Raising Rates - How to Charge More for Your Work
Monday October 26, 2009
With the current global economy, many people are focused simply on getting a job. But if you start a design business based on prices that are too low, you may be out of business before too long simply because you can't make ends meet. Also, if you have been in business for a while, increasing your prices may be needed just to keep up with inflation. But getting your clients to pay more can be a challenge. They want to pay less for more, while you want them to pay more for less. Learn how you can reconcile these conflicting goals.
More About How to Charge Higher Prices
- How to Charge Higher Prices for Web Design Work
- Share Your Secrets - Find Out How Other Web Designers Charge Higher Rates
- How to Set a Price for Web Design Work
- How to Decide on a Fair Hourly Rate for Web Design Work
- What Pricing Structure Should I Use?
We initially entered the market very low, just so we could get some sites in our portfolio. Since then, we’ve been periodically increasing our prices so that we can turn a profit and really get a feel for what is considered “too much.”
At first, we were willing to take on any project, but we have moved to a more exclusive method for determining if a particular potential client is worth picking up or not. It prevents lots of wasted time, expense, and frustration over bad clients. It seemed harsh at first, but I think it is a more prudent approach.
My uncle, who was a very successful business man in the construction industry, told me this: “The goal is not to undercut or underbid the current market, the goal is to provide products and/or services that exceed market expectations, so that you can charge more than your competitors.”
I think he’s right.