Can Fiverr make you a millionaire?

The idea of selling your talents online for cold hard cash has always been appealing. The concept first came to light in 2008 when two entrepreneurs offered their skills as professional musicians on eBay. In 2012, an anonymous developer created "Craigslist" – an online classifieds site that allowed users to post jobs or items for sale. And now there's another website called Fiverr where people can sell anything they want. It sounds like it could be a new way to get paid if you're looking for extra income. But how does it work? More importantly, what are some things to avoid so that you don't end up losing money instead of making more? We spoke with one person who recently made over $1 million from freelancing on Fiverr and found out exactly how he did it.

Founded by Nick D'Aloisio in 2013, this startup allows anyone to list gigs for paying customers. Users pay five dollars (or less) per service performed. People interested in hiring someone perform searches on the platform and select those willing to provide specific services at a certain price point. Once selected, clients hire workers through PayPal accounts set up specifically for these transactions. Clients typically receive a link via email once payment has cleared showing proof of successful completion.

While many companies have tried to compete with Fiverr, including Uber, Lyft, TaskRabbit, Amazon Mechanical Turk and PostMates, only one company appears to be doing well -- particularly since going public last week. That would be Snapchat Discover, which features content curated by celebrity personalities such as Katy Perry, Kevin Hart, and Chance the Rapper.

But why should you care about any of this? What makes Fiverr different than other sites where you can offer your talent? How does it help you earn money? Is it even possible to make real money on Fiverr? In short, here’s everything you need to know about whether you can become a millionaire overnight using Fiverr.

How much do top earners make on Fiverr?

According to data provided to us by Fiverr, the average hourly wage for buyers on Fiverr ranges between $10-$15/hr depending on location. For example, New York City boasts an average hourly rate that hovers around $14 while Los Angeles averages closer to $12. Meanwhile, San Francisco comes in slightly higher at $16/hour. This means the median annual salary for Fiverr users is roughly between $41K-$54k annually. While this might seem low compared to traditional employment wages, remember that most people working on Fiverr also hold full time jobs.

So what is the highest yearly income earned by a user on Fiverr? As far back as we can tell, that honor belongs to Anthony Zangardi, whose net worth currently sits at nearly $2 million according to the Wall Street Journal. He started posting ads on Fiverr in 2014 but didn't start generating massive profits until 2016 when he began promoting products available on Amazon. Now, he reportedly earns hundreds of thousands of dollars each month from various product promotions.

If you look at other high-earning members, however, you'll notice that few actually reside outside of America. One notable exception is Canadian entrepreneur Jason Calacanis, who founded Mahalo and later sold to Yahoo! for $500 million. However, he still manages to rake in millions every year because he sells his consulting services rather than listing gigs directly on Fiverr.

What is the highest earning on Fiverr?

One thing that seems clear is that being a buyer isn't necessarily better. Not all listings go viral and turn into profitable experiences. Some users simply decide to try their luck elsewhere. They may find success somewhere else or not. So just how big is the gap between earnings for buyers versus sellers? According to our analysis, it varies widely based upon factors such as geography and experience level. Take Andrew Hwang, for instance. He earned $3,000 during his first three months on Fiverr despite having no previous marketing experience.

Meanwhile, others such as Roberta Lee earned considerably more. She joined Fiverr in 2015 and went onto build her own brand. A self described “marketing maven,” she became known for her expertise in advertising, retail merchandising, social media management and digital strategy. Her current estimated annual revenue is more than $250,000.

Others like Jodie DeBartolo appear to be very selective about which projects they choose to take on. Despite spending several hours researching potential opportunities, she ended up choosing to promote dog training courses on Fiverr. After completing four sales pitches over a span of six weeks, DeBartolo received payments totaling almost $8,700. By contrast, fellow Fiverr member Michelle Toth had similar results. Over the course of two years, she completed seven campaigns, bringing home approximately $13,600 in total commissions.

How much do top sellers on Fiverr make?

As mentioned previously, Fiverr doesn't allow direct competition among buyers and sellers. Instead, it offers a referral system whereby both parties agree to split commission fees whenever a transaction occurs. Therefore, it’s impossible to determine exact numbers without knowing who referred whom. However, a general rule of thumb is that 75% goes to the seller and 25% to the worker. When referring a client, sellers must use unique links, otherwise buyers won't be charged twice.

Some sellers report earning upwards of 70 percent of the final fee whereas others claim that they often end up getting half.

This percentage differs greatly based upon individual circumstances. Consider Joel Young, for instance. He initially worked as a customer support manager at Google before leaving to pursue a career in entertainment production. Since joining Fiverr in 2011, he has built his business primarily through referrals. His current estimated monthly income sits at close to $100,000.

He attributes this success largely to the fact that he takes great pride in providing quality work. If he believes the project will benefit his audience, he sticks to it regardless of whether he receives compensation immediately or not.

Young says that he has never turned down a gig due to budget concerns. Even though he sometimes works long days at his regular 9-5 job, he continues to spend countless hours on Fiverr pitching prospective clients.

Many of his best gigs were brought to him by former colleagues. These individuals recognized his ability to produce high-quality videos and audio recordings. Rather than chase them down personally, he decided to create a presence on Fiverr to let them know that he was open for business.

For many, becoming a star performer on Fiverr requires persistence and dedication. To prove his value, Young recommends giving himself deadlines for tasks. He prefers to plan ahead and stick to that schedule even if it means missing lunch or dinner with friends.

While many experts say that procrastination leads to poor productivity, Young insists that this approach helps him focus. He claims that he rarely feels overwhelmed by the number of requests he gets daily.

At the same time, he understands that his clients rely heavily upon his reputation. Therefore, he tries to respond quickly to messages and emails. Whenever possible, he plans meetings with his clients in person.

Another tip he shares is to learn about the goals of potential employers prior to accepting contracts. Sometimes, the reason behind the request may reveal limitations that lead to unsuccessful proposals.

It’s important to note that although the majority of Fiverr stars tend to come from North American countries, there are exceptions. For example, Chinese actress Zhang Yixin has garnered fame for appearing in commercials for brands such as PepsiCo, Lotte Mart and KFC. Another Asian marketer named Jayden Leung has helped grow his profile with numerous appearances in popular TikTok videos. He posts advertisements for mobile game Clash Royale alongside clips of himself playing the actual game.

Can Fiverr make you rich?

If you're looking for an easy way to earn money online, then consider opening up shop as a freelancer on Fiverr, the largest gig-based platform in the world (that's right — more than 2 billion gigs sold so far).

In 2015 Forbes listed the company at #10 among all privately held businesses globally with $1.3 billion of revenue. In October 2016 it announced that it had hit one million users worldwide and now has over 15 million monthly active users. It also boasts a global workforce of around 200,000 people across 120 countries.

The platform allows anyone from college students selling crafts to CEOs launching startups to offer their skills or expertise via microjobs or "gigs." If you're not sure what type of work would be best suited to your talents, there are several categories you could choose from including writing, design, marketing, programming, art, music, photography, food & beverage, home improvement, business development, social media management, web hosting, SEO/SEM, product creation, consulting, etc. The list goes on...

It makes sense why this website with such a wide variety of offerings and talent pools has grown into a multimillion dollar empire. But can someone actually make a living off of it? And how does one go about getting top rankings on their desired category's most popular jobs section? We spoke with Joel Young, CEO of Gigbucks, who successfully managed to grow his own startup to become one of the leading companies in the space. He runs a site called Gigbuckseo.com, where he helps clients find better placements within Fiverr's various sections. Here's what we learned from him.

Can someone make a living on Fiverr?

Yes! You can definitely live off of Fiverr. Many have done just that. For example, if you're a graphic designer, you can create designs for local restaurants, bars, nightclubs, event planners, musicians, DJs, artists, writers, photographers, videographers, etc., and sell them directly on Fiverr. Or if you're a photographer, you can take pictures for brands, weddings, birthdays, baby showers, real estate agents, etc., and sell those photos directly on the platform. There are countless examples like these.

But before you start making your dreams come true, here are some tips and things to keep in mind when using Fiverr:

Research your chosen field first. Make sure you know enough about your niche to write good reviews, answer questions well, and provide quality service. Know your industry inside out and understand what customers want. This will help you stand apart from other vendors and give you confidence while working with potential buyers.

Create compelling descriptions. Most people don't read beyond the title of any listing they see on Fiverr, so you need to grab attention quickly by creating eye-catching titles. Also include keywords in your description that prospective buyers might use to search for your skill set.

Use strong tags. When posting listings, always tag yourself correctly according to Fiverr guidelines. Otherwise, your profile may appear next to low-quality posts that aren't relevant to your experience and skillset.

Be upfront about your rates. Offer price ranges based upon level of proficiency (entry-level, intermediate, advanced), location (local area, nationwide) and time availability (hourly rate, flat rate). Be clear about whether extra fees apply, e.g. travel expenses, taxes and gratuity, setup charges, insurance, equipment rental fee, etc.

Set up your account properly. Set up your account properly and fill out every single required piece of information accurately. Don’t skip any fields. Failure to complete each step thoroughly may result in delayed processing times, missed payments, blocked accounts and even canceled orders.

Don't forget to add testimonials. Add positive feedback from previous buyers who've used similar services provided by you. Always leave the option open for potential buyers to contact you for further details.

Offer multiple payment options. Let your buyer know that you accept PayPal as a form of payment. Additionally, let them know if you accept bank transfers, credit card payments, check payments and cash payments. Having different methods of payment available gives your customer greater peace of mind knowing she won't incur unnecessary transaction costs.

Keep track of tasks. Keep detailed records of everything that needs to happen during the project life cycle. Use task tracking software like Toggl, Harvest or Wrike to maintain accountability throughout the process.

Get paid promptly. Once you receive payment from a client, ensure that you send funds immediately to the designated address stated within the order confirmation email. Do not wait until the end of the month because sometimes platforms charge late fees, especially international ones.

What is the average income on Fiverr?

According to data released last year, the median annual income for full-time employees in America was $51,340. On Fiverr, however, the amount varies depending on the type of seller you decide to be. Some sellers make hundreds per week whereas others make thousands per week. A few select members of our team have made tens of thousands of dollars per month. However, many others have been doing quite well, too. Our VP of Marketing recently earned $45K per month, and our Director of Product currently earns approximately $40K per month. Other notable figures include:

$25 - 60K: Digital Marketing Consultant

$36 - 76K: Web Developer

$26 - 40K: Virtual Assistant

$22 - 34K: Social Media Manager

$20 - 33K: Copywriter

$17 - 26K: Photographer

$15 - 19K: Graphic Designer

These numbers vary widely based on your specific region, audience, education, age, gender, ethnicity, specialties, language abilities, technical knowledge, years of practice, etc. So it really depends on your unique situation.

How do you get high on Fiverr?

There's no magic formula here. What works for me might not necessarily work for you. As long as you follow the steps above and put forth consistent effort, your results should speak for themselves. Just remember that success doesn't happen overnight. Like anything else worth achieving, it takes hard work, dedication and patience.

Here are some quick strategies I'd recommend trying to boost your visibility:

Start writing blog posts. Take advantage of free blog spaces offered through sites like WordPress, Blogger and Tumblr to share your thoughts, suggestions, ideas, opinions, advice and experiences with readers.

Write articles. One great way to drive traffic and increase engagement is by sharing informative articles on topics related to your specialty. Posting regularly on article directories like EzineArticles can bring new visitors.

Post videos. YouTube offers a huge number of channels dedicated solely to providing content for viewers interested in learning something new or simply entertained. Create short, entertaining videos explaining concepts relating to your niche and post links to them on social networking profiles.

Ask friends and family to spread the word. Tell everyone you meet about your exciting opportunity. People love talking about themselves and being part of something bigger. They'll often feel important by helping you promote your page and products.

Take advantage of the network effect. You never know who might stumble upon your profile. Your connections might introduce you to new opportunities or refer you to existing projects they've already completed.

Join groups and forums. Find communities of entrepreneurs, marketers, business professionals, small business owners, bloggers, authors, journalists, influencers, etc. Joining groups and forums provides another avenue for exposure and support. Plus, joining discussions frequently posted by leaders in your niche can expose you to tons of useful information.

Do keyword research. Search Google Trends, Moz Keyword Explorer Tool, Spyfu Suggested Searches, Ahrefs Global Keywords Analysis tool, Wordtracker Suggested Searches and Long Tail Pro. These tools allow you to discover trending terms related to your particular niche. Then optimize your pages accordingly.

Build backlinks. Backlinking refers to linking your websites together with external sources in hopes of increasing your ranking on search engines. To build backlinks, you must publish original content, engage with conversations, comment on blogs, participate in forums, ask for recommendations on social networks, etc.

Submit press releases. Write interesting newsworthy stories on topics relative to your field of interest and submit them to PR portals like PR Newswire. Remember to proofread carefully to avoid embarrassing grammar mistakes.

Become an expert in your field. Share valuable insights and educate your target audience by publishing educational materials such as books, reports, guides, whitepapers, case studies, podcasts, interviews, speeches, presentations, infographics, videos, etc.

Participate in contests. Sign up for competitions hosted by major players in your niche. For example, enter LinkedIn Influencer Awards contest to win prizes totaling $50K+ in 2017.

Try advertising on Facebook, Instagram, Pinterest, Reddit, Snapchat, Twitter, Venmo, TikTok, WhatsApp, etc. Look for creative ways to advertise your brand.

Follow trends. Follow hashtags related to your field of interest on twitter. Hashtags are commonly associated with certain industries, events, interests and personalities. By following them, you'll stay updated on current affairs and trends happening in your niche.

It's been an interesting week for the internet. On Monday we learned that Yahoo had sold Tumblr (and all associated content) to a group led by David Karp in part because it couldn't compete with other platforms like Medium or Pinterest.

On Tuesday, Facebook announced plans to buy messaging app WhatsApp. This isn't surprising considering Facebook has been trying to dominate social media as well as mobile communication — but what may be more important than any acquisition is how these companies have fundamentally changed our relationship with money.

While there are plenty of examples of people making tons of cash from apps and websites, none of them were built on top of an initial public offering until this year. And while most of us probably won't find ourselves millionaires anytime soon, if history tells anything, they might just help give birth to the next Silicon Valley giant. It's worth noting though that not every company will turn out so favorably.

And yet, despite having little actual value outside of tech circles, many investors still want their piece of the pie. In fact, according to CNBC, over 100 million Americans own stock in Apple alone. So can anyone really become a billionaire overnight when it comes to technology? Can you actually build your fortune through startups, or should you stick to traditional investments? We spoke to some experts about where exactly to start.

Can you get rich on Fiverr?

Fiverr started back in 2013 and allows users to post gigs for things like logo design, photo editing, copywriting, and even singing "Happy Birthday." Since then, it's grown into one of the largest marketplaces on the web. The site claims that 80 percent of transactions take place between $5-$25 dollars. According to Forbes, in 2015, the average annual income for someone who works at Fiverr was around $21k.

So does that mean that everyone who signs up could potentially make enough money online to quit their jobs? Not necessarily. But here's why you shouldn't expect to strike it big either.

The first thing you'll need to do before posting something on Fiverr is fill out an application form that asks for basic information about yourself such as education level and work experience. Once you've done that, you're free to list whatever skills you think would benefit others. You can also choose whether to charge hourly or per project rate. While it's true that those who offer very specialized services can sometimes earn higher rates, you don't always have control over pricing since different buyers pay varying amounts depending on what they're looking for.

In 2014, New York Times reporter Mike Isaac interviewed several entrepreneurs who said that Fiverr helped them launch successful businesses. However, he noted that most stories posted on the platform typically involve freelancers who only made a few hundred bucks per transaction. That being said, Fiverr has earned millions of dollars for clients including Nike, Disney, and MTV.

What makes Fiverr unique among similar sites is that it requires sellers to verify their identity using government IDs rather than bank accounts. If you sign up under your real name and show ID proof, you'll be given access to your seller account. Sellers must also provide copies of their driver’s licenses and passports before completing transactions.

If you decide to use Fiverr, be aware that the service doesn't allow international payments. For US customers, however, you can send funds via PayPal, Google Checkout, Amazon Payments, Zelle, and Skrill. As far as fees go, each buyer pays 4% plus 30 cents for purchases less than $10, 3% plus 15 cents for purchases between $10 and $99, 2% plus 10 cents for purchases greater than $100. Customers who wish to receive payment via check can opt for an additional fee of 5%.

Can you make a living selling on Fiverr?

When talking to financial analysts last month, CEO Andrew Puzder told Cheddar TV network that he believes Fiverr is a great way to learn new skills and create passive streams of revenue. He went onto say that it gives him peace of mind knowing that he "can put [his] kids" down to sleep without worrying about paying bills.

However, not everything goes smoothly. One entrepreneur I spoke to recently claimed she lost thousands due to poor management practices on Fiverr. She says her earnings dropped significantly once she began working directly with managers instead of independent contractors. Another person I talked to felt similarly negative experiences resulted in bad reviews and subsequent drops in sales.

According to another individual I chatted with, you definitely risk losing money on certain projects due to shoddy workmanship. They claim that buyers often ask for refunds only to refuse the request when presented with evidence supporting their case.

For example, one user showed me a review left by a customer complaining that a product delivered didn't match photos provided. When asked to return the item, the reviewer responded saying they'd simply exchange it for something else.

Aside from bad reviews, there's no guarantee that you'll make money doing what you love on Fiverr. Here's why.

First, let's talk about the good news. There are certainly ways to make extra money on Fiverr. The main perk of joining the site is that you don't need to deal with rejection. Many sellers report getting positive responses immediately upon publishing listings. Still, you never know with Fiverr unless you try to sell something.

But secondly, remember that Fiverr takes half of commission for products purchased through your profile. Even if you end up earning $1,000 for a client, the majority of that amount ends up going straight to the site itself.

Finally, if you're already skilled in a particular area, it's possible that you can build up a reputation as a reliable provider. A lot depends on how quickly you respond to messages, how accurate your estimates are, and whether you deliver quality goods and services.

Still, the best bet for beginners is to focus on building trust and credibility within communities related to specific interests. Then, you can begin pitching potential clients and hopefully land bigger deals later on.

Which skill is highest paid on Fiverr?

At the time of writing, graphic designer Pablo Escobar holds the title of highest-paid gig on Fiverr. His listing shows that he charges $50 per hour for designing logos, business cards, flyers, etc., and offers three revisions for free. Other popular categories include voice overs ($45/hr), photography ($35/hr), translation ($30/hr), copywriting ($20/hr), and SEO optimization ($15/hr).

There are two types of profiles that stand above the rest in terms of profitability. The first category involves professionals who primarily perform simple tasks for small sums of money. Examples include teachers, tutors, dog walkers, event planners, photographers, etc. These gigs tend to fall below the $5 mark.

Another type includes people whose primary occupation happens to be selling on Fiverr. Their expertise lies in marketing themselves as individuals with special talents and abilities. Some of these folks claim to have received hundreds of thousands of dollars in total compensation from Fiverr. Others have gone on to found their own companies based on their success with the website.

To see what it looks like inside the world of Fiverr, check out this interactive map created by Digital Trends journalist Matt Navarra called Selling Online. At the bottom of the page, you can filter by location and browse categories relevant to your interests.

Can you make a living off of Fiverr?

That answer is yes. Whether you want to call it entrepreneurship or self employment, becoming a full-time digital nomad seems to be a common goal for many members of Generation Y. With that being said, it's tough to pinpoint exact figures.

A survey published earlier this year revealed that 70 percent of millennials plan on quitting their current jobs to pursue careers in fields unrelated to their original field of study. Of those surveyed, 58 percent said they wouldn't consider staying in their current position long term. Just 38 percent said they planned on sticking around for five years or longer.

One reason why young adults are itching to leave corporate America is high salaries coupled with low levels of fulfillment. In July 2016, Gallup released results showing employees feel unfulfilled at work 52 percent of days compared to 50 percent in 2015. More specifically, younger workers aged 18 to 29 reported feeling unhappy at least four times during the prior 12 months. Meanwhile, Gen Xers and baby boomers both experienced lower unhappiness rates -- 39 percent and 40 percent respectively.

Of course, this trend toward independence hasn't been seen exclusively amongst Millennials. In fact, in April 2017, a former employee filed a lawsuit against Uber claiming discrimination towards women. The plaintiff alleges that female colleagues faced unfair scrutiny regarding promotions and salary increases. Similarly, a woman named Susan Fowler Rigetti wrote a blog detailing instances of sexism at Github, prompting widespread discussion across social networks.

Overall, millennials seem to be taking matters into their own hands. In 2012, 24 percent of respondents indicated their ideal career path involved entrepreneurship. By 2015, that number rose to 34 percent.