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WTF, Patreon? (Patreon)

Published:
2017-12-07 13:42:17
Edited:
2017-12-07 21:57:45
Imported:
2020-12

Content


I don’t know what Patreon is thinking with this new switch in fees. “It’s better for creators” they say. But is it really? I’ve already started to have people drop out because of this. Is a higher percentage of less income really a bonus? No, it is not. More of less, is still less.

All this has done is piss off both creators and patrons.

I was not consulted for this, and if I had been, I would have told them to leave things alone. I am perfectly fine paying a higher percentage of my royalties and giving my patrons a fair price. If they give us the option to roll it back to the old way, rest assured I will take it.

I’m sorry they are doing this shit to you, folks. It’s a shame.

Comments

Okami Kai

I've seen some very valid points about how this will particularly hurt creators who rely on smaller pledges as it represents a far larger apparent price hike for those contributors. I've yet to see a decent argument in favour of the change. Let's hope sense prevails.

iceFox

Can’t say I understand, can anyone link me to what’s happening?

Rox79

Yeah, just found out about this from another artist I support. It would have been nice if we all were notified about the change and had time to voice our opinions. I don't plan on going anywhere do you can still count on my support.

Anonymous

Ghost, basically all supporters will not only be pledging to their creator, patreon is now making you pay an additional fee of 2.9% + $0.35 on top of each pledge you make. So if you pay $50 to 4 creators; you pay that fee for each of those pledges

Mircea Kitsune

I've seen their update email, in which I hope they explained the situation properly. It said that the purpose of those changes is for creators to not lose so much cash when paying out their balance; If until now you could only extract 80% of your total Patreon balance because roughly 20% went on various transaction fees, they want to limit the fees to 5% and assure that you can extract at worst 95% of your balance to your card. As such I wouldn't be too quick to judge the new rules! Patreon unlike other services (such as PayPal) actually care for people and have always been honest and helpful. This may involve losing money in the pledging process, but you should be recovering it or more in the payout process. I'd wait more to see how this goes on the long run, and see in detail what other creators are saying too.

Mircea Kitsune
>>8730115

That's only half of the story though: In return for that, they make sure you can payout at least 95% of your balance, with only 5% transaction fees piling up in the process. Till now you'd risk having only 80% of your money actually reaching you, because 20% went to both PayPal and your payment processor. I think this is fair and better for creators in the long run.

Mircea Kitsune
>>8729852

I don't believe the changes are too bad. Pledges are a little larger, but in exchange you can withdraw more money from Patreon without so much of it being lost on transaction fees (which was also a huge issue, but not as obvious so many might not have seen it).

Vawlkus

Saw this start on my Twitter feeds yesterday. Just seems like a cash grab from Patreon IMHO, with no regards for patreons or customers.

Anonymous

Mircea it may be better for creators getting more money, but supporters will either be okay with it or lime what JB said, leave and the majority seem to be saying no patreon, we don't want to pay per pledge and would rather do it another way. Especially those that want to spread out to support many patreon at low tiers. Now you are getting hit with, depending on the amount of the low tier, a 35% to 3% tax for supporting your creators.

Anonymous

Damn phone sucks with writing sp sorry for any mistakes

Anonymous

I had to decrease pledges and stop some supports...... I had a lot creators with skill in my opinion,now I'm writing a mail to them with my sorry,I'm not rich,etc... We have in hungary 27%tax... SO it is already killing me....

Anonymous
>>8730115

So then, let's do the math, Sousuke. 50 dollars to four different creators is $200, of which 20% of that would go to fees, instead of the creators you are following; that's 40 dollars that the patron pays out that the creator never sees. As a former creator myself, that is a massive loss in revenue for them. Now, let's do the math on the new variant, and see how that compares. Still 200 dollars, still 50 dollars to each creator... but each creator involves only $1.80 of fees each, for a total loss of fees of 7.20 out of 200. Can you see the MASSIVE DIFFERENCE yet? Now, I will agree that on dollar-patrons, it's far larger of a percentage hit, fine. Overall however, MORE MONEY IS GOING TO THE CREATORS! So, it might be a good idea to look at the actual math, not overreact, and carry on with support. GFH.

Anonymous
>>8730115

But we are talking about human society in general here. They tend to overreact instead of being calm so I'm just explaining how it looks to a person. Plus for a lower tier, aka 1 dollar, which most people do if they want to support a lot of creators to just see things, to them it's a price hike that isn't worth it. Just playing devils advocate here. I'm not leaving anytime soon, but just saying humanity reacts without thinking and look at JB, he's mad about this as well, but it probably also depends on the creator and their sources of income

Anonymous
>>8730115

Ever hear of SexyFur.com? Please google it. Bernal runs that site, not alone, mind you, but he is the principal, unless things have changed recently.

Anonymous
>>8730115

Yes I have and I get it, but not every creator on here had a site that can supplement their income that way. I'm just saying, low tiers will leave because it's more taxing on them as a per creator tax. And from how JB said, no one was asked their opinions on this. I know patreon means well and I'm all for the creators getting more money, but they need to have thought how patrons would react because that's what is happening right now.

Sleepnir

Wow this was the first notice I received about this system change; I've still not received any email or update from Patreon itself. Shifty as hell. Really sucks for those of us who support several dozen creators at the $1-$5 levels.

Mircea Kitsune
>>8730260

I understand the per-pledge increase shouldn't be more than 3%. Meaning that if you were pledging 1$ it should now only be 1.03$ instead... which unless my calculation is incorrect, should barely even be noticeable. If it becomes more than that... okay, they are overdoing it then. 35% would be a ridiculous amount, hopefully it never gets anywhere near that.

Anonymous
>>8730260

From their email: Starting December 18th, we will apply a new service fee of 2.9% + $0.35 that patrons will pay for each individual pledge. This service fee helps keep Patreon up and running.  So that 1 dollar becomes 1.38 four the pledge.

Mircea Kitsune
>>8730938

To offer an exact quote from the email they sent me: "A new service fee of 2.9% + $0.35 will be paid by patrons for each individual pledge starting on December 18th". There won't be any 27% tax... that would be insanity, they can't seriously do something like that! If you were pledging 1$ it will now be only 1.03$... well 1.38$ since there's also the +0.35$ thingie, that part is a lot more problematic and hopefully they may lower or remove that constant.

Anonymous
>>8730938

In hungary,there is HUF,and our tax is the 27% for example 1$ = 280 HUF+27% So 1$ = 355 HUF So example 15$=5325 I'm pledging around 240$ now = 85.000HUF instead around 58.000 HUF My payment is around 633$ if you're interested 0.5 Liter Coca-Cola around 1-3$ in Hungary (in shops,not hotel or any expansive places) For a "common" worker I have a good payment in my country Another Example,I ordered something from USA It was 240$ I paid around 428$, bexause of TAX and STORING Payment+TAX.... Sorry for Bad English

Mircea Kitsune
>>8730260

Yes: There is also a 0.35$ constant per pledge, added on top of the 3%. I somehow missed this at first, and when we take it into account it definitely looks a bit worse. I wrote to Patreon and told them my opinion on this aspect, which I also posted about at <a href="https://www.patreon.com/posts/my-take-on-new-15763641">https://www.patreon.com/posts/my-take-on-new-15763641</a>

ShineSL

I do have a lot of small pledges as well, so with this system I would pay on 2-3% more for sure. So I can't accept this news as positive. It's not hardly negative, but still - not positive at all, since paypal will take as much as they did anyway...

ShineSL
>>8742034

But yes, that news gonna be real hellpain for who do have a lot of Patrons with 1-2 dollars, since from one dollar will need to give about 40-45% to Patreon (+ Paypal), so 1 dollar pledges might be not more interesting anymore...

BlindBandit

I can't help but think this will hurt patrons who do a lot of small pledges and smaller creators that offer lower rewards. I can see users being a lot more choosy about who they give money too. Not good, not good at all.

MiddKnight

Miles-DF seems to have a pretty good idea by having year-end bundles available on GumRoad. This might be a suitable alternative for you should it be needed.