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hunzonian says

Today I decided to do some basic math to figure out what the potential for selling script or apps on CodeCanyon is. My findings were surprising to say the least.

I basically calculated what the number one #1 guy on CodeCanyon did in the last 17 months, how much he had to work, what he walk away with and this is what I have found:

Grand Total Before CodeCanyon:

GRAND TOTAL : $42,499.00

Time Interval: 17 months

Salary / month: $2499.00

Salary / day: $80.00

Salary / Hour: $10.00

Grand Total After CodeCanyon with 50% Comission and Before Taxes:

GRAND TOTAL : $21,249.50

Time Interval: 17 months

Salary / month: $1249.50

Salary / day: $40.00

Salary / Hour: $5.00

Approximate Work Hours for last 17 months: Around the clock! plus support time and answering random question for potential customers.

I assume that he probably makes 70% vs 50% but in the end it really makes very little difference for me. He also lives in Belgium and probably pays hire taxes then we do in the U.S.

I also have to assume that to do the amount of work he put into it, if working alone, he does this around the clock and if he does get any freelance work, he must be subcontracting it out because I simply don’t believe that a 24 hour day is enough for both.

I know you can make all kinds of arguments pro and con but for me this just makes me feel a bit wierd.

How do you feel about this? Is it worth the effort? On what level and in what way?

Also, I am wondering if selling someone’s hard earned knowledge and time for such incredibly low prices is doing a gigantic disservice to the industry as a whole – making it worse than digging ditches (not that there is anything wrong with that) because they at least earn minimum wage.

If you see this differently, please explain without starting a nasty name calling war. Help me understand how you mull this over in your head…

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Australia says

Good working out.

You would never retire on that huh.

There are various types of coders, and freelancers. Release items for profit. Releases items as opensource.

Personally I have only released one item, and basically uploaded it and forgot. Earnings allow me to buy the odd script here and there without digging into my piggy bank.

I would guess, that the main top earners on here, don;t rely on Envato to earn a living, far from it. So it’s added bunce money, which accrues organically.

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mordauk says

At the moment, it’s a hobby (side) income for me. I make enough to pay a bill or two each month, but that’s not where the real benefit comes from, at least for me.

Over the las four months, I’d attribute about 30% of my freelance work to work that I got from Code Canyon and users who bought one of my plugins and then decided they wanted customizations, or just liked my work enough to ask for more.

Also, if you’re starting out as a freelancer, publishing items here on Code Canyon, or the other marketplaces, is a great way to gain exposure. By placing demos of your items on your own site, you can hugely increase your traffic flow per month.

More traffic = more work = more money.

Residual income, even just a little, is always a bonus.

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Philo01 Reviewer says

The the author listed at #1 means that this author has made the most sales in a month. This does not mean this author has the highest income.

You can make more money at CodeCanyon. Take a look at the #1 selling WP Plugin Events Calendar Pro, it has been sold over a 1000 times in 5 months. So that’s $30240 – %30 = $21168. So that basically is $4233 a month with just one file!

CodeCanyon is growing allot, so I’m sure sales will only increase more.

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designcise says

@hunzonian .. good working out

i believe that things are very slow here at codecanyon, not just sales wise but also in every other way .. in the beginning this community was doing quite well (and that’s when the top earning authors made most of their money) .. now it’s just slowed down ..

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jwmcpeak says

No, this isn’t good working for these two reasons:

  • Bad math. You said that you assume the author makes 70% commission, yet your example shows 50%. 50% is the starting commission rate, and it goes up with every $3,750 of sales. Your math doesn’t take that into consideration. Also, a 20% difference may make very little difference to you, but that’s a gain of $8,500 using your math—bringing the grand total to just a hair under $30,000. That’s significant in my book.
  • You assume alot, especially about the amount of time required to write code. You can churn out items quickly if you know what you’re doing with your chosen language/platform, have planned your app/component, and work efficiently.

As for my thoughts, 50% starting is reasonable (especially considering a niche market). All an author does is write code and offer support when needed. Envato does everything else. To name a few things:

  • Provide feedback via reviewing
  • Provide unlimited web storage and bandwidth
  • Handles purchases and monetary transactions
  • Provides you potential customers

Six months ago, an author posted his success story. http://codecanyon.net/forums/thread/wow-what-a-year/27846

I do content creation on the side. I’d love a 50% royalty rate. I actually need a much, much, much stronger word than love, but words escape me at the moment.

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Laith says

in my opinion .. as a programmer, that calculation is not true because hard work is to get your project into codecanyon, then supporting is not that big part as you assumed that they worked for 17 months … hmmmmm i don’t think so … it will only need mostly 1 or 2 hours per day to provide support. that’s it !! :D

Cheers

Laith

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hunzonian says

@jwmcpeak, You have completely missed the point.

May I suggest reading it again and this time, try to understand the context.

36 posts
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hunzonian says

in my opinion .. as a programmer, that calculation is not true because hard work is to get your project into codecanyon, then supporting is not that big part as you assumed that they worked for 17 months … hmmmmm i don’t think so … it will only need mostly 1 or 2 hours per day to provide support. that’s it !! :D

Cheers

Laith

Then why don’t you read what the author himself says on an other forum post. He has no time to create scripts anymore because he is so overwhelmed with support.

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valiano says

If the author has so mutch support, I think that it’s fault. If you got a good item with good documentation, then it lowers the support. For mine items I only get a first installation support, maybe from 3-4 customers a week, and the questions are almost the same. Another thing. Suppose this is a side income of this author, and he is working on a regular job. In that case the money from envato is an additional income to his main sellary, and this is a signifficant add value. Besides, not everyone lives in USA or in Europe, for some countries this is 21,000 a year is a significant income.

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