This one is directed at the photography community, but if you’re someone who would consider hiring one in the future you might find this of interest as well.
So you’ve shot for quite some time as a hobbyist, got yourself a portfolio going, and are finally beginning to charge for photo shoots and you’re wondering how you should set your rates. If you’re like most people starting out you’ll choose to offer your services at rates much lower than the market average and you’re wiling to give a lot as well: e.g. all your images in high res. as opposed to a few.
Although it might make sense to some degree to charge little hoping that your clients will be attracted by cheap prices, this system is probably the last you want to consider.
Here’s 7 reasons why*
1. You’re competing on cheap prices as opposed to quality. Your cheap pricing becomes the main selling point of your photography and not how good your work actually is. Unless you don’t believe in the quality of your work (if that is the case then maybe you shouldn’t be charging at all), you should consider setting your rates to something that’s proportional to the quality of your images. Remember you’re not just doing it for money but for yourself too, because how are you supposed to value your own work when you’re charging the same rates as that $50 head shot photographer on Craigslist?
2. The majority of photographers out there compete on price, and there are a ton of them. All you have to do is visit the “creative services” section in Craigslist on any given day to find out just how many so-called professional photographers there are and how little they’re willing to charge. You’ll even find some who are willing to shoot for free, and how on earth are you supposed to compete with them? The answer? You can’t so don’t even try.
3. The clients you attract aren’t going to pay you much. There’s a saying that goes “you’re the average of the five people you spend the most time with.” The same principle applies to your income. You’re only going to make as much as what your clients are capable of paying you, and if you continually book clients who value quantity over quality, you’re going to remain a starving photographer for a long time. I’ve heard people try to argue that if you charge less you’ll have more clients flocking to you in droves, but based on my experience and what other professional photographers have told me, this is very rarely the case.
4. You’re not Walmart. Although I haven’t seen it myself, Walmart apparently offers very affordable photography services to its shoppers where the former doesn’t make any profit. So how does Walmart get away with it? They charge ridiculously low prices for one type of service (referred to as loss-leaders) and make money from other products. IKEA does this too with their $1 breakfast (which is awesome btw). Sure they might lose $2 on those eggs, hash browns, and sausages you just had, but if they make a profit of $10 on something else you end up buying as a result… you get my drift.
5. You’re killing your own market. If you price low, then many of your competitors will price even lower, and the cycle continues until everyone is bankrupt and ends up losing. This is a very basic marketing principle that you should remember.
6. Most clients trust price over quality of work. In a perfect world, we’d be able to completely rely on clients to determine what constitutes bad photography and what constitutes good photography. Of course, this is rarely the case. When people lack the expertise to distinguish the awesome from the mediocre, they’ll default to an indicator they trust: price. So if the images of two different wedding photography studios was perceived as being equal in terms of photographic talent but one charged say 25% more than the other, who do you think is likely going to get hired? You bet, the guy who charged more. Why is this the case? Because people typically value confidence and quality over price.
7. What you charge won’t even cover your Cost for Doing Business (CDB). To a lot of photographers, earning say $50 for a one hour portrait session sounds appealing. Of course, what clients usually don’t realize is what goes on “behind the scenes”. The time you spend uploading your images, retouching them, putting them onto a CD, and not to mention all that time you spend traveling and writing emails.
But it doesn’t end there.
Your website, business cards, magazine subscriptions, taxes, accounting fees, studio rental fees, insurance, camera equipment and the depreciation of it after repeated use; these are all costs you may need to pay for when running a photography business. And if you ever hope to break even, let alone make profits, you should find out what your CDB is and set your prices accordingly. If you’re used to competing on price, it should turn out to be a number that should scare you. How appealing does that $50 sound now?
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Anyway if I didn’t make this obvious enough already, my take-away-point is this: set your prices to what you believe you’re worth and use the extra income from each gig to provide nothing less than amazing service. In the end you want to be known for quality and not quantity.
*Although much of what was written here is experience-based, I am also indebted to David duChemin’s book “Visionmongers” for much of my insight.

















