Pricing Strategies For Fiverr Gigs — Part One: Create vs Capture

2 min readApr 25, 2020
Photo by Max LaRochelle on Unsplash

Always create more value than you capture.

Create vs Capture illustrates the act of creating value through your service, and capturing value back in terms of monetary compensation. In other words, getting paid.

On fiverr or off fiverr, a business transaction is an exchange of value.

The customer hands you money and in return you provide them with a service.

Why receive less value than you create? Intuitively we would think that we need to receive our fair share as part of the value we give.

The thing is, technically you do receive your fair share no matter what.

Let’s say you offer a service that is objectively, according to the market, worth $100. You only charge $50.

Technically, you are not receiving your fair share. Not at all.

But you actually do. This missing $50 has been transformed into something else that affects the customer.

They feel like they have received value. Over time, these positive feelings will translate into free word-of-mouth marketing for you.

By undercharging $50, you’re technically paying the customer to tell their friends and family what a steal it is.

Sure, not everyone is going to shout to the world what a great deal they have found. But a majority of people will. You might even have a key influencer suddenly shout out your service one day.

In the end the $50 that you undercharge eventually buys you brand reputation, returning customers, positive feelings AND word of mouth. These things can’t be bought with money.

Always create more value than you capture.