1. No category

How to Price Assignment Photography
by Barry M. Robinson http://www.barrymrobinson.com
see page 9 for distribution and licensing of this document
Why I wrote this
My method of pricing assignment photography has evolved gradually over the years. When it came time to reevaluate my
marketing efforts recently, I felt I should clarify and codify my pricing methodology as well. I decided to put my research
and thoughts concerning pricing in this article so that other photographers could benefit from my work. I feel it is in the best
interests of all photographers to share pricing methods with each other. That way we can price fairly and compete on the
quality of our work and our personal vision rather than on price alone.
Introduction
I use the licensing model to price assignment photography. It is fair to both the photographer and the client, widely used
and, once you understand it, very easy to use. A copy of the ASMP Professional Business Practices in Photography from
1979 outlines a licensing model similar to the one that I describe here. This method of pricing assignment photography has
been in general use for the past 30 years. It is well established by trade practice, based on sound business principles, and
represents nothing radical or new. Anyone, clients or photographers, who claims this pricing model is not generally
accepted, is not widely used or is somehow illegal or unethical, is wrong.
You are under no obligation to offer the lowest price or even an "average" price to your clients; it is up to you to set the
price for your work. As a business, you have every right to make a healthy profit and share in the wealth. That is the way a
free market economy works.
With the introduction of digital photography and the use of the Internet for image sales and distribution the market for
images has changed dramatically in the past few years. I've heard arguments that photographers must adapt to new market
realities and lower their prices to compete. This view ignores some very basic principles involved in running a business.
You don't exist in a vacuum, you depend on other businesses for your survival and you have to pay the going rate for rent,
utilities, services and supplies. Photographers are business people; if you cannot charge enough to meet your financial
obligations then your business will fail. Some people have pointed out that the market sets the price for photography. This is
most certainly true and, as a result, in some areas where that price is set too low, you may not be able to run a viable
photography business. In that case you must either move to a different area or consider another line of work.
Your financial stability is important to your clients. The creation of high quality images in a timely manner requires skill
and knowledge, proper equipment, solid credit and a network of reliable suppliers. Your clients need to know that when they
give you an assignment that you can do the job in a timely and professional manner. They rely on you to properly maintain
your business just like you rely on your suppliers to properly maintain their businesses and be responsive to your needs.
Concerning your prices; these will certainly be different from your competitors. Your price should be based on the amount
you need to make to keep your business in operation and draw a reasonable salary (with benefits). I'll leave what a
reasonable salary is up to you but it will most likely be based on a mix of factors: where you are located, your expertise,
your specialty and your creative abilities. A price based on solid accounting is much easier to justify than one made out of
whole cloth. As an example, Photo District News (PDN) had three photographers estimate a job for an article in the
November 2005 issue (see "Estimating 101" by David Walker, begins page 64, Vol. XXV, Issue 11). The estimates ranged
from $30,270 to $65,770 and only included the Creative Fee and "Expenses" (what I prefer to call Production Charges); no
usage was calculated. This is just the way things are. Even the pricing of a mundane, straightforward labor-intensive job in
another profession is tricky. A couple of years ago I had new shingles put on the roof of my home. The contractors I
received estimates from were all local, were all fully licensed, all specialized in residential roofing and had access to the
same suppliers. Estimates were done on site; the type and color of shingles was specified. The estimates I received were:
$4600, $5440, $5760 and $7670. Pricing custom work, no matter what type of work it is, just seems to be like this.
Even if you use one of the estimating programs designed for photographers, you should understand how and why you
arrive at the price you do. Your clients are not stupid; they are business people like yourself and they will ask questions
about your pricing. You must be prepared to answer them in a knowledgeable and professional manner.
Page 1 of 9
Market Intelligence and Pricing
Market intelligence is the gathering of information about your market including your competitor's pricing strategies.
Gathering intelligence is a good thing but be aware that unless you already have a solid marketing plan for your own
business in place, looking at intelligence data only can lead you astray. I've found, in talking with other photographers, that
many photographers are looking for an "industry standard" price. No such standard exists.
How you position yourself in the marketplace does have some bearing on your pricing structure. In the past, the majority
of photographers (especially those outside of major markets) positioned themselves as generalist photographers. A generalist
photographer does a variety of work for a single client (portraits, product shots, architectural shots). This trend is rapidly
changing. As Selina Matreiya points out in her book, How to Succeed in Commercial Photography: Insights from a Leading
Consultant, successful photographers are specialists (doing only product shots for example) marketing a single vision. A
specialist photographer works for a greater number of clients and has more price independence because he/she offers the
client a single unique vision not available anywhere else.
Lowballing: Why it doesn't work
I define lowballing as pricing photography at or below the cost of production in order to win a job on price alone. In some
cases the photographer who lowballs may not realize what he/she is doing.
Photographers often price their work too low. They may lack confidence in themselves or the value of their work; an
unfortunate, common trait among artists. They may not understand how to price their work. Many photographers lack a
background in business and perceive the fees charged by more established photographers as "too high." If you're in one of
these categories, I hope this article will help you to increase your confidence, your bank account and your business acumen.
If your aim is to price low to drive out competitors and secure the market for yourself, a tactic known as predatory pricing,
you will most likely fail miserably. Should you survive, you will have to raise your prices enough to make up for your
previous losses and to make up for the risk you took; risk always has a cost. Raising prices at the low end of the market is
almost impossible; there is always someone willing to shoot for less. Most photo studios are small businesses, very flexible
with relatively low start-up costs compared to other types of business. Photography is seen as a glamorous occupation with
many newcomers willing to work for little more than a credit line. The low end of the photography market is a very
crowded place.
The high end of photography market (ad agencies, national advertisers) differs markedly from the low end of the
photography market. While the low end of the market is price sensitive the high end of the market, to a large degree, is not. I
should point out that pricing too low has problems that may not be obvious at first. Experienced art buyers, the ones with
big budgets, often discard low estimates out of hand because they assume that the photographer is either inexperienced or
did not understand the requirements of the job. Low pricing also has the unfortunate consequence of getting you more of the
same low priced jobs and hastening your fiscal demise.
A very small proportion of clients may try to cut the price of the assignment after the fact, even after the contract is signed.
In these cases, it is often not the actual person you've been dealing with that is the problem; it may be the client's legal or
purchasing department making waves. This price cutting takes two forms: reducing the amount paid to the photographer or
grabbing more rights in the photograph. You can help to mitigate the risk of this happening by using a standard set of terms
and conditions (see ASMP or CAPIC for samples).
Always get a written and signed agreement before starting work
If, after agreeing to the price and conditions, the client won't sign an agreement you have to ask yourself why. Never get in
such a rush that you can't get a signed agreement. There is always time to get a written and signed agreement. Carefully
read all purchase orders sent to you by the client which might attempt to modify your terms and conditions; don't accept any
with objectionable clauses. U.S. based photographers should watch out for work-made-for-hire clauses. Canadian
photographers must get copyright assigned to them in writing prior to beginning the assignment; use contracts specific
to Canada. Canadian photographers should also remember that even without a written contract copyright does not pass
to the client until you are paid. Canadian photographers also have strong Moral Rights in the image which a separate issue
from the copyright in the image. Know your rights!
YOUR Cost of Doing Business
At the heart of any pricing model is your (notice the emphasis on your) cost-of-doing-business (CODB). Your CODB sets
your basic pricing structure and is different for every business. Your CODB will most likely include:
Page 2 of 9
●
●
●
●
●
●
●
●
●
rent, leasehold improvements, taxes, maintenance and insurance
telephone and Internet connections
utilities: electric, gas, water, sewer
office expenses: postage, courier, copier, accounting, legal
advertising, PR and website expenses
vehicles including repair/maintenance, insurance and depreciation
studio equipment depreciation and equipment repair/maintenance
professional development: workshops, seminars and other training
professional dues: photographic and business organizations
and your salary (and that of any other employees) which includes:
●
●
●
●
base salary
insurance payments: unemployment, workers compensation
pension plans both government and private
paid holidays, pregnancy leave, parental leave, family medical leave
You should also include a PROFIT in the CODB, generally an additional 15%, which compensates you for YOUR RISK
(I use the term profit loosely in this instance). You take a risk in starting and operating a business. You invest your time and
money, you risk your name and your credit, you should expect a return on your investment. If you don't make a profit, if you
don't expect a return, then why start a business? You could take a job with a guaranteed salary without the all the headaches
of running a business.
The CODB calculation itself is independent of any pricing model; the purpose of the CODB is to give a minimum
amount that the business must make to remain in business (not including variable per job expenses). How that amount is
apportioned among clients is a function of the pricing model, in this case we're using the licensing model.
Now you determine the number of production days (aka shooting days) in the year. This will vary depending upon your
market, how you work and the type of photography you do. In general (from personal experience and surveys) full-time
working photographers can expect somewhere between 75 and 100 production days per year. Even if you have employees
you'll spend a considerable amount of time on administration (responding to e-mails, generating estimates, overseeing your
business in general) and meeting with potential clients (including travel time). Add to this scheduling conflicts, meetings
(with lawyers, accountants and suppliers), emergencies (business and personal, major and minor) and you can see why 75 to
100 production days is a reasonable number. Don't underestimate how much work it takes to properly run a studio! You also
have to be wary of creative burn-out; if you overwork yourself, your work will suffer.
Take your CODB and divide it by the number of production days to give you your base rate. This is the absolute
MINIMUM rate you must charge for each production day. If you charge less than this rate or you don't meet your
production days goal then you won't make the amount of money that you need to stay in business. Something must give and
that something is usually your salary (other items such as rent are fixed and cannot be altered). If your salary drops low
enough it can put you in grave financial peril.
To lessen the risk a photographer takes, he/she should look at ways of increasing the income from each image. Remember
that your production days are just an estimate of the days that you expect to shoot. There is no guarantee that you will meet
your production days goal. Most photographers do not sell their images outright; instead they own the image and license the
use. The License Fee creates an additional revenue stream reducing financial risk for the photographer while basing the
price on the actual value to the client. Licensing rewards the photographer for creating valuable images. You could price an
image for sale but to do this you would have to increase your CODB to provide you with a financial cushion or accept a
greater risk. Your price, using the model I describe in this article, will be made up of three components:
Creative Fee + License Fee + Production Charges = Total Price
As I mentioned at the beginning of this article, I use the Licensing model for pricing my work. One criticism often raised
concerning the Licensing model is that it inflates the price. Properly applied, the Licensing model will not affect the
average price you're charging for an assignment. In some cases the client will pay less for an image, in some cases more.
The estimates and invoices for the Licensing model do, in general, have more items and more detail but the overall average
price will be close to other pricing models. There are, of course, many other models, several of which I describe in the
following. No matter which pricing model you decide to use make sure that you apply it consistently and back it up with
proper financial practices. Stay solvent.
Page 3 of 9
Other Pricing Models
"Flat Rate" Pricing - Instead of charging for usage, some photographers use flat rate pricing giving the client an
unlimited use license; only the Creative Fee and Production Charges are used in pricing. This is similar to the royalty-free
license used in stock photography. Flat rate pricing is a legitimate pricing model when properly used but it does have some
serious drawbacks which you must consider. As stated previously, there is no guarantee that you will meet your production
days goal. You'll need to increase your CODB/Creative Fee considerably to offset your risk (this risk is offset by the License
Fee in the Licensing model that I use). Your total price will now be the same for all clients, no matter how much or how
little they use your image. The problem with this is that you may be overcharging the low volume users and undercharging
the high volume users. Flat rate pricing may attract unsophisticated clients with the attendant burdens of client education,
procrastination and angst.
"Day Rate" Pricing - This is possibly the worst model to use when pricing assignment photography. It encourages the
client to think of the photographer as an employee and for the client to compare his own "day rate" (salary) to the
photographer's day rate with predictable results. If you finish early, clients may try to claim they shouldn't pay as much
because you didn't work for the full day! Finally, the day rate model commodifies your photography; it strips away any
reward for your insight, skill and creativity.
"Usage Only" Pricing - This is based on the stock photography pricing model where the only deciding factor in the price
is the use of the image plus the Production Charges. While it does have the advantage of simplicity (from the client's
perspective) this model has several flaws. An image may involve a considerable amount of time and creative energy yet
only be used for a small specific campaign. In contrast, an image might be fairly easy to shoot yet be widely used. Using
this "usage only" model the photographer would receive more for the easy shoot even though the first example shoot
involved more time and creative energy. Using the "usage only" model, if the client wishes to re-license the image then the
price, for the same usage, will be exactly the same as the original price minus the Production Charges. I feel that the "usage
only" model encourages an unfair, direct comparison of assignment photography with stock photography. Assignment work
is custom work and custom work in any industry should always command a premium price.
"Standard" Pricing - Another method of pricing is to set your price based on "standard industry" price lists, surveys or
what other photographers in your area are charging. This type of pricing is usually not a good method of pricing. It ignores
your business structure and your costs. Photographer pricing surveys may be skewed (e.g. low numbers of photographers,
poor response) and, by the time of publication, data may be out-of-date. Finding out what other photographers in your area
charge may be difficult (they're your competitors) and their prices are biased by their pricing model based on their
business structure and their costs (which are certainly different from yours). Don't rely on potential clients for pricing
information; they'll quote the lowest price they've ever heard or just tell you what they want to pay. Finally, there is the
problem of complexity; creating images is custom work and images vary considerably in the amount of time and effort it
takes to create them. Simplistic standard pricing sends the wrong message to your client about the time and effort you put
into your work.
The Creative Fee, License Fee and Production Charges in Detail
Creative Fee - Not a "day rate". The day rate is a hold-over from times past when editorial photographers were paid a per
diem rate by magazines for editorial work (most editorial assignment work is now priced using day rate against space). You
calculate your Creative Fee on the time a shoot will take you based on your own working style, the complexity of the shoot
and other factors (e.g. will the client be in studio to approve the shoot, do you anticipate delays because of this). Multiply
your production day charge (calculated previously) by the number of days it will take you to complete the shoot. The final
sum appears as the Creative Fee on the estimate or invoice. A Creative Fee allows you to work independently of time (to a
reasonable extent) and keeps penny-pinching clients from trying to save money by rushing the shoot. Give yourself enough
time to do the job properly. Estimate using whole days only (do you really think you can accurately estimate a complex
shoot down to an accuracy of an hour or two); a minimum amount to charge for any single shoot should be an amount
equivalent to two-thirds of a production day for half a day or less of time. Keep in mind that at this minimum amount you'll
have to work three days to equal two of your regular production days. Charge this minimum amount very rarely.
Your Creative Fee will vary by what you have invested in studio overhead. A photographer without a studio will be able to
maintain a lower Creative Fee (all else being equal) but will have a higher Production Charge for studio rental when
required.
What to tell the client - Explain that your Creative Fee is determined by a mix of factors including the complexity of the
shot, the subject matter, and your own working style. It is not based on time but rather the resources needed to create the
image. The Creative Fee is the premium the client pays for a custom image created to their specifications. Sometimes the
Page 4 of 9
client will say something like "I paid for the image so I own it and I can use it anyway I want." Ensure that the client
realizes that this fee does not "buy" the image; a large part of the price in the pricing model being used here is apportioned
to the License Fee. Because of this, the Creative Fee is less than in a price based on a flat rate pricing model. The Creative
Fee in that case would have to be higher to make up for the lack of a License Fee. Never give the client a "day rate"; the
client will think of your "day rate" as a salary (which it is not) and compare it with his/her own.
License Fee - As stated previously the purpose of the License or Usage Fee is to provide another revenue stream. It is also
fair to the client since those who make extensive use of an image (usually big business) will pay more than those who use an
image less (usually small and mid-size firms). Without a License Fee, the Creative Fee must be raised to compensate and all
clients pay the same amount. The effect of this is that smaller clients end up subsidizing larger clients.
For use in advertising media (space buys), take a percentage of the space the client is purchasing. Generally accepted
amounts range from 2% to 6% (see Best Business Practices for Photographers by John Harrington, page 46, for his
suggested percentages on space buys). The more space the client uses the lower the percentage you take. Also affecting the
price is the size of the image in the ad. If it is a full-size image, then use the percentage directly. For smaller images, prorate
the fee accordingly. If you're supplying several images for one ad, use a single License fee to cover all images. You can find
advertising rates on the websites of most publications or use a service such as SRDS (CARD in Canada).
For web use, fees are determined by the size of the image and how deep in the website it is located (a home page costs
more than an inner page). As with space buys, if multiple images are used (in a banner for example) charge one license fee
(as though it was one image for the purpose of licensing) for the banner. For other uses (printed postcards, mailers and
brochures) the pricing is by size of the image and number of impressions. In both cases use stock prices to derive a license
fee. Keep in mind that the production costs (comparable to the Creative Fee plus Production Charges) are included in the
stock license fee but these are amortized over many licenses and constitute only a small portion of the stock licensing fee.
There is also the factor of risk; stock license fees must contain a risk factor to make up for stock images which are produced
but are not licensed. To remain competitive you may wish to reduce your usage fee to less than a comparable stock usage
fee to make up for the production costs and risk which are part of the stock license fee.
You should determine the value of the image to the client; this will help you to set a reasonable licensing fee. Can your
image be replaced by a similar, generic one? If so, then the image will be of less value to the client and you should adjust
your licensing fee accordingly. Does the image contain elements specific to your client (examples: corporate colors,
products, settings)? In that case, the image will have more value to your client; the licensing fee will be higher.
One method for determining license fees for web and collateral use is to make up a matrix of uses and fill in known
amounts (determined from stock licensing sources, books, magazines etc.). You can fill in the remainder of your matrix by
interpolation and a bit of guesswork. See example of a matrix following (Note: values are examples only, do not use on your
actual estimates). Discount volume uses.
Sample Web Page Licensing Matrix - 3 month usage
Size ⇒
Distribution ⇓
Button
Inner
Button
Home
¼ page
Inner
¼ page
Home
½ page
Inner
½ page
Home
Full page
Inner
Full page
Home
Local
$70
$95
$190
$225
$325
$400
$475
$550
Regional
$95
$150
$225
$350
$475
$650
$775
$950
National
$150
$250
$375
$550
$775
$900
$1150
$1400
International
$250
$375
$685
$850
$1050
$1250
$1600
$2000
Your license should specify:
●
●
●
●
●
●
Frequency, quantity of press run and duration of license granted - how often will the image be used, how
many impressions will be made (the circulation of a magazine for example) and how long will the license last
Geographic limitations - where will the image be used: Canada, North America, world wide
Media use and application - what type of media (newspaper, magazine) and is it corporate or advertising
Size and placement of work - full or half page, cover or inside
Exclusivity - will the image be licensed only to one business or many
Credit line - will the photographer's name appear alongside the image
What to tell the client - Point out the fairness of the License model of pricing; you pay only for what you use. In a flat rate
pricing model everyone pays the same amount; the small clients end up subsidizing the large clients. In some cases you
should offer the client licensing protection for images which are sensitive or show proprietary processes or products. A fear
Page 5 of 9
that many clients have is that images may end up in the hands of the competition. Show the client that you understand these
fears and show how licensing can help.
My own preference is to give the assignment client exclusive rights for their first license. Exclusive rights are very
valuable and is one of the things that differentiates assignment photography from stock photography. You might also offer a
couple of "free" uses. I favor offering "free" uses that are small and difficult to price. Both of these offers don't cost you
very much but are important in developing goodwill and trust with your client. No matter what you offer the client by way
of "free" use or incentives, list it under licensing. Even if you're not charging for it the client must be made aware of its
value and the existence of a license.
You might wish to have a policy of refunding/renegotiating License Fees within 30 days of the invoice date if the usage is
canceled or changed (an idea I saw in an article by Leslie Burns-Dell’Acqua in Picture Magazine, July-August 2007).
Although you may take the occasional hit, this is a good policy that gets clients on your side with respect to licensing. In
many cases you'll be selling them more usage so in general it is a good policy for everyone.
Concerning "buyouts" or sales of "all rights" bring it to the client's attention that terms like these mean different things to
different people. Clarify what the client actually wants or is worried about. Under the licensing model, selling "all rights"
can be extremely expensive (for the client) with very little in terms of benefits. Usually the client does not want to be
bothered with renegotiating a license or does not have a clear idea of future uses. Point out to the client that licensing model
really does save them money if properly used. If you offer them an exclusive first license (which I recommend) they will
have time to consider their many options regarding licensing of the image.
Production Charges - These are charges that relate directly to the project. I include both preproduction (location
scouting) and post-production (image manipulation and retouching) under this heading. Prop rental fees, stylist and make-up
artist fees, equipment and studio rental, consumables (such as seamless paper backdrops), courier fees, DVD burning fees,
prints and anything else directly related to the project.
Many Production Charges involve a mark-up to cover related costs. For example, a roll of seamless paper may have to be
delivered incurring an extra charge. Even if you have seamless paper at your studio there will be shrinkage; you will not be
able to use 100% of the roll (fading over time, damage to the roll from being stored and moved repeatedly). If you own
several rolls of seamless, your money is tied up in the inventory. There is also the space, which you heat and pay rent, used
to store your inventory.
Mark-ups, in my opinion, should NOT be a fixed percentage for everything but should reflect the costs actually associated
with providing that product or service. Each product or service will have its own mark-up. You can get a good idea by
looking at your suppliers invoices and taking a few minutes to calculate the various charges. You don't have to be exact, just
don't undercharge for things. If you undercharge the difference comes out of your Creative Fee! To remain competitive I
don't use the mark-up as a revenue stream. I just use the mark-up for cost recovery.
Another thing to consider is the in-house production of things such as prints and services such as retouching. Price your
in-house work and then price it again using external sources, for example outside labs and retouching, with an appropriate
mark-up. Use the higher of the two prices. Even if you intend to do the work in-house, another opportunity such as a
lucrative photo shoot might come along. In this case you can send the work to an outside source without any loss of income.
What to tell the client - Never use the word expenses; the expense to the client is your entire invoiced amount. The word
"expenses" can get the client thinking that you're a sort of pseudo-employee and this can be a stumbling block when
negotiating the shoot. If the client asks for receipts, politely decline their request by pointing out that: (1) you must, by law,
retain the receipts since these are YOUR expenses. The only receipt that the client requires is your invoice, the total amount
of which is a legitimate expense appearing on the client's books (2) the receipts do not necessarily reflect the true cost of the
article; items such as delivery, shrinkage that are not indicated in the raw price (3) your receipts contain proprietary
information that you do not want made public such as your suppliers and your costs.
Presentation
How you present your price will have a bearing on your success. Be neat, use proper grammar, spelling and punctuation.
You want to communicate clearly; poor communication can lead to misunderstandings which can end up in court. Even at
best, a misunderstanding can easily put you out of the running.
Get your estimates to the client in a timely manner. Usually an e-mail followed up by a phone call is an acceptable
method. When sending the e-mail use a clear unambiguous subject line to prevent the e-mail being tagged as spam.
Page 6 of 9
A good method of packaging your estimate is to use a PDF (Portable Document Format) file by Adobe. You can easily email this as an attachment. It can be locked with a password to protect confidentiality and to keep someone else from
modifying it. Format your estimate to print out on standard size paper (8.5" x 11"), number the pages and include your full
set of Terms and Conditions. Use standard Terms and Conditions from ASMP (American Society of Media Photographers)
or CAPIC (Canadian Association of Photographers and Illustrators in Communications). Include areas for signing, dating
and initialing the estimate.
Always get a written and signed agreement before starting work
To begin a project your client should sign and date two copies of the estimates (date and initial on the terms and
conditions pages) and return them to you. When you receive the estimates check to be sure that the client has not made any
changes to your figures or your terms and conditions. If the estimates are okay, you countersign and initial, then return one
estimate to the client. If changes have been made by the client, find out why. Document and date everything, especially
changes. You may have to renegotiate the contract.
Crowdsourcing and Pricing
One of the ongoing threats to all creative enterprises has to do with what Wired magazine has called “crowdsourcing”;
digital content generated by non-professionals and sold at low prices (see “The Rise of Crowdsourcing” by Jeff Howe,
Wired Magazine, Issue 14.06, June 2006 archived at http://www.wired.com/wired/archive/14.06/crowds.html and the book
“The Cult of the Amateur: How blogs, MySpace, YouTube, and the rest of today's user-generated media are destroying our
economy, our culture and our values” by Andrew Keen, Doubleday, New York, 2007). There have always been amateurs
competing with professional photographers; the Internet and digital imaging have provided a low cost way to advertise and
distribute images which was not available previously. The economics of this distribution model (high volume and low price
per unit) favors generic content. Although most crowdsourcing pricing concerns relate to stock photography (microstock,
royalty free), the net effect of crowdsourcing is to depress overall prices for both stock and assignment photography. The
way to combat this is to make your client aware of the value of YOUR work. Key points are:
●
Establish trust. In “Rethinking Trust” by Roderick M. Kramer, published in the Harvard Business Review, June
2009 the author argues that we still trust too much (see http://hbr.harvardbusiness.org/2009/06/rethinking-trust/ar/
1 ) even after Enron, Madoff, and the subprime mortgage fiasco. Why do you trust someone? What are the
elements of trust? Answering these questions will help you to understand how to establish trust with your clientele.
In the 1981 book “Shooting Your Way to a $-Million: A photographer's strategy for success” author Richard
Sharabura points out that many emergent photographers portray themselves as “a gypsy with a camera” and, as a
result, fail to establish their client's trust. Crafting a solid professional identity will help you to establish credibility
and trust. Act in a professional manner in all of your business dealings.
●
Ensure timely delivery. The amateur usually has a full-time job which allows him/her to offer their work at below
cost. Their job, however, restricts the amount of time which they have available do the work. Most clients have
deadlines which must be met.
●
Develop your expertise. The amount of time you spend in perfecting your art has a direct bearing on your level of
expertise. Dr. K. Anders Ericsson, the Conradi Eminent Scholar and Professor of Psychology at Florida State
University, observes that:
For example, the critical difference between expert musicians differing in the level of attained solo
performance concerned the amounts of time they had spent in solitary practice during their music
development, which totaled around 10,000 hours by age 20 for the best experts, around 5,000 hours
for the least accomplished expert musicians and only 2,000 hours for serious amateur pianists.
The above is from “Expert Performance and Deliberate Practice” an updated excerpt by Ericsson, 2000, and
available at the Florida State University website http://www.psy.fsu.edu/faculty/ericsson/ericsson.exp.perf.html .
●
Proper equipment or the ability to source the equipment. The professional, through association with professional
suppliers has the knowledge and finances available to source the equipment required for a particular assignment.
Years ago I had a client who demanded that I meet a price by another photographer. I could not meet the price, it
was much too low, and I told the client that if he wanted that price then use that photographer. The client returned
after discovering that the other “photographer” did not have a studio and he could not do the work; the
photographer was an amateur with a full time job! Clients often don't know the resources it takes to create an
image. Show your clients that you have the resources to complete the job.
Page 7 of 9
●
Specialization. The specialized professional can provide assignment photography precisely tailored to the client's
needs. He/she will also subcontract work such as retouching and printing to outside sources ensuring high quality
and timely delivery. By contrast, the amateur in many cases attempts to do work cheaply often at the risk of the
client. Often they will bid too low and may not have the necessary resources to complete the job.
Negotiations
Negotiations with the client are always difficult. Here are some tips:
●
●
●
●
●
●
●
●
●
●
●
●
●
Before you begin negotiations with any client you must be absolutely convinced that the pricing method you're
using is the correct one. Understand in detail why and how it works.
Know the value of your work, have faith in yourself and your ability to deliver on your promises.
Never be the first to mention price. Sell yourself on the value your work has for the client.
Do not attack a client's ideas, no matter how silly or impractical. Instead, suggest additional ideas.
Listen to what the client is telling you. Know when to be quiet.
Never criticize previous photographers/graphic artists or the work they have done for the client. If the work is poor
most likely the client already knows it and that's why you're there. He/she may be embarrassed for hiring the
previous photographer. The previous photographer might also be a good friend or a close family member. You don't
want to sound arrogant, condescending or mean.
Ask questions, clarify details, listen. Write it down. While you don't want to make the negotiations into a game of
twenty questions or interrogate the client, you do want to get as clear a picture as possible of the project. If you
can, get a budget. Failing that, find out what the media placements are. This will give you a ballpark budget.
Make sure the person you're dealing with has signing authority for the project. If they don't have signing authority
then you're in a weak negotiating position. In this case either deal directly with the signing authority OR make your
negotiated terms provisional until the deal is approved
Sit up straight, don't lean against the desk or wall. Be aware of your surroundings. Don't play with things (papers,
pens). Come to the meeting organized and prepared. Always look the client in the eye while you're talking with
them. Talk clearly, get to the point.
Wear appropriate attire. For men, see the book by Russell Smith, Men's Style: The Thinking Man's Guide to Dress
published by McClelland & Stewart, Toronto, Canada, 2007. I also recommend the magazine Harry (published by
Canadian clothing retailer Harry Rosen) for up-to-date advice on proper business attire.
Never give price concessions without equivalent concessions on the work being performed. In most cases you
should not cut your price unilaterally, always shave quantity (never quality) off what you're offering the client.
Use the astounding power of NO. Telling the client they can't have something is a powerful tool if used properly. In
telling a client no always be truthful; give them the reason why you can't do it (they don't have the money, you're
booked solid). Say no, then offer alternatives. Saying no to a client can sometimes bring about unexpected results.
Several years ago I did some work for a businessman who sold vending machines franchises. A prospective
franchisee would fill out an application form and give it to one of the salesmen. The salesman would study the
form for several minutes then tell the person that they did NOT qualify and that he could NOT sell them a
franchise.
The prospective franchisee turned from being a cautious buyer into a buyer begging to be sold a franchise. The
salesman would then dictate the terms under which the buyer MIGHT be granted a franchise if the buyer was really
lucky. They sold a lot of franchises. When carefully applied, saying no can give you greater leverage during
negotiations.
See also the articles “Just Say No and walk away from bad deals” by Les Riess and “The Power of No! It gets
to yes!” by David Brill. Both articles appear in the ASMP Bulletin, March 1999, available at the ASMP website at
http://www.asmp.org/pdfs/bulletins/1999/mar99.pdf
Remember that YOU are the seller, you create the sales contract, not the client. Did you draw up the contract for
your car insurance, for your cell phone, for your credit card agreement? Of course not, so why should you
acquiesce to this type of behavior from your client? You negotiate a contract with the client. If you can't reach an
agreement that is satisfactory to you then don't take the job. Watch out for purchase orders and contracts that
contradict your contract that are sent to you AFTER you have a signed agreement from the client.
Resources
Picture Licensing Universal System (PLUS) - A system for writing clear licensing terms developed by a coalition of
industry leaders and professional associations. See http://www.useplus.com/
Page 8 of 9
American Society of Media Photographers (ASMP) - A source for licensing information, terms & conditions for U.S.
based photographers. See http://www.asmp.org/
Canadian Association of Photographers and Illustrators in Communications (CAPIC) - A source for information and
forms for Canadian photographers and illustrators. See http://www.capic.org/
Editorial Photographers - A source for information about editorial photography; non-advertising images used in
magazines, newspapers and other publications. Editorial photography has its own pricing system, usually day rate against
space. See http://www.editorialphoto.com/
Best Business Practices for Photographers by John Harrington - published by Thomson Course Technology, Boston,
MA, 2007. A well-written book about the business of photography. Covers pricing, contracts, negotiations and more. A must
have book for all photographers.
How to Succeed in Commercial Photography: Insights from a Leading Consultant by Selina Matreiya - published by
Allworth Press, New York, NY, September 2007. Covers the basics in marketing your unique photographic vision. Timely
advice on building a professional portfolio.
Graphic Artists Guild Handbook: Pricing & Ethical Guidelines, 12th Edition - published by the Graphic Artists Guild,
New York, NY, 2007. A comprehensive guide to pricing artwork including contracts, copyright issues, negotiation, terms
and conditions for a wide variety of artistic works. Another must have book for any artist, including photographers.
Negotiation Genius by Deepak Malhotra and Max H. Bazerman - published by Bantam Books, New York, NY, 2007.
Well-written, in-depth (300+ pages) book on negotiation by two professors from the Harvard Business School. Learn how to
create value through negotiation and how to deal with difficult people and situations. I highly recommend this book.
Note: Photographers will find the negotiation example given in Chapter 1 of this book compelling since it deals with the
licensing of a photograph during the 1912 U.S. presidential election. Unfortunately it doesn't turn out very well for the
photographer involved.
Finance for Managers (The Harvard Business Essentials series) - published by Harvard Business School Press, Boston,
MA, 2002. The fundamentals of finance for any business including photography. Covers basic financial concepts, how to
read financial statements, budgeting, the time value of money and more. Well-written and practical with solid advice.
Last updated: October 13, 2009
content copyright © 2009 by Barry M. Robinson, Toronto, Canada
http://www.barrymrobinson.com
This work is licensed under the:
Creative Commons Attribution-No Derivative Works 3.0 Unported License
To view a copy of this license, visit: http://creativecommons.org/licenses/by-nd/3.0/ or send a letter to:
Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.
You are free:
•
to Share — to copy, distribute and transmit the work
Under the following conditions:
● Attribution. You must attribute the work in the manner specified by the author or licensor (but not in any way that
suggests that they endorse you or your use of the work).
● No Derivative Works. You may not alter, transform, or build upon this work.
With the understanding that:
● Waiver – Any of the above conditions can be waived if you get permission from the copyright holder
● Other Rights – In no way are any of the following rights affected by the license:
● Your fair dealing or fair use rights;
● The author's moral rights;
● Rights other persons may have either in the work itself or in how the work is used, such as publicity or privacy
rights.
Notice – For any reuse or distribution, you must make clear to others the license terms of this work.
Page 9 of 9