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Author Topic: Change in Commission Structure for *ALL* 123RF.com Contributors  (Read 75085 times)

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XPTO

« Reply #200 on: February 15, 2012, 06:29 »
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Hello All,

You have 10.5 months to build up a solid portfolio. Why not look towards getting more than 50%, why set your sights so low?

Have faith in us and have faith in yourselves.

Our sales ARE growing, the question is, just how much we can grow in 10 months. We're adding video, another avenue for you to get even more credits download. More product lines are sure to follow.

We are not setting low targets for sales, we want to be able to make more than enough for everyone to share.

Price changes are very sensitive, we cannot just raise prices willy nilly. But we will take things under advisement and we'll improve from day to day.

Thank you very much,

Alex.

Sorry but I don buy that motivational talk.

To reduce commissions on sales is an insult.

What if a contributor has a niche segment? One that doesn't sell hundreds of images per-month but he is the only one supplying that type of imagery? Should he be punished when he's the only one giving you those images, and making buyers come back for more?

As a random example imagine someone supplying fighter jet engines being repaired in USAAF facilities? Should he be punished because they don't sell like a fake smile on a phone even if no one has similar photos to his?

When an image of mine sells it means it is as good as any other on your agency, and for the buyer, better than all the rest. This applies to every sale made, without difference if it's a sale from a newly accepted member or your top seller.

There is absolutely no reason to be paid differently.

If you want to distinguish members considering productivity, production value, number of sales, etc., just give them a search result boost based on popularity of the files of the certain contributor that has an above average of sales per image online.

Create lightboxes to promote themes with images of those members, etc., etc., etc.

Besides, if a member has more images than others that don't sell don't blame the photographer. Blame your reviewing team for accepting non-selling photos, or the ones creating the standards that your reviewers use.

This is another excuse to grab more money from the contributors. I bet that in your calculations you will not end up losing money, by the contrary. That's how "fair" you want to to play. That motivational talk is just a way to throw sand into our eyes.
« Last Edit: February 15, 2012, 06:37 by XPTO »


rubyroo

« Reply #201 on: February 15, 2012, 06:35 »
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Very disappointed here.  I was so encouraged by the previous announcement, and was among the first to cheer when 123rf entered 'top four' territory in the poll on the right.

The previous announcement may have been a bit short-notice for some newbies who hadn't yet built up their ports, but other than that it seemed perfectly fair to me, and it was nice to sense that long-standing goodwill and support for an agency was being reciprocated.  This new announcement has certainly stopped me cheering.  

« Reply #202 on: February 15, 2012, 06:48 »
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Why not look towards getting more than 50%, why set your sights so low?

Have faith in us and have faith in yourselves.

Our sales ARE growing, the question is, just how much we can grow in 10 months.

Ok, let's make a deal: If you (remember, the sales part is your job) can make my sales grow enough until end of the year that I will be paid 50% or more under the new structure, then I'll fully support this change. If not, just continue to pay me the 50% I signed up for.

Deal?

« Reply #203 on: February 15, 2012, 07:17 »
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Shutterstock loves this.

LOL, great comment :D

on topic, only because of 123rf approval rate I will continue to submit till the end of the year.

after that I'll see how things works.

« Reply #204 on: February 15, 2012, 07:36 »
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You have 10.5 months to build up a solid portfolio. Why not look towards getting more than 50%, why set your sights so low?

Have faith in us and have faith in yourselves.

Lets make it 50% at bottom and up to 70% for solid portfolios. That would be real growth. That would really motivate contributors to upload new content to 123RF.

Certainty that next year will be better is a good motivation. Fear of a drop in royalties is NOT.

This announcement is a STOP in contributor's continued support and loyalty.

++ Why every effort by agency regarding THEIR growth goes against the contributors ? What do they do for contributors other than cutting their royalty ! It seems that they are just underestimating contributors.

Shutterstock loves this.
Definitely such steps by growing big agencies will do nothing but add up shutterstock's monopoly.

« Reply #205 on: February 15, 2012, 07:39 »
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At least it's one rule for all and no automatic discrimination.

XPTO

« Reply #206 on: February 15, 2012, 07:43 »
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At least it's one rule for all and no automatic discrimination.

We are still at the beginning. Don't give them ideas...

« Reply #207 on: February 15, 2012, 08:15 »
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I hate to say it, but if I were running 123RF, I'd probably do the same thing.

Contributors stand in line to supply new sites like Photodune, happily accepting less than 123RF is paying.

WE'RE the ones putting downward pressure on prices and commissions.  WE make it possible for start-ups to enter the market and undercut the established players.

FT, IS and now 123RF responded to this cut-throat competition that we helped create in the only manner they could. 

If you were running a business and your suppliers did this to you, happily filling the shelves of your new competitor with the same products for a lower cost, you would take action.

« Reply #208 on: February 15, 2012, 08:40 »
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I'm so disappointed, 123rf was the last agency I trusted and now they join the IS-FT greedy team. So disappointed....

fujiko

« Reply #209 on: February 15, 2012, 08:43 »
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Stockmarketer, the paradox here is that the ones that are really everywhere and feeding lowest price agencies are the ones with the biggest portfolios and the ones that will benefit more from this RC system.

The result is that 123RF gives an increase to the big portfolios that are helping the most competing agencies. And cuts the small ones that may o may not be contributing to this race and wanted only to upload to fair agencies.

rubyroo

« Reply #210 on: February 15, 2012, 08:46 »
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Well I've been very careful to keep my loyalties with agencies I felt I could trust, and haven't gone scattering my wares too far.

All this move does is make me wonder why I bothered to be so careful.  I doubt very much that I'll care so much in future.  I don't feel I'm being rewarded for any of the loyalty I've shown, so what's the point in continuing this way?  I seem to be shooting myself in the foot, and might as well be spewing my work out to all and sundry.

Lesson learned in triplicate.

« Reply #211 on: February 15, 2012, 09:00 »
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WE'RE the ones putting downward pressure on prices and commissions.  WE make it possible for start-ups to enter the market and undercut the established players.

FT, IS and now 123RF responded to this cut-throat competition that we helped create in the only manner they could.

It's probably not just the competition that motivated them, but also the fact that we showed them time and again, that we are going to accept the reduction - after some bitching, of course  ;) It's not only that nations don't have friends but only interests, but agencies, too, it seems.

On the positive side: They announce this almost a year in advance and they promise to keep the levels stable for the next three years. My earnings at 123RF in 2011 have almost tripled compared to 2010, they were constantly my number 2 or 3 earner, depending on DT's or FT's performance in any given month. If they keep this rate up I just might catch the 50% percent level in the new scheme, if not I'll be down to 40 or 45%.

The result is that 123RF gives an increase to the big portfolios that are helping the most competing agencies. And cuts the small ones that may o may not be contributing to this race and wanted only to upload to fair agencies.

They reward - or at least try not to p$ss off - those who generate the majority of sales. I don't know your portfolio, but they most certainly won't notice the absence of mine, but they just might feel it if Yuri should decide to blacklist them...
« Last Edit: February 15, 2012, 09:02 by Ploink »

« Reply #212 on: February 15, 2012, 09:03 »
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very disappointed here too.. cannot understand really.. I believe I can be at the 50% if things continue to pick up but this is not a great move from 123RF, never saw you guys as a greedy company.. for me you were always the ONLY fair agency that was really worth my continuous upload and work.. please reconsider

what made you do this if you are growing like you have said? dont say to us its unsustainable..

« Reply #213 on: February 15, 2012, 09:07 »
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Stockmarketer, the paradox here is that the ones that are really everywhere and feeding lowest price agencies are the ones with the biggest portfolios and the ones that will benefit more from this RC system.

The result is that 123RF gives an increase to the big portfolios that are helping the most competing agencies. And cuts the small ones that may o may not be contributing to this race and wanted only to upload to fair agencies.

Great point. It's just too funny isn't it, when looking at it like that. The term shooting oneself in the foot comes to mind with this.

@Ploink The big contributors pretty much don't ever leave sites. They would stay with or without any bonuses, or with or without any cuts.
« Last Edit: February 15, 2012, 10:40 by Microstock Posts »

« Reply #214 on: February 15, 2012, 09:14 »
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First, they removed the forum, then they introduced the annoying captcha, then the commission cut for those with portfolio smaller than 150 images, now this...

« Reply #215 on: February 15, 2012, 09:37 »
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I have a small and good working Vector-portfolio.
Slowly and steadily growing at a good quality-level, but not a mass of pictures.
Only 2-3% of my income comes from 123rf.
RPD was only something about 1$...
I think for me this change will be a 20% commission-cut in 2013.
So 123rf was not very interesting for me and in future it will become more uninteresting for me.

Comission-Cut is the wrong direction!
I don't respect agencies who go this way.
Cause these agencies don't respect me and my work!
They only want more money from my work like istock and fotolia...

So, for this year I will also sell my work at 123rf.
But I will not concentrate my work on agencies who cut my comissions.

 

« Reply #216 on: February 15, 2012, 09:54 »
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Stockmarketer, the paradox here is that the ones that are really everywhere and feeding lowest price agencies are the ones with the biggest portfolios and the ones that will benefit more from this RC system.

Duh.  People who are REALLY good at microstock are the contributors that agencies REALLY want.  If you were starting a new agency, or managing an established agency, you would want to make sure you attract and retain as much of the heavy hitters as possible.  Do you blame them?

The result is that 123RF gives an increase to the big portfolios that are helping the most competing agencies. And cuts the small ones that may o may not be contributing to this race and wanted only to upload to fair agencies.

"Want only to upload to fair agencies?"  The way I see it, the bulk of microstock artists will jump on board any new player in the market in the desperate hope of increasing their overall income, no matter what the commissions and image prices are.  Yesterday people were falling over themselves to get into Lori.ru without even knowing what the commission structure was.

Every agency knows it needs two things:

1. Bulk -  a high number of images for good selection and bragging rights.  It's easy to get this... just open your doors and every wannabe microstocker will flood you with his/her stuff, no matter how low your rates are.

2. High sellers  -  the images that buyers actually want.  It's trickier to get this... you have to make sure you have a tiered system that rewards the Yuris (the world's top 100 or so microstock artists), since these folks will deliver most of your revenue.

The recent moves of IS, FT and now 123 shows that they understand this is the formula they need to be competitive. 

(And you can try to debate this by saying IS and FT are going down the tubes because YOUR earnings are down there... but some of the top sellers on these agencies have been reporting INCREASING earnings, so the truth may be that these agencies' recent changes have been positive for them.)

« Reply #217 on: February 15, 2012, 10:17 »
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Yesterday people were falling over themselves to get into Lori.ru without even knowing what the commission structure was.

yesterday like yesterday? or time ago? I believe you should read the all topic not only short versions of it, I know you are a top contributor but please respect other, not every person here is dumb, of course we look into royalties, prices, collection, etc etc.. we all know that unless we arent serious about what we are doing, no matter the business we deal with
« Last Edit: February 15, 2012, 10:32 by luissantos84 »

« Reply #218 on: February 15, 2012, 10:40 »
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...You have 10.5 months to build up a solid portfolio. Why not look towards getting more than 50%, why set your sights so low?

Have faith in us and have faith in yourselves....

For heavens sake, spare me the "work harder" blather. I do intend to work hard, but why on earth would I do that on behalf of an agency that's just said it plans to take more of what I earn? No one is setting sights low, and we do have faith in ourselves, thank you very much.

I no longer have any faith - none - in 123rf, however, and if you somehow think that an announcement like this will increase contributors' faith in you as an agency, you're delusional.

« Reply #219 on: February 15, 2012, 10:47 »
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"Want only to upload to fair agencies?"  The way I see it, the bulk of microstock artists will jump on board any new player in the market in the desperate hope of increasing their overall income, no matter what the commissions and image prices are.  Yesterday people were falling over themselves to get into Lori.ru without even knowing what the commission structure was.

name me ONE agency BESIDE photodune what we shoudnt have joined in order to have FAIR royalties at DT, IS, FT and now 123RF

you can give me 10 BUT they arent significant, they dont sell like the top5, please explain me what AGENCIES you are talking about

p.s: not to mention that PD is live for a few months, IS screwed us long time ago...
« Last Edit: February 15, 2012, 10:49 by luissantos84 »

« Reply #220 on: February 15, 2012, 11:05 »
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Thank you sir, may I have another? Pfft. (sarcastic movie quote)

« Reply #221 on: February 15, 2012, 11:08 »
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Hello All,

You have 10.5 months to build up a solid portfolio. Why not look towards getting more than 50%, why set your sights so low?

Alex,

Do you realize how offensive this is?  Do you and your management understand what a slap in the face you've given your long term suppliers?

I have been submitting work to your agency for seven years.  After all that time and all my work, we generate a little over half the sales required to keep my royalty at current rates.  Do you really believe I can double the productivity of my portfolio in a mere 10 1/2 months when it took me seven years to get this far?  

Heck, why can't your people produce even half of what Shutterstock generates for me with the same content?  That would only require you to double the sales on my port, about what you seem to expect of me?  Which of us is more at fault that I don't meet your expectations?  We certainly know which of us will suffer if I don't.

Whether or not you need to cut royalties to continue in business, I believe you've drawn the lines in the wrong place.  Telling me to work harder is adding insult to fiscal injury.  I am most definitely not happy.

m@m

« Reply #222 on: February 15, 2012, 11:18 »
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...if our wife/husband cheats: We get a divorce, if we don't like the % in our credit cards: We cut them up and close our account, If you don't like our job: You quit...So what's stopping us from taking a firm stand on this one? We all complained when IS and FT screwed us, but never the less that's all we all did, deleting ports and stop uploading after the fact did very little to alter their decision, so why stand for another grease up, now from 123rf...let say, which is most likely the truth, we cant afford to delete our existing port with them because of our financial situations, but we should all stand together and stop all uploading of new material to them, if we all small fish as well as some of the more larger ones grow some B..ls! and do this I'm pretty sure the bird will sing a different tune...if we don't do anything about it, every Dick, John and Harry agencies will be following in their steps. Whatever we need to do, we need to start doing it NOW!, not waiting until January 1 2013 to make our self's be heard.
If we don't, well, then we deserved everything we have gotten and will get in the near future from all stock agencies. >:( >:( >:(

« Reply #223 on: February 15, 2012, 11:27 »
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123RF won't come out and say this, but their restructuring sends a clear message:

They want MORE pictures from contributors who will earn at least 5,000 "credits" this year.  If you're in this camp, you have the incentive to keep uploading to 123RF.

They want FEWER pictures from contributors who will earn fewer than 5,000 "credits" this year.  If you're in this camp, you've been discouraged from uploading.  (Even Alex must know that the "work harder" message is unrealistic for most in this group.)

The thing 123RF will lose are the niche contributors who specialize in under-covered topics that are nonetheless needed by a minority of buyers.  

But what 123RF will gain is a mix of pictures that tilts more toward the highly marketable side.  If buyers have a better experience at 123RF because the perception is that more of its images are winners, then that could give it a competitive boost.

Will the strategy work?  Time will tell, but as a business person, you have to see there is logic in it.




 

KB

« Reply #224 on: February 15, 2012, 11:27 »
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We're adding video, another avenue for you to get even more credits download.
So credits will be combined for different media types?

What does this mean for those who, like myself, contribute only video?
You had said we would be getting 50% commission. Now it seems like it could be as low as 30%. I certainly hope that is not the case, and you will continue to pay the 50% commission rate you promised for video sales at least for a few years while you build up sales.


 

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