Everyone wants to earn more money even though he works or not for it. The attraction of big sums and raising rates of your projects always exist. It may sounds greedy but it does not change the fact. In the case of freelancers, they really want to ask for high price for their services, however; they could not do so because of fear of losing the client.
The questions about raising the price are natural and every designer has following question in his mind before quoting the final price to client. Am I asking less than actual worth of my work? Will client still willing to pay me quoted price? Can I sustain on selected pricing formula?
These questions are pertinent in one way or other, however; the truth is client runs way on the sight of big figures on received invoices. Keeping the issue in mind we thought of coming up with some help for our freelance designers who are trying to raise their rates without losing clients.
Deliver Well-Worth Services :
Suggesting anything other than your excellent services does not make sense. Once you have your client then proving yourself through the quality work is your biggest tool. There is no greater tool for selling services than proof. The moment you feel that you have delivered best you can ask him to re-think the rates. It is easy to raise your price right after a successful project delivery.
It has been seen that clients don’t really get impressed by the any single project and decline the price raise. In this situation the best thing to do is to showcase the previous successful projects in compelling way. It can be done by presenting numerous testimonials. Moreover, you can present some tangible proofs of your professional work. It would be great to have a CD of your previous client’s testimonials in which they can praise your quality work.
Determine Your Ideal Client :
Everyone talks about focus and concentration especially while executing a project or pitching a new client. The need of concentration does not require only at that time one should always be determined and idealistic towards his needs. As a designer/developer you should have some idea who your ideal client is because in long run your better client understanding will assist you in raising your rates.
It is not considered as a good option to pitch your new clients with general material which you have used for every client. When pitching your client about new rates you should make your client feel like your service was made for them so, focus on their previous and new requirements.
Targeting your clients according to their specific needs and fulfilling those needs will make it very easy for you to specify your niche for clients and charge much, much more.
Strategic Price Hike :
Professionalism is something which will always serve you in the best possible way. Talking about price hike one should never let go its professionalism and should not announce uninformed rate change. If you’re not sure how to start charging more the best option is to make a systematic plan of price hike. It would be good idea to change your rates periodically and inform your client about it. It can also be considered to revise your rates after completion of a specific number of projects for a client. The given options are not final, however; they are professional and help you to take this step forward.
Time is Money – Make it Happen :
Try to think novel in terms of raising your price. People most commonly pick smaller unit of time to charge more, whereas; it is not true in all cases. Charging your client for per hour or per project may not be a good idea. The best option for you is to have a look at your services and begin selling them in blocks of two, three, or even six months. This technique can bring good to you because with an hourly service, you have to constantly sell the next hour of service, however; a 3-month block can take the burden off you for whole time.
The other side of this picture also gives perfect scenery because there are many clients who would like to engage you for long term relationship. In such circumstances, it would be easy for you to state a new, higher price for your services.
The advantage for doing it in big chunks is that client won’t feel uncomfortable in making commitment for specific time. From client’s perspective he would be aware of taking maximum benefit in that time and may ask to execute more tasks.
From your perspective the plus point is that you will be freed from the worries of searching of new client every day who would pay you on hourly basis but you can focus on selling every three months or so. Moreover, you can efficiently deal with the problem of cash flow that many freelancers face because you will receive large payments in advance, which allows for better financial planning and increased stability.
Systematic Pricing System :
There is always another side of coin and in this case the other side of coin is to let your client decide what you should be offered but only from given options. In order to do so, I would suggest coming up with a pricing system to test what the market is willing to pay or to build your confidence in charging more.
For better understanding, let’s assume you are currently charging around $70/hour regardless of the job. At this point the system will help you to add variety which means you could offer a basic service for $70/hour, the basic package plus something extra for $100/hour, and all of the bells and whistles for $120/hour.
You will be surprised to see how many clients are willing to pay you higher. The magic behind this trick is to alter the mindset of client from, “Should I have you on this price?” to “What price should I pay you?” It means partially you are hired the rest is negotiations. The price level is not a good idea for hourly tasks, however; setting price tiers for projects or long-term work is just more useful.
Rethink Your Goals :
The most important thing to remember is that your rate is always determined by the value you provide and the results that you bring, not by how you feel about it. So, it is highly advisable not to think so much about relationship of high rates with high quality. The quality should never be compromised whereas one can abandon emotional attachment to the price that he charges.
Every day is a new day which brings more experience and knowledge to your existing expertise. It means asking for high price is your just right which should always be exercised. Nothing remains consistent and the price of goods and services all over the world continue to increase as time goes on. It’s the way business works, and your business should be no different than others while seeking price hike.