Graphic Design Podcast :: The Deeply Graphic DesignCast

Charging for Your Value

Charging for Your Value

In the world of graphic design, most people charge one of two ways: based on time or per project. But let’s face it, both are usually based on some type of time-based calculation. The problem with this method is that nobody really benefits from it.

Your client is ends up paying for the time you spend, not a tangible result. And you are essentially just trading time for money. Why not charge your clients based on the value you bring to them instead?

In this episode, the gang talks all about the ins and outs of this method of pricing, as well as our own experiences with it. If you aren’t using this pricing model yet, you should really consider it. It will only benefit you and your clients, as you now have a vested stake in their success.

We also answer a listener question about a possibly tacky method of advertising.

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(7) responses

Sean Jamshidi

May 13, 2017

How can you predict client future sales to up sale your work. To say that I will increase your sales by xx amount is just talk. That does not work, unless you have the marketing and sales staff to come up with research and sales figures together with the client disclosing their budget, past sales, financial information which they will not because of privacy issues and competition.

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Wes McDowell

May 14, 2017

Sorry but I couldn’t disagree more, it works all the time. Part of the process is making sure your client knows it is in their best interest to talk openly and candidly. If they are unwilling to do so, I look at that as a huge red flag. If your client looks at you as “competition,” you aren’t positioning yourself in the right way.

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JN

May 15, 2017

Two things:
1. How do you find sponsors for you podcast and how does that arrangement work?
2. Can you do an episode on affiliate marketing?

Thanks and keep up the great work. This is my FAVORITE podcast. Packed with valuable, actionable advice, great rapport and humor. I’m addicted!

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Carol Mackay

May 15, 2017

Hi guys.

Just listened to the show – thanks for the presentation.

Wes, I think you nailed the topic by saying charging based on an hourly rate is transactional.

A transactional design firm can’t grow because you literally can only bill as many hours in the day.

I gotta say, value-based billing isn’t a hard-sell – in my experience it makes perfect sense to a client because it’s the way most run their businesses – it’s walking the talk – billing from a client perspective.

Here’s four articles (from downunder) that will help any designer explain value-based billing to a client:
http://designbusinesscouncil.com/2016/08/29/the-design-value-mirror/
http://designbusinesscouncil.com/2017/05/10/you-cant-measure-design/
http://designbusinesscouncil.com/2017/04/04/shifting-design-from-tactical-to-strategic/
http://designbusinesscouncil.com/2017/02/15/dealing-with-price-sensitive-clients/

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Ricky Garcia

May 16, 2017

Awesome that you are able to partner with Skillshare. I love them! Jake Bartlett helped me learn a ton in After Effects. I did a whole YouTube review on their platform. Worth every penny.

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    Wes McDowell

    May 18, 2017

    Thanks Ricky, I agree! I’ve been using it quite a bit lately… it’s a great way to stay current on skills to make us more marketable/efficient.

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Brad

May 30, 2017

Chris Do talks a lot about this and it really is a shift that you are seeing more and more in the industry. You really see it when you are discussing logo design. You see a lot of people using the term “Branding” instead of designer when they are reaching that level. As someone who is more in the motion graphics industry, I’m curious to see how this will effect that side.

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