How to Price Graphic Design Work | 6 Pricing Strategies for your Graphic Design Business

Summary

This video explores the challenges of pricing graphic design work through insights from six experienced design business owners, with revenues ranging from $150,000 to $2.5 million. Each shares unique strategies for pricing, from interactive proposal building to phased projects, upselling, and niche specialization. Key takeaways include transparency in pricing, upselling additional services, setting minimum project costs, and selling design hours in bulk. The video emphasizes that there is no one-size-fits-all pricing strategy, encouraging viewers to choose methods that align with their business goals. A free guide on pricing graphic design is available for download.

Takeaways

• 😀 Pricing design work is a common challenge for many graphic design businesses, and Print Design Academy aims to address this issue by interviewing various business owners.
• 💻 Marisa Burgett, from MB Creative Agency, shares her proposal process by building quotes live with her clients during video calls for transparency, allowing the customer to actively participate in pricing decisions.
• 💸 Rob Dodds of Primal Communications highlights the importance of generating additional revenue through 'pass-throughs' such as markups on print, packaging, and other non-design services.
• 💡 Kenzi Green emphasizes setting a minimum project cost upfront ($7,000 in her case) through a pre-call questionnaire to ensure the client is prepared for her service rates.
• 📊 Amy Farrell of Times Two Studio uses 'phased projects,' starting with a paid discovery phase to engage clients early and secure investment before the main work begins.
• ⏳ Brad Stoneking of Piedmont Brand Co. makes profit by selling 'buckets of time' instead of billing by the hour, ensuring clients purchase large blocks of design hours to use over time.
• 🔍 Massimo Zefferino of Z Factor has found success by niching down into specific industries, such as manufacturing and tech startups, and rejecting projects outside of their specialization.
• 📈 Each business owner interviewed has tailored their pricing and business model to fit their goals, from small, flexible studios to large agencies.
• 🎯 The guide to pricing graphic design work is free and available for download, offering insights from each business owner on how to price, present proposals, and learn from their mistakes.
• 🖥 Viewers are encouraged to explore additional videos on how print and packaging design can offer further revenue opportunities with minimal extra effort.

Q & A

What are the key challenges faced by graphic design business owners when it comes to pricing their work?

Pricing design work can be one of the biggest challenges because it involves balancing transparency with profitability, understanding how to present proposals, and figuring out how to upsell and add value to projects.

How does Marisa Burgett from MB Creative Agency involve her clients in the pricing process?

Marisa Burgett shares her screen with clients during the initial video call and builds the proposal with them in real-time. This transparent approach allows clients to actively participate in building the price, giving them ownership over the final proposal.

What is the concept of 'pass-throughs' introduced by Rob Dodds from Primal Communications?

'Pass-throughs' refer to additional services or operations that aren’t part of the design work itself, such as domain fees, hosting, extra proofs, and print management. Rob marks up these pass-throughs, generating extra revenue for his business.

How does Kenzi Green prepare potential clients before the initial call?

Kenzi Green uses a pre-call questionnaire that informs clients about a minimum project cost of $7,000. By the time they reach the first phone call, clients are already primed to expect this base cost, making the process smoother.

What is the 'phased pricing' approach used by Amy Farrell from Times Two Studio?

Amy Farrell uses a phased pricing model, where larger projects are broken down into phases. The first phase typically involves discovery, which the client pays for upfront. This process allows for adjustments in project costs after discovery, as it depends on the findings.

What is Brad Stoneking’s approach to using hourly pricing in his business, Piedmont Brand Co.?

Brad Stoneking uses 'buckets' of hours rather than traditional hourly billing. Clients purchase a set number of hours in advance, which they can use over a specified period, such as six or twelve months. This allows Brad to generate more profit compared to typical hourly billing.

How did Massimo Zefferino from Z Factor find success through niching down in his business?

Massimo Zefferino found success by specializing in a specific industry. Initially, they focused on manufacturing, and later, they transitioned to tech startups. This focus on a niche industry allowed them to become experts in that field, leading to significant growth.

What is the key benefit of involving clients in the discovery phase of a project, as highlighted by Amy Farrell?

Involving clients in the discovery phase gets them invested early on, as they are paying for research and problem-solving before any design work begins. This also ensures that both the client and the designer have a clear understanding of the project's scope.

What lesson can be learned about the role of upselling in graphic design pricing from Rob Dodds’ experience?

Upselling through pass-through services like print management and additional proofs can significantly increase revenue. It allows designers to cover more operational costs while providing extra value to clients.

How can the guide mentioned in the script help design business owners with pricing?

The guide offers insights from six different graphic design business owners, providing a variety of approaches to pricing, proposals, and client management. It helps business owners choose strategies that best fit their business goals, whether they aim for a small, flexible studio or a large-scale agency.