If you’ve been working in design for more than 5 minutes, I know you’ve heard the objections, the gasps, and sometimes had the pleasure of witnessing the sheer looks of horror across a potential client’s face when the topic of pricing comes up. Naturally, your first reaction would be to get offended, who wouldn’t? Often, people have these preconceived notions about this industry that devalues the services they provide. How dare they.
Before you go getting puffy-chested and reject their crinkled faces — try for a minute to uncover why they may feel this way. Negotiation is a tactic in all good business and sometimes this crinkled, sour-puss of a face is just a client’s way of getting to that point.
Price = Value
Your client sees two things:
- It’s a great price when the value is higher than the fee.
- It’s too expensive when the fee outweighs the potential value.
How could you possibly win, right?
It took me quite some time to realize that what I do actually is valuable and by charging less every time a client scoffed at my pricing I was devaluing myself and my work. Getting the price/value balance correct is an art form in itself. If you’re charging premium pricing for your services then you best be offering a better than average product. While it’s everyone’s goal to make as much money as they can, you also have to be morally aware that charging what is appropriate for the value of the service you provide remains relevant in all situations. You’re not the only designer out there so there’s nothing stopping your client from hitting up a Google search and finding 20 others that provide an equally great service at a cheaper cost.
PRO TIP: If you’ve never had clients tell you that you’re too expensive, you’re probably not charging enough. If you’ve also heard, “Wow, that’s all?!” or, “O.M.G., that’s all you charge?!” That should also be your sign.
Hear me now and hear me well — NEVER lower your pricing because someone tells you that you’re too expensive. If you offer a discounted rate they will automatically think they can negotiate to an even lower price simply by pushing you harder. Then cycle never ends. Take the time to hear this client out about why their budget is where it is. If there is something you can provide for them within their budget, great! But if you can’t, it’s time to move on.
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How to Respond
#1. Expensive compared to…?
I know someone has been pricing out designers if they tell me I’m too expensive. If another designer is going to charge $500 for a design then that is their price and how they value their work. It’s up to you to explain why you don’t charge that price and if the client doesn’t choose to work with you then it simply wasn’t meant to be.
#2. Ignore it.
You don’t have to come to the defense of your own prices if you don’t want to. If you have a lot of work coming in then I advise you not to waste your time.
#3. Ask what a Comfortable Budget is
I choose not to give an hourly rate because it tends to scare people right off the bat. When designing websites or other graphics such as brochures or advertisements, I give out package prices and list everything that is included in that price. When speaking with a new client who approaches me about a website design project, the first question I ask is, “what is your budget for this project.” If they say between $3000 and $5,000 I again, list out everything that they can get for that price.
#4. Do you need my services right now?
You know when you go clothes shopping and you pick up that gorgeous dress but then you see the price tag… you stand there with the dress far too long considering and eventually put it back because you know you don’t need it even though you SUPER want it. Sometimes clients come to you and pick you up like that dress. They want you to be their new, pretty thing that does the work for them but they aren’t willing to pay for it right now. With these clients simply mentioning your pricing is an easy out and will send them packing. Suggest to them that get in touch with you in the future when they are ready to take on their project together.
PRO TIP: Clients who insist on being cheap will forever be cheap.
Stay away for your own good. There will always be people who do not see the value or necessity in design or marketing and for this reason, will never (EVER) understand your pricing. You will spend countless hours, days, months… pulling your hair out and stressing the life out of yourself if you somehow end up working with one of these people. For the love of all that is holy, just don’t do it.
How do you identify one of these soul-sucking individuals? They will be pushy about your pricing right from the start.
Until next time!
