How To Negotiate With Clients | 98

First, we need to understand the value behind our rates. Now pricing is its own beast and beyond the scope of this newsletter, but let’s scratch the surface.

When you set your rates, it’s not a random number you pull out of the sky (well, sometimes it is).

At its basic level, pricing includes your time, your skills, and the value you bring the client.

Let’s focus on that last one: the value you bring your client.

If you don’t know how to price yourself, watch my free workshop on charging thousands.

When we get into negotiations with clients, it’s important to understand the relationship between the value you provide your clients and the time it takes you to provide that value.

Ex 1) It takes you 5 hours to shoot and edit 10 styled product photos.

Ex 2) It takes you 1 hour to create a moodboard.

Ex3) It costs you no extra time to deliver the photos 2 days faster than you normally would. You just need to plan your schedule differently.

We’ve shown 3 different ways to bring the client value here and they each take you different amounts of time. This is the key in negotiations.

You want to add in things that don’t cost you anything but bring value to the client.

If a client wants a $500 discount, well, that costs you $500.

If you counter with faster delivery times, this costs you $0 but brings real value to the client.

Time is money.

Uber charges extra for priority pickup.

Faster shipping costs a premium.

And your faster turnaround times are worth more than your standard turnaround times.

Now this is just an example of how to negotiate. Your creativity is the only thing holding you back.

Follow these 3 steps when you’re negotiating with clients:

1. How do you provide value?
2. How does the client perceive that value?
3. How can you negotiate knowing this?

Eye On The Prize

The goal is to stay firm on our rates, but there are times where it’s smart to discount if the client won’t budge.

In the beginning of your creative biz journey, losing a potential client sucks. It’s fine to discount heavily so that you can collect social proof like testimonials to put on your website.

If you’re more experienced and already have case studies, then you can be a bit more firm.

Wherever you’re at in the journey, if something feels off about a client, it’s best to move on. Your peace of mind is worth a lot.

Happy Negotiating!