But with two different fees, they’ll have more control since changes in fees can always be justified, but changing the item price and commission rate is more difficult.
Yes, when they add shopping cart, for multiple item purchases, there is a possibility of buyer fee reduction without affecting author fee and payment.
But who knows – by next year, if Envato announces buyers are paying their 30% fee and Elite authors paying nothing? Or even say buyers are paying 50% fee to Envato and Elite authors getting 20% fee “from” Envato?
Now the actual item price become jeopardy – open to abuse item value Vs Envato’s fee.
@MhW, In the earnigns page, it shows 12.5% instead of 70%. This not even matches with the context of earnings page.
You can simply display the word “70% of Item price”. What makes the system to desperately show 12.5% fee even on unnecessary pages? It is understandable to show fee on other pages where relavant but why show even on author earnings page?
@KingDog, Personally I understand the context of change but this confuses authors not only as an announcement but the Earnings page and Statements Page stopped showing the real %.
The Earnings page now shows 12.5% for elite authors – this is nowhere connected with the earnings calculation. Hope this is understandable.
Depends on country, location etc.
In the part where I live, no matter how sophisticated the high rise buildings are. There are nightmare, inconsistencies on elevator, power interruptions, poor maintenance etc while there is less chance of such problems in other parts of world.
Thanks, VF. I had already read that. Doesn’t really answer the question though. Since nothing has essentially changed in the split (apart from the $2 direct fee), the breakdown is actually pretty arbitrary. It strikes me that the new breakdown is either a psychological thing, or a tax issue. Maybe it’s to do with internal accounting, but all it means for me personally is a little more complexity. One of the things I like about Envato is its simplicity.
I pointed the blog post just to inform that – indeed it portraits the psychological aspects ONLY.
From now on, Envato assumes an Elite author pays 10% fee to them and a buyer pays 20% fee.
Pretty sue this directly connects with giving more freedom for buyers and / or reducing freedom of authors – just with 2 actions. One is writing a new policy. Another is just seeing the 30 percentage’s major part as buyer contribution. May be I am having contrast point of views but inevitable – looking at how desperate Envato recently about changes.
May be hiding behind the word “Buyers” because the word “Community” is over used and saturated?
The question that hasn’t really been answered is “what’s the point is of breaking it down in this way?”
Here is the explanation from the blog post:
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Why the Changes to Fee Structure?
Envato Market is a two-sided marketplace. As a company founded and run by authors, our focus has historically been a little one-sided. As part of our effort to lift the user experience across the sites, we’re changing our fee structure to split into a buyer fee and author fee. Businesses focus on where their revenue comes from, and we’d like to bring buyers more into the picture.
To put it simply when you charge someone money, like a Buyer Fee, the first thing they ask is “What am I getting for this?” That’s actually a good question for Envato to be answering because we’ll end up doing a better job. In fact one of the first things we’re doing is adding a new Why Buy With Us page. This marks one of the first times we’ve had a page deliberately aimed at buyers!
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@Doru, don’t make moderator’s life harder. Always there going to be some authors doing wrong advertisements etc in their item (among 1000s of items, authors ). To handle that, the only proper channel is reporting it to support – regardless of support takes longer time to take actions – that’s the proper way.
Of course a new topic/thread may be required if that’s a common / recurring problem and there is no solutions found. In such case, the original post needs to have a tone of feedback / suggestion rather than being another trouble / Advertisement. Just my 2 cents.