Please critique my prices

thenimirrathenimirra Registered Users Posts: 697 Major grins
edited January 10, 2008 in Mind Your Own Business
There has been much discussion about prices on the board and I've read all of them. I've adjusted my pricing quite a bit, but I keep getting statements that my prices are too low. Can you please take the time to critique my pricing page and tell me what you think.

I previous discussion mentioned charging $200 per CD for originals and I was shocked since I only charge $25. To be honest, I have no idea how much I should be charging and to charge more than I'm asking seems like robbery to me. What are fair prices and how do you decide? Should it be case by case? I've had some clients who could easily pay more than I was asking for (and they have me a larger check with a strange look on their face after I quoted them a price) but on the other hand I've had people tell me I was too expensive. I'm still very confused. Any help would be appreciated. Thanks

http://www.picture-yourworld.com/gallery/3474249

Comments

  • rwellsrwells Registered Users Posts: 6,084 Major grins
    edited December 31, 2007
    Only thing I see odd, is your 4x6 gloss is $9.00, but your 5x7 gloss is $6.00.
    (maybe you have them reversed. Switched back would put them in the ballpark for these sizes that I often see)

    Both your 4x6 matte and your 5x7 matte are the same price, $10.00.

    Seems a bit inconsistant.
    Randy
  • thenimirrathenimirra Registered Users Posts: 697 Major grins
    edited December 31, 2007
    rwells wrote:
    Only thing I see odd, is your 4x6 gloss is $9.00, but your 5x7 gloss is $6.00.
    (maybe you have them reversed. Switched back would put them in the ballpark for these sizes that I often see)

    Both your 4x6 matte and your 5x7 matte are the same price, $10.00.

    Seems a bit inconsistant.

    Hi Randy, thanks for taking the time to respond. I didn't even realize what you mentioned regarding my print packages. Thanks...I'll take a look and clean those up for consistancy.

    I was really hoping to get some help with my pricing packages for my sessions for portraits, events, etc. I'm still doing some research to see what local photographers are charging....Prices seem to be all over the board! And I didn't realize just how many of us are out there trying to do this for pay.....
  • SamSam Registered Users Posts: 7,419 Major grins
    edited December 31, 2007
    thenimirra,

    I have a couple of thoughts for you: First, why do you charge different prices for the different photo papers? The cost of mat, luster, or gloss is all the same.

    I would refrain from stating in writing how many proofs the client will receive as well. I haven't done a lot of portraits, but 75 proofs in one hour seem pretty high.

    You offer a CD for $25.00????? If I have a 75 proofs and ask for a CD, what do I get? Do I get 75 processed images? If not, what good are they? You seem to offer a small number of 4X6 with each service. I think on the portrait package you provide 12 4X6. That means you will need to process at least 12.

    There will always be people who think your prices are too high or too low. Personally I would seek out those with the former opinion. :D

    What ever you do, I recommend you be consistent with your prices, and be able to explain why one service might cost more than an other.

    As an example, I'm not sure I understand why it would cost me more to have a head shot done at my place of work, as apposed to say the local park. I can understand how it would cost more for commercial usage rights versus personal use.

    These are just some thoughts for you.

    Sam
  • ElaineElaine Registered Users Posts: 3,532 Major grins
    edited January 1, 2008
    Well, it seems there are a few of us in the position of figuring out prices and business practices! I agree that $25 for a CD of approx. 75 original images is very low! I also agree that the idea of charging $200 sounds very high! But if you were to put 50 edited originals on a CD and charge $200, that would just be $4 per pic. That certainly isn't unreasonably high, especially considering you will never see any print profit from them!

    Do you find it easy and routine to produce 50-75 proof-able images in a 1-hour session? Bravo to you! I wish my keeper rate were higher. I believe it was rwells that passed along the idea of becoming a better photog by being a ruthless editor and only presenting the real keepers, so I'm also working at that practice, too.

    Sam...lustre prints through SmugMug do cost a bit more than matte or glossy. I only offer lustre...keeps it simpler for the customer and me, provides a nicer (I think) product and justifies charging a bit more (not that I'm one to talk on that account!).
    Elaine

    Comments and constructive critique always welcome!

    Elaine Heasley Photography
  • SamSam Registered Users Posts: 7,419 Major grins
    edited January 1, 2008
    Sam...lustre prints through SmugMug do cost a bit more than matte or glossy. I only offer lustre...keeps it simpler for the customer and me, provides a nicer (I think) product and justifies charging a bit more (not that I'm one to talk on that account!).__________________
    Elaine

    I don't have a Smugmug account, but when I went on the official site under prices there is a list with a variety of sizes, and prices.

    Right under this list, is says in mat, luster, and gloss. I couldn't see any price differences?

    But if, as I suspect the difference is very minor why not set a more reasonable per print price, and charge the same for all prints? I think it would make it simpler for the customer.

    Now if you were using a fine art paper that costs 2 to 3 times what the regular papers costs, I could see the difference.

    But then again, them's just my thoughts.

    The beauty is, we all get to do it what every way we want.:D

    Sam
  • ~Jan~~Jan~ Registered Users Posts: 966 Major grins
    edited January 1, 2008
    You just have to figure out your target market. You can either do high volume/low sales (which is where you are priced now) or high sales/low volume (MUCH easier on you--same amt. of $$ for much less work).
  • denisegoldbergdenisegoldberg Administrators Posts: 14,372 moderator
    edited January 2, 2008
    Sam wrote:
    I don't have a Smugmug account, but when I went on the official site under prices there is a list with a variety of sizes, and prices.

    Right under this list, is says in mat, luster, and gloss. I couldn't see any price differences?
    Funny that it doesn't show there. I just took a quick look (by clicking buy photo & looking at the base prices...), and lustre prints are still priced more than the other two. Example differences of the smug base prices:
    • 5x7, lustre = $1.25, gloss & matte = $0.99
    • 8x10, lustre = $3.49, gloss & matte = $2.99
    • 16x24, lustre = $23.99, gloss & matte = $19.99
    --- Denise
  • LUCKYSHOTLUCKYSHOT Registered Users Posts: 120 Major grins
    edited January 2, 2008
    ~Jan~ wrote:
    You just have to figure out your target market. You can either do high volume/low sales (which is where you are priced now) or high sales/low volume (MUCH easier on you--same amt. of $$ for much less work).
    Jan
    I have to agree with you, Its not highway robbery if you charge what the market can bear. I priced out my 3 biggest competitors on Long Island and I priced a little lower. Even that seems high to me though. I like the idea of a lower volume with higher prices. Less taxing on the body
    I am still new here and I only just figured out that I dont have to sell everything Smugmug offers, so dont worry there's probably a lot of us in this same boat

    PS hey Sam, I loved the worm shot!!!

    www.longislandimage.smugmug.com
    www.longislandimage.com

    Chris
    No Good Deed Goes Unpunished
    :whip


    WWW.LONGISLANDIMAGE.COM
  • rwellsrwells Registered Users Posts: 6,084 Major grins
    edited January 2, 2008
    thenimirra wrote:
    Hi Randy, thanks for taking the time to respond. I didn't even realize what you mentioned regarding my print packages. Thanks...I'll take a look and clean those up for consistancy.

    I was really hoping to get some help with my pricing packages for my sessions for portraits, events, etc. I'm still doing some research to see what local photographers are charging....Prices seem to be all over the board! And I didn't realize just how many of us are out there trying to do this for pay.....


    As to your getting help with pricing packages, your next sentence is the best way IMHO.
    "I'm still doing some research to see what local photographers are charging...."

    If you want to play it safe, sandwich yourself in the middle of the local pricing pack.

    But, realize that it's very hard to go UP in price and if/when you do, make sure you go up enough so that you don't have to leapfrog on your pricing. That looks unprofessional and inconsistent.

    It's always easier to go down on pricing, and if done creatively, doesn't look bad.

    IE: "Spring Sale - 10% Off", "Enjoy Summer Savings 10% OFF", etc... You can simply not have a "Sale" when you want to maintain the higher price structure. Also, your customers have been looking at the "higher" pricing all along. They won't have sticker shock.

    REMEMBER: "Profit" is NOT a bad word!
    Randy
  • jcdilljcdill Registered Users Posts: 225 Major grins
    edited January 9, 2008
    Be yourself - first and foremost
    thenimirra wrote:
    What are fair prices and how do you decide? Should it be case by case? I've had some clients who could easily pay more than I was asking for (and they have me a larger check with a strange look on their face after I quoted them a price) but on the other hand I've had people tell me I was too expensive.

    http://www.picture-yourworld.com/gallery/3474249

    There are two things you have to "price" - your labor costs to take the photos, and your labor cost to prepare the prints. Then you also have to know what it costs you to be in business - the cost of your equipment (which needs to be maintained and replaced over time, and not just your cameras - don't forget your computer, software, etc.), the costs of having a business (e.g. phone, office supplies).

    Your print prices need to have a logical progression. Personally, I absorb the "extra cost" for a better surface. I price my matte/glossy/lustre prints at the same price. I also charge the same price for an 8x10 and 8x12 because I want to make it easy for my customers to order the 8x12 (same image size as a 4x6). Ideally I'd only offer 4x6 multiples: 4x6, 6x9, 8x12, 12x18, etc.

    It takes roughly the same amount of time to prepare a photo for a 4x6 as to prepare one for an 8x10 or 11x14 or 12x18. You can make a much higher profit on these larger sizes because your print costs don't go up nearly as much, but you can charge more - e.g. if you make $3 on a 4x6 print ($3 for your labor/profit) you can make $20 markup (over your print cost + overhead cost) on a 11x14 even though your labor is the same. Set your pricing so that people think "Oh, for not that much more, I can get bigger prints" but don't give money away by selling those prints for a lot less than other photographers.

    I have found that most people buy the smallest size offered. Why offer a 4x6 if they will buy a 5x7 for $3 more (if you don't offer a 4x6) and you can make a higher profit on the 5x7 after paying your expenses? Why offer a 5x7 if you can make a higher profit on an 8x10/8x12 for $5 more? Maybe you have to offer the smaller sizes because the customers won't buy the larger size if that's all you offer. Consider your market, consider your options.

    Set your prices based on what YOU are worth. You don't want to match the lowest priced photographers unless you want to be thought of as a "low priced" photographer - the Kmart of local photographers. Don't set your prices equal to the highest priced photographers unless you feel your work can stand up right next to their work. It's better to underpromise (be a bit lower priced than the quailty of your work) and over-deliver, than visa versa. You want to leave your customers feeling they got a great value for their dollar, not that they paid too much and the work didn't come up to the price they paid.

    Finally, decide what customer base you want. Do you want the customers who can pay high prices, or the customers who complain your prices are too high, or the people who feel your prices are "just right". The customers who can pay high prices may offer you more money, but often they can be real difficult customers - nothing is good enough for them. The customers who complain that your prices are too high, often they try to nickle-and-dime you over everything. (Not always, but often.) If you really want those customers but want to set your base price higher, you can always close the deal with those cutomers by offering them a special discount - a "single parent discount" - a "mother's day special" etc. - get creative! I have found this works better than setting lower prices because the customers who can pay your prices will, the ones who are price sensitive will appreciate a discount and will brag about how they got their photos from a quality photographer. Later they will be more inclined to pay a higher rate (when you give them a smaller discount) than if you "raised your prices" which is a way to work them up to paying your full rate.

    Are you thoroughly confused yet? :-)

    Good luck!
    JC Dill - Equine Photographer, San Francisco & San Jose http://portfolio.jcdill.com
    "Chance favors the prepared mind." ~ Ansel Adams
    "Light thinks it travels faster than anything but it is wrong. No matter how fast light travels, it finds the darkness has always got there first, and is waiting for it." ~ Terry Pratchett
  • jdryan3jdryan3 Registered Users Posts: 1,353 Major grins
    edited January 10, 2008
    jcdill - Well thought out and composed response. I wholeheartedly agree with your premise and direction.

    I am almost loathe to use the phrase 'fine art' because I'm not sure at what point a print becomes fine art. (Sort of like the old phrase about pornagraphy - I can't describe it, but I know it when I see it.)

    But I go to a lot of galleries, art shows, festivals etc. in my town and across the country. Not only because I enjoy it, not only to acquire pieces, but to see what the market is doing. If this is an area you want to get into, I suggest you do the same. Like any normal distribution, there are a few too high, a few too low, but most are bunched up in a narrow range, irregardless of the style, and sometimes even the medium.
    "Don't ask me what I think of you, I might not give the answer that you want me to. Oh well."
    -Fleetwood Mac
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