Author Driven Pricing: ThemeForest, CodeCanyon and 3DOcean

It should work so long as the input data are correct. However, if it somehow gives incorrect results, feel free to PM us. :slight_smile:

This is just wow, itā€™s a great step by Envato.

Will this be moved to Videohive anytime soon?

When we expect changes? :slight_smile:

Hey folks,

I have created a tool to see how much more or less you would earn with the new ADP (author driven price) roll-out. It takes into account the buyers fee, the author fee and item list price.

Please note that I canā€™t guarantee the calculator to work correctly although I have checked all calculations. Buyers and authors fee were taken from the official Envato website on 15th September, 2016. Further changes may occur.

Envato ADP Calculator

How to use the tool:

  • Choose the marketplace and the relevant category for your item.
  • Enter your net earnings (you can see this on the earnings page). The Author Fee Rate is determined automatically.
  • Change the item list price to the desired price.
  • The net author earning vs net author earning with ADP will be calculated automatically.

Hope this helps :slight_smile:

Any feedback would be greatly appreciated!

8 Likes

Hi @keksdieb,

I wasnā€™t aware that we could leave our prices as they are now and thus
still use the old fees - is this true? I thought the ADP fees were going to
be used no matter what.

Hey @WeCodePixels ,

I wasnā€™t sure about this but it seems that the fixed buyers fee will be used no matter what. I have changed the description accordingly, thanks :slight_smile:

Thank you for the wonderful tool!!

1 Like

the conclusion is very simple and clear, we need to increase the price in order to keep our profit.

First I was thinking that maybe I should make the price smaller, but taking into account how much time I worked I keep working, I will increase my price.

And I think that authors who work alot to build a high quality theme, will never sell the item for less. Only poor themes.

So maybe this is good, maybe with time clients will understand that cheap themes = low quality themes

Envato said theyā€™ll flip the switch gradually on all accounts thru September. So has anyone got ADP enabled in their account yet?

I havenā€™t got yet.

Your calculator is great ā€¦ Consider adding taxes to the mix.

Hey @Codecookies,

Weā€™ll be turning on the changes soon, but weā€™ll absolutely be notifying authors via email and here on the forums when it happens :slight_smile:

  • Matt
3 Likes

Can you please explain this:

I had an item that it was selling with 4$ (there were more then just one item)

Now Envato takes 3$ (Buyer fee) and then at the end I have to split the 1$ again with Envato

image

So from 4$ I will get almost 0.51$ ???

So what I did right now is increase the price to all of my items with doubleā€¦

So from what I can tell now I get less then 51% from an itemā€¦

The site is disadvantageous, I have the models on other sites and only 3docean has sold 4 models per 1 year. Royalty Rate very is low. Now I can make my own price, but what Royalty Rate about?

1 Like

Why you want to set it to $5 ? increase the price, youā€™ll earn more, simple and easy mate.

If I increase the price not all the people will do soā€¦ so this will lead in no sales ā€¦ ( but I increased the price anyway )

The ideea is that If do nothing right now my Envato percent will be less then 51%ā€¦ so this means that Envato made our percent smaller

I think 80% of the authors will increase the $5 prices, who will sell just to earn $0.60 per sale !

Even if you have increased it, youā€™ll earn more total sales, so your author fee will decrease in short term.

1 Like

at present:
$4.00 - 20% = $3.20
$3.20 - 36.25% = $2.04
(old commisson system before Feb. 2015: 51% of $4.00 = $2.04 )

with new ADP system:
$4.00 - $3.00 = $1.00
$1.00 - 36.25% = $0.63

to get the same revenue you must mathematically increase the price to $6.20
($4.00 * 0.8) + $3.00 = $6.20
$6.20 - $3.00 = $3.20
$3.20 - 36.25% = $2.04

$6.20 is not possible in Envatoā€™s system, so you set the list price to $7.00
$7.00 - $3.00 = $4.00
$4.00 - 36.25% = $2.55

you get more, but compared with the old commission system this is only 36.45% of the list price

to get 51% of the list price in this new ADP system, you must set the list price to $15.00
$15.00 - $3.00 = $12.00
$12.00 - 36.25% = $7.65

51% of $15.00 = $7.65

1 Like

My comission rate is 51% ā€¦ what Iā€™m saying here is that Envato force us to increase the price ā€¦ I donā€™t like it. I increased the price. This is the same thing I did on graphicriver, then sales went down alot ā€¦

1 Like