Remember the last time you drove through a rainstorm at night?
The road was dark and winding; thunder booming. You wished you could skip to the part where you were safe and cozy at home, but all you could do was focus on the next few feet in front of you.
That’s what March 2020 felt like.
Those of us who freelance were anxious about client work and felt unsure of whether or not our businesses would make it. And we couldn’t skip forward to the good part. We had to keep taking things a day at a time.
I’ve had some questions on how my freelance business is doing during COVID, so I’m here today to shed some light on my personal experience and to spotlight the freelancing industry as a whole during 2020 and beyond.
Let's jump right in.
COVID’s impact on the freelance industry
Starting with a zoomed out view of the freelancing industry as a whole, let's get some context on a larger scale before I get into my own experience as a freelance writer.
I’ve pulled some data to paint a picture of how COVID’s ripple effects have played out within the freelance market.
The rise of the freelance economy
Before COVID, freelancing was already growing as an industry and career path. But now, freelancing is an even bigger piece of the US economy...and it continues to grow.
Data shows that 36% of the workforce now performs freelance work and that the freelance economy contributed $1.2 trillion to the U.S. economy in 2020 — up 22% from that of 2019.
What’s even more surprising: More than two million Americans started freelancing in the past 12 months. That’s a lot of new freelancers.
These new freelancers seem to enjoy this type of work, too: The same study showed 60% of post-COVID freelancers said no amount of money would convince them to go back to a traditional job.
Current job market for freelancers
Maybe you’re wondering: Why would someone hire a freelancer right now? Aren’t companies facing layoffs and budget cuts?
In many ways, the pandemic actually accelerated the need for freelancers.
Instead of hiring full-time employees (and worrying about the added costs like benefits, training, and equipment costs), some companies decided to address their needs with external freelance help.
Payoneer's global survey of freelancers shows:
32% say demand has decreased following COVID-19
40% described demand as stable or continuing to grow
Plus: The average freelance hourly rate in 2020 was higher than that of 2018.
How has COVID impacted freelance writing?
Now let’s zoom into my realm: Freelance writing.
Like any other type of freelance business, freelance writers saw their fair share of ups and downs in 2020. It’s no secret that news outlets took a big hit. Study Hall, an online media community that offers resources for freelancers, compiled an ongoing list of outlets that have stopped commissioning freelance work, with about 90 media outlets listed so far.
In April, the New York Times estimated that 36,000 workers at news outlets had been laid off or had their positions reduced since the beginning of the outbreak.
Layoffs aren’t the only hurdles COVID presented for freelance writers, either. Writers in Charge published a survey assessing the impact of the pandemic on the freelance writing industry.
Here’s what they discovered:
Late payments: Some clients are simply refusing to pay 48.8% of freelance writers due to the pandemic.
Loss of business: 71% of freelance writers have lost business due to COVID-19.
Project postponement: 58.7% of freelance writers have had projects postponed or cancelled due to COVID-19.
Unpredictable workloads
For some freelance writers, COVID sent workloads on a roller coaster ride. Many clients working with freelancers had to take a moment to regroup and reassess before signing on for more projects.
As budgets tightened, freelance writers like Amy Knightley completely lost their incoming business. “My pipeline froze,” she said. “Companies couldn't bring in a consultant to transform their marketing and business development while considering layoffs.”
For others, the impact was increased uncertainty.
“The biggest impact for me has been unpredictability,” said writer Ashley Cummings. “Usually I know what to expect from clients, but they've been all over the place during COVID.”
As time went on, however, business started to steady for some. All of Phil Paquette's freelance writing clients paused projects in March, but now things are looking up. “The few first months after the pandemic were rough, but I will have my best month ever (in seven years of freelancing) this month,” he said.
Writer Ana Gotter was in a similar boat: “Things picked up around November, and I’m almost back to pre-COVID income levels,” she said.
Moving through uncertainty
Despite these uncertain times, some found that the dramatic turn of events created a perfect opportunity to make the leap and try freelancing full-time.
That’s what marketing consultant Grace Clarke did.
Early on in her professional career, she began investing in her knowledge and expertise. She learned everything she could about different platforms, including TikTok—even though no one was hiring TikTok strategists yet.
“What some called a 'hobby' (and something I couldn’t bill clients for) later became an advantage.”
Investing her time and deepening her knowledge about new platforms helped Grace meet client needs later. And now, her business is booming because of it.
“I hate saying this: The pandemic helped my business take off,” Clarke said. “I was just more ready than some. Without realizing it, I’d been putting in a ton of work to get into a position that allowed me to deliver when my industry shifted.”
Adapting to change
Why are some freelance businesses thriving more than others?
The short answer: it depends.
Writer Paula Beaton lost 90% of her clients at the start of the pandemic since most of them were in the travel industry. However, she adapted quickly. “I've diversified a little and have clients across a range of industries now...and I’m busier than I was before COVID hit,” she said.
Some freelancers (self included) found their workload increasing because of clients’ ability to pivot quickly and take a digital-first approach.
Writer Kat Ambrose shared that most (if not all) of her software-as-a-service clients saw an uptick in usage with more people working from home, so they wanted to push content on how people could use their products to do their best work at home.
Freelance writer Kat Boogaard had a similar experience. “A lot of the companies I write for in the productivity and project management spaces were in higher demand than ever with remote work. My business has thrived despite COVID.”
Other companies took advantage of their downtime, hiring freelancers like brand storyteller Amanda Gareis to help with a rebrand or pivot. “2020 was my biggest and busiest year so far,” she said.
Overall: It’s pretty incredible to hear how many businesses were able to flourish during a worldwide pandemic.
My personal experience
I’ve also experienced a busy period despite COVID, which I’m grateful for.
Back in March, I considered applying for a PPP loan (I ultimately opted not to) and was feeling anxious about the future of my client work. I had no idea if companies would cut freelance support as they got conservative with budgets or if they’d lean into online content creation with events and in-person marketing off the table.
Thankfully it’s been the latter, and I’ve kept so busy this year that I’ve been getting help with overflow assignments and sending referrals to fellow writers a handful of times each week. I’m so thankful (and sort of shocked) that my annual revenue was up 70% over that of 2019.
Part of the reason: I haven’t been traveling, so I’ve had even more availability than usual to take on new projects.
In my experience, overall, it seems like many teams have leaned into content creation—trying to tap into the captive internet audience while so many of us are at home.
What’s next?
I keep thinking about this quote by E.L. Doctorow and how it relates to freelance writing:
“Writing is like driving at night in the fog. You can only see as far as your headlights, but you can make the whole trip that way.”
We don’t know what 2021 will bring for the world of freelance writing, but we’ll all just keep putting one foot in front of the other, pushing forward into the unknown. Even if it’s at a snail’s pace.
We have to keep going.