Price Packaging 101
To value your services at an amount that seems reasonable for you and your client, reduce the expected output to its basic unit and place a price tag on that.
Here’s what I mean: recently, while negotiating with a client over a freelance writing gig, I got the total required number of words (a usual metric in the freelance writing industry), and used that as a basis for my rate. By pricing per word, my services seemed a lot cheaper.
For example, let’s say I was asked to write 7,000 words over a month. I then charged around $0.05 per word, rather than $350 for the whole project (7000 words times $0.05). 5 cents a word sounds a lot more reasonable than $350, don’t you think? Yet earning $350 for a month’s worth of work sounds pretty good to me. Where I’m from, that can feed a family of five for two months.
In other words, by basing your asking price on the most basic unit of your output (word), your potential client may be more open to your proposal. That’s because he’s more aware of your low per unit rate, instead of the significantly larger-looking sum. Even if they’re ultimately equal.
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POSTED IN: Living as a Freelancer, Marketing Your Skills, Useful Info
6 opinions for Price Packaging 101
Vyoma
Jul 5, 2007 at 9:29 am
If it is a writing job - then that would be the prudent thing to do. Many things can be brought down to units.
But sometimes - like design jobs - they can be quite difficult to break down.
Rico
Jul 5, 2007 at 6:11 pm
Very true. But I think this approach can work if you use hours as your unit. :)
Vyoma
Jul 5, 2007 at 6:13 pm
:) That is what I ended up doing (after that brief discussion with you - thanks again for that).
Rico
Jul 5, 2007 at 6:18 pm
No problemo! So obviously you got the contract? :D
Vyoma
Jul 5, 2007 at 6:19 pm
Yeah. :)
Rico
Jul 5, 2007 at 6:31 pm
Great! Good luck with it. :)
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