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How do you guys decide what to charge clients?

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Nov 25th 2003#130427 Report
Member since: Oct 6th 2002
Posts: 1003
Ok, I just got my first honest-to-god job offer, and the work is for the most part among 11 different designers, who contract to a given job on a bid basis. (like the paid work forum)I expect my rates to be going up, due to increasing overhead, ie. Hardware upgrading and maintainance, as well as software liscensing fees, etc.

So, my rates for this job are set, but what would be a fair rate to charge in the future, once I am more established?

P.S. This company, a local record producing firm, kind of owes me, due to the fact that I made their logo some 2 years ago, for the same rate. Although I don't want to 'stick it' to them, I was hired in part due to my lack of overhead, namely operating from home, and operating solo. Once I'm a few jobs in, I intend to gradually raise my rates, as the job dictates.

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Nov 25th 2003#130428 Report
Member since: Mar 24th 2001
Posts: 3734
Truthfully, it varies per situation. I'm not 100% convinced that a solid rate is the way to go. I always start with "How much can they afford?" Usually that is a figure I can assume, the only situations where I've come across that I haven't been able to, the client had a budget that I had to stay under. In cases where they have a budget, I don't fit what I can do into their budget, I make exceptions to design. In other words, if their budget is $1000 where I assumed $2000 would take care of everything, I'll make sure they only get $1000 worth. If I have to sacrifice things, such as better photos, or a cooler design (IE, more time taken) then so be it. But I guess that wasn't the question asked anways...I just got off on a tangent.

Although I'm not saying that my way is the best way, or even a good way, that's how I do it. I assume what they can afford, or will agree to, then I will base my quote on that figure. Even if that figure is higher than what I would normally charge, I will still quote the higher number...that's just business. It's also wise to know your competition. If you know you've been beat by a certain competitor before, find out why, and adjust your quote accordingly. For the most part, out here in Iowa, people don't go online to look for a web developer/designer, they open the phone book or ask a friend who had one done. This is an advantage that we have out here. I've not done much work outside of my small physical location, so I'm not 100% familiar with bidding on projects where there will be more than 3 or 4 quotes.

Remember, with a good portfolio and a smart client (IE, not poor, not blind) the lowest bidder does not always win.
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Nov 25th 2003#130435 Report
Member since: Mar 18th 2001
Posts: 6632
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Nov 25th 2003#130437 Report
Member since: Jun 20th 2003
Posts: 1203
Charge 25-50 dollars an hour. That is a good entry level rate.

Or, depending on the scope of the job, or your desperation for money, charge 800 dollars for the design and coding. If they want something changed, or need you to update it they can be charged your hourly rate.

Also, it's kinda wierd once you are outside of design circles where not everyone knows what a template is or how to get one, designs go for a lot more money than you would think. My advice would be: think about a fair price for the website, then add $200. It sounds like gouging, but if you are like me and tend to underestimate it's a good idea. And don't do this unless you know the company is not strapped for cash.

Also, "How to Start a Home Based Web Design Business" would be a great book to pick up.

And I have a contract made up that you (and anyone else) can use. You can find it over here: www.swankstudios.com/dump
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Nov 25th 2003#130442 Report
Member since: Mar 18th 2001
Posts: 6632
By the way it really isn't legal to discuss actual prices... something about price fixing or something. Vague discussion is better... Not, charge x amount of dollars.
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Nov 25th 2003#130457 Report
Member since: Mar 18th 2001
Posts: 1604
just fyi, that's not entry level, except on the lower end.

i tend to charge per project as opposed to per hour. why should i make less money if i'm faster than the next guy? sometimes i'll look at what i've bid a client at and my rate does seem high, then i think about all the time i'll spend in meetings, doing site planning, talking to them about the project, and answering e-mails and i realize where a lot of that project time goes.

chris
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Nov 26th 2003#130469 Report
Member since: Nov 14th 2001
Posts: 1297
Listen to Mattboy and Fig, they're right on the money... Not every situation will be the same. I tried the fixed rate thing, and it just caused more headaches than anything. Charge whatever you feel comfortable with.

I typically charge about $1000 for a site, and about $45-$75 per hour, and anywhere between a case of beer and $500 for a logo.(you wouldn't believe how many people owe me beer! :()
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Nov 26th 2003#130580 Report
Member since: Oct 6th 2002
Posts: 1003
Yeah, in this case (fotunately) it's just a logo, and furthermore, it's just text as well. fortunately, being that I have a relatively good rapport with this company, as well as this specific person, it's likely that I will be able to raise my rates without too much of a problem on future jobs.
Telemakhos:Charge 25-50 dollars an hour. That is a good entry level rate.
Fig:just fyi, that's not entry level, except on the lower end.

Really? Wow...see, aong all the graphic designers I know, and given that Rochester, the city I live in, has the WORST tech market you can imagine, I wasn't really aware of that pricing set-up.

I think that once I'm a little better established, I'll up my rates to something in that ballpark.

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Nov 26th 2003#130581 Report
Member since: Sep 7th 2002
Posts: 928
Good, Cheap, Quick.

Your client gets two of the above.

If its good and cheap its not going to be quick.

It its Cheap and quick its not going to be good.

And if its quick and good its not going to be cheap.

Nice phrase I picked up in business practices.
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Nov 26th 2003#130589 Report
Member since: Jun 20th 2003
Posts: 1203
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