Something that always comes up with web designers/developers is pricing. Why is it that there are people out there that will do a website for a few hundred bucks, and others that charge thousands!?
I used to work for a company where prices were just random numbers thrown together! This is $300 and that’s $1000, but there was absolutely no justification in why things were priced that way.
Here are a few tips that I picked up along my career, that will show you how to price your services better.
Before actually coming up with a price there are a few factors that you’ll need to consider.
How much experience do you have?
If you don’t have any experience, I’m going to say that you shouldn’t high-ball your estimates. You’re still a rookie. Right now the jobs that you take on will be more for experience rather then making a profit.
Don’t get me wrong though, if someone wants to offer you a few thousand dollars for a project, you should absolutely take it! Before you do though, please:
- Make sure it’s in your realm of capabilities
- Make sure it’s worth the price being offered
A friend of mine was offered $2k for a real estate website project. He’s just starting out so I told him he should take it. There was no deadline and it’s $2,000!
Granted it will be a lot of work for a project, but I told him rather then thinking of the work it will take, think of it as your being offered $2k to learn how to build a real estate website!
Now, would I have taken the job if it was offered to me? Absolutely not! I have about 10 years of experience designing and developing websites. The amount of time it would take for me to design and develop a fully functioning real estate website is worth way more then $2k.
The difference is, I already know how to build a real estate website, where as my friend did not, so it would benefit him much more then it would me.
What value are you bringing to the table?
Nowadays it seems like everyone is a designer. Well what are you doing different? You need to justify the price that you’re charging.
If you’re just offering a design to someone, what makes your’s worth $1200 as oppose to $100?
**There are two types of “value” that you need to understand.
The two types are Actual Value and Perceived Value.
This is what your services are actually providing to your client! You create actual value by providing hard factual results.
Example: “You got more traffic, look here’s your stats.”, “You’re getting more conversions on your site, look these are your form entries”.
You are showing your client that you have given them something worth paying for. This is your actual value!
This is what you tell your clients they will receive when they use your services. This will get some people mad but it’s almost like the BullShit that a sales person tells you to get the sale.
Now it’s not always bullshit BUT some companies are all talk and no delivery.
To find out your perceived value, you need to take your services, analyze it, and break it down piece by piece to your customers.
- Modern Design
- 10 Pages
- 5 colors
- Modern Clean Design that makes it incredibly easy to use and nice to look at.
- 10 Unique Pages for your Portfolio, Services, Contact Page, and more.
- 5 incredible color schemes to appeal to different audiences.
- Highlight your services with an easy to read Slide Show
Same exact design, offering the same exact things. However, the wording in the second column adds perceived value to the user to let them know, it’s not just a design they’re getting, look at all the benefits behind it.
Now which of these will you pay more for?
Look at your competition?
I was going to leave this one out because I don’t think you should base your prices off of what your competition is doing. What you should do instead is use your competition to see what type of competitive prices are out there.
You’ll find all different types of pricing structures but you’ll also be able to see if you’re charging to little or too much for what you’re offering.
Don’t undersell yourself!
Clients haggle. Everyone is a designer and everyone wants you to do build them a website for free or cheap. Don’t be afraid to say NO! The time and experience that you gain building websites is worth something, even if you’re new in the field.
If you want to take on a project to learn some new things, that’s fine but do it at your own will. Don’t let a client say this is too much, or can you go lower. Value your work, value yourself, and value your time. Get paid!
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