less. 

As we slowly recover from this pandemic, employees are moving back to work and freelance workers are taking the hit. Few people are relying on remote workers. For someone exploring freelancing as a new career option, this news should be waving a bright neon red flag. 

The 24.8% dip in Fiverr’s stock value, they claim, is reflective of the world reopening. There’s a problem with that assessment. It ignores the possibility that freelancers and buyers may be transitioning to a platform that is more secure and reliable. 

By saying, “it’s just people going outside,” Fiverr can reassure their stockholders that the company will bounce back a-ok. There has been, in fact, growth within the company itself by as much as 60%. If you’re looking for a sweet stock tip, it might be time to buy stock in Fiverr right now. 

What Fiverr Offers

The top 10 highest paid side hustles in the United States on Fiverr are:

  1. Website Design – $700
  2. Social Media Manager – $675
  3. Proofreading and Editing – $660
  4. CV, Cover Letter, and Resume Building – $600
  5. Website Building – $580
  6. 3D and 2D Modeling – $550
  7. Business Consulting – $500
  8. Social Media Advertising – $500
  9. Graphic Design – $500
  10. Presentation – $450

Those numbers are the max price earned per job. Sounds pretty okay, right? Well, those are not guaranteed rates. The struggle of freelance is the unreliability of work. You, as a freelancer, are responsible for maintaining your own hours, keeping up business, and guaranteeing your own salary. For some, it’s nice to be your own boss. For others, it can be difficult to maintain that level of consistency. And that’s where Fiverr is supposed to make things easier for you. 

Gig Economies Today

Gig economies are the sexy new thing to talk about. Companies like Fiverr, Uber, Lyft, and more love using freelancers because they legally do not count as employees. No health insurance, no benefits, no guaranteed hours. Basically, these companies reap all the benefits and return very little, or nothing, to the workers they rely on to exist. 

As gig economy jobs are coming under more intense scrutiny, a person transitioning their career from one to the next and use freelance as the in-between may find themselves in the crosshairs. 

So, in order to recover from this dip, Fiverr launched a Seller Plus program. Instead of being guaranteed work, freelancers can pay $29 a month to access: 

  • Dedicated Success Manager
  • Faster Payment Clearance
  • Priority Access to Growth Programs
  • Priority Support
  • Advanced Analytics
  • Advanced Customer Engagement Tools
  • Exclusive Events and Educational Content

If you want Fiverr to look out for you, you need to pay them. They need you in order to operate, but you have to pay them in order to safeguard your new career as a freelancer. 

It seems that Fiverr’s mission “to change how the world works together” is actually a far more familiar and historically consistent “rely on the workers but keep all the benefits” model that has sustained billionaires for decades. 

Fiverr and Its Freelancers

Fiverr doesn’t make anything but connections. You can think of them as a middle man. Someone to hook you up with work for a cut of the action. While it may seem a little unfair, the fee can be worth the price of reducing the hunt for projects. 

This would all be well and good if Fiverr had a good track record for protecting its freelancers. But, for a company that needs freelancers in order to exist, they sure seem to have more interest in protecting the buyers than defending its freelancers. 

Reviews across the board say similar things: Fiverr is good for buyers, not so great for sellers. The word “scam” comes up more often than not. Which is another bright neon red flag, except it’s now on fire. 

Fiverr’s Freelancers Review

Exceptionally awful seller policy. An astonishing amount of inconsiderate buyers who can freely get a refund while the seller gets nothing for their work if a cancellation is requested – ranging from reason as “I placed the order on accident” to crude insults.” 

System is rigged to take and hold onto your money. Both buyers and sellers pay high fees. Buyers cannot withdraw money if a job gets cancelled and refunded. Sellers have to wait two weeks to receive payments for completed work. It’s 2020, this is not a technical limitation. It’s a very poor ethics decision. Would leave a zero star rating if I could.” 

“Just read the rest of the reviews. I was booted from the platform because a buyer (they told me they were going to do this) threatened me with negative reviews if I wouldn’t do more work. When I refused to do more for them than I agreed to initially they flagged my account with customer service and I was suspended with no warning, no explanation, and no due process. Then my funds were held hostage for 90 days with no possibility of withdrawal.”

What’s The Solution? 

Unfortunately, stock market dips reflect on the company’s value to shareholders rather than a healthy work environment for its freelancers. 

As mentioned above, governments both internationally and domestically are examining gig economies much more closely. The days of Fiverr, Uber, Lyft, and others using their freelancers or independent contractors as cannon fodder could be limited. 

Freelance is a tough gig, no matter what industry you find yourself in. You may be your own boss, but there’s no guarantee of work. You may have the freedom to set your own hours and choose your own clients, but reality sets in.

The freedom that comes with freelancing comes with a price. While Fiverr blames vaccines for its significant stock dip of 24.8%, they’re ignoring their own underlying issue by leaving their freelancers to twist in the wind. 

Fiverr seems to forget, without freelancers, they have no business. Fiverr doesn’t make anything. Freelancers use Fiverr to collect clients and gather projects, but Fiverr isn’t the only option out there. If a freelancer has an opportunity to work without worrying about being screwed by a client or middleman, why wouldn’t they take it? 

What Are Other Options? 

For freelancers looking to escape or avoid the risky cesspool that is Fiverr, there is plenty to choose from. Such as:

  1. Upwork
  2. 99Designs
  3. Guru
  4. Toptal
  5. PeoplePerHour
  6. Freelancer
  7. Truelancer
  8. Outsourcely

There are more options out there, including joining a company where you can have established hours, guaranteed work, and benefits. You may not be your own boss, but you’ll be able to keep the lights on at home. 

In Conclusion…

Fiverr’s stock had a not-so-insignificant dip of 24.8%, they blamed vaccines, and their freelancers are still getting screwed by abusive buyers that Fiverr allows getting away with theft. 

If you’re a freelancer and you’re taking the opportunity to explore a new career, Fiverr is probably not going to be a safe bet. There is too high a risk of scam, and there’s no guarantee that Fiverr will look out for their own freelancers. It’s like a sheep joining a flock where the shepherd lets a wolf in for a fee. 

For freelancers, there are options out there. Freelancing ain’t easy, but it doesn’t have to be as difficult as Fiverr allows it to be. If this company continues to believe in its success at the expense of its own freelancers, there’s a fairly good chance that there will be more stock dips in the future. 

That is unless, of course, Fiverr decides to correct this offensive mistake.

Chris Blondell is a Philadelphia-based writer and social media strategist with a current focus on tech industry news. He has written about startups and entrepreneurs based in Denver, Seattle, Chicago, New Haven, and more. He has also written content for a true-crime blog, Sword and Scale, and developed social media content for a local spice shop. An occasional comedian, Chris Blondell also spends his time writing humorous content and performing stand-up for local audiences.

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Business

The Shift Towards Banking-As-A-Service

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The changing times and the pandemic have created a significant shift in how we bank. In addition, our expectations from banks have also differed through the years. The digitalization of the financial services industry has furthered the plan to get free access to banking data. This is in connection with the Open Banking initiative and the dramatic rise of fintech companies and neo-banks.

The market space that the traditional banks once dominated has now given new players the opportunities to compete alongside them. Indeed, the commoditization of bank services has inevitably begun.

A void to connect banks and these new players has been filled in the form of banking-as-as-service (or BaaS for short) providers. It’s only logical that a service such as this emerges. It’s the order next in line to streamline the customer experience and provide products that are built to engage the modern world. 

What exactly is banking-as-as-service?

The easiest way to explain what banking-as-as-service is is through a few examples, these are:

  • Bank accounts
  • Lending systems
  • Credit card payments

The digital world is changing the relationships of brands and businesses with their customers. It is rapidly shifting and improving that even non-bank companies have already integrated financial services to their customers. Established companies such as Walmart, Apple, Uber, or Amazon have already been doing this to add value to their products and services.

Why businesses should take the banking-as-as-service opportunity

To those in the know, banking technology is a complex matter. Developing it from the ground up can be laborious and expensive. Add to that the challenge of getting a bank license which turns off those trying to get in that niche. What banking-as-as-service does is to connect businesses with banks that take care of the requirements and provide the technology they need to provide financial services through a slew of digital channels.

This process will make banking services more engaging and less transactional. Businesses can now integrate services throughout the buying journey without redirecting them to a different platform. This means customers will no longer do the rigamarole of going from one channel to another. They will get what they need when and where they need it.

And statistics show that it is working. Buy Now, Pay Later (BNPL) services are steadily climbing at a rate of 39% per year for approximately 10 million Britons making their online purchases. 

What now for traditional banks?

Since traditional banks have little appetite for risks, they weren’t built to handle the demands for embedded finance. BaaS companies make it faster and easier for fintechs and other companies to increase their offerings by embedding digital banking services directly into the purchase. Instead of seeing this as competition, traditional banks should collaborate with BaaS to benefit from this embedding.

What can Banking-as-a-service do?

With the help of banking-as-a-service, new players in the finance industry will have the capability of targeting niche communities and coming up with slimmer product sets. Also, the solutions that BaaS offers can give valuable insights to businesses on how they can improve their products or services. They will have the much-needed data to learn about industry trends, saving and spending behaviors, and general engagement with their offerings.

All these means that businesses can have more information on how they can improve the overall customer experience. This also means companies can deliver products and services that are more targeted towards the right customers. The possibilities that banking-as-a-service offers are endless in terms of innovation in the banking and financial services market.

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Playrcart Gives You What You Want – Immediately

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We’ve all watched ads and immediately thought, “I want that. Right now.” Some of us wish we could jump right into the TV and into that sexy Ford F-Series quicker than we can have a second thought. But how many of us have gone to make a purchase only to be discouraged by the needlessly complicated payment process? “Too many,” says UK-based startup Playrcart

We believe this is the future of advertising.” 

Founder Glen Dormieux, along with CTO, Richard Mason, created Playrcart born of that very frustration.

What we’re seeing right now is fairly traditional – they’re doing the same thing time and time again.

Currently, when viewing an ad, you have to go through several pages in order to complete a purchase. How many sales are lost in that time-consuming process? “Too many!” say business owners in a Mr. Krabs-esque demeanor. 

How Does Playrcart Work?

Playrcart has designed its platform to convert digital assets into instant transactions within the ad itself. How is that possible? Technology, stupid. 

You can actually make the transaction go directly within the asset itself. So you engage with the ads, you interact with the purchase within the ad without ever leaving that same piece of content.

It effectively dilutes numerous clicks that you normally have to navigate through. The average of reduction clicks is about 75 percent.

With Playrcart, you can watch the trailer for a new Spider-man movie and buy tickets before it’s even completed. You can schedule a test drive in the Ford F-Series as you’re watching a professional drive it on a closed course. 

Consumers will now have the option to purchase something when their emotional response to an ad is at its peak. You can see an ad for a major event and as you’re riding that emotional wave you click and purchase tickets. As the ad concludes, you can emotionally conclude with it – satisfied. 

You can see Playrcart’s technology in action here

Playrcart is capitalizing on our instant gratification society, and they’re doing it with modesty and innovative advances in technology. 

We want to hit them instantly while you’ve got their attention.

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Crazy Things That Happened in 2021

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Although 2021 would probably go down in history as one of the craziest years in recent times, 2021 is looking like it’s catching up. Here are a few of the crazy things that happened this year:

Capitol Hill Riot (January)

Early January saw a massive riot happen at the US Capitol. Former President Trump was charged with incitement in his impeachment trial in the Senate. This resulted in a mob that was pro-Trump, breaking into the building. This forced members of Congress to evacuate and left five dead.

Battle of the Billionaires (January)

Elon Musk has surpassed Jeff Bezos to become the richest man in the world. This, thanks to the increase in Tesla’s share price giving him a net worth of more than $185 billion. Bezos was the holder of this title but went down with his $184 billion worth.

Trump Impeachment (January)

A call for Former President Trump’s impeachment happened twice this year. Some Democrats and members of the progressive group, The Squad, called for his impeachment. This, after his supporters stormed the US Capitol.

Frigid Weather in Texas (February)

Brutal winter storms ravaged Texas for more than seven days. It caused unprecedented devastation that claimed the lives of at least 26 people.

The Grammys Breaking Records (March)

Records were broken in this year’s Grammys, with Beyonce winning more awards than any in the award-giving body’s history. Along with Megan Thee Stallion, they became the first female artists to win best rap performance, breaking records. BTS also made Grammy history by being the first foreign act to perform solo and the first KPop group to be nominated.

The Free Britney Movement (April)

Pop icon Britney Spears has been under a conservatorship by her father since 2008. In April this year, the hashtag #freebritney gained traction as fans cried for the singer to be free from the legal binding. 

The Friends Reunion (May)

Not really a follow-up to the lives of the Friends character, but a reunion in which the main cast members reminisced about the good ol’ times. The fans were treated to a recreation of the set along with some table reads from scenes that were rehashed. 

Bitcoin Price Plunge (May)

After hitting a record high of $64,829 in mid-April, Bitcoin prices plunged to around $30,000 at one point. All this is in connection with Elon Musk’s Tesla’s suspension of purchase with the cryptocurrency, citing environmental concerns over the mining process.

The End for Keeping Up With The Kardashians (June)

The month of June saw the end of the reality TV show, Keeping Up With the Kardashians. After 20 seasons on the air, the show ends with a two-part reunion special. However, this isn’t the end for the Kardashians-Jenner, as they will star anew in a Hulu reality series later this year.

On another note, the year also saw the divorce of Kim Kardashian and Kanye West after six years of marriage.

All Eyes on Simone Biles (July)

The 2020 Tokyo Olympics was held in 2021 due to the pandemic. And on this one, all eyes were on Simone Biles as she has proven that she’s not superhuman after all. The celebrated gymnast withdrew from the team gymnastics finals citing the “twisties” and her efforts to focus on her mental health.

Facebook Name Change (October)

From Facebook to Meta, the rebranding was announced in October in an attempt to own the metaverse. The company says that the new name is reflective of their ambitions that go beyond being a social media platform. CEO Mark Zuckerberg considers the move as a nod to the metaverse, the concept of a three-dimensional version of the internet.

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