Pricing is one of the most fundamental topics that can hinder a designer or developer in their work. It’s the most critical and challenging stage of negotiating with a client. The sensitive point here is that you want to make this price suitable for both you and your effort, as well as for your client. The price shouldn’t be too high, leading the client to have doubts about you, nor too low, making them question the quality of your work. Simply put, all you need to do is read the project correctly, then estimate the time and effort it will take you, and then present smart options to the client.
How to Read the Project Correctly?
The idea of reading the project is to understand its true size, not the “imaginary size” that you might initially estimate, or the “simplified size” that the client might convey to you. Try sending the client questions about the project, guiding them step by step towards the correct path. Let’s assume the project is about “designing a company’s identity.” In this case, the questions you might ask your client could be as follows:
• The company’s name, with a link to its website if available.
• A brief description of the company’s work in simple words.
• The company’s future vision.
• What bothers you about the old logo? Or why do you think it needs to be changed?
• Do you prefer a specific style for the logo (formal – traditional – modern – contemporary – simple – complex)?
• The uses of the logo (is it limited to web and print use?).
• Can you send me some logo examples that you like from global or local companies?
• Any ideas or elements you want me to adhere to (colors – shapes – or anything else)?
You can add anything that helps you read the work, understand its scope, and grasp your client’s expectations. Additionally, the client’s answers to these questions indicate their seriousness about the work and reflect their nature and interest in what you’ll be doing. Some clients contact you just for fun or to waste time. The questions show the interested client that you are also interested, and then you’ll get honest and real answers that help both of you move forward.
Should I Price Based on Hours Worked?
Whether you price based on hours worked or the project itself is up to you. But never calculate your hourly rate using unrealistic methods. For example, a formula like (your monthly expenses multiplied by the amounts you’ve spent on your work, minus the number of projects you’ve completed, then divide the result by the number of hours you work per day) to come up with your hourly rate is nonsense. Trust me, it doesn’t make sense. The amount you deserve for your effort in the work is a number that depends on your skill in what you do and your experience. The price you set is a number that suits you and makes you comfortable with what you’re doing, and makes your client satisfied with what you offer for that price.
Does That Mean Pricing Is Random?
No, I didn’t mean that. Pricing depends on experience and skill. After a certain number of jobs, it will become intuitive for you, and you’ll be able to estimate how much time the work will take and how much effort it will require. In your first job, you might discover that you charged too little or that the work took too long and the payment wasn’t worth the effort. In the second job, you’ll ask for another price that you find reasonable, and you’ll keep that in mind. Then, you’ll ask for the same price for similar jobs. You might sacrifice the financial aspect in exchange for the experience or fame you’ll gain from the work. This scenario is the most realistic and appropriate in the pricing field.
What Are Smart Pricing Options?
Smart pricing options involve offering several prices to the client, allowing them to choose the best fit. For example, offer them two or three options:
• A lower price with fewer options.
• A medium price with good options.
• A slightly higher price with smart and suitable options.
This method makes the client feel that they’re choosing the best option. They might prefer to pay a little extra to get a service or feature that suits them, or they might prefer to get only what they need without any extras.
And Are We Done Now?
Pricing isn’t something you do once and finish. There are always new projects, additional requests, different matters, and different people who may offer different prices. Some things may change for you, and you may discover other factors. Pricing depends on you, along with some general and side notes that may help you in this matter, and finally, your experience. Now I can say… we’re done 🙂
On the Side
Everything mentioned above follows my opinion and way of working, and it’s not necessarily correct or suitable for everyone.