Introducing Envato Elements

Hey everyone,

Those of you who have already read Collis’ 2016 roadmap will know that one of the big focus areas for Envato is our customers. For some time now, we’ve been working to better understand the needs of different segments of our customers, both those who are currently active in our community and those we are yet to reach.

Today we’re launching a project on the back of those learnings. That project is Envato Elements.

What is Envato Elements?

Envato Elements is a new subscription model service for digital assets. The platform will be launching with graphic design assets, but quickly look to expand the offering into other categories as we grow.

It’s completely new site and we’ve built it to deliver a specialised user experience for agencies, designers, marketers and other creative professionals who have a consistent need for content. Many of these groups will be completely new to the Envato ecosystem.

At it’s core, Envato Elements is an offering that we’ve built to accomplish three things:

  1. Introduce a new type of customer to Envato’s system of sites.

  2. Help us to build a stronger relationship with a subset of our existing customers.

  3. Create recurring revenue for our community members.

So how does it work?

Elements showcases and curates a beautiful and constantly evolving library of content. Users pay a monthly subscription fee which gives them complete and unlimited access to the full extent of the library’s items. All downloaded items are licensed under the one agreement: the Envato Elements license.

How have the items and Authors on Envato Elements been chosen?

The current group of contributors were invited by the Envato Elements review team. We reviewed thousands of portfolios against our selection criteria. We sourced from GraphicRiver as well as other leading graphic design marketplaces.

One big difference between Envato Elements and Envato Market is that Envato Elements reviews contributors and not items. Whilst our review team regularly undertakes quality spot-checks on items and provides feedback and coaching when needed, once an author has been accepted, item uploads are published immediately and made available to subscribers without the need for review.

As Elements begins to take off, we’ll look at inviting more people to join the party :slight_smile:

So in a subscription model, how are the contributors paid?

Contributors to Envato Elements share in 50% of the net revenue from subscribers. The subscriptions will be consistently priced at $49 per month, however we’re allowing early subscribers within our community to access the platform at a much lower cost of $19 per month, for as long as they choose to keep their subscription.

Of the revenue taken from a subscription, we allocate the revenue to our contributors as fairly as possible, using a method called “subscriber share”. The key idea here is that a subscriber’s money goes to the contributors they actually use and value. We look at each subscriber in turn, and assign 50% of their net revenue to contributors whose items they used that month, based on how important each contributor’s items were to them.

What will an Elements contributor get for the 50% of earnings that are allocated to Envato?

In addition to maintaining the platform that manages and showcases the items, the biggest thing that Envato brings to the table for Elements contributors is an enormous amount of exposure through marketing. We provide a powerful distribution channel to business-class customers who need digital assets regularly.

The subscription business model also means:

  1. We’ll place huge focus on retaining customers over time and increasing their lifetime value.

  2. Envato is able to allocate a lot more resources towards attracting new customers. So don’t be surprised when you start seeing elements commercials in your web travels!

Let us know if you have any questions below, and we’ll be happy to answer them :slight_smile:

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nice idea and good luck :sparkles:

only one problem… why can’t i subscribe from my envato earning/cash?

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all images seems to be slightly stretched

example

https://res.cloudinary.com/envato-elements-production/image/private/t_cover_image_storefront_max_size/cover-images/84e87af7-af74-4c82-a54c-c04d0aff0f38

Looks great! When other categories are added, will the same subscription fee cover everything, or will there be separate subscriptions for each category?

This will be a bomb. :rocket:

Thats fantastic :grinning: Thanks a lot Envato Team :bouquet:

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Great idea! Thanks :slight_smile:

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Great to see

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they look just fine on my comp.

The same subscription will be all inclusive. Which means that the subscription grows in value as more and more items are added :slight_smile:

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@matthewcoxy Maybe I’m not clearly understanding the revenue split but this sounds horrible for the contributor/authors. How do you guys determine what products used are the “most important” to that subscriber then pay based on that? Only the ones they’ve downloaded?

I believe it sounds like that’s the case, which means making any money is going to be near impossible at that price point, unless you dominate/flood the categories which doesn’t sound like a good ROI. Maybe it’ll work for some but I know I wouldn’t be interested.

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I agree that the rev-share on this, while made as fair as possible (it’s hard to imagine a better scenario), will also be terrible for most contributors.

This will be great for the people already on top whose products are more likely to get used more often and will thus get a greater share of the revenue, but with the diminishing returns of the increased number of items over time; it will be worth more and more to the users and less and less to the rest of us until everything either gets changed massively or collapses in on itself.


After a little bit of thought, I see where you are going with this, trying to leverage a huge subscriber base in order to make the percentages more proportional so that recurring income even for smaller percentages will be worth it… But… Is Envato willing to gut it’s own marketplaces to make sure this is a success? Cause that could potentially happen.

I’m a bit concerned about the trend - creating competition for Envato’s own marketplaces.

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Fair question! The subscriber share model basically splits each subscriber’s money among the items they actually licensed that month. It’s worth checking out this help center article for a more detailed description if it’s a little unclear. We’re also going to release an article shortly that explores various scenarios for contributors to show how much they would earn.

Our goal for contributors is to generate healthy total earnings. So we’re not focusing on dollars per download, but instead on dollars per month. The best way to improve contributor earnings in a subscription model is get more subscribers and keep them over time. It’s a shift in thinking: yes, they will probably use more items than they would on a marketplace model, but overall they should be spending more money in that ecosystem over time.

What we’re trying to do with Elements is build a system that encourages our contributors to constantly think about who it is they’re creating content for, and how they can better serve them. If content is unique, high quality, on-trend and tailored to a specific user group, authors will be putting themselves in the best position to experience success. We want authors to build content that attracts & retains subscribers over time. Some will go for a niche, others for mass appeal.

However, subscriber share means that you don’t need a huge number of downloads to earn good money. You can earn just as much delivering a lot of value to a few subscribers (i.e. your items are a big fraction of their usage), as you can by delivering a little value to lots of people. Different authors will have different strategies here, but both approaches are viable.

Subscribers may download more than an ad-hoc purchaser on a marketplace, but by retaining subscribers over time (paying money every month), there’s more money in total for contributors.

To the second point, Envato Elements is not about replacing Envato Market. Yes, we want to build an offering through which we can have some of our existing customers return more often, but and it’s also about attracting new types of customers who are not currently well served by our marketplace model. We often hear from agencies and organisations who want a subscription offering, and until now we haven’t had a good way to serve them.

But equally, subscriptions aren’t for everyone. There’s are plenty of customers who don’t want the commitment of a subscription and who just want to buy as and when they need an item. Or who want a different license for the item. Envato Market is perfect for them.

That’s odd! They shouldn’t be, and appear fine here too! Can you let me know what OS & browser you’re using?

nice idea and good luck :sparkles:

@matthewcoxy A licensing question, just want to confirm from what I understand from the license terms.

We CAN use item for creating a live demo of ThemeForest theme, but CAN NOT include it with download or demo content, because it is a stock item? For example, when using a mockup to create an image, and using this resulting image in theme demo, the resulting image can not be included into theme download or with demo content, it this correct? :slight_smile:

I’m using chrome and Win 10, but they look fine now!
someone else noticed a few days ago, maybe the devs have already fixed it?

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yes it was me who noticed it. I confirm, it seems to have been fixed.

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when it will be for audiojungle ?