Fiverr : A Two-way Platform for Selling and Buying Digital Services
Every time a new company is launched, the setup requires a lot of pre-requisite. From designing a logo to maintaining a company’s blog, everything needs to be done at a professional level. For doing this, companies generally hire freelancers. Now, instead of looking for individual freelancers and separately hiring them, how convenient would it be to have access to a single platform from where you can communicate with freelance contractors for all your requirements?
Fiverr, which can also be designated as an online virtual shopping mall, is literally the best and most wanted site for any freelancers and business companies. The service provider can earn some extra cash through this, and the companies can also get their job done in a hassle-free manner.
On 1st of February 2010, Micha Kaufman and Shai Wininger launched Fiverr. The company has its headquarters based in Tel Aviv, Israel providing its services across the world. Fiverr is available in 5 different languages, including English, Spanish, French, Dutch and Portuguese.
History of the $5 Fiverr ‘Gig’
Kaufman and Wininger wanted to create something new, which would break the regular credence of working hours from 9 to 5. So, they came up with an idea of creating a website with a variety of online services like logo designing, data entry, digital marketing, voice translation and many more. Here people could work according to their comfort neglecting the 9 to 5 job scenario. So, the two young entrepreneurs created a single platform which is capable of providing almost every digital service under one roof.
The company started succeeding at a very fast pace such that within a year it had grown 600% in transaction volume. The company received its first funding of $1 million in 1st June 2010 from Guy Gamzu and other angel investors. On 3rd May 2012, the company announced that it had raised another $15 million in the second round of funding from Accel Partners and Bessemer Venture Partners summing the total raised fund to $20 million. By this time, the company had 40 employees working in its different offices spread over Israel, U.S and Europe.
The Growth of an Innovative Business Ever Witnessed by our Economy
In Fiverr, the minimum charge for every service is $5 and might extend up to $1,000 depending on the sellers and the quality of work. This system was started in January 2012 and allowed the sellers to earn more in exchange for their services after ten successful transactions. The services provided by Fiverr are known as ‘Gig’.
The $5 strategy attracted millions of customers from around the world, and by the end of 2011, the company was already providing 70,000 gigs. In 2012, the figure reached around 1.3 million with an increasing number of clients as well as service providers. By the end of this year, Fiverr witnessed an increase in sales by 190%, providing 4,000 new services, i.e. ‘Gigs’ daily.
The expansion of this leading marketplace resulted in the opening of a new office in New York in 2013.
Since 2013, Fiverr.com has acquired a position in the top 200 popular sites list of the world, and its Alexa rank is 291. By June 2013, Fiverr provided over 1.7 million Gigs to customers around 200 countries. The number of categories expanded to 120, which even included Arts & Crafts, Astrology and Gift cards. In December 2013, Fiverr launched its iOS app, followed by releasing the Android app in March 2014.
In August 2014, Fiverr raised $30 million in Series C funding from the existing investors along with Qumra Capital and private investors. This funding promised a larger and new workplace, where the sellers and customers can connect at a global level. In October 2014, Fiverr expanded the Gig service by launching the website in four different languages. Realizing the need for global connectivity, the strategies of Fiverr always played the ace in the digital marketplace.
In November 2015, Fiverr raised another $60 million in the funding round led by existing investors along with Square Peg Capital. With this, the company valued $550 million at that time. By now, the main target of Fiverr was to connect with every single freelancer out there and expand its Gig economy side. In November 2015, Fiverr raised another $60 million in the funding round led by existing investors along with Square Peg Capital. With this, the company valued $550 million at that time. By now, the main target of Fiverr was to connect with every single freelancer out there and expand its Gig economy.
In August 2016, Fiverr opened a new office in San Francisco, and the same year, Fiverr announced DCX Growth Accelerator as its new Global Agency of Record.
Latest Acquisitions and Partnership
In January 2018, AND CO came under the acquisition of Fiverr and the freelance software of AND CO was made free.
In February 2019, Fiverr announced the acquisition of ClearVoice, a content marketing platform. In June 2019, the company announced a new partnership with Lily Singh.
In July 2019, Fiverr introduced its Gaming store providing services like game development, game designing etc.
Annasha Dey is an NIT student, who apart from studying engineering is also a content writer. She has a great interest in photography, writing, reading novels, and travelling as well. She is a foodie who loves socializing and hanging out with her friends. She is also a trained Kathak dancer and a big fashion enthusiast. Dey also loves watching TV series, which includes F.R.I.E.N.D.S. and Big Bang Theory. To be a better writer she prefers to read more