Oh man friends… GET READY! I am about to step up onto my soap box and start preaching! This is one of the BIGGEST issues I see in the photography industry and I’m ready to air it all out today!
FACT OR MYTH: You have to charge low prices when you start your business or you won’t get any clients.
What do YOU think?
Let’s be honest… we’ve all been there. We decided to start a business (whatever the heck we thought that was at the time) and knew we had to charge for our services, but for most of us… we had NO CLUE what that was. And because we were just starting out, we probably picked some LOW numbers. I would even be willing to bet that we looked at our local competition and decided to charge lower than what they were charging because gosh dangit, we were brand new and not worth what someone else was who had been doing this for a while was charging. And that, my friends, began the cycle.
What cycle you ask? The cycle that made us think that the main factor of what we price ourselves should be based on our competition. This couldn’t be FURTHER from the truth! Thinking this way will only leave you wondering why you can’t make ends meet month after month.
And don’t even get me started on what happens when when we use price as a marketing tool (because let’s face it… that’s what we’re doing when we keep our prices low in hopes of attracting more clients):
- You attract the WRONG clients. When you price yourself in the lower tier of your surrounding competitors, you get the kind of clientele that automatically look for the cheapest photographer, no matter if your services fit their needs. This is how you end up getting clients who want the most they can get for the cheapest. It never ends well.
- You can’t make the needed contributions to your family. If you need to make $2,500 a month to pay your bills and expenses but cut your prices to get clients in the door, you’re either not going to cut it, or you’re going to have to take on extra sessions to meet that need. It’s not only going to burn you out, but your family will be over it sooner than later too.
- You end up re-pricing yourself over and over again. Because you’re basing your price off your competitors and not what you actually need to make for your family, you’re going to have to re-evaluate over and over again to make ends meet. This is not worth it by any means and is just going to make you frustrated.
What SHOULD your pricing be based on?
1. your cost of goods
2. your cost of running a business
3. your time spent per client
4. the experience you offer
5. your current financial needs
And guess what?!? I can help you figure out exactly how all of that plugs into what you SHOULD be charging your clients! Download my FREE Guide: How to Price for Serious Profit and get all the formulas you need to start pricing yourself the right way!