When establishing your video production business for the first time, you may need to complete some freelance work to make up for the occasions when you don't have any major projects to do. As a freelance videographer, simply how much should you charge for the services?
I've always believed that you need to never leave money on the table when negotiating a cope with a customer. Put simply, if a customer expects to pay $1,000 for you to shoot for each day, you shouldn't offer to complete it for $700. On another hand, if a customer only wants to pay $700 for the services, you shouldn't transform it down simply because you ordinarily like to create $1,000 for a day's worth of work.
Regarding my pricing strategy, I make an effort to charge somewhere near to industry standard rates so that I make as much money as you are able to while remaining competitive when comparing to other videographers in my own market.
For a one-person camera crew, my day rate is $1,200. Including my camcorder, tripod, wireless microphone, light kit and as much as 10 hours of time focusing on the shoot.
My half day rate for a one-person crew is $800 and includes the same equipment package and as much as 5 hours in the field.
For some customers, this rate is acceptable. For others, it's more than they have within their budget for the project. Each time a customer indicates that my rates are more than they would like to pay, I just inquire further what they have within their budget for these services. Then, if what they are comfortable paying is within array of what I'm willing to just accept, I'll book the gig.
I typically won't accept anything significantly less than $700 for the full day of shooting and $500 for a half day but I rarely need certainly to go that low. Most customers who've experience hiring freelance videographer in Alabama are familiar with industry standard rates and fully expect to pay them. Then, when they call you again later on, they'll pay the same rates again and again.
The most effective strategy is to set your rates in accordance with industry standards so you've something to go by when people ask that which you charge. Then, be willing to negotiate from there to help you book the gig.
In my own mind, a guaranteed $700 for a day's worth of work is much better than getting nothing when you refused to just accept significantly less than what's on your rate sheet.
A bird in the hand is preferable to two in the bush. $700 in your checking account is preferable to $700 in your competitor's account. Plus, when that customer needs to hire a videographer for another shoot, who you think will get the decision? One other guy will... every time. Think hard concerning the lifetime value of a brand new customer before you turn down a freelance gig because they didn't want to pay you full rate.
One more thing to bear in mind is that when your rates are too low, a customer might perceive you as not qualified compared to other videographers in your area. If their rates average $800 to $1200 for the full day of shooting and your rate is $500, odds are good they'll hire one in place of you.
Having rates which can be too low could make you appear like a beginner regardless how long you've been working as a professional videographer.
There is likewise opportunities when you're asked to work using someone else's equipment instead of your own. For these cases, you'll need rates for just your time that doesn't include the utilization of your gear.
I prefer not to work without my very own equipment because I like to really make the more money but freelance beggars can't often be choosers. Again, guaranteed money is preferable to no money.
My full day rate without equipment is $500 and my half-day rate is $350. These are pretty standard in the market for experienced videographers so that your rates may vary. If you're capable what your location is still trying to produce a term for yourself, you may want to charge closer to $300 for the full day and $150 for a half day.
Exactly the same rules apply here while they did above when it came to negotiating rates. When asked if what your rate is for shooting with someone else's equipment, inform them but be available to charging less if their budget requires it.
Bear in mind that guaranteed money is preferable to no money. When someone is willing to book you today for $300 but you've a deal that's a 50% chance of going through that will pay you $500 to shoot on the same day, take the guaranteed money. You are able to always make an effort to convince another customer to shoot on a different day by providing them a discount.
Or, if they can't shoot on a different day, you can book the gig anyway at the higher amount and call one of your trusted videographer friends to cover the shoot for you. The client pays you $500. You pay another videographer $300.
The net result is that you made $300 on your shoot and $200 from another shoot all in the same day. Then, when you receive money for another shoot, you slice the videographer a check and off you go. Plus, you've two satisfied customers who will call you for future work.
If your goal is to create more than six-figures along with your freelance videography business, you'll need certainly to book multiple gigs at the same time frame on a typical basis. It's possible to do this if done correctly. The more trusted partners you've in your network, the more income you may make on confirmed day, week or month.
One final considered setting your freelance videography rates. Although you can find industry standard rates for these services, it's your responsibility to handle your finances which means your rates will cover business expenses and your personal salary each month.
When you're first starting out, it's vitally important that you run your household and business as lean as possible. Remove all unnecessary expenses and restructure your debt if possible to help you reduce monthly payments.
In this business, you will see great months accompanied by terrible months regarding sales. Keepin constantly your monthly expenses as little as possible will place you in the most effective position to attain success. It is possible to support your family and to even provide a luxurious lifestyle along with your freelance income but many families discover that having another income from the spouse's job makes things a lot easier.
When you have two incomes in your household, you have the choice to charge significantly less than your competitors for the services. Just bear in mind that you'll run the danger of customers not taking you as serious as your competitors because your rates aren't in line with theirs. Tread carefully.
It is advisable to quote industry standard rates but that be willing to negotiate down in terms of you're comfortable doing so in order to obtain the gig. Then, as it pertains time to invoice the customer, put the industry standard rate first accompanied by the total amount you chose to discount the rate in order to help the customer meet their budgetary requirements. This way, they'll understand the actual value of your service and you did them a benefit by discounting the rate to generally meet their needs. This will go a long way in building good will with that customer and will greatly boost the odds they will only want to utilize you ought to they have the requirement for almost any freelance work in the future.
Comments