Author-Driven Pricing Coming to VideoHive

Yes, I acknowledge your point that a comparison to Etsy or Uber or Ebay for instance isn’t quite right because of cost of materials that are factored in. For us it is a relatively minimal cost of computer and wifi. Good point. However it still doesn’t satisfy my question of a fare and balanced payout. Would not the management still make a decent profit and have a viable business model in charging us only 10 to 20%… or less?

I am an artist as well who sells art in a gallery. The now standard rate is 50% that goes to the dealer. Around 60 years ago, it was 33% (as noted in the diary of a pop artist of the time) Depending on the laziness of your dealer this is a sore point for many artists. But the average dealer might represent from 20 to 50 artists… Envato has how many in comparison?. Just by this volume, surely our rates should improve?

I can buy food and pay all bills for 4 times less money than I earn now. But what the life would it be? Furthermore if I would know that buyers can pay more money for my projects, I would definitely increase my prices. The same thing with Envato, they do, because they can.

You need to become clever and known artist. Only after that dealers, services and galleries will reduce their fee special for you.
You can’t create something like labor union among author, because we all are competitors.

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ahh thats it… they do it because they can. :slight_smile:

Well they can take a 100% fee and they can take a 0% fee… or anything between the two. After increasing the amount that authors get three times… I’m assuming they thought the current rates represent something of a sweet spot. Also keep in mind that you can earn 12.5% of the list price if you choose to, and you can also earn 87.5% of the list price if you choose to.

Why do you earn 40%? You do so because you can… and you do.

We all do that when we run business. There is nothing bad to do what you can. It’s not a charity.

Charity??? Spare me your capitalism 101. anyone with a grade one level math and ethics knows its bull. Its about knowing your value in a transaction and fighting for that. Its about pulling your own weight. Rewards received for work done. And to answer that other nonsense coming from space boy, no I don’t think its right that someone signing on tomorrow should get a lesser value from their project than I do. It should be judged on the merit of their project regardless of 1 or 10 years put in. Spare me your simplicity. I am fully aware of this concept of choice when I signed on to sell my projects. I know the rules, I choose to play the game, but unlike you I don’t feel a need to act as a cheerleader. So with all do respect take your little pom poms and preach to a different audience.


So you think editing your short answer to completely different “speech” after 2 days is a smart way to prove your point of view? OK.

?? It is always, wise to not react in anger… go for a walk. Think it
over then respond.
Strange we seem at odds, yet I am arguing for a better value for your work.

Anger? :rofl:
I just want to say that it’s very rude to edit your post after conversation. Especially when the last words is “…take your little pom poms and preach to a different audience.”

:joy: No you not. I can set any price for my work. And you know what? I can do it myself without your help. :scream:

It’s my last respond. Bye!

:slight_smile: I’m sorry… was it the reference to “little”? “Take your BIG pom poms” hows that. As for the edit? yes, I took out… “So its that simple, thanks I know your position” ok now its back in.

Hi guys! Can anybody checking my new prices? Are these average?

Not necessarily, items still have to go through a review process.

You do have some cause for concearn however, depending on how Envato manages the issue and the participants in the market. Without a price floor, the market could easily become more competitive in the short term. Anyone who lowers their price while providing the same quality will inevitably attract more sales, but this also means other authors must lower their price, or, increase their quality to keep up with the market leaders which, if the quality route is taken, is highly beneficial to consumers.

What happens in paper is always different than what happens realistically however, you cannot expect everyone to do this; many authors would simply leave due to either a lack of incentive or being priced out of the market from maintaining marginal costs but lowering their marginal revenue compared to the larger authors who had already grown to a large enough scale to produce fast enough to overcome the lower price.

So, in the long run, Envato would end up lowing the diversity and volume of its author base, which in turn causes Envato to grow much more slowly than when it had a rapid influx of authors and also creates a oligopoly for the fewer large authors, which means at that point means those oligopoly authors have an incentive to provide lower quality items that are cheaper for production and Envato would have to accept and lower its item quality standards in order to keep competitive growth rates. Along with this, Envato also lowers its item diversity, which means it will be less likely to stand out in the market and therefore gains less benefit from the new items of the few authors.

Your instinct is right that ultimately an unregulated market with no price floor would likely do more harm than good, but only to the extent that it doesn’t harm Envato through authors charging so much that it is no longer competitive with other platforms.

It is also possible however that the market as a whole lacks the capacity for these top producers to use predatory undercutting against enough competing authors, and this will depend on Envato as well as the health of the overall economy that permits consumers to spend more money on assets. This is very analogous to the level of available nutrients in ecosystems that may permit the growth of only small organisms such as bacteria and amoebas or insects as opposed to the formerly lush ecosystems that support 50-ton dinosaurs.

The current state of Envato is in between both of those extremes, which is a good thing because it gives the market versatility. It lets successful items set a higher standard but still gives opportunity for growth to both new and old authors. A majority of sales do go to fewer authors, but not to the extent that anyone has a monopoly, so the future could take Envato either way. Lacking a price floor is one factor that would lead to predatory undercutting, but there are other factors beyond that which could compensate for maintaining the health of the market. Pond5 has a system where authors can set their own higher prices which has attracted a lot of very good producers, but not below a certain price floor. Their price floor in my opinion is too high, and I notice Pond5 authors almost always have less sales on Pond5 than on Envato, but despite that they’ve often reported higher growth than Envato and have a much larger reputation. There have been many times where I wanted to say Envato had a larger market share than pond5, but assuming there’s no fraud, when I looked at their numbers Pond5 always came out ahead.

For this task you may filter the search by price, and see how many items are in search result.
Basically it’s forbidden to recommend and discuss what price an author should set. It’s absolutely up to you.

It’s not just forbidden on Envato, it’s illegal for two or more independently owned businesses to collectively decide on a price to set for a market for their mutual benefit because that leads to a market failure through the elimination of competition, and that’s called collusion. This sort of law is at least partly why Envato tends not to discuss its inner workings with people on its platform.

However, it wouldn’t be illegal for someone or Envato to quantitatively propose or assess the market to decide what price floors and ceilings would be rational for its health to formalize as a policy for all authors on its platform, since the platform itself is a service being provided to authors and customers. I am fairly certain the laws are much less strict on this when the discussion takes place openly and for the benefit of the market as a whole to include consumers, but maybe Envato itself should comment on whether or not we can have that discussion. I doubt this thread would ever be considered illegal since it is public, but if anyone wants to go into more detail to verify their arguments for or against particular policies and what prices are rational or irrational, Envato should make sure it’s okay before proceeding.

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Can anyone answer me please: is there any difference with cuts, if I’ll be exclusive or non-exlusive author? Because my item is listed for 16$ and after sale I’ve got $6.25

Non-exclusive authors get 45% of the item price. Item price being the list price ($16), minus the buyers fee. The buyer’s fee depends on what category your item is in. Exclusive authors get 62.5% of the item price to start, increasing every time they sell $3,750 worth of content… up to 87.5%. Subtract any applicable taxes and that’s what you’re left with.

That is incorrect. Since the buyer fee is fixed, the final royalty percentage will vary depending on price.

Read it again… it’s 100% correct!

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You are correct. :grinning:

Item price shall not be confused with list price.

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But you’re correct as well… we both are!