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Elance Talk



For those New to Elance--Project Awards and Such

Hello Elancers!
I am not necessarily "new here" any more-have been on for six months. Throughout my six months I have read post after post on the water cooler about projects not being awarded, frustration about not getting projects, vetting buyers, vetting providers, etc. and so on. I thought I would post my own thread with my advice to the "newbies." Other "oldies" jump in!
For new Providers:
 
--Make your profile page as interesting, specific and well-written that you can. List your previous employment. Write an exciting and accurate description of yourself. If you are in the graphics or web area, build your portfolio. Use a picture or a logo on your screen.
 
--Choose one or two categories to subscribe to and pay for. Buy some extra connects. Then, bid your heart out. Write a unique proposal for each project that shows that you have read and understand the project description. Attach some samples of previous work.
 
--Be patient and stick with it. You might have to bid on 30 projects before you get one. Put as much time into bidding for each project as the other. Treat each project bid with care.
 
--Realize that, yes, you are paying for a service when you sign up with Elance. You are paying for Elance to deliver leads, provide a functioning interface, provide you with a place to market yourself. All of that is not free for Elance to provide. They are, in my opinion, one of the best freelance sites available. If you were to set up this interface and find your own leads, it would cost you much, much more than the fees you pay to Elance to subscribe and to bid.
 
--Just like in the word outside of Elance, sometimes projects will not be awarded. Sometimes giant jobs with bid submission processes in the "real word" are not awarded. Chances are, the companies submitting bids to those projects spent much more money and time submitting their, sometimes 100 page, bid. Just as anyone walking into a bookstore, grocery store or clothing store has no obligation to buy when they walk in the store, neither do the Elance buyers. There is a 1:5 project award ratio for buyers, and it is enforced.
 
--If Elance charged all buyers a fee to post, there would be MANY fewer jobs on Elance. I would rather shell out $20 a month for lots of good jobs to browse, than spend hundreds of dollars on marketing for potentially not-so-good jobs.
 
--It is partially up to the Provider to bid on jobs they want, they can do, and they have a chance of getting. If you do not like the way the Buyer posts, do not bid on that project. If you do not like the buyer's award ratio, do not bid. If it is not something you can do, don't bid on that project. If you think the budget is unreasonable, don't bid on that project. As a provider, you do have control over your actions on Elance. Exercise it!
 
So, that was sort of a rant Smile but, I think that many people new to Elance ask, write and gripe about all of those topics. Elance is not a free lunch. However, it is a WONDERFUL forum through which to expand your horizons, meet people from around the world, etc.
Best regards,
Katie

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31 Replies

Thanks for this advice.

I am brand new to e-lance. When I was signing up it asked for my company name.

So do I need to register myself as a company in order to e-lance? If so, how would I do that?

I am an individual person seeking data entry jobs.

Emma.

Hi Emma,

When signing up, you can make up a "company name" for yourself. When I first started, I used something else other than The Garden of Words. I think it was something like "Katie's Prompt Projects" or something like that!

You can absolutely sign up as an individual--most Elancers are individuals. I am a "Company of One!"

Good luck with Elance! It is a great place!

Cheers,
Katie

I'm a buyer and would like to chime in -- the advice about caring for your provider profile page is indispensable. I always check the profile page. I'm willing to give new providers a chance IF the profile page gives me a good feeling. I also pay attention to the address details, phone numbers, and logo (or photo).

Hi, and thanks for the info. I just want to make sure I understood it that Elance Buyers do pay a fee to advertise a job? I am amazed that most of the jobs I apply for are NEVER awarded, so I assume that it must cost nothing, or very little, for these buyers to post a job. I don't get it. BFL

Hello bflowen,
Sorry to hear of your issue. I know that when a buyer first posts, they need to put down a $10 activation fee. If they want to post a featured project, it costs $15 each. There have been a number of threads where buyers also look for service providers in more than one place. I see you've been around since May. In those 2 months, how many projects have you bid on, and how many were awarded (maybe not to you, but other providers)? I saw this thread where Jon from Elance states that they've seen award rates in different categories increasing each month over 60%: http://www.elance.com/p/node/2532

Unless a buyer posts as a featured project, they are not assessed a fee. This is a good thing, because that makes more jobs available.

BFL:

More than 60% of the projects on Elance are awarded. If your award rate not what you believe it shoud be look at the top earning providers in your membership area(s) and try to determine what they are doing correctly and you could do better.

Niel

Hi Niel,

Don't know why I never looked at your profile before, since I see you post often. I finally did look, and, a little aside on this topic--Go Boilermakers! I'm a Purdue Grad from the Ag school in 2001! Department of Horticulture.

Cheers,
Katie

Katie:

Thanks for the hello from a Fellow Boilermaker.

Mentioning Boilermakers two of my favorite places was Harry's Chocolate Shop and the XXX Drive Inn. Both places have names that don't match what they do for different reasons. We will leave the rest of the world to figure out what they are.

Niel

Agreed! Wink

Katie-

I've got a question. I'm just learning about elance, and was wondering about the fee for the "Individual" category. Is it a one-time fee, once per month, or once per year?

HenryJClark

Hello Henry,
You would pay for your membership subscription once each month.

Hi Katie,

Thank you for the information. Admittedly, I was a little naive about the amount of work setting up an elance profile would initially require. I still have quite a bit of work to finish my profile!

Thank you!
Tabitha

Hello Katie,
This is my first week here at Elance. I have registered as an individual and received 20 credits. Of course, I have run right through those with only 3 left and no awarded projects. Sad Someone was telling me that Elance offered 3 free credits at sign up. Is that included in the 20 I received or is that separate? If separate, how do I get those added into my account? On the other hand, is that accurate info?

Hello Sweeteaqueen,
Welcome to elance! You get a total of 3 connects per month if you are a Basic (free) member, 20 if you are a paid individual professional, 40 if you are a small biz, and 60 if you are a large biz. See this page for details:
http://www.elance.com/p/providers/learning-center/how-it-works.html

You can buy more Connects to add to your 20 if you'd like. See this page:
http://www.elance.com/p/help/provider/paybidfee119.html

Good luck!

Thanks for your help. I have only been on here for a week, but I feel like I am fighting a losing battle. I am trying to be patient, but this constant pass over is making it really hard. I have used nearly all of my connects (only 2 left) and I will have to wait 3 weeks before getting anymore if I don't buy more. Thanks again for your help and I will check out the links you put up for me.

I'm new to e-lance and setting up a providers account for my office. In light of the above comments I hope that I can offer what I think is some constructive criticism; after having read through some of the documentation, I'm not sure that restricting connects is the best choice. Please feel free to point out whatever I'm overlooking as I do want to understand this.

Ultimately the goal is to post and get jobs. Elance charges up to 8.75% (which is huge imo) so wouldn't it be in everyones best interest to have more connects? Wouldn't this mean more bids on projects and more closers for providers and as a result of this, more profits for Elance? It seems to me that with more bids to choose from that project managers would be able to improve upon that 1:5 ratio. Charging for connects gives the appearance that there is more money for Elance in connects than in jobs and I feel more comfortable paying a percentage of profits earned for completing a job than paying for the "idea" of maybe getting a job. I don't like paying for "maybes", it's bad business imo. With that in mind, and having a free account that represents a company with 8 in-house employees, it will take us 10 months to get a first job using elance (assuming 3 connects per month at an average ratio of 1:30 for new providers without a history). That's my 2 cents, keep the change. Smile

EM:

Recognize that of the 8.75% fee charged by Elance for payments received on projects goes DIRECTLY to the Credit Card handling Services and not to Elance. Elance's actual margin on each project is 3-5% based on your account volume.

Elance is instituting a system for Buyers paying by E-check or phyisical Check where the 3.75% is not charged to your account.

BTW, here else can you get this much exposure and support for a better deal?

Niel

Hi Niel,

This would make a good argument, had I posted in protest of it Wink . But in fact I said that I wanted to pay a percentage for completed jobs. My criticism is aimed at charging for connects, not the 8.75%. In fact I was trying to show how Elance could get more by allowing more connects. Consider the current 1:5 ratio, that means that Elance can expect to get paid for 1 out of 5 project postings (4/5 projects and resulting bids are a waste of space, bandwidth, and time). If connects were free, that ratio would change as a result of project managers having more bids to choose from, or at least that's the idea.

~ EMG

Hi EMG,
There was a huge issue before the connects came into play where service providers did have a large number of bids they could make each month, and a lot of projects got "spam bids", where some providers wanted to use up each and every monthly bid without necessarily being fully qualified for that project, hoping some would 'stick,' and turning off buyers seeing a lot of non-real bids. When they instituted 'connects' and the cost of them, it reduced that issue in a lot of projects.

EMG:

Actually the award ratio is MUCH higher than 20%. Current numbers from Elance indicated that it is over 60%.

The 20% ratio is based on the minimum award ratio for a Buyer to remain on this site. Just like there have been Junk Bids there have also been Junk Projects.

Over the last 4 years ( I started on Elance in 2004) there have been significant number of improvements in the professionalism on this site. Elance is continuing to improve it. Yes, it is not as quick or as professional as the Best providers would like to see, but it is continually getting better. Elance will not be satisfied until this is truly a world class Market place site.

Niel

Hi Niel, Imagine_Writing

I see the points you are making in relation to junk bids/projects. It's a valid point. I have no intention of making junk bids and wish I had more free connects to use, but off hand I can't really think of a solution that would enable people like me to make more bids, without also enabling the spam. Thanks for taking the time to explain the reasoning behind this policy. I suppose I will just have to take the slow approach and see where we stand 10 months from now.

A solution could be to give newbies a good start by say awarding them 100 free connects to help them get started. Also taking into account that some may be finding things financialy hard until they can get on their feet. Maybe to stop the "spam bidding", to put in place connect fines for those who do it as well as the obvious negative feedback and for those who show to be genuine, rewards of an amount of free connects per successful outcome & positive feedbacks. That way the more genuine the provider the more they get rewarded. It may not stamp out all of the spam but should limit it and encourage the genuine providers to excel. There may be many potentially excellent providers who are being passed over because they just cannot get the start they need.

ttb:

How will arbitrarily giving New Providers a number of Bids to practice with help Elance improve the quality of the site. The key to winning awards is convincing buyers that you provide the best value. This starts with a top top quality profile and portfolio.

Niel

Please explain the thought behind providers having unlimited bids increasing the award count?

EMG:

Here is some more prespective on successful bidding on Elance. I consider myself to be on of the most successful providers in terms of making my bids count, doing well by my clients, and making money through virtual markets like Elance.

Engineering and Manfuacturing Jobs - Averaging about 200 per month as of July and August.

Over the last six months or so I have spent connects (place pre-bid questions) on approximately 20% of the ones posted.

On average I finally formally bid only about 1/3 of those.

My success rate on those that I formally bid is over 60%. Yes, this includes repeat projects, but I still count those against my total bids.

The key is to understanding what the Buyer NEED and WANTS then controlling and deliverying to the Buyers Expectations.
If you do that you can be successful here or in any marketplace.

Niel

Great advice, as a new member who's been lucky enough to already land a few projects...I have to add emphasis to the advice regarding your profile and your proposals.

Like I said, I'm new, I just joined about 10 days ago...I don't have hundreds of projects with good feedback under my belt to instill potential clients with confidence, I don't have an enormous portfolio with great examples of what all I can do. But still, I absolutely know that I'm perfectly qualified to complete a ton of projects that I see posted. So it's just a matter of how I can stand out and amongst much more experienced peers.

The profile is a great start, before I even began looking at projects I fleshed it out as much as I absolutely could. I gave an honest, enthusiastic summary of myself and how seriously I treat the responsibility of providing a service to people. I added several credentials, I created a logo for my company. Fill out every last inch of the profile that you can, I think every little bit adds more professionalism and credibility to your identity. I think you could have thousands of quality images sitting in your portfolio but if you think that's all you need and you can neglect the profile, I'd expect you'll be waiting a while for any projects.

And the only other way I could attempt to stand out amidst more established providers is in my proposals. Every proposal I write is personal, extremely friendly and warm, and very enthusiastic. And since I don't have the expansive portfolio or reputation to help win me projects, it's undeniable that the proposals have made all the difference for me. In fact, the projects I won last night have specifically said that my excitement about the project led to me being chosen...the buyer was in fact so eager to work that he awarded me the job after the listing was up for only a couple hours. I'm currently sitting on a 31% award rate with several connects still left in my first batch of 20.

I understand that I've been very lucky to have found projects after such a short time, and I''m not expecting projects to come this steadily forever...but I just had to throw in my two cents to help out other new providers who might be getting discouraged. Take the advice in this thread, it is indispensable.

Katie,
I really appreciate all your advice as I am a brand new provider. I was tweaking my profile last night and I was wondering what buyers are looking for in a provider's profile? Do pictures really matter? Does a buyer usually choose a provider whose credentials have been verified? Does a buyer really care about my non-work related activities such as volunteer experience? I am so accustomed to submitting a resume for a specific job, not "selling" my skills on a freelance website. I could really use the guidance. Thanks so much!

Christa

Katie,

This is great advice. I am new on Elance and was looking for a thread that explains why so many jobs go unawarded. I guess it is a good idea to really look at the post/award ratio of the buyer before you bid. And if that project is one of their first, decide if you want to take the chance on bidding on it. I'm starting to get a nice feel for this site and really like it. I was annoyed, at first, by the number of projects I bid on that were delisted (a couple of which I was really interested in completing). I have since ceased from bidding on these kinds of jobs, though I have been putting them on my watch list. I notice that some of them never get delisted, even though they are almost identical to others that were. Why does this happen? Does a project only get delisted if it is reported? Or does Elance go through and delist "illegal" projects?

Thanks again for all the info and advice!

Jessica

Hello,
I have to agree with Katie-your profile is the most crucial aspect on Elance! It has to set you apart from your competitors and your profile is always "a work in progress"! I had about 60 bids before getting my first job! You have to think of Elance as an investment and give it time to grow! My main area is accounting and I know each area is different but I do believe having a good profile makes a difference regardless of your specialty area! I think this is one of the best freelance sites I've joined (I joined Guru.com and ifreelance.com).

I like the idea also of personalizing each bid and following up with potential clients after you make a bid. I will have to put those ideas into practice! Also be selective about your bids...I have learned to check out the buyer profiles and feedback before deciding if I want to place a bid. Some people just want cheap work and others are really looking for good quality providers...

Latreeka
Williams & Company, LLC -Accounting & Consulting Services
www.williamstaxco.com

I'm new to Elance... I want to create a proposal, I have all the info down I believe, what I'm not sure of is price. How do I know how much projects go for on my first one. I don't want to look like a total idiot offering a silly amount! HELP!