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fiverr product release january 2024 breaking news

Fiverr’s Bungled Product Release Turns Toxic

April 22, 2024

When Fiverr launched its new levels and ratings system on February 14th, it kickstarted a St. Valentine’s Day Massacre. Since then, there has been a storm of protest from the seller community – yet the company has opted for silence.

UPDATE: One of Fiverr’s top sellers – who has made over $1.4 million on the platform – is set to quit. His explosive post is linked below, but only sellers who have Seller Plus can read it. I’ve created a new post just to cover this story with all the relevant screenshots: Levi Newman to quit Fiverr?

UPDATE 2: Levi Newman shared the results of his meeting with Fiverr – we’ve got the screenshots and the analysis.

It has only been three days, and the dust isn’t going to settle any time soon on this rollercoaster update. The Fiverr January 2024 product release has been a significant issue for the community, starting with a controversial update to its levels and ratings system on February 14th.

The launch led to widespread protests from the seller community on the Official Fiverr Forum and on r/Fiverr, with complaints about account suspensions due to location irregularities, accusations of discriminatory practices in the new AI-driven metrics, and concerns over the impact of revisions on seller ratings.

Fiverr’s lack of response to these issues has exacerbated the situation, raising questions about transparency and the company’s commitment to its seller base. Nobody is happy – but Fiverr’s calculated silence is only making things worse.

This news story continues from our last story on the new levels and rating system last month. Fiverr will continue to monitor the performance of the new system throughout what it is calling a “transition period,” which will last until March 14th.

Official Details: Fiverr Product Release January 2024

On January 30, Fiverr released a video. A video which started off with the premise that while CEOs may normally present “these sort of events,” the company had decided to let “community members like me take the lead this time.”

“After all,” the speaker continues, “who knows Fiverr better than we do?”

Who, indeed?

The video, which features people presenting themselves as sellers (albeit without easy identification by their Fiverr handles) did not receive much attention at the time.

Today, it feels more like a bad joke – and the punchline is misery for thousands of seller, blindsided by the judgement of badly calibrated AI machines, botched managerial decision-making, and a deafening silence.

More Details from Fiverr’s Product Release (January – March)

On February 14th, Fiverr finally launched its product release – AKA the new levels and rating system – sitewide. This is still going through tests and will not be finalized until March 14th. Here are the details from Fiverr:

Time to Level Up

Fiverr’s New Level System

We will not be going into great detail about the current working of the system, since it is in flux and subject to immediate changes. Since Fiverr has all but promised that the feedback and data it collects between here and March 14th will be used to fine-tune and improve the system.

Fiverr’s Product Release January 2024: A Disaster

Strong words, perhaps, but the reaction from Fiverr’s sellers is almost universal: the new levels and rating system is a horrifying mess that will kill careers and spark an exodus of the platform’s top talent.

Here’s a round-up of the biggest issues and links. If we’ve missed anything, let us know in the comments!

As a member of the Fiverr community and forums, we have also been asking Fiverr questions, both on the forums and through Success Managers. However, at the time of writing, none of our questions over the past three days have been answered; this is not only our experience.

Fiverr Suspending Accounts for Location Irregularities

One of the biggest stories of the launch saw hundreds of sellers complain that their accounts had been suspended due to location irregularities. Many, if not all, of these sellers are now not able to participate in the levels system.

This thread features many of those sellers sharing their shock, pointing out that their location was consistent when accessing Fiverr and at worst, they were guilty of using a VPN. Moderators directed these users to Customer Support, which was quickly overwhelmed leading to template responses that did not adequately address the issue. In many cases, seller appeals for a more thorough review were rejected.

This has concerned sellers who were not affected. Questions about how this impacts digital nomads, or how Fiverr sellers should use Fiverr when not in their primary residence or workplace, have gone unanswered.

Questions Over Discriminatory Practices

On the 15th, a seller scolded Fiverr’s claims of a more transparent system, pointing out that sellers had no way to know how Fiverr calculated metric scores, much less how they were weighted. She went on to point out that Fiverr’s AI weighting systems may potentially be breaking anti-discrimination laws:

“HOW does Fiverr know if we’ve communicated effectively [….] How do you determine if we needed to ask questions of the buyer or not? Does NOT offering a Zoom call penalize us? (It better not, as that is blatantly discriminatory against people with disabilities who cannot offer such things at all!)”

Update: Addressing new level system questions and feedback

Fiverr did not respond. Sellers have also contacted their Success Managers about the issue with no response to date.

Sellers “Removed” from Levels System

Some sellers have found themselves removed from the Level system. Fiverr has not clarified exactly what this message means. The company has also not answered questions asking whether these removals are temporary and permanent. It is also not known if this is connected to seller account approval.

Many, but not all, of these sellers are also victim of the location issue. It is believed that the AI systems behind the levels and rating system may be returning false positives, but Customer Support is currently unable to help or review those profiles.

Fiverr has not responded to these issues, other than to direct users to Customer Support.

Historic Cancellations Impacting Success Scores

Sellers also railed against what they perceived as dishonesty from Fiverr. The company has stated for years that orders cancelled via Customer Support were not counted against sellers in the metrics. However, the launch of the review system revealed that this was not the case.

Fiverr has stated that this was an oversight and that anyone affected by this should contact Customer Support to fix the issue. However, Customer Support is currently overwhelmed with tickets, so the process may not be as smooth as normal.

Slow Revisions May Lead to Cancellations

One side story emerged from a Fiverr writer who explained that his order had been cancelled and refunded, even though the client was happy with the work. When he approached Customer Support, the answer was:

“Revisions took more time than the project allowed”

Hidden Revision Timer, Fiverr Forum

There has been no further comment from Fiverr, leaving users wondering which of Fiverr’s workflow tools are safe to use.

Extensions (and the Resolution Center) Are A Problem

Fiverr has previously promoted the Resolution Center as the best option for sellers to use when facing issues with their order. Their August 2023 Product Launch also showcased a new feature, automatic delivery extension requests, promoting it as a solution for absent buyers.

One seller was shocked to get this response from their success manager when asking about the new and incoming system:

“For your question on delivery time, I won’t be able to get into the specifics of how the algorithm of the new level system works. That said, Fiverr is using On-Time Delivery as part of your Success Score to ensure sellers are meeting deadlines and delivering results on schedule. This, in turn, will generate a better buyer experience. Extending deliveries is an action recommended only when there’s no other option for you to deliver according to schedule. I can advise that moving forward, make sure you have all the information you need from your buyers before you start working on a project”

An unknown Fiverr Success Manager (above image)

A Forum Moderator, Kesha, confirmed this when users asked for more clarification:

“Yes, requesting to extend the delivery date can impact your score. I would recommend that when setting your original deadline, you do the best you can to account for potential delays including revisions and unexpected obstacles.” 

Kesha, Fiverr Forum Moderator

In other words, sellers’ scores will be affected if their delivery goes over the originally agreed time, regardless of whether tools like the deadline extension timer are used. It’s likely this also ties into the revision issues mentioned above and below.

Revisions Hurt Fiverr’s Conflict Metric

Customer Support revealed more information about how revisions work in the new Fiverr.

In short, Fiverr is now penalizing sellers who offer multiple revisions. However, the company has not adapted how its revisions process works, allowing sellers to request a revision – necessitating a delivery – even if they have no revisions available.

There has been no official clarification from the company on this point.

Fiverr Dials Up Its Gamification

Many sellers were quick to bring up the mental health problems that Fiverr had given them in the past, pointing out that the increased stress from the new system would lead to more mental and physical health problems for sellers.

Sellers also pointed out that the new system was simply a complicated and confusing update of its gamified systems, designed to make them even more punishing. Others added that it was well-known that gamification systems could be psychologically abusive if not well-designed.

Fiverr has not responded to these sellers.

Poorly Designed Review Questions Leading to Poor Scores

Fiverr has made some changes to its review system from the buyer side. However, as one buyer pointed out

If you choose Very Good instead of Exceptional, you get the same additional questions with a slight difference. All possible advantages turn into disadvantages

Hidden Revision Timer, Fiverr Forum

While Fiverr has not responded to this, this may explain why sellers are getting mixed messages from their reviews. Many sellers are reporting gushing written reviews, tips, and scores in the 3- to 4-star range.

Level 2 Sellers See Gig Allowance Cut in Half

Among the sweeping changes made to almost everything about Fiverr’s feedback and levels system, many people missed a small, but strange change. Had Level 2 sellers, who were eligable for up to 20 gigs under the old system, now only allowed 10 – or was it a typo?

In a rare and clear response, Fiverr staff quickly confirmed that it was not a typo. However, they did not explain why the change was made, leaving sellers to come up with their own theories.

Fiverr’s New System

Fiverr’s drive upmarket means that it has attracted seasoned industry professionals to the platform, some of whom have experience working with household brands on their own product launches.

Transparency: Putting My Money Where My Mouth Is

Fiverr’s New Seller Level System: Comprehensive Pros and Cons

Important Updates: Level System (now live!) and Ratings & Reviews (testing changes)

Fiverr has chosen not to respond the the comments from these sellers at the time of writing, and it is not known if staff have reached out to them privately.

Fiverr’s Undignified Silence Worsens the Mood

As sellers clamor for answers on the forum, Fiverr has largely been silent with moderators promising to pass on messages and offering answers to some questions.

Users were quick to point out that Fiverr’s Customer Support were only giving template responses and that moderators were cherrypicking “softball” questions and evading harder ones, particularly those that concerned the psychological impact of Fiverr’s gamification systems.

Sellers also rallied against claims of transparency, saying that the new system was confusing and badly designed.

Others took time to remind the heated community that the forum moderators were not responsible for the changes and to remember the person behind the screen. Some are now demanding that the staff responsible for the changes come and speak with the community, since it is clear that frontline staff are unable to do so.

It has also been observed that Fiverr staff are silently watching and following many threads, some of them anonymously. Fiverr has promised that it is listening and taking notes, but the longer it leaves its responses, the more sour the mood in the community turns.

Fiverr’s Feedback Beta Test Ends In March

Fiverr is still testing its new levels and rating system, with the final release scheduled for March 14th. While it has been a dramatic few days in Fiverr’s online communities, the company has promised that it is listening and taking notes, and, in the face of the storm of criticism and missteps of staff speaking out of sync with the official line, the company is wise to observe quietly.

However, it’s simply not good enough. Many of Fiverr’s sellers rely on the platform to feed their families and pay their mortgages. Some of them have had that income ripped from them and are scrabbling for answers and not getting support.

Sellers can only feel that Fiverr, a billion-dollar company, views its sellers as little more than disposable assets on its ever-growing spreadsheet. But behind the numbers and the tech, real people are suffering.

The question is when will Fiverr respond? Will its response be the traditional tone-deaf statement of big tech or a genuine, heartfelt attempt to fix the many issues its update has wreaked on an upset community?

Or will Fiverr simply choose not to respond at all, hedging their bets on the storm passing?

Follow the Story

There are simply too many stories and posts to follow on one blog post. I’ve tried to collect all the main stories that run through thousands of comments in this blog post for a high level overview, along with some choice insights.

To date, these have been the staff announcement threads:

There are a lot more posts from dismayed and highly critical users.

While all Fiverr veterans knew that there was going to be outrage over the change, this one feels different. Fiverr’s claims of transparency are blowing up in its face as its own staff reveal contradictions – and accidentally slip the lies of past Fiverr promises.

With over 3 and a half weeks to go before the system is launched in its final form, sellers are left to wonder how many more issues will come to light. What seems clear from the outside is that Fiverr has botched the new Product Launch completely.

Worse, the presentation of the launch is completely out of touch with its community, damaging the morale of its sellers even more. Fiverr has failed to prepare its frontline staff – Forum moderators, Success Managers, and Customer Support – to adequately help or deal with sellers demanding answers.

As Fiverr tells the world of its love for AI, the product launch brings into sharp relief the deep issues that businesses face if they come to rely on AI systems over human judgement. It remains to be seen whether the company will choose to invest more into its much-needed human resources.

Fiverr will report its earnings for Q4 2023 on February 22, 2024. While current events will not impact that report, sellers may find some answers for the company’s behavior there. We’ll be covering that in-depth.

Defiant Phoenix

I'm Pro-Verified TRS seller who has sold more than 4,500 gigs on Fiverr since 2013. I specialize in copywriting, content marketing, and SEO. My mission with Defiant Phoenix is to help freelancers and their clients to succeed on Fiverr with proven strategies for success.
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