The Reality of Pricing for Design Services
Pricing in the design industry has always been a toss up as there is no right or wrong way about.
Every freelance designer has had this problem. How much is too much? How much can an average person afford?
There’s really no exact formula.
There’s so many variables in projects, different budgets, and time commitments, that it’s hard to just drop a number.
Everyone has their own living conditions and experience level
A senior level designer with a family of four in San Fransisco is going to cost more than a junior level designer in Wyoming.
There’s a lot of X factors that go into this so there’s no price that can fit all.
Hourly pricing or project pricing?
They both have their pros and cons.
Hourly is based on time and whether you don’t know how long something will take.
This can be good if you don’t know what you’re getting yourself into.
This can be bad because it doesn’t reward you for ending soon.
Project is based on value and when you know the exact details that is to be expected.
This can be good because it rewards you for finishing sooner
This can be bad if the project goes out of scope and have to invest more time for the same price.
People are going to think we’re too high no matter what.
There is a sad reality that there are people who will always just look at the price tag without considering the value.
This can be frustrating that a lot of people don’t really know what we do. That’s why we build relationships and sell on value first and foremost.
Silver lining is that these are the people you shouldn’t be working with anyway.
Pricing is a necessary evil
and mistakes are a part of the process. Experience is truly the teacher.
Pricing also affects how people view your value and the impact it does for their business.
If they got something cheap, then it will be easy to remove. But if it cost a lot, then they will be more willing to hang on and appreciate your work.
It’s much easier to lower prices, than raise, so that’s why confidence is key.