Reasons Why You Aren’t Making More Money As A Creative Freelancer and How To Change That
What’s the biggest challenge stopping you from succeeding as a creative freelancer? Do you struggle finding enough clients, getting paid what you’re worth, or something else? Don’t panic.
Here’s all the reasons why you aren’t making more money as a freelancer — and what you can do to turn it around.
The Struggles of a Creative Freelancer
When you work a 9-to-5 job, whether you get a promotion or a pay raise depends on your manager. How does your manager think you’re performing? Do they think you deserve to earn more for your contributions to the office? As a creative freelancer, things work differently.
As a creative freelancer, it’s up to you to decide what your services are worth and what types of projects you’re willing to accept.
More than 58 million professionals work as freelancers in the U.S., representing 36% of the total labor force in 2021. Video conferencing platforms like Zoom have made it easier than ever for freelance professionals to connect with clients located all over the world, and online marketplaces like Funnel have expanded the number of opportunities for creative freelancers to generate income on the side.
Nearly anyone with a freelance portfolio today can post their services to an online marketplace and apply for virtual gigs online. Freelancing has become a legitimate career path for millions of Americans who are no longer interested in working traditional hours or dealing with lengthy commutes. For creative professionals, especially, freelancing can lead to financially lucrative opportunities.
If you’ve been a creative freelancer for years, but your pay has stayed stagnant, then it’s probably time to do something about it. In this article, we’re sharing our most successful strategies for making money as a freelancer. Follow these tips, and we can guarantee you’ll start earning more money as a creative professional.
Top Reasons Why You Aren’t Making More Money As a Creative Freelancer
Pricing is too low.
Setting your prices low may seem like a good idea, especially if you’re looking to add more clients to your roster. But in the long run, having prices that are too low can sink your creative freelance career.
If you accept low-ball offers, you’re going to have trouble paying the bills. You’ll also have a problem with market perception. The prices you set signal your value to potential clients. Prospective buyers on a freelance marketplace like Funnel are usually willing to pay a higher price for better quality work, or for the opportunity to work with a creative professional who is an expert in their field. If you’re charging too little, buyers may actually wonder why that is. They may question your skill or your experience.
Don’t undersell yourself as a creative freelancer. If your freelancing projects aren’t paying the bills, there is a good chance it’s because you aren’t charging enough for your projects up front.
If you are new to freelancing and you’re not sure where to begin or how to set a price for your services, consider using a freelance rate calculator to help determine what prices you need to charge to meet your financial goals.
Expenses are too high.
As a creative freelancer, your expenses should be fairly low. Camera, computer equipment, and software are a few of the most obvious costs if you’re freelancing as a photographer, videographer, or graphic designer.
If you’re struggling to generate enough revenue as a freelancer to replace your current income, it’s worth taking a look at the fees associated with the online marketplaces you’re using to advertise your services and find clients. Some well-known freelancer marketplaces take as much as 20% of your earnings. That can really eat into your profits. Those same marketplaces are known for being highly-competitive and neglecting seller rights, as well.
Funnel is an online marketplace that does things differently. Funnel has made its marketplace completely free for creative freelancers to use. That means you can advertise your services and find new projects without being subjected to crazy-high fees that eat into your bottom line.
Not enough clients.
As more creative professionals start advertising their services on freelance marketplaces, the competition for projects has skyrocketed. The biggest freelance marketplaces are filled with hundreds of thousands of creative professionals vying for each project. If you’ve struggled to find enough projects and you aren’t making enough money as a creative freelancer, then the marketplace you’re using could be to blame.
Niche online marketplaces make it easier for skilled freelancers to pick up well-paying assignments from high-quality clients. On Funnel, for example, freelancer portfolios have a much higher conversion rate. What that means is that it’s more likely a person looking at your freelancing portfolio on Funnel is going to hire you for an assignment than when you publish your portfolio on another online marketplace.
Funnel even offers a premium subscription service, which includes three professional advertisements with advanced exposure and visible customer reviews. Creative freelancers with premium subscriptions on Funnel also get a prioritized search ranking advantage, as well as unlimited portfolio uploads.
Offering is too small.
What types of services do you offer? If you aren’t satisfied with the money you’re making as a creative freelancer, it’s worth considering whether you could expand the number of services you sell. For example, if you’re a photographer, what types of assignments are you willing to take on? If you currently shoot weddings and portraits, would you be willing to expand into fashion, landscape, sports, or even real estate photography?
Videographers who are looking to supplement their income on Funnel might consider expanding beyond events, to take on promotional, marketing, and corporate video production. Product videos are another niche that videographers can enter in order to grow their businesses and supplement their income.
How to Make Money as a Creative Freelancer
These are some of the most effective strategies to supplement your income as a creative freelancer.
Be specific when advertising your services.
The best freelancing profiles are specific, so they draw customers in, without being too specific. You don’t want to lose potential customers because your skills aren’t transferable based on what they need.
Online marketplaces have thousands of creative professionals advertising their services each day. When you’re the new kid on the block, it’s easy to get lost in a sea of other freelancers. The most successful freelancers are able to differentiate their skillsets by being specific in their online profiles and portfolios. For example, a photographer can differentiate their skillset by specifying that they specialize in landscapes or real estate photos. Using specific keywords can with for search engine optimization (SEO), as well.
Say yes more than no.
You don’t have to take on every project that comes your way, but when you’re still growing your freelancing business, it’s a good idea to say yes to as many assignments as possible. This gets you orders — AKA income — and hopefully positive reviews, which will lead to more business in the future.
Don’t be afraid to take on a project you haven’t done before, as long as it’s within your skillset. As you grow your business and collect more reviews, you’ll be able to increase your prices in line with your level of experience.
Advertise your credentials.
Having a college degree isn’t required to work in the gig economy, but it’s still a good idea to do some market research and figure out what credentials most buyers are looking for in your line of work.
Funnel’s online portfolios are the ideal place to list your credentials, including your educational background, special certifications, and relevant work experience. If you are offering photography, videography, or graphic design services, then having the appropriate credentials helps to legitimize your business.
Level Up Your Creative Freelancer Business
Want to double, or even triple, your income as a creative freelancer? If you’re ready to take your business to the next level, sign up for Funnel’s marketplace and list your services as a creative professional today. Click here to learn more.