I had an identical problem which turned out to be an issue with my university's network which wasn't permitting proper two-way communication between my computer and Vimeo's servers. The log files in the Share Monitor might prove useful if you're in a similar situation and have IT folks who can decipher those files. Their solution was to adjust some of my network settings. (I can't be more specific than that.)
Not sure if this helps, but when I upload to youtube, it does the same thing. I found out that the file encoding part hangs at 95% and then it starts uploading, depending on your file size length and internet speed, it could hang for a while at 95% but will eventually finish. That 5% is the upload portion. Could be wrong.. but thats what I see.
I am having preciely the same problem.
I have been trying to set up a video production buiness for 4 years. Bought a mac pro, FCP (twice now), flash converters (open timeline, hmmm misleading advertising if ever misleading advertising was)
then.... new video card for mac pro... more memory...
then.... vimeo pro...
I can shoot and edit the videos now but uploading them seems to be an insurmountable hurdle
After 4 years of buying all the new software Apple offers (Around two thousand pounts so far), and the very expensive equipment and the fastest internet connection one can buy, and upgrading it all, and taking out a vimeo pro account - I mean - what more can one do? Give in I suppose.
It's disgusting to charge for these services and get away with not providing them. Shame on you, Apple, Virgin and Vimeo, whoever is doing this 95% erro - it feels deliberate.