Ever since Elance changed it’s membership structure, writers have been debating whether or not it’s worth using. When I first started Elance, I was paying $29/month for unlimited bidding (or so it seemed) - now I find myself spending $44.95/month while using my bids sparingly. However, even though the rates have gone up and people continue to complain, I will never stop using Elance.

Why?

Because it works…even when I’m not bidding.

You see, I’m one of only three writers listed from Kelowna, British Columbia, and the only one with any earnings on the site. When people are looking to outsource, they don’t always post a project - sometimes they go straight to the source.

In my six months of freelance writing I have had three people contact me for work because they found my profile on Elance. One of them, as it turned out, is now my largest source of work with over 10 hours per week - every week…and that’s without the pesky Elance fees.

Not everybody is happy with the changes - CatalystBlogger isn’t going to be using Elance anymore, JCME isn’t sure what to think, and others are pissed off. In fact, I’m not happy with the changes…but it doesn’t mean Elance isn’t worth using.

While I might not agree with Elance’s membership rates, I can’t argue with their results. I hate having to pay for every bid as well as give them 8% on my earnings - but I understand that they’re the ones setting the rules, not me. They aren’t looking to keep everybody happy, they’re looking to make money - and they’re doing just that, but I’ll continue to use them anyways.

Pros of Elance:

  • Profile attracts clients.
  • Decent paying jobs.
  • Guaranteed payment for completed projects.
  • Tons of projects to bid on.

Cons of Elance:

  • Expensive
  • Many projects aren’t rewarded.
  • Providers tend to be poor communicators.

What are your experiences with Elance since their November changes? Are you still using Elance to find jobs?

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Comments

  1. 1
    IrreverentFreelancer // February 9th, 2008 at 8:35 am

    Chad, the problem with your logic here is that you can maintain your Elance profile (and thus attract clients who contact you directly) for FREE. What’s more, when you downgrade to a free listing, you still get 3 bids per month. It’s the best deal around … and in my opinion the only Elance deal that is now worthwhile. I can’t deny that Elance brought in a lot of money and clients for me over the years, but it’s no longer worth the price for me.

  2. 2
    Chad // February 9th, 2008 at 9:11 am

    Welcome to the blog!

    As long as you can make some money with those three bids per month - that’s great! The reason I’ve had clients choose me based on location is that I was the only one with any earnings - which does seem to matter to people.

    Elance, if I’m correct, is the best known bidding site out there. While the big guys don’t always offer the best deals - they usually make it worthwhile nonetheless. I hate paying Elance’s fees, but I’ve never had a problem with their system.

  3. 3
    Writeontheinternet // February 9th, 2008 at 11:13 am

    Most of my income comes from clients I find on elance. I’m only using the minimum number of bids on the lowest priced membership, so it doesn’t seem that painful to pay the new membership price. Plus, I can count the fees as a tax deduction. What bothers me is that they take so much from each project. I get charged $10 for every project, plus that percentage per invoice. They aren’t just making money, they’re rolling around in it.

  4. 4
    Chad // February 9th, 2008 at 1:35 pm

    Great point! The money they charge is ridiculous - but I’ve always justified it as being my marketing costs.

    I never use Elance for repeat projects - I find it to be a great source of finding prospects - but nothing else. After they’re satisfied with my work, I pass on my contact info and ask for referrals so that I can get paid “outside” of the system.

  5. 5
    Chris // February 16th, 2008 at 8:24 pm

    Elance is not even close to being one of the best bidding sites on the web. I’ve seen talk about it all across the blogosphere, and i think to myself… WHY?

    Elance is no good, ifreelance is no good, talkfreelance is no good, guru is no good, It’s just facts. I’ve seen millions of projects posted asking for dirt cheap work to be done on all of those sites. I don’t live in india, why would i want to work for less than some of the freelancers there work for? I don’t, and people that do are only cheapening the industry as a whole.

    If you want quality jobs, do some old fashioned networking. Send out mailers, use linkedin, market yourself for your quality and your value.

    The bidding sites, for the most part, cheapen the industry. Freelancers battle each other instead of working together, just to land some chump change that isn’t worth the effort in the first place.

    So, you wont stop using elance? That’s great, keep using it, but it’s not the best thing for your freelancing career, and it does more harm than good to the industry.

    -Chris

  6. 6
    Chad // February 16th, 2008 at 8:40 pm

    I appreciate the post Chris, it certainly shows that there are pros and cons to using Elance as well as cheap projects out there. I agree with you on a few points - like my dislike for competing with writers from India on work - but I also strongly disagree with you on others.

    You fail to realize that Elance isn’t just known by Freelancers, but by people who have work. The fact is - if a company is looking for a writing project (or other) to be outsourced, they’ll usually consider using Elance.

    Are 75% of the projects there low-paying? Absolutely…

    …But there are also diamonds in the rough. In 2008, my Elance projects have averaged $45/hour and created opportunities with large companies that I would have otherwise never had.

    You mention…”The bidding sites, for the most part, cheapen the industry. Freelancers battle each other instead of working together…”

    How exactly do receive work in real-life without facing some competition? The fact is, while we all want to be friends and need to respect the rates we deserve, we are also competing with each other for work - directly or indirectly - no matter where you go.

    Out of curiosity, what bidding sites do you recommend the most?

  7. 7
    Ellen Wilson // February 22nd, 2008 at 10:31 am

    Wow Chad! You did change your site! Last time I was here you had the woman holding the sign. I liked it. But this is good too. I have been running the numbers at Elance. I think, yes, there are diamonds in the rough. But how much do you have to spend to get them? It’s like a gambler saying they hit the jackpot when they spent JUST that much in the long run to get the jackpot. For the most part I agree with Irreverant and Chris. I haven’t been bidding agressively, maybe 4-6 connects per month, and I have managed to pick up one client. I really don’t know what I’m going to do yet. Probably stick it out for another month, but I do think this are going to get worse as times goes on.

  8. 8
    Chad // February 22nd, 2008 at 10:54 am

    Hey Ellen, well - the front page rotates based on my most recent articles. But I’m still looking to put together a new header or maybe work on the color scheme a bit.

    Regarding my bidding - I use about 65 bids a month and win around 6 projects (either inside or outside Elance based on my bids). I agree - there are costs involved ($45/month for me), but there are also rewards.

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