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Different types of freelance platforms

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May 10, 2020

The freelance platforms are marketplace platforms that connects clients directly with the freelancers for professional work. Additionally, the platforms facilitate the communication and collaboration activities, and manage payments for the work performed. They typically charge a certain percentage as a platform fee, and some platforms use membership or subscription fees for using the platform. As more people enter into freelance workforce, there are many global, regional and niche freelance platforms emerging in the recent years. However, all of them falls into one of the below categories.

  • Project based platforms
  • Solution based platforms
  • Hybrid platform
  • Talent (consulting) platform

Project based platforms

In short, a project is a temporary initiative taken to achieve specific results. We use projects everyday to accomplish small or big goals such as finishing up an art project for school, working on a home construction project, or a vaccination project to eradicate diseases. Each project is unique and they are closed once the project meets its goal.

Individuals, businesses and large organizations use projects to accomplish many simple to major objectives. Below are some sample projects. 

  • An individual initiating a project to launch a personal website
  • A startup creating a minimum viable product (MVP) ready to be put on the market
  • A small business creating a marketing campaign to create awareness and acquire new customers
  • A retail store initiative to build an online store front
  • An large organization implementing multi-billion dollar enterprise software application such as SAP

Depending on the nature and complexity of the project, some may take just a few hours or done by a single person; some may take years and require a large number of people to be involved. In either case, if not proper attention is given, the project may not produce the intended results and end up wasting a lot of time and money.  Please click to learn more on how to execute successful projects using freelance platforms. Organizations spend a lot of effort, time and money in building project management expertise and tools in getting the projects done successfully.

Freelance platforms play a vital role in making the connection possible and accomplish project goals, taking much of the complexity out. They typically allow clients to post a job. The freelancers will respond to the job posts from different regions or countries with proposals (or estimates). The client can review the proposal, interview candidates and choose the freelancer for the work. The platform provides the tools, but it up-to the clients to manage the work and the freelancers ensuring the work is done appropriately.

Many platforms such as UpWork, Guru, Freelancer and FreelancingTeams are project based platforms. However, the level of talent, supportability, fees, and success of the project varies. Many of the platforms are good for smaller projects to work with a single person. FreelancingTeams is built to handle simple to more complex projects, which may require a team to get the job done. Click here to learn more about different freelance platforms. 

Solution based platforms

Solutions, as the name implies, are products or services that are created to solve a specific problem(s). We can see many easy solutions from pre-packaged meals to prefabricated homes that are created for solving common customer problems, repeatedly. Solutions are good for solving common challenges, but fall short when it comes to solving unique challenges. For example, you can buy a prefabricated home, but if you want your kitchen on a different side then it becomes hard to customize.

Similar to project based, the solution based platforms offer quick access to talent and a wide variety of tools. Typically, freelancers join these platforms and offer their service as pre-packaged solutions. For example, a video producer can offer a quick fix explainer video solutions for less. Since, the work is done in volume, it could be cost effective. Clients have to do proper research to find the right solution and freelancer,  and engage with the freelancers directly to get the job done. If not proper attention is given, clients may end up getting a solution that does not address specific needs.

There are many platforms that offer solutions such as Fiverr, 99 designs, etc. Similar to project based, solution based platforms use either commission fee and/or membership fees for using the platform.  The solution based platform is good for addressing small, common issues.

Hybrid platforms

There are a few upcoming platforms including FreelancingTeams taking a hybrid approach offering both projects and solutions. Instead of waiting for suitable projects, freelancers can quick build and offer their service as solutions. These platforms provide quick access to common challenges, but also provides opportunities for customization. Some of the hybrid platforms include truelancers, freelancer.com and FreelancingTeams.

Talent based platforms

Unlike the project or solution based platform such as TopTal, PeoplebyHour, that focus more on connecting with talent, compared to the rest of the services required in getting the work done. These platforms offer quick access to talent either for a specific role or for a time period. It is upto the clients to engage the freelancers in getting the job done. If you do not have a proper plan, you may end up spending way more time and effort.

Summary

As more and more people enter into freelance work, we expect to see continuous growth of freelance platforms. The freelance platforms have made getting work done easier compared to in the past. However, still there are many challenges. Click here to learn more about the challenges and how FreelancingTeams is addressing them.

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