ARTICLE SUMMARY: Unless you have a rich uncle with money willing to take a chance on you, it’s tough starting your own business. In the beginning it’s a hand in mouth lifestyle that’s very stressful and scary at the same time. It’s not for everyone.
One of the big problems starting out is how do you price your work. You have been pricing your work at a fair rate and you’re barely making a living, All of a sudden you have a chance to land that big account that will change everything, what do you do? You give the lowest price possible in an effort to land your first big client. If that doesn’t land them, cut the price more, but, does that work.
In her article “The Best Pricing Strategy You’re Not Using Yet,” Jan Cavelle shares from her personal experience, a pricing strategy that will help you land potential clients at a fair price. She talks about:
- Why brains say yes to bad deals
- The decoy strategy: your silent salesperson
- How to reframe– without any sleaze
Nothing is more frustrating than delivering a strong presentation, getting enthusiastic reactions, offering a price so low it should be a no-brainer, then hearing nothing. You put everything you had into that presentation, even lowered your price further when they didn’t respond. And the worst part? You later find out they went with some other designer.
It is a major disappointment, the kind that makes you question everything. You ask yourself: What went wrong? What did I do wrong? What could I have done differently? All valid questions. But, Jan Cavelle suggests the answer might be something else entirely. The problem could be not in how much you priced your work for, but how you framed your price in the beginning.
If you are a designer struggling with pricing, this article is for you, let us know what you think in the comments.
