Currency exchange rate hurting my bottom line

Discussion in 'Search Engine Optimization' started by dcristo, Apr 30, 2011.

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  1. #1
    For the SEO services I provide I work on a pay per performance model whereby I get a percentage of the total revenue.

    However, with the strength of the AUD against the USD, it is really starting to hurt my bottom line.

    Due to the situation, do you think it's reasonable to ask for a commission increase with my clients? Or is this something I should deal with as part of business?
     
    dcristo, Apr 30, 2011 IP
  2. tomiko

    tomiko Member

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    #2
    this could counter attack if the USD/AUD 'relationship' got better in YOUR position, what would you do? keep it? or ask for commission? it happened to me before. it wouldn't be fair if you ask for commission when the USD/AUD is bad for you. it MAY get better for you and that will be when you enjoy. that's what happened to me, but it was with USD/JPY.
     
    tomiko, Apr 30, 2011 IP
  3. SEOPub

    SEOPub Peon

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    #3
    Like the above poster stated, I think this is just the risk you take when you are dealing on a commission basis. You can't keep going back to the client every time the currency market shifts.
     
    SEOPub, Apr 30, 2011 IP
  4. dcristo

    dcristo Illustrious Member

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    #4
    I really don't think the situation is changing anytime soon though.
     
    dcristo, Apr 30, 2011 IP
  5. calvynlee

    calvynlee Well-Known Member

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    #5
    same happen to my end, USD depreciate, my ad-sense and aff earning become less after conversion to my currency :(
     
    calvynlee, Apr 30, 2011 IP
  6. dairyman

    dairyman Notable Member

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    #6
    The issue has almost become a global phenomenon. You can charge your clients at a higher rate to offset the strengthening AUD.
     
    dairyman, May 1, 2011 IP
  7. xu123

    xu123 Member

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    #7
    This is the downside of currency exchange, some people remember when the AUD was .49 cents to the USD I was in the US at the time and everythign was double my money and sending me broke fast. Even a Maccas meal cost me the equivalent of about $12 AUD because of it. You can try and increase your fee to cover the costs but you may just have to cop it.
     
    xu123, May 1, 2011 IP
  8. dcristo

    dcristo Illustrious Member

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    #8
    It was bad when it was at parity but now it's just getting ridiculous.
     
    dcristo, May 1, 2011 IP
  9. kendu

    kendu Peon

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    #9
    CHARGE MORE. It is your business and your income. Why should you "cop" anything?
    Increase you prices immediately and your bank account will thank you. Just do it.
     
    kendu, May 1, 2011 IP
  10. cordyceps

    cordyceps Peon

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    #10
    Yes.. Currency exchange make my earning decrease.. I'm in Indonesia and I feel my country rate.. really hurt me..
     
    cordyceps, May 1, 2011 IP
  11. xu123

    xu123 Member

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    #11
    You could charge the Earth if you want to. It definitely is his business but in the end it's his clients that dictate what they pay not him.
     
    xu123, May 1, 2011 IP
  12. webdev007

    webdev007 Active Member

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    #12
    It may sound ridiculous but, the alternative way is to change your currency. If your are charging in US$, now start charging the same rate in AUD$
     
    webdev007, May 5, 2011 IP