Comments on: How do you formulate your pricing structure? Does it vary depending on the client or do you have a fixed policy? Also, how often do you resort to investing in additional work and/or design amendments that isn’t within the budget on a typical job? http://www.processedidentity.com/discussion/how-do-you-formulate-your-pricing-structure-does-it-vary-depending-on-the-client-or-do-you-have-a-fixed-policy-also-how-often-do-you-resort-to-investing-in-additional-work-andor-design-amendments/ Creative Process of Logo and Brand Identity Design Wed, 25 Jan 2012 00:58:08 +0000 hourly 1 By: Peyton http://www.processedidentity.com/discussion/how-do-you-formulate-your-pricing-structure-does-it-vary-depending-on-the-client-or-do-you-have-a-fixed-policy-also-how-often-do-you-resort-to-investing-in-additional-work-andor-design-amendments/comment-page-1/#comment-220 Peyton Wed, 16 Jun 2010 14:23:03 +0000 http://processedidentity.com/?p=784#comment-220 This can be very tricky. I have a set pricing structure that serves as a guideline to me when quoting on typical projects. Those prices are then combined with project-specific requirements and expected time frames for them. They can thus vary quite much, especially when it comes to research-related requirements, but are given to clients as fixed quotes that are result-based. So, additional deliverables add to the price, but unexpected time investment in making a design as good as possible doesn't, similar to what Michael said. On a related note, there is an interesting article by Andy Rutledge from a few years ago, on what we actually charge for: http://www.andyrutledge.com/design-process.php This can be very tricky.

I have a set pricing structure that serves as a guideline to me when quoting on typical projects. Those prices are then combined with project-specific requirements and expected time frames for them. They can thus vary quite much, especially when it comes to research-related requirements, but are given to clients as fixed quotes that are result-based. So, additional deliverables add to the price, but unexpected time investment in making a design as good as possible doesn’t, similar to what Michael said.

On a related note, there is an interesting article by Andy Rutledge from a few years ago, on what we actually charge for:

http://www.andyrutledge.com/design-process.php

]]> By: Steve Zelle http://www.processedidentity.com/discussion/how-do-you-formulate-your-pricing-structure-does-it-vary-depending-on-the-client-or-do-you-have-a-fixed-policy-also-how-often-do-you-resort-to-investing-in-additional-work-andor-design-amendments/comment-page-1/#comment-219 Steve Zelle Tue, 25 May 2010 16:32:59 +0000 http://processedidentity.com/?p=784#comment-219 Really terrific post Ron. There is a huge amount of information there for anyone examining pricing. A definite read: http://www.verasage.com/index.php/community/comments/ask_verassage_all_about_t_a/ Really terrific post Ron. There is a huge amount of information there for anyone examining pricing. A definite read:
http://www.verasage.com/index.php/community/comments/ask_verassage_all_about_t_a/

]]> By: Ron Baker http://www.processedidentity.com/discussion/how-do-you-formulate-your-pricing-structure-does-it-vary-depending-on-the-client-or-do-you-have-a-fixed-policy-also-how-often-do-you-resort-to-investing-in-additional-work-andor-design-amendments/comment-page-1/#comment-218 Ron Baker Tue, 25 May 2010 14:14:30 +0000 http://processedidentity.com/?p=784#comment-218 This is a hard topic to write about in a comment section. If you are interested in Value Pricing you have to price the customer, not the service. Since value is subjective, each customer is going to value your output differently. Start with the Scope of Value, and only then move to the Scope of Work (deliverables). Since customers are trying to maximize your value and minimize your price, engage in a conversation around what they want to maximize. Good pricers also offer options to their customers, not just one, take-it-or-leave-it price. For more information on transitioning to Value Pricing, see this summary blog post at www.verasage.com: http://www.verasage.com/index.php/community/comments/ask_verassage_all_about_t_a/ Regards, Ron Baker, Founder VeraSage Institute www.verasage.com Twitter @ronaldbaker This is a hard topic to write about in a comment section. If you are interested in Value Pricing you have to price the customer, not the service. Since value is subjective, each customer is going to value your output differently.

Start with the Scope of Value, and only then move to the Scope of Work (deliverables). Since customers are trying to maximize your value and minimize your price, engage in a conversation around what they want to maximize.

Good pricers also offer options to their customers, not just one, take-it-or-leave-it price.

For more information on transitioning to Value Pricing, see this summary blog post at http://www.verasage.com:

http://www.verasage.com/index.php/community/comments/ask_verassage_all_about_t_a/

Regards,
Ron Baker, Founder
VeraSage Institute
http://www.verasage.com
Twitter @ronaldbaker

]]> By: eric|von|leckband http://www.processedidentity.com/discussion/how-do-you-formulate-your-pricing-structure-does-it-vary-depending-on-the-client-or-do-you-have-a-fixed-policy-also-how-often-do-you-resort-to-investing-in-additional-work-andor-design-amendments/comment-page-1/#comment-217 eric|von|leckband Tue, 25 May 2010 00:11:54 +0000 http://processedidentity.com/?p=784#comment-217 I have struggled with this on many occasions. How do you determine the value from the client? Clients usual want to spend as little as possible. Any insight would help. Great topic! I have struggled with this on many occasions. How do you determine the value from the client? Clients usual want to spend as little as possible. Any insight would help.

Great topic!

]]> By: Kosta http://www.processedidentity.com/discussion/how-do-you-formulate-your-pricing-structure-does-it-vary-depending-on-the-client-or-do-you-have-a-fixed-policy-also-how-often-do-you-resort-to-investing-in-additional-work-andor-design-amendments/comment-page-1/#comment-216 Kosta Mon, 17 May 2010 15:48:15 +0000 http://processedidentity.com/?p=784#comment-216 This can be very tricky. I have a set pricing structure that serves as a guideline to me when quoting on typical projects. Those prices are then combined with project-specific requirements and expected time frames for them. They can thus vary quite much, especially when it comes to research-related requirements, but are given to clients as fixed quotes that are result-based. So, additional deliverables add to the price, but unexpected time investment in making a design as good as possible doesn't, similar to what Michael said. On a related note, there is an interesting article by Andy Rutledge from a few years ago, on what we actually charge for: http://www.andyrutledge.com/design-process.php This can be very tricky.

I have a set pricing structure that serves as a guideline to me when quoting on typical projects. Those prices are then combined with project-specific requirements and expected time frames for them. They can thus vary quite much, especially when it comes to research-related requirements, but are given to clients as fixed quotes that are result-based. So, additional deliverables add to the price, but unexpected time investment in making a design as good as possible doesn’t, similar to what Michael said.

On a related note, there is an interesting article by Andy Rutledge from a few years ago, on what we actually charge for:

http://www.andyrutledge.com/design-process.php

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