Vote - Original 15%-3,5% service fee VS new 20% Fee structure.
Hello Everyone.
PPH wants to know whether the new fee structure suits the majority of sellers or not? please vote and comment (Comment is important)
If you don't know how to vote, click the Up arrow button next to the post title.
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CS Response :
If you want your buyers to vote go here :
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Top Cert since it was introduced, have billed in excess of £100k and routinely bill clients £1000s. The new scheme does NOT work for me.
I most definitely 100% support and vote for the previous structure (legacy rates) to be returned.
If PPH want to apply a new arrangement to new joiners, that is their call. But they went against their own assurance that original members' fee structure would not be affected or changed.
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I am a Top Cert seller, I have worked exclusively on PPH since early 2014 and to date have billed £98.2k.
I absolutely want the original 3.5-15% rate to be reinstated. I cannot justify paying 20% to PPH for use of a payment system and a bit of marketing. I am putting plans in motion to redistribute these funds into my own marketing campaign instead. I have no repeat clients, apart from one, so will be always paying the 20%. The nature of my work is always a one-off job.
I have been incredibly stressed, anxious and worried about this life-changing decision and the quality of my work is suffering as a result.
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Great to hear that PPH is actually willing to finally find out what the majority of Sellers have to say about this outrageous new fee scheme, but I'm afraid the voting in this thread is by no means the proper way to do it, as most likely only the same couple of dozen Sellers at best, that already had their say on the other current threads on this subject would vote in here as well, with the vast majority of other Sellers not even having a clue that this voting is taking place.
If PPH is taking this seriously, then an official voting system should be put in place in such way that at least the Top certs should be "forced" to have their say (either for the former scheme or the new one) by prohibiting them to get any money in the escrow until they've placed their vote on this burning matter.
Additionally, PPH should be able to provide each seller with the "what if" scenario in regards to what the total service fees would have been should the new fee scheme been in place for each of the last 6 months (or at least last month or the last 3 months), so each seller could make up his mind based on some actual data.
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It would be good to have a vote and see what people think. I must admit I didn't even know about this forum and I'm a top seller so unless it is shown to people I doubt many would see it.
I'd love a return back to how it was, I had no email and I must admit I didn't even notice the change until I did a proposal and saw a massive Service Fee and started looking into it.
I'd bet there are a fair few top sellers who haven't even noticed the change yet.
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I would want to go back to the 15% and 3.5% as well, which I lost last year. I'm a Cert 5 and leave a trail of satisfied customers behind me but I have never been able to get enough work to hit the £500 per month target regularly. On the old rate I could sometimes get some work at a lower rate and earn some money. My earnings can't sustain a 20% fee.
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Hello!
I'm a top cert seller (#18) totally agree! Most of my customers are new/one timers, no benefit at all to lifetime billing!
Agree with Meri! stressed, anxious and worried about this life-changing decision and the quality of my work is suffering as a result.
Also had no email about this change, please return back to old scheme! :(
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I am Top Cert rated 0.5% in total freelancer of PPhour in Graphic Design. I provide an affordable service but under these new 20% fees there is no chance I can do that. Not a happy bunny at all. PLUS Not only do i want the 15% and 3.5% back but so do my clients as they too getting a shock when it comes to their invoice total at the end. They getting 10% plus .60p taken on top.
Also had no email about this change, please return back to old scheme! :(
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Hello All,
I am Top Rated web developer with 6th rank on pph.
We are working from 2014 and were happy till the Old Fees Structure.
Once the new structure is implement we are charged more and our clients are also charges 10% so they are getting frustrated and we are loosing business.
So I ask pph team to take note of same and get back the Old fees Structure.
Thanks
Adnan
Coderkube Technologies -
TOP Cert seller, have billed in excess of 160k and I vote for old fee structure. The new structure is just 4 times more costly. We are paying in excess of 1500 in fees. This really needs to be changed.
I most definitely 100% support and vote for the previous structure (legacy rates) to be returned.
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I am a Top Cert seller, I have worked on PPH since 2014 and to date have billed £108.6k.
I absolutely want the original 3.5-15% rate to be reinstated. I cannot justify paying 20% to PPH for use of a payment system and a bit of marketing. I am VAT registered so I also lose 20% of my fees to VAT and with this change it just makes it impossible to make money and still be competitive. I have some repeat clients but most of them the work in total is under the £500, only a few are over that and only 1 over the £5000.
I do not see how in any form this can be more profitable for us as sellers, it is taking a lot of our profit away.
I most definitely vote for the old fee structure to be brought back at least for those who have been on the platform and loyal for a long time.
Thanks
Zara
Magnetizmo Ltd
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My vote is for 15% - 3.5%
I am listed as one of your top graphic designers for the past 4 years and i cant see how paying 20% benefits anyone other than yourselves! but you knew this before changing it!. You've been making a lot of negative changes to your systems this year and if it carries on you will lose all your top sellers to other websites. Stop being so greedy!
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I am a Top Cert seller ranked 18th overall on PPH and about to pass the £100k mark with this platform, and am totally shocked at this new rate change. I echo all of the comments above and wish the old one to be reinstated ASAP.
How on earth are we supposed to offer a professional service when we are now trying to contend with a 20% fee, on top of tax (which is 40% for me over a certain threshold) plus VAT, plus conversion fee, plus withdrawal fees.
The numbers aren't just adding up anymore and clients aren't getting value for money. You need to jump on this situation quick guys because a great number of freelancers pockets are about to be negatively impacted for the hard work we do daily.
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I think it is going to need to revert back to rewarding top sellers with lower fees.
The Top Sellers are working as hard as possible to give buyers (both new and old to PPH) the best experience, product and service possible because they have pride in their reputation on PPH which in turn gives PPH a good reputation.
Why not make it an incentive to new freelancers to build their profile by giving them lower rates once they build their profile to a certain level?
At the minute I have given somebody a quote on some work (rather than a proposal it was just an estimate) before the fees, now if I offer it for the same price I am going to lose well over £180 from a £750 quote. I also have costs I need to include which includes Premium Plugins which I quoted pretty much at cost with the old fees so now I am going to lose out.
I have a choice to make now of honouring the price I gave or trying to put the price up by around £200 (it would also increase the buyer fee they have to pay also a fair bit). I will probably honour the price as it was agreed and I don't want to go back on it but it is going to make that job a loss for me.
There used to be a benefit for having a Top Rating which was appearing higher in search rankings etc. At the minute I can't see the benefit of PPH for me as a Top Cert Seller compared to somebody who has just signed up and is willing to work for £2 an hour and undercut everybody else.
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HI, i just raised invoice of £190 and PPH is deducting around £45 which is too high, i think PPH will start loosing sellers and buyers. They should lower the price and bring more buyers. its not good for sellers for sure too.. very bad move by PPH ,i hope they will think again and reduce fees. thanks for reading my advice.
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from the new fee scheme FAQ:
"Research among community members has shown that a fee structure that encourages the building of high value long-term relationships is something the majority of Sellers welcome and will reap clear financial benefits from.
"we conducted a ton of analysis to finalize the new fees and thresholds. Through community research, we’ve been able to model the potential impact and we’re confident the new fee structure will bring benefits to the community overall."
Can PPH share this research and analysis? I dont see how increasing fees makes us want to increase lifetime value with customers - of course we want to do that, thats how we run our businesses!a
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We must realise it is not just the 20% its the proposal costs to bid and paypal deductions as well. For the 20% fee we still are not receiving any service as there has yet to be a proper reply or any changes for the sellers.
The class of sellers is noticeably dropping i.e third world countries sellers who provide poor cheap work with broken english (not everyone I must point out) and from reading threads if they fail the initial 3 positive feedbacks in the first few months they can pay extra to extend the period. This is turning to a fivesquid site and it is a real shame
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I am TOP CERT in Admin and business support, I have worked on PPH since 2012 and have billed in excess of 103k and I vote for old fee structure. I am working here when People per hour is running in old website structure and introduced hourlie service, We are supporting each and every step of people per hour development. We all Really want the original 3.5-15% rate to be reinstated. Or else instead of increasing the seller's service fee, better introduce a fixed cost of account subscription to pay monthly to main our accounts many of us will agree to pay a fixed cost per month instead of paying a huge amount as a service each invoice. Thanks for reading my opinion.
Best regards,Aysha -
Top cert here, have been on the platform for at least 3 years (maybe 4?) and billed $40,000+. Under the current scheme, NONE of my clients would qualify for the 3.5% fee rate. I would be paying 20% fees for at least 95% of clients.
Definitely NOT in favour for it. It's clearly a money grab from People Per Hour and bad for buyers/sellers.
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We definitely are not in favour in terms with the new service fees charges which PPH has been charging now with respect to seller-buyer relationship. PPH gives us the reason for this new service fees charges to be in perspective to each Buyer:
First £500 earned with a Buyer (excl. VAT) 20%
£500 - £5,000 earned with a Buyer 7.5%
Over £5,000 earned with a Buyer 3.5%
*Work billed under the Zero Commission scheme is excluded
This means that the more you work with a specific user, the less fees you will pay. But they must understand that not every buyer whom a seller deals with turns out to be a long term buyer, being an individual they are not subjected to provide us long term business with multiple projects similar to what agency clients can. So, without any doubt the new service fees charges are adversely affecting our business relationships with clients and I would request PPH to have the service fees reverted back to the OLD SCHEME!Thanks
Team Vortex
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