Pricing is one of the main issues that keeps a business small and prevents expansion.
Most businesses I work with have a problem with pricing. The smaller the business, the bigger the problem.
Nigel Botterill, owner of the hugely successful “The Best of” franchise as well as several other businesses summed it up beautifully in a talk in Cambridge recently. He described a scenario around a family celebration that involved having 300 irreplaceable photographs and slides scanned and put on a DVD in order to put them in a book. He was told the job would take about 10 days. Nigel asked the audience what they would charge to do that job.
What goes through your head when you are asked for a quote?
Are you worried about overpricing? Do you think its better to have plenty of work and make just a little profit rather than risk losing the work? What would you charge? How would you approach it?
- Do the sums on a day rate x 10?
- Work out a price per photo and a price per slide?
- Do you have a different way of approaching this pricing issue?
The answers in the room varied from a few hundred pounds to £5k. What do you think?
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