HACKER Q&A
📣 yousss

The fees of talent platforms. Are they justified?


When you find someone through a talent platform like Toptal, Upwork, Fiverr, you have to pay fees. On one hand, yes "I couldn't have found the person without the platform" but on the other hand, paying again and again each time I work with someone seems old as a business model.

And I don't really care about the "help" with invoices and payment etc.

Where is this whole market/business going in the next few years according to you guys?


  👤 gregjor Accepted Answer ✓
Platforms that match freelancers with customers offer a valuable service. Finding people on your own would take a lot of time, which you could assign a value to.

"Justified" asks the wrong question. The platforms offer a service. If you use the service the platform can profit from the transaction. How long would such platforms stay in business if they had to operate for free, or only get a fee on the first engagement?

Toptal doesn't operate as a platform like Upwork and Fiverr. They hire their people out and make money by marking up the rate/fee.


👤 not_your_vase
What would be a better alternative? Pay once, access all, forever? I don't think there is a big enough pool of customers who would be willing to pay a price that would make it at least a bit profitable for the provider. (Especially if I think about new users, who never tried these services yet)