Results freelance survey 2012 - TriFinance, Tri ICT and The House of Marketing The

1. FREELANCE SURVEY
2012

2. Content
A word on the methodology used
How the market for freelancers looks like
What is the freelancer facing? The freelancer perspective
Freelancers and Service Providers, a Win-Win scenario?
Conclusions
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3. What is a Freelancer?
We define a freelancer as an
interim manager, or expert
working on a temporary and
independent basis with a company
or organization.
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4. Freelance Survey
Joint initiative
Online
March - April
2012
500 respondents
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5. Finance, Banking & Insurance
Who were these 500 Freelancers?
Industries
IT & Telecom
Non profit
Other
Healthcare - ICT
Creative, Art, Culture, Photography, etc
Fast Moving
Automotive, Transport & Logistics
Biotechnology
Education Utilities Public
Travel, Tourism & HoReCa
Media
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6. Who were these 500 Freelancers?
Activity domains
Marketing & Communication
R&D & Engineering
Sales
ICT
Procurement, supply chain & logistics Project Management
Finance & Accounting
Administration HR & Training Operations: Production, manufacturing & quality
Legal
Customer Service
Other
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7. Who were these 500 Freelancers?
Age & Experience
Age Experience
0
2% 7%
1
19%
2 55%
7%
14%
3
22% 26-30
4% 4
25% 31-40
1% 5
41-50 3%
6
51-60 6% 14%
7
61-72 8
44%
6%
9
6% 12% 10
9% >10
N = 198
N = 343
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8. Who were these 500 Freelancers?
Gender
79%
21%
N = 380
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9. 9
Who were these 500 Freelancers?
Regions of activity
“Golden Triangle”
41%
13% 24% 12%
60
% 31%
13%
5% 4%
23% 4%
Abroad
2%
N = 372
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10. How the market for freelancers
looks like
THE MARKET FOR
FREELANCE ASSIGNMENTS
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11. After some challenging years, the
freelancers anticipate a positive trend
2012
N = 418
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12. Chargeability over the last 6 months
Did you find an assignment during last 6 months of 2011?
I didn't find an assignment
8%
It was my choice not to have an
Yes No assignment
85% 15%
I'm a freelancer only since 2012
4%
Other
1%
2%
N = 422 N = 64
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13. Competition is increasing
2009 2010 H1 - 2011 H2 - 2011 H1 - 2012 H2 - 2012
55% of freelancers feel and expect higher competition
N = 407
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14. Fee evolution is negative
2009 2010 H1 - 2011 H2 - 2011 H1 - 2012 H2 - 2012
N = 398
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15. Age, Gender & Education are factors
that influence the daily fee
Impact of age on fee
750
Impact of education on fee
700
100% 4% 4% 2%
5% 5%
650 6% 5%
90% 6%
21%
80% 21%
600 28%
70% 32%
550 60%
31-40 41-50 51-60 61-72 37%
50%
Average fee Median Fee 40% 65%
N = 282
30% 55% 44%
Impact of gender on fee 23%
20%
750 10%
10% 8% 12%
700 0% 5%
Bachelor or Master or Post PHD/ MBA
650 High school High school university
711 short type long type or
600
640 university
550
300-499 500-699 700-899
500
900-1099 1100-1299 1300-1500
Man Woman
Average Fee Median Fee
N = 301 N = 295
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16. The assignment role and sector also
have impact
Impact of roles on fee
Impact of sector on fee 850
140
800 800 120
700 750 100
600
500 700 80
400 747 727 714 709 705 705 704
60
698 698 687 673 663 650
300 40
200 600
100 20
0 550 0
Average Fee
Count
Average Fee
Median Fee
N = 334 Median Fee N = 340
Average Fee per Assignment Duration
740 Average rate per billable days per
720 week
700 750
680
660 700
640
650
620
600
600
0-3 4-6 7-12 1-2 years More than
2 3 4 5
months months months 2 years
N = 340
N = 309
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17. What is the freelancer facing?
The freelancer perspective
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18. Once a freelancer,
‘always’ a freelancer
61% would not Only 3% considers
return to a payroll returning to a
job payroll job
Remarkably, those considering to return
don’t match the ones that became
freelancer through restructuring
N = 496
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19. What drives and what holds you
back?
N = 496
N = 488
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20. For over 50%, the 5-day week is
not the standard
Billable days per week
6 1%
5 49%
4 28%
3 16%
2 5%
1 1%
0% 10% 20% 30% 40% 50%
- Older Freelancers work less days per week than their younger peers.
- Only 27% of 60+ work 5 days a week
N = 362
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21. The own network preferred and most efficient
sourcing channel, closely followed by service
providers
Net Promoter Score – Effectiveness Channel
5
0
Own network Service providers Direct contact Online sites for Social media
(including prior with current searching
clients) clients freelance jobs
-5
-10
-15
-20
-25
N = 375
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22. Regarding this own network, ‘online’ is not
omnipresent, but done more frequently
Frequency of Networking
45%
40%
Actively participating
35%
in online networks
30%
25%
20% 42% online network (N=230)
No
Yes 39% 15% 31% networking events (N=369)
61% 23% 22%
10% 20%
16%
13% 11%
5%
7% 5% 7%
0% 3%
N = 375
Once a Once a Once Once Once Less then
week month every 3 every 6 every once a
months months year year
- Linkedin is most important channel (415 first degree contacts)
- Own website is perceived as (rather) important to 34% of FL’s.
N = 282
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23. How to mitigate the Financial uncertainty
Over 1/4th of Freelancers has more 1/4th of Freelancers has extra
than 1 assignment remunerated activities
25%
29%
One
No
45%
Multiple
Yes
None
75%
26%
N = 490 N = 401
Common extra activities:
• Accounting
• Teaching/Coaching
• Directorship
• Sales
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24. Finding assignments: the average length
between assignments is 2,28 months
Average length in months in between assignments
30%
25%
20%
15%
10%
5%
0%
0 1 2 3 4 5 6 7 >7
50%
This means that on average, a freelancer is billable for 81%
Partially, this is an own choice.
N = 326
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25. Freelancers want and get
assignments of 7 months to 2 years
Assignment Duration
40%
35%
30%
25%
20% average duration (N = 406)
35%
32% 31% ideal duration (N = 409)
15%
10% 22%
20% 20%
13% 13%
5% 9%
6%
0%
0-3 months 4-6 months 7-12 1-2 years More than 2
months years
The ideal assignment length is 7-12 months
(seconded by assignments of 1-2 years)
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26. Freelancers and Service Providers,
a Win-Win scenario?
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27. Facts & Figures
Do you have experience in working with Would you consider to work via 1 service
Service Providers? provider exclusively?
18%
Yes
No 43%
57%
82%
35% of ALL
freelancers
consider
working
exclusively
N = 393 N = 319
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28. Different types of service providers
Type Definition
Match makers simply connecting demand &
supply
Expertise domain experts focusing on only one domain
Umbrella agents you work under the brand of the
agent without any support
Quality agents you work under the brand and you
get support to guarantee quality
Big 4 Deloitte, Ernst & Young, KPMG and
PricewaterhouseCoopers
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29. Facts & Figures:
Who is the preferred partner?
Which type of Service Provider do you know and For which type of agent are you most likely
worked with? willing to work in the future?
100% 4%
8% 7%
13%
90% 19% Quality agents 26%
19%
80%
33%
37% 25% Umbrella agents 6%
10%
70%
60% 47% 4% Expertise domain
8% 41%
experts
50%
15%
40% 38% 58%
Match makers 16%
32%
3%
30%
28% None 5%
20% 25%
10% 22% 20%
12%
Big 4 6%
7% 10%
0%
Match Expertise Umbrella Quality Big 4 0% 20% 40%
makers domain agents agents
experts
I always work with them
I sometimes work with them
I know the type but I’m not interested in working with them
I know the type but never worked with them
N = 310 I don’t know this type N = 302
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30. Hate-Love relation:
What FL don’t like about SP’s
Why wouldn’t you work with a Service Provider? Disadvantages of SP's
35% 180
30% 160
140
25%
120
20% 100
33% 80
15% 29% 157
24% 60
10%
40
5% 11%
20
7 16 5 16 7 3 8 8
0% 2% 0
communication/relationship
Body Shopping
High intermediary margin
Treatment as subordinate
FL/Internal Consultants
up/support/feedback
Bad profile vs assignment
Low contact with end-client /
Short termism
Competition with other
purpose of the assignement
I don't like I don't see I want to Did not Other
they take a their added remain know that
Lack of follow-
margin on value independent existed
iso partner
my fee
match
Bad
* 65 out of the 500 respondents
answered this question
N = 65 N = 258
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31. Hate-Love relation:
Loyalty
Loyalty FL towards service providers Loyalty service providers towards FL
25% 20%
20%
15%
15%
10%
22%
10% 14% 15%
16% 17% 13%
11% 12% 5% 9%
5% 8% 8% 8% 7% 8%
6% 5%
5% 4% 5%
2% 2% 3%
0% 0%
0 1 2 3 4 5 6 7 8 9 10 0 1 2 3 4 5 6 7 8 9 10
Loyalty from 0 (not loyal) to 10 (absolutely loyal) Loyalty from 0 (not loyal) to 10 (absolutely loyal)
>
Average loyalty of Freelancers Average loyalty of Service
towards Service Providers; Providers towards Freelancers;
7,92 6,34
N = 315 N = 308
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32. Hate-Love relation:
But in times of crisis
What will be your most likely strategy in times of crisis?
60%
50%
40%
30%
55%
20%
10% 21%
14% 7%
2%
0%
I will contact a I will stay working a I will commit to one I will try to get a Other
diversity of service a freelancer without service provider permanent position
providers commiting to a
service provider
N = 417
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33. Freelancers have clear expectations
Main actions that Service Providers can take or develop
further to optimize your role as Freelancer
80%
70%
60%
50%
40%
68%
30%
52% 52% 50%
20%
10%
0%
Sharing knowledge Organizing Support during Organizing
network events assignments trainings
N = 363
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34. Presentation1
SP’s
Primary motivators to work through
N = 138
Guaranteed number of
chargeable days
Administrative assistance
Network possibilities
Support during
assignments
Training possibilities
Lead generation fees
Earning of quality label:
references,,,
Access to company
knowledge

35. Freelancers find this with?
Willingness to work with current SP
60%
50%
40%
30%
56%
45%
20%
31%
10% 22%
15%
0%
Expertise Quality agents Match makers Big 4 Umbrella agents
domain experts
N = 267
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36. What did we learn?
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37. Conclusions on freelancers
Main motivators: Freelancers are aware
autonomy & variation – that market is getting
and not fee or flexibility more competitive
Social media: present, Important sourcing
but not as an channels: own network
assignment finder & service providers
Higher education results Gender inequality in
in higher fees fees
Preferred type of Concerns towards
service provider: service providers:
expertise domain margin, added value,
experts loyalty
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38. Conclusions on service providers
Finding the right Financial
assignments compensations
Expertise
Networking
development
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39. ONCE A FREELANCER,
ALWAYS A FREELANCER