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Fiverr’s Freelancers Have Earned $2 Billion For Gig Work

Fiverr’s Freelancers Have Earned $2 Billion For Gig Work

May 25, 2021 at 05:56PM
by PYMNTS

Gig economy star Fiverr said on Tuesday (May 25) that freelancers on its platform have collectively earned more than $2 billion. In February 2020, Fiverr had announced that its freelancers had earned $1 billion on its platform since its launch a decade before.

“Fiverr is growing fast, underscoring that businesses see the benefit of integrating freelancers into their organizations — as their agility and skills offer flexible, quick and cost-effective solutions,” said Micha Kaufman, founder and CEO of Fiverr. “Remote work has been the mode of work during the pandemic and, because of its success, it is here to stay.”

In a press release, Fiverr said that it saw particular growth in several key categories: eCommerce development, illustration, architecture, interior design, voice-overs and graphics. “There is a high earning potential among these categories,” the company said.

The release said there is also increasing demand for skilled freelancers in character modeling and short video ads. “This is likely due, in part, to the shutdown of real-world video and campaign shoots, as well as the immense rise in popularity of short video clips on TikTok and Reels,” the company noted.

In the 12 months ending March 31, more than 3.8 million customers purchased a wide range of services from freelancers worldwide, Fiverr said. In 2020, the company’s revenue increased to $190 million, a 77 percent jump over 2019. Net loss for the full year was $14.8 million, compared to a net loss of $33.5 million in 2019. “There is tremendous growth ahead of us, ” said Kaufman at the time. The number of Fiverr’s active buyers grew 45 percent year over year to 3.4 million.

This February, the company ran its first-ever Super Bowl commercial. Such TV spots were valued at $5.5 million. “As a company that’s trying to build a household brand, the Super Bowl is a very important event,” Kaufman said. “It definitely says we have arrived in terms of brand marketing. And I think that that definitely influences the brand awareness, mostly in the U.S., but it has some halo effect outside of the U.S. as well.”