How the Platform Economy Gives Superpowers to Freelancers

Marco Torregrossa:

Once the number of freelancers increases on the platform, a subscription model comes handy. The firm gives a menu for customers to choose from and charges them per month or year according to a subscription plan based on frequency, specific services or number of freelancers needed. The basic plan is usually free, which is the so-called freemium model that combines well with the subscription.

The firm again acts as the enabler. It collects the subscription fee from the customer and then releases the money to the freelancer. In this model it is the customer which is usually charged and not the freelancer.