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Author Topic: Change in Commission Structure for *ALL* 123RF.com Contributors  (Read 79010 times)

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« Reply #175 on: February 14, 2012, 22:44 »
0
RC's on 123RF too :D

if sales continue to grow I believe I will keep the 50%, thats quite soon to predict lol


« Reply #176 on: February 14, 2012, 22:44 »
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Ok... 10 months to get my port up to speed.
1 question Alex.
Where do I find out what my credit total is? Is that my earnings x2?

Now I see it's not that simple. I hope some way to view credits is coming because the spreadsheet thing is a pain.
« Last Edit: February 15, 2012, 01:52 by chromaco »

« Reply #177 on: February 14, 2012, 23:28 »
0
This appears on the Captcha page you get on 123RF every time you try to look at it... I guess it doesn't parse very well , so log in to see in an easier format. (or try to figure out the cut and paste below my comments).

It looks like if you don't get 5,000 RC you will see a cut. If you get 20,000 and up you will see more.

I haven't tried to add up my RC totals according to the chart. I hope they put RC totals on the earnings page (or somewhere else).

Without looking at the fine print I am guessing that this will be a cut for most. (otherwise why do it?).

Under .22 for a sub sale is way too low.




123RF Commission Change

123RF.com will be changing its Contributor Commission Payout on January 1, 2013. From now till then, 123RF.com shall continue paying our Contributors at a rate of:

    50% net value for credits
    $0.36 per download for subscriptions

From January 1, 2013 onwards 123RF.com shall adopt the new Contributor Commission Payout schedule depicted in the table below:
12 Month Credit Total
Contributor Level
Net Commission
( Credits )
Earnings Per Download
( Subscription )
0 - 249
1
30%
$0.216
250 999
2
35%
$0.252
1,000 1,999
3
40%
$0.288
2,000 4,999
4
45%
$0.324
5,000 19,999
5
50%
$0.360
20,000 49,999
6
52%
$0.374
50,000 99,999
7
54%
$0.389
100,000 499,999
8
56%
$0.403
500,000 999,999
9
58%
$0.418
1,000,000 and above
10
60%
$0.432

123RF.com shall round the monthly cumulative earnings to the nearest $0.01.

The mechanics of deriving a Contributors Commission are as follows:

    At the end of every month, a Contributors total credits from all downloads in the previous 12 months shall be summed according to this table:

    Image Size
    Credits
    Subscription
    1
    S
    1
    M
    2
    L
    3
    XL
    4
    XXL
    5
    XXL TIFF
    10
    EPS
    10
    Image Size
    Credits
    100MB TIFF
    20
    200 MB TIFF
    40
    300 MB TIFF
    60
    Print EL
    50
    Electronic EL
    75
    Comprehensive EL
    100
    Multiseat
    25
    The summed credit amount shall determine the Contributors Level.
    The Contributors level will determine the commissions for each download in the preceding month.

The aim of the new Commission Structure:

    Rewards Contributors who consistently send in quality Content that are in high demand to 123RF.com.
    Takes into account the Contributors performance and consistency as well as acknowledge loyalty.
    Takes into account the growth of contributors vs. the growth of sales and the dynamic relationship between the two growth factors.
    Gives a stable, measureable, predictable and most important of all, specific milestones for achieving targets.
    Fosters healthy competition for new and old contributors alike.
    Encourages consistent and sustained uploading of fresh content to 123RF.com.
    Takes into account every seasonal sales variation or fluctuation and changes.

Some Questions & Answers

    What if I dont have 12 months worth of downloads?
    We shall sum up the previous 12 months, whether or not you have complete 12 months.
    What about refunds, fraudulent downloads and cancellations?
    We understand that refunds, cancellations and fraudulent downloads can be reversed at any time. We shall take all efforts to take these into account, however, once we have tabulated a contributors level for the month, it would stay stagnant for the preceding month.
    Would 123RF be amending these figures every year?
    No, we expect this commission structure to be in effect for at least 3 years as we feel stability and predictability are values that our Contributors would appreciate, and 123RF.com has grown to a level that we have a very mature and established Contributor community.
    Is there a possibility that my Contributor Level might drop?
    Yes, your Contributor Level may drop as we take into account your previous performance spanning 12 months.

If you have any further questions, kindly feel free to email alex@123rf.com with your inquiries directly.

« Reply #178 on: February 14, 2012, 23:34 »
0
Okay, I just exercised some Excel-fu and ran my results from February, 2011 through January, 2012 to see where I would have fallen in their new scheme.  Assuming I've done everything correctly, which I may not have done as some category naming is inconsistent (my earnings report shows XXL TIFF and XXL MH, which I'm guessing correspond to XXL TIFF and XXL respectively), I'm comfortably in level 4 and nowhere near level 5.  Which means a 10% drop in both subscription and credit royalties for me starting next year.  Not as bad as what iStock and Fotolia did to me a year ago, but not the sort of thing to engender my loyalty.  I will of course consider the amount I earn at 123RF and not just my royalty rate, but at first blush I'm not feeling the love.

« Reply #179 on: February 14, 2012, 23:37 »
0
The House wins again. So far the increase in earnings I see at SS have just about made up for all the other companies taking my money away, but it can't go on forever.

« Reply #180 on: February 14, 2012, 23:45 »
0
I didn't do excel fu, but I did do a quick eyeball of the sales, and unless 123RF picks up considerably I'll be dropping at least one and probably 2 levels.

I guess it will be nice to earn 50% for another 11 months, hopefully by then sales will have picked up enough so I won't need the lube, but I am doubtful. Nope - not a good way to engender loyalty.

I guess it will be business as usual for a year. If the subs sales are too low after that 123RF might go the way of IS. That would be unfortunate. Look what happened to iS and FT...

Really - keeping me at 50% would provide "stability and predictability" that I  "would appreciate". Not some sort of iStock  RC BS #$%^@$%^

ok, I'll shut up and go away 'til Jan 2013 on this one now.

« Reply #181 on: February 15, 2012, 01:11 »
0
Just performed Excel Fu on my numbers...

I project my total 2012 sales should reach Level 6, but just by the skin of my teeth, so I may see an increase of 2%.

« Reply #182 on: February 15, 2012, 01:51 »
0
I don't have a full year of data to work on (I only returned to 123rf in June 2011) and only part of my portfolio was online for some of that time, blah, blah, blah, but...

I made a spreadsheet out of the monthly earnings information - which, by the way, 123rf MUST make available as a downloadable CSV (if they were being helpful, sales should include the RC numbers as well as downloads) and expect I'd be at level 4, which would give me 45%.

That's if I decide to stay.

I can't tell you how utterly disgusted I am with this move by you, 123rf. There is nothing beyond naked greed at work. What did you do for me this week. And I fully expect you to keep increasing the numbers required and decreasing the payouts - why wouldn't you? Once you've decided it's OK to rip contributors off once, what's to stop you doing it over and over?

You've looked around and seen the crap the other sites are pulling and decided there's no reason for you to be decent to contributors. The "reasons" you list are beyond ridiculous - healthy competition among contributors? This isn't a holiday camp with contests and prizes. The reward is the money we make for our sales, and you've just reduced it for most of us.

So how do you think the site will look with the factory producers - all of whom produce masses of look-alikes - and nothing else? You clearly don't want the lower-volume contributors as you're penalizing them by cutting their royalties.

I'll leave my portfolio alone while I think about what to to - and calm down - but I honestly don't see any point in investing time and effort in your site with terms like these on the horizon.

fujiko

« Reply #183 on: February 15, 2012, 02:01 »
0
Please reconsider this move.
As you said, you had a humble start and you were one of those fair agencies.
You got to your position giving contributors 50%.

Now you say that you will implement an istock style RC system.
That's really discouraging to contributors and they can decide to upload to other agencies that may grow like you in the past and overcome you just like you did with others.

This kind of greed is unsustainable. Contributors may just stop producing good content for greedy agencies and will upload to other or search for other business plans. This is the start of the fall for 123RF, just as it was the start of the fall for istock or fotolia when they announced similar 'growth schemes'.

Don't you learn from other's mistakes?

« Reply #184 on: February 15, 2012, 03:34 »
0
I don't have a full year of data to work on (I only returned to 123rf in June 2011) and only part of my portfolio was online for some of that time, blah, blah, blah, but...

I made a spreadsheet out of the monthly earnings information - which, by the way, 123rf MUST make available as a downloadable CSV (if they were being helpful, sales should include the RC numbers as well as downloads) and expect I'd be at level 4, which would give me 45%.

That's if I decide to stay.

I can't tell you how utterly disgusted I am with this move by you, 123rf. There is nothing beyond naked greed at work. What did you do for me this week. And I fully expect you to keep increasing the numbers required and decreasing the payouts - why wouldn't you? Once you've decided it's OK to rip contributors off once, what's to stop you doing it over and over?

You've looked around and seen the crap the other sites are pulling and decided there's no reason for you to be decent to contributors. The "reasons" you list are beyond ridiculous - healthy competition among contributors? This isn't a holiday camp with contests and prizes. The reward is the money we make for our sales, and you've just reduced it for most of us.

So how do you think the site will look with the factory producers - all of whom produce masses of look-alikes - and nothing else? You clearly don't want the lower-volume contributors as you're penalizing them by cutting their royalties.

I'll leave my portfolio alone while I think about what to to - and calm down - but I honestly don't see any point in investing time and effort in your site with terms like these on the horizon.

Fully agree.
Let's remember: We pay you for marketing and selling our images. And I do not see any reason to pay you more if you are selling less of my images.
I will wait for what changes you will implement to that scheme, but I am not optimistic. I will decide around year end if I delete my portfolio.

« Reply #185 on: February 15, 2012, 03:39 »
0
Great! 15% pay cut in one fell swoop! So much for fairness etc etc etc - and those hoops to qualify and remain at 50%!
I'm sure I'm like many, and only started to upload to 123RF yes - to sell some photos - but also to support a decent agency.
Rethink necessary I  fear!
:(

microstockphoto.co.uk

« Reply #186 on: February 15, 2012, 03:44 »
0
I will end at 45%, thanks for the 10% pay-cut!

From a purely financial point of view, there's little to worry about. Experience at two other sites tells us that sales (not just earnings) at sites choosing this route will go down and sales at Shutterstock will go up, because some photographers will leave or stop uploading, the site will slowly decline, some buyers will leave... The site will earn the same or less (not more) from less sales and higher %, and we will earn the same total from all sites. It's a zero-sum game in the end.

But in general I would like a healthy balance between agencies instead of a big one getting bigger and bigger - despite the fact that I like that specific big one very much.

You have almost 1 year left to rethink, for everybody's sake.
« Last Edit: February 15, 2012, 03:54 by microstockphoto.co.uk »

« Reply #187 on: February 15, 2012, 04:30 »
0
Shutterstock loves this.

« Reply #188 on: February 15, 2012, 04:47 »
0
great. So one of my favourite sites 123rf is also on the way to catch IS. though i have a small port but i am continuously making efforts to increase the size and my upload has been limited to few sites including 123rf. But as i and others are gradually decreasing their efforts on unfriendly sites i afraid that even 123rf will also fall on this category. This site was doing great for me and many others. And it has acquired higher rank than fotolia also as we can see at the rank table but with cutting contributors pockets now 123rf may also go down. I wish 123rf atleast start selling photos like SS.

eggshell

« Reply #189 on: February 15, 2012, 04:49 »
0
How many people here ever bothered to check their credit sales stats ?

As far as I'm concerned 123RF is the agency with the most discounted credit packages .
For example - last 20 credit sales - only 15% are full price credits . The other 85% range between 5 and 50% discounts .

What's the difference for the contributor if on one agency he gets 25% of a full price credit and on the other 50% of a 50% discount ?

Apparently nobody cares about that but now that a commission cut is announced everybody looks really concerned

« Reply #190 on: February 15, 2012, 04:56 »
0
Well, I will enjoy my sales until years end, and then decide what to do. If 123rf continues to be the low earner it is currently for me, I might drop out.

« Reply #191 on: February 15, 2012, 04:59 »
0
Thanks 123rf can't wait for the paycut, thanks for rewarding us for supporting you and keeping you in business.

What was the point of the proposed grandfathering ?  

Seems you learnt some dirty tricks from Istock ?

Very disappointed !!!!!!

I will need to consider whether to bother uploading to your agency as it makes up 5% of my earnings. My time may be better spent elsewhere.

XPTO

« Reply #192 on: February 15, 2012, 05:06 »
+1
The fact that 123rf only earns me about 3% of my income made me reduce my activity there as it is almost irrelevant. Yet the easiness of upload and approval kept me still in touch.

Now I predict I'm going to fall in the 3rd lowest category of all, receiving a cut in the commissions for my sales! It's very hard for me to accept that.

BUYERS PAY FOR MY PHOTOS BECAUSE IT'S THE RIGHT ONE FOR THEIR PROJECTS, BUT INSTEAD OF ME BEING REWARDED FOR MY GOOD JOB ON THAT IMAGE I TAKE A CUT BECAUSE OF FACTORS THAT DO NOT HAVE ANYTHING TO DO WITH THAT SALE!!! THIS IS AN INSULT!!!

Besides, we are going to be evaluated by performance when we do not have any control about the exposure of our images on 123rf which influence sales. This means that 123rf already has ways to reward their most prolific and successful contributors by using their images in promotional mails with links to their portfolios, giving them a boost in the search results, etc.

There's no need to punish contributors in the commission when his sale is equal to any other sale. That particular image was considered the best by the buyer! It doesn't matter that the photographer sells 10 or 100.000 images per month.

This is just another excuse to rip-off contributors.

IS and FL are suffering from their greed. Considering the size of 123rf you won't be suffering for long as it's an almost irrelevant agency. With this move you may be signing your death sentence. At least from me you wont be getting any more new images, and in 2013 I may delete my portfolio.
« Last Edit: February 15, 2012, 05:18 by XPTO »

ayzek

« Reply #193 on: February 15, 2012, 05:13 »
0
123rf is around %2-3 of my microstock earning. i just did my math work and if earn my BME all year i will just catch %50.
So there is 10 month to decide what to do.
its not good behavior to run behind of Big Brother while you are so small:(

PaulieWalnuts

  • On the Wrong Side of the Business
« Reply #194 on: February 15, 2012, 05:30 »
0
Yep, here's yet another "fair" site that so many people flocked to and supported when the other evil sites took advantage of them. Seeing a pattern here folks?


« Reply #196 on: February 15, 2012, 06:00 »
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Just saw an markable increase of income at 123 in 2011, what supported me in my decision to gave them a chance.
Now it looks like a flash in the pan.

As some others wrote befor, i see 123 fall back into meaninglessness. What a pity!

fujiko

« Reply #197 on: February 15, 2012, 06:09 »
0
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.

« Reply #198 on: February 15, 2012, 06:22 »
0
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.

I can't see more than a handfull of contributors increasing from 50%
I can't imagine that I could build my 123rf portfolio to get above 5,000 RC.
123rf makes 5% of my income per month.  
If I built my portfolio up to earn 5,000 RC on 123rf  ie Approx $2,500 in my pocket from 123rf.
I would be earning 100/5*$2,500 =  $50,000 per year on microstock.

60% = 1 million RC's   is that really a realistic goal ? or some unicorn you've got tied up in the back paddock.

Who is earning half a million dollars on 123rf alone at the moment ?

Sub values are way too low.

Do we have to go through the same old process
1)Agency announce something really terrible
2) Everybody complains
3) agency improves the deal slightly
4) everybody goes wooyay thanks for listening

The only fair thing is that you've given everybody lots of notice before the change.

edited I made a mistake and thought it was 50,000 RC for 50%
« Last Edit: February 15, 2012, 06:36 by qwerty »

« Reply #199 on: February 15, 2012, 06:25 »
0
This suuuuuuuuuuuuuuuuuuuuuuuuuckkksss

we contributors should boycott the greedy agencies, if not,m we will do with us what they want!!


 

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