For experienced freelancers, branching out to new countries and territories is a great way to expand your customer base and grow your business. Doing so, however, is not always easy. In addition to knowing how to market yourself to international clients, you need to strategically find the marketplaces where your services are most needed. In this eBook, we’ll break down the steps for taking your freelancer business global, including which skills are in-demand in different countries, best practices for expanding into a new market and the best way to handle international payments.
Worldwide, the market for freelancers is growing rapidly. The Oxford Internet Institute’s Online Labor Index shows that the use of online labor worldwide grew by 30 percent between November 2017 and November 2018. According to a separate study conducted by Upwork, in the first quarter of 2018, 59 percent of hiring managers were already using flexible talent and 53 percent cited having access to skilled workers as a major challenge.
While the vast majority of freelancers work with clients in the United States (68%) and Europe (51%), other areas have seen increased activity. These include Latin America and Asia, which now respectively account for 21% and 18% of freelancer clients.
For freelancers looking to move into new markets, the opportunities are ample. In India, for example, the number of available projects on online platforms has grown by 18 percent in the past year, while in Australia, the growth rate has been 11.5 percent. While the United States continues to have the most available work, it has slipped from an average of 68 projects per day in November 2017 to 51 projects in November 2018.
The first step to expanding your freelancer business is to study where your specific skills are needed and market yourself accordingly.
According to a recent Upwork study, the 10 most requested freelancer skills, each of which saw demand increase by more than 130% year over year, are:
While software development and other technical skills are the most sought after – representing nearly 50.6 percent of all vacancies as of November 2018 and growing by 45 percent between 2016 and 2018 – there are many other in-demand job types throughout the world.
Here is a closer look at the index data for several of the most popular countries for freelancers, showing the three largest sectors in terms of job vacancies. This information can help you pinpoint geographies where there is demand for your skills.
There are about 57 million freelancers in the United States, representing about 35 percent of the workforce. For many Americans, freelancing is done on top of their full-time job and is not generally their primary income source.
The most in-demand freelancer job sectors in the US include:
Based on platform projects, European countries account for more than 16 percent of the worldwide freelance market. Globally, the United Kingdom is second only to the United States when it comes to the number of freelancers, which comprise 10 percent of the British market. In the UK, freelancing has become a popular option for university graduates, with 29 percent indicating that freelancing is a part of their career strategy.
The most in-demand freelancer job sectors in the UK include:
Twenty-four percent of the world’s freelancers live in India, contributing $400 billion to the country’s gross domestic product. A recent report indicated that the sector is poised for further expansion. Of the more than 2,100 human resources executives surveyed, more than 50 percent predicted the gig economy will grow by at least 20 percent, with 23 percent of respondents believing the growth rate will exceed 40 percent.
The most in-demand freelancer job sectors in India include:
According to a separate survey of Indian HR managers, the five job fields in which freelancers are most likely to find work in the future are:
Freelancing in Canada has expanded greatly in recent years. Some estimates predict that the number of freelancers, independent contractors and on-demand workers will make up 45% of the Canadian workforce by 2020.
The most in-demand freelancer job sectors in Canada include:
Freelancers account for more than a third of Australia’s workforce. Additionally, a significant number of workers freelance on top of their fulltime jobs to supplement their incomes. Like other countries, Australian freelancers cite flexible work schedules and the freedom to pursue other opportunities as their reasons for abandoning the office place.
The most in-demand freelancer job sectors in Australia include:
Given the worldwide opportunities for freelancers, how can workers break into new markets? While approaches should vary slightly by country and region, generally speaking, it’s important to be clear about where you’re seeking work and presenting yourself in the best possible light.
Taking the following steps will help you in your search:
The first step to breaking into new markets is to get your name out there and advertise your services on the platforms that your target clients are most likely to use. To reach the widest possible audience, it’s a good idea to stay active on global freelance platforms, including Upwork, Fiverr, Freelancer.com and PeoplePerHour.
In addition, the following platforms can help you target specific markets around the world:
Appropriately pricing your services when expanding to new markets can be tricky. While you obviously don’t want to reduce your fees too dramatically – you need to make a living, after all – you also need to appreciate that your typical rates might not be applicable in other markets.
To get a better idea of how different services are priced in a specific country, your best bet is to get involved in community groups, either online or in person, where other members can give you a better idea of how the local marketplace works.
At the end of the day, remember that rates are typically set according to job type, and not client location. For experienced freelancers, it’s best not to dramatically alter your fee structure, as long as you’re priced competitively within your niche. For a better idea of how much freelancers in different jobs charge per hour, have a look at the following table:
After determining which countries you want to target, it’s time to localize your marketing materials, i.e., your website, blog, etc. This can be done in any number of ways, including:
Social media is a good way to localize your services. Consider creating different social media accounts and, if possible, post in your target country’s native language. For example, optimizing your LinkedIn profile to highlight the countries you’ve worked in, the languages you speak, etc. will help illustrate your ability to move into new marketplaces.
Additionally, it’s a good idea to join different social media groups in your target country. These groups are a great way to:
Expanding your freelance business into new countries can be an intimidating prospect. In addition to working with clients in a new country, you’ll also be dealing with a foreign payment system. That’s where Payoneer comes in.
With Payoneer, freelancers in 200+ countries worldwide can approach any market with confidence, knowing they have a reliable payment solution. Instead of the typically high fees and slow turnaround times associated with global payments, freelancers affiliated with Payoneer enjoy a host of payment services that remove the headache of getting paid.
Do you pay other freelancers internationally? Payoneer has you covered as well. Our network enables any freelance marketplace or company to easily and quickly send funds to their freelancers.