How to Set the Prices for Your Photography Business
I see a number of photographers struggling with the creation of photography price lists. If you want to see your photography business thrive, your pricing needs to be a top priority. Pricing can either keep you in business or put you out of it really quickly.
Below are a few tips that you can implement as you develop your own price list:
- Don’t price yourself too low. Don’t be afraid to charge what you think your skills are worth. It’s always better to have slightly higher prices so that if you do end up negotiating with a client, it’s easier to come down in price and offer a discount. Always leave some wiggle room. By being able to offer a discount, you make people feel as if they’re getting a good deal. I’ve found that this is especially true with brides. If you make them feel like they’ve managed to secure a good deal, they’re more likely to book with you.
- Don’t overcomplicate things. As you develop your offerings, keep things as simple as possible. Too many options can confuse your clients. For example, only showcase your three most popular print sizes and let them know that there are other sizes available if they want to see more options. The same goes with weddings, just list your top three packages. People will most always choose the middle package so keep this in mind when you create your business plan. You can always give your clients the option to add on extras and upsell them.
- Analyze your pricing vs the work involved. Take the time to understand exactly what you’re being paid for. For example, if you’re shooting an 8 hour wedding for $2,000, you might think that you’re making $250 per hour but have you factored in the time it took you to make the sale, the money you spent on advertising, your travel costs and the time it takes you to edit and deliver the final product?
- Your prices need to grow with your business. Your prices should change as your business grows. The more clients you take on, the more experience you gain. As your business grows, your time will also become more valuable to those who really want to work with you so make sure you adjust your prices accordingly.
- Keep your costs of running a business in mind. This is that I think a lot of photographers don’t consider. You need to take into consideration the cost of your equipment, insurance, vehicle and costs of goods sold. There’s also the money you spend on entertaining clients, buying appropriate clothing for your meetings, shoots, marketing and advertising, and costs of any classes you take to further your education.