Pricing strategy
Services/Products
---
Negotiation
Figure out how much needed to make as a minimum
---
Pricing
- Freelance
Flat rate / Per day / Per hour
Website
---
Depends: - on materials, travel, production.
---
Night rate
---
Branding -
Pricing - undercut strategy
Find out what competitors charge
People starting out will try and undercut other people.
---
Elkin - photography / day rate, other.
---
Digital photography £150 per job (per day), 5 hours inc travel. per day.
Not sustainable. They can also own the rights.
Wedding photography, £2000 per day.
More sustainable.
---
Fixed item, if it takes extra time. Once the low price is given, difficult to raise.
Can give a discount.
---
Business consultancy
Can get £1000 per day, service. in Stockholm, Sweden.
Better to charge more to get more work.
---
Figure out how much money do you need to survive on, budgeting.
---
TOTAL
Negotiation for Fee
One person = client
One person = freelancer
---
Website design
Minimum salary: That you require.
Be aware what other people are charging:
Hourly rate.
Day rate.
Weekly rate.
Monthly rate.
Minimum website package charge/time taken.
Middle level website package charge/time taken.
Maximum website package charge/time taken.
What it includes:
Service package.
Feature scale:
Light version
Medium package
Heavyweight package
Quality scale:
Basic version (ie.250)
Premium version (ie.400)
Deluxe version (ie.600)
---
Be honest about how long it will take.
---
Goldilocks approach
Give people 3 options, people tend to go for middle option.
---
Pricing, can be context-specific, people are not always objective.
Sometimes people can place price according to their age!
---
Freelance web design - can have more of an advantage than a web company on pricing.
New site
Redesigned site
Site consultancy
---
art prints: (product)
basic
ie.200 prints, unsigned
£
midrange
£800-1200
exclusive
£5000-6000
---
Might be trading job security for charging higher
Last minute (can charge higher), few things might need to be moved around, can charge a premium.
---
Interior designers, can charge on sourcing products
---
Charge the official price, negotiate a deal with shop to get a discount.
---
Meet at 12.15pm
---
Sponsorship negotiation
SEE NOTEPAD
to add ...
Negotiation
.ie. (Simon) Game tutorials
(Elkin) 15 days would be £4000 + iterative design
Level of interactivity
Negotiation techniques:
Define scope
Person who works at base rate
£275 per day, + extra costs
Best to agree on a deadline - give a definate end date + time for delayed content + x number of days
Giving an end date is better than quoting an hourly rate, daily rate or an itemised total.
- Within a negotiation it can be offensive to say researching other people!
Pricing - Product
Look at competition
Cost + Competition
Value based pricing - ie.Value of last minute work > what is the value to the customer
ie. Hotel room next to airport
ie.Selling umbrellas during rainfall
Psychological pricing - consumers - swayed/flimsy thinking
ie. wearing a suit might mean that you are able to charge more
People do not like to be taken advantage of.
ie.Look at Drinks at festivals > still needs to be fair
Discounts - Trade
- 15% schools / 10% private
Cash discount - for example if a part of fee is paid upfront.
Always demand something in return
Quantity discount - bulk buy
Accumulative discount - Loyalty / reduction over time
On demand - how demand varies with price
Tent - 200/400/600
Bundle discount
Quality leadership - decide level of leadership in the field
Status quo - avoid price wards - dont deal overcharging / nor undercutting.
Aim never to compete on price
Skim the market (high end customers)
Survive in the market
Focus on revenue - max gains / bread and butter work
Add distinguishing features / limited features
New business models 'Pay what you want model'
'Trustbox' phenomena
Digital artpiece - sell on uniqueness
Bid for my work
(year later) Negotiating a higher fee - setup reminders for fee increases
Assess the value to them, in keeping you as being experienced/trustworthy supplier/producer/consultant
---
BRAINSTORMING NAMES
Business: LLT
---
Branding + Marketing
EA: Head of Finance, Business Plan, Prezi, Presentation Script and Physical/Digital Prototype
AM: Head of Technology and Branding (logo design, branding)
AC: Head of Media Plan Distribution and Marketing Strategy
MD: Head of Advertising and Social Media (3 ads, inc Tube Poster, Newspaper placement, Website banner)
Advertising
1.Landscape Tube poster (photo of tube)
2.A4 Newspaper ad (photo of newspaper)
3.Small Website banner (screenshot)
4.Street Billboard poster (photo of street billboard, with people)
Marketing Materials
LOGO
Application Screenshots
Business Plan on Google Docs
Market Research
---
TODO:
Survey - Brainstorm of names
Write up blog
Reply/put together course notes - Monday
Book off time
Check out Ryan's shared doc - MA show
Up to 5 votes
No comments:
Post a Comment