Fiverr operates an online marketplace connecting freelancers (sellers) with businesses and individuals (buyers) seeking digital services. Fiverr's core model uses a "Service-as-a-Product" approach: freelancers list services as structured catalog offerings called "Gigs," each with a defined scope, timeline, and price, giving buyers an e-commerce-style shopping experience without negotiating terms. Fiverr makes money primarily by taking a cut of each transaction — currently around 27-28% of GMV — split between buyer service fees and seller commissions. Revenue breaks into two segments: Marketplace (~69% of revenue), driven by active buyer count, spend per buyer, and the take rate; and Services (~31% of revenue), which includes Fiverr Ads (cost-per-click placement in search results), Seller Plus (a seller subscription with analytics and support tools), and AutoDS (an acquired e-commerce dropshipping automation platform). Services has grown from 15% of revenue in FY23 to 31% in FY25, adding recurring revenue less dependent on GMV trends. Fiverr is executing a deliberate pivot away from high-volume, low-value transactions toward larger, more complex projects — active buyers have declined from 3.6M to 3.1M, while spend per buyer has grown. Fiverr Pro is its premium tier offering vetted freelancers, AI-assisted matching, and managed services. Fiverr is also investing in AI-native capabilities, including "Fiverr Go," an AI assistant embedded in the seller experience, and agentic matching tools. For 2026, Fiverr guides for a revenue decline as it absorbs the cost of this strategic transition, with a plan to return to growth in 2027.