asmp south florida, pricing & negotiating

PRICING & NEGOTIATING For Commercial & Editorial Photographers

ASMP South Florida Saturday, January 26, 2013

Bill Cramer/CEO

Before we get started:

Thumb drives.

Handouts.

Ask questions.

Provide feedback.

Don’t be overwhelmed.

I’m not going to tell you what to charge.

Who are you?

Before we get started:

Thumb drives.

Handouts.

Please ask questions.

Provide feedback.

Don’t be overwhelmed.

I’m not going to tell you what to charge.

Who are you?

A photograph has no intrinsic value.

So how do you quantify it?

Copyright

Why Do I Need A Contract?

Terminology

Editorial Contracts

Commercial Estimates

Computing Fees

Computing Expenses

Questions

Responding to “Any Way We Want”

Negotiating Tips

Case Studies

Here’s what we’ll

cover

COPYRIGHT ▹  The right to reproduce or distribute an artistic work

COPYRIGHT ▹  The right to reproduce or distribute an artistic work ▹  You own the copyright as soon as you take a picture

COPYRIGHT ▹  The right to reproduce or distribute an artistic work ▹  You own the copyright as soon as you take a picture ▹  Commercial photographers don’t sell images, they license them

COPYRIGHT ▹  The right to reproduce or distribute an artistic work ▹  You own the copyright as soon as you take a picture ▹  Commercial photographers don’t sell images, they license them ▹  Client can only use your picture with a license

COPYRIGHT ▹  The right to reproduce or distribute an artistic work ▹  You own the copyright as soon as you take a picture ▹  Commercial photographers don’t sell images, they license them ▹  Client can only use your picture with a license ▹  This gives you tremendous negotiating leverage

COPYRIGHT ▹  The right to reproduce or distribute an artistic work ▹  You own the copyright as soon as you take a picture ▹  Commercial photographers don’t sell images, they license them ▹  Client can only use your picture with a license ▹  This gives you tremendous negotiating leverage ▹  Copyright Registration

WHY DO I NEED A CONTRACT? ▹  Too many variables

WHY DO I NEED A CONTRACT? ▹  Too many variables ▹  Everyone remembers conversations differently

WHY DO I NEED A CONTRACT? ▹  Too many variables ▹  Everyone remembers conversations differently ▹  You can’t assume your client operates the way you do

WHY DO I NEED A CONTRACT? ▹  Too many variables ▹  Everyone remembers conversations differently ▹  You can’t assume your client operates the way you do ▹  Without a contract, client has no rights, but they will assume they have all rights

WHY DO I NEED A CONTRACT? ▹  Too many variables ▹  Everyone remembers conversations differently ▹  You can’t assume your client operates the way you do ▹  Without a contract, client has no rights, but they will assume they have all rights ▹  Get it in writing, before the shoot

WHY DO I NEED A CONTRACT? ▹  Too many variables ▹  Everyone remembers conversations differently ▹  You can’t assume your client operates the way you do ▹  Without a contract, client has no rights, but they will assume they have all rights ▹  Get it in writing, before the shoot ▹  Avoids conflicts

WHY DO I NEED A CONTRACT? ▹  Too many variables ▹  Everyone remembers conversations differently ▹  You can’t assume your client operates the way you do ▹  Without a contract, client has no rights, but they will assume they have all rights ▹  Get it in writing, before the shoot ▹  Avoids conflicts ▹  Makes your terms enforceable

WHY DO I NEED A CONTRACT? ▹  Too many variables ▹  Everyone remembers conversations differently ▹  You can’t assume your client operates the way you do ▹  Without a contract, client has no rights, but they will assume they have all rights ▹  Get it in writing, before the shoot ▹  Avoids conflicts ▹  Makes your terms enforceable ▹  You can do it!

get comfortable with: ~terminology

~writing contracts ~negotiating with clients

TERMS: LICENSING AGREEMENT

TERMS: FEE + EXPENSES VS. FLAT FEE ▹  Photographers tend to underestimate shoot expenses

TERMS: ESTIMATE, BID, QUOTE

TERMS: COST OF DOING BUSINESS ▹  Fixed (overhead) expenses, variable (assignment) expenses

TERMS: COST OF DOING BUSINESS ▹  Fixed (overhead) expenses, variable (assignment) expenses ▹  Your cost of doing business should reflect your prices, not drive them

TERMS: COST OF DOING BUSINESS ▹  Fixed (overhead) expenses, variable (assignment) expenses ▹  Your cost of doing business should reflect your prices, not drive them ▹  Your overhead (whatever it is), is simply going to make you more

competitive in some situations and less competitive in others

TERMS: LICENSING VS. USAGE

CHARGING FOR USAGE ▹  Assignment fees are a function of time, usage and expertise

CHARGING FOR USAGE ▹  Assignment fees are a function of time, usage and expertise ▹  TIME determines the minimum price (value to you)

CHARGING FOR USAGE ▹  Assignment fees are a function of time, usage and expertise ▹  TIME determines the minimum price (value to you) ▹  USAGE determines the maximum price (value to the client)

CHARGING FOR USAGE ▹  Assignment fees are a function of time, usage and expertise ▹  TIME determines the minimum price (value to you) ▹  USAGE determines the maximum price (value to the client) ▹  EXPERTISE gives you competitive advantage and negotiating leverage

CHARGING FOR USAGE ▹  Assignment fees are a function of time, usage and expertise ▹  TIME determines the minimum price (value to you) ▹  USAGE determines the maximum price (value to the client) ▹  EXPERTISE gives you competitive advantage and negotiating leverage ▹  If you’re not charging for all three, you’re probably leaving money on the

table

TERMS: TYPES OF USE ▹  EDITORIAL ▹  COMMERCIAL


▹  Publicity

▹  Collateral

▹  Advertising


▹  Publicity – client gives photos to publications for editorial use

▹  Collateral

▹  Advertising



▹  Collateral – client produces and distributes a publication

▹  Advertising



▹  Collateral – client produces and distributes a publication

▹  Advertising – client pays to place photos in media

TERMS: MEDIA BUY

TERMS: SUB-CONTRACTOR VS. AGENT

ESTIMATES VS. CONTRACTS ▹  Editorial clients tend to work with ongoing contracts

ESTIMATES VS. CONTRACTS ▹  Editorial clients tend to work with ongoing contracts ▹  Commercial clients tend to want a separate estimate for each job

EDITORIAL CONTRACTS ▹  Yours or theirs?

EDITORIAL CONTRACTS ▹  Yours or theirs? ▹  Day rate vs. space

EDITORIAL CONTRACTS ▹  Yours or theirs? ▹  Day rate vs. space ▹  Flat fee plus expenses

EDITORIAL CONTRACTS ▹  Yours or theirs? ▹  Day rate vs. space ▹  Flat fee plus expenses ▹  Flat fee including expenses


▹  Normally for a period of time (avoid forever)


▹  Normally for a period of time (avoid forever) ▹  Sometimes just for one assignment at a time

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project ▹  Bundle usage with day rate or separate the two

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project ▹  Bundle usage with day rate or separate the two ▹  Itemize everything (at least to yourself)

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project ▹  Bundle usage with day rate or separate the two ▹  Itemize everything (at least to yourself) ▹  Specify items that the client is providing

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project ▹  Bundle usage with day rate or separate the two ▹  Itemize everything (at least to yourself) ▹  Specify items that the client is providing ▹  “Plus applicable sales tax”

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project ▹  Bundle usage with day rate or separate the two ▹  Itemize everything (at least to yourself) ▹  Specify items that the client is providing ▹  “Plus applicable sales tax” ▹  Use estimating software like BlinkBid or an invoicing application like Quickbooks

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project ▹  Bundle usage with day rate or separate the two ▹  Itemize everything (at least to yourself) ▹  Specify items that the client is providing ▹  “Plus applicable sales tax” ▹  Use estimating software like BlinkBid or an invoicing application like Quickbooks ▹  Send proposal as combined PDF with introductory email

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project ▹  Bundle usage with day rate or separate the two ▹  Itemize everything (at least to yourself) ▹  Specify items that the client is providing ▹  “Plus applicable sales tax” ▹  Use estimating software like BlinkBid or an invoicing application like Quickbooks ▹  Send proposal as combined PDF with introductory email ▹  Send treatment for big jobs, explaining your approach and capabilities

COMMERCIAL ESTIMATES ▹  Proposal: estimate, terms & conditions, delivery memo ▹  Price by the hour, by the day, by the image, by the project ▹  Bundle usage with day rate or separate the two ▹  Itemize everything (at least to yourself) ▹  Specify items that the client is providing ▹  “Plus applicable sales tax” ▹  Use estimating software like BlinkBid or an invoicing application like Quickbooks ▹  Send proposal as combined PDF with introductory email ▹  Send treatment for big jobs, explaining your approach and capabilities ▹  Review with a consultant, rep or friend

TREATMENT ▹  More detailed proposal for bigger commercial assignments

TREATMENT ▹  More detailed proposal for bigger commercial assignments ▹  Explains your skills, experience and client list

TREATMENT ▹  More detailed proposal for bigger commercial assignments ▹  Explains your skills, experience and client list ▹  Describes your technical and creative approach

TREATMENT ▹  More detailed proposal for bigger commercial assignments ▹  Explains your skills, experience and client list ▹  Describes your technical and creative approach ▹  Provides sample images and style references

TREATMENT ▹  More detailed proposal for bigger commercial assignments ▹  Explains your skills, experience and client list ▹  Describes your technical and creative approach ▹  Provides sample images and style references ▹  Summarizes production schedule

COMPUTING FEES ▹  Time

▹  Usage

▹  Expertise


▹  Pre-production, shoot, post-production

▹  Usage

▹  Expertise



▹  Usage

▹  Types of use - editorial, commercial (publicity, collateral, advertising)

▹  Expertise



▹  Usage


▹  Prominence - number of pictures, size of pictures, placement, size of client

▹  Expertise



▹  Usage



▹  Duration - how long they will be used (one time, one year, forever)

▹  Expertise



▹  Usage




▹  Geography – where they will be distributed (local, regional, national, international)

▹  Expertise



▹  Usage





▹  Volume - number of copies of publication, ad insertions

▹  Expertise



▹  Usage






▹  Exclusivity - how long before photographer can license the pictures to another client

▹  Expertise



▹  Usage







▹  Credit

▹  Expertise



▹  Usage







▹  Credit

▹  Expertise

▹  Technical, creative



▹  Usage







▹  Credit

▹  Expertise


▹  Connections, experience



▹  Usage







▹  Credit

▹  Expertise


▹  Connections, experience

▹  Uniqueness – how many other photographers could do this assignment?

COMPUTING FEES: RULES OF THUMB ▹  Editorial: $500/day vs. $500/page plus expenses (one-time print use, concurrent web use)


▹  Internal Corporate and event photography: $150-200/hour plus expenses (publicity and internal collateral use forever)



▹  External Corporate: $2500-3500/day plus expenses (for one year’s use)




▹  Catalog: $2500-3500/day plus expenses (use limited to that catalog)





▹  Advertising: $10,000/image plus expenses (1 year national advertising)






▹  A rough starting point – extrapolate from from there







▹  Hero image, supporting image (advertising)








▹  Many factors will add upward or downward pressure on value








▹  Many factors will add upward or downward pressure on value

▹  Every situation is unique (photographer, client, shoot) prices can vary wildly

COMPUTING FEES: SCALING Ad shoot National

1 year $10,000


1 year $10,000

2 years


1 year $10,000

2 years $15,000


6 months $7000

1 year $10,000

2 years $15,000

COMPUTING FEES: SCALING Ad shoot National International

6 months $7000

1 year $10,000

2 years $15,000

COMPUTING FEES: SCALING Ad shoot National International

6 months $7000 $14,000

1 year $10,000 $20,000

2 years $15,000 $30,000

COMPUTING FEES: SCALING Ad shoot Regional National International

6 months $3500 $7000 $14,000

1 year $5000 $10,000 $20,000

2 years $7500 $15,000 $30,000

COMPUTING FEES: SCALING Ad shoot Regional National International

6 months $3500 $7000 $14,000

1 year $5000 $10,000 $20,000

2 years $7500 $15,000 $30,000

Can also scale type of use, number of pictures, etc.

COMPUTING FEES: FOTOQUOTE

COMPUTING FEES: BLINKBID

COMPUTING FEES: GETTY & CORBIS

COMPUTING FEES: ASSIGNMENT VS. STOCK PRICING ▹  Stock pricing doesn’t always match assignment pricing ▹  Uniqueness, volume

COMPUTING FEES: PRINT VS. DIGITAL ▹  Editorial: web and tablet typically included in base fee

COMPUTING FEES: PRINT VS. DIGITAL ▹  Editorial: web and tablet typically included in base fee ▹  Commercial: still sorting out


▹  Case in point: Advertising in Time Magazine


▹  Case in point: Advertising in Time Magazine ▹  Print Version: full-page ad costs $170k (4m copies, 17m readers)


▹  Case in point: Advertising in Time Magazine ▹  Print Version: full-page ad costs $170k (4m copies, 17m readers) ▹  Website: $170k gets you 11m website impressions


▹  Case in point: Advertising in Time Magazine ▹  Print Version: full-page ad costs $170k (4m copies, 17m readers) ▹  Website: $170k gets you 11m website impressions ▹  Tablet: ads are no additional charge (audience only 25,000)

COMPUTING EXPENSES Assistant (150.00 – 500.00/day)


Digital Fee (about 300.00 for a web gallery)



Reproduction File Prep (25.00 – 50.00)




Digital Tech (about 500.00/day + workstation)





Retouching (150.00 - 250.00/hour)






Producer (500.00 - 750.00/day)*






Producer (500.00 - 750.00/day)*

Hair/Make-Up (600.00 - 900.00/day)






Producer (500.00 - 750.00/day)*

Hair/Make-Up (600.00 - 900.00/day)

Wardrobe Stylist (600.00 - 900.00/day)






Producer (500.00 - 750.00/day)*

Hair/Make-Up (600.00 - 900.00/day)


Prop Stylist (600.00 - 900.00/day)

COMPUTING EXPENSES Assistant (150.00 – 500.00/day) Food Stylist (900.00 - 1200.00/day) + food





Producer (500.00 - 750.00/day)*

Hair/Make-Up (600.00 - 900.00/day)




Digital Fee (about 300.00 for a web gallery) Studio Rental (500.00 - 1500.00/day)




Producer (500.00 - 750.00/day)*

Hair/Make-Up (600.00 - 900.00/day)





Reproduction File Prep (25.00 – 50.00) Location Scout (700.00 - 800.00/day)



Producer (500.00 - 750.00/day)*

Hair/Make-Up (600.00 - 900.00/day)






Digital Tech (about 500.00/day + workstation) Cameras, lighting, grip


Producer (500.00 - 750.00/day)*

Hair/Make-Up (600.00 - 900.00/day)







Retouching (150.00 - 250.00/hour) Wardrobe, Props, Backgrounds

Producer (500.00 - 750.00/day)*

Hair/Make-Up (600.00 - 900.00/day)








Producer (500.00 - 750.00/day)* Location Fees, Models*, Casting

Hair/Make-Up (600.00 - 900.00/day)









Hair/Make-Up (600.00 - 900.00/day) Certificate of Insurance, Permits










Wardrobe Stylist (600.00 - 900.00/day) Meals, Catering, Mileage, Parking, Tolls









Wardrobe Stylist (600.00 - 900.00/day) Meals, Catering, Mileage, Parking, Tolls

Prop Stylist (600.00 - 900.00/day) Vehicle Rental, Hotels, Airfare, Cabs, Tips

Client needs a quote?

Ask the right questions.

QUESTIONS: GENERAL ▹  CREATIVE ▹  PRODUCTION ▹  USAGE

QUESTIONS: GENERAL ▹  CREATIVE - What pictures do we need to make? ▹  PRODUCTION ▹  USAGE

QUESTIONS: GENERAL ▹  CREATIVE - What pictures do we need to make? ▹  PRODUCTION - What do we have to do to make them? ▹  USAGE

QUESTIONS: GENERAL ▹  CREATIVE - What pictures do we need to make? ▹  PRODUCTION - What do we have to do to make them? ▹  USAGE - How will the pictures be used?

QUESTIONS: GENERAL ▹  CREATIVE - What pictures do we need to make? ▹  PRODUCTION - What do we have to do to make them? ▹  USAGE - How will the pictures be used?

▹  Some questions you’ll ask the client, others you’ll ask yourself.

QUESTIONS: SPECIFIC ▹  What’s the shoot concept?

QUESTIONS: SPECIFIC ▹  What’s the shoot concept? ▹  What are we trying to say?

QUESTIONS: SPECIFIC ▹  What’s the shoot concept? ▹  What are we trying to say? ▹  Who is the audience?

QUESTIONS: SPECIFIC ▹  What’s the shoot concept? ▹  What are we trying to say? ▹  Who is the audience? ▹  Do you have a shot list, comps?

QUESTIONS: SPECIFIC ▹  What’s the shoot concept? ▹  What are we trying to say? ▹  Who is the audience? ▹  Do you have a shot list, comps? ▹  Who is the client?

QUESTIONS: SPECIFIC ▹  What’s the shoot concept? ▹  What are we trying to say? ▹  Who is the audience? ▹  Do you have a shot list, comps? ▹  Who is the client? ▹  What type of use (publicity, collateral, advertising)?

QUESTIONS: SPECIFIC ▹  What’s the shoot concept? ▹  What are we trying to say? ▹  Who is the audience? ▹  Do you have a shot list, comps? ▹  Who is the client? ▹  What type of use (publicity, collateral, advertising)? ▹  How many photos do you expect to use and at what size?

QUESTIONS: SPECIFIC ▹  What’s the shoot concept? ▹  What are we trying to say? ▹  Who is the audience? ▹  Do you have a shot list, comps? ▹  Who is the client? ▹  What type of use (publicity, collateral, advertising)? ▹  How many photos do you expect to use and at what size? ▹  Cover, inside (corporate, editorial)?

QUESTIONS: SPECIFIC ▹  What’s the shoot concept? ▹  What are we trying to say? ▹  Who is the audience? ▹  Do you have a shot list, comps? ▹  Who is the client? ▹  What type of use (publicity, collateral, advertising)? ▹  How many photos do you expect to use and at what size? ▹  Cover, inside (corporate, editorial)? ▹  Media buy - newspapers, magazines, billboards, POP, web, tablet (advertising)?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)? ▹  Geographic area (local, regional, national, international)?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)? ▹  Geographic area (local, regional, national, international)? ▹  What's the circulation (or print run) of the publication (editorial, corporate)?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)? ▹  Geographic area (local, regional, national, international)? ▹  What's the circulation (or print run) of the publication (editorial, corporate)? ▹  How many insertions and in what publications (advertising)?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)? ▹  Geographic area (local, regional, national, international)? ▹  What's the circulation (or print run) of the publication (editorial, corporate)? ▹  How many insertions and in what publications (advertising)? ▹  How long will you want the photos to be exclusive?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)? ▹  Geographic area (local, regional, national, international)? ▹  What's the circulation (or print run) of the publication (editorial, corporate)? ▹  How many insertions and in what publications (advertising)? ▹  How long will you want the photos to be exclusive? ▹  What level of production is appropriate (hair/make-up, wardrobe, props)?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)? ▹  Geographic area (local, regional, national, international)? ▹  What's the circulation (or print run) of the publication (editorial, corporate)? ▹  How many insertions and in what publications (advertising)? ▹  How long will you want the photos to be exclusive? ▹  What level of production is appropriate (hair/make-up, wardrobe, props)? ▹  Can you tell me who else is quoting on the job?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)? ▹  Geographic area (local, regional, national, international)? ▹  What's the circulation (or print run) of the publication (editorial, corporate)? ▹  How many insertions and in what publications (advertising)? ▹  How long will you want the photos to be exclusive? ▹  What level of production is appropriate (hair/make-up, wardrobe, props)? ▹  Can you tell me who else is quoting on the job? ▹  Have you established a budget?

QUESTIONS: SPECIFIC ▹  How long (one time, one year, forever)? ▹  Geographic area (local, regional, national, international)? ▹  What's the circulation (or print run) of the publication (editorial, corporate)? ▹  How many insertions and in what publications (advertising)? ▹  How long will you want the photos to be exclusive? ▹  What level of production is appropriate (hair/make-up, wardrobe, props)? ▹  Can you tell me who else is quoting on the job? ▹  Have you established a budget? ▹  How many shoot days does the job require?

QUESTIONS: FOR YOU ▹  Your contract or theirs?

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for?

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for? ▹  Are there special technical or creative skills required for the job?

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for? ▹  Are there special technical or creative skills required for the job? ▹  How complex or difficult is the job?

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for? ▹  Are there special technical or creative skills required for the job? ▹  How complex or difficult is the job? ▹  How many of your competitors could do the job?

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for? ▹  Are there special technical or creative skills required for the job? ▹  How complex or difficult is the job? ▹  How many of your competitors could do the job? ▹  What’s in it for you? (portfolio, experience, relationship, money)

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for? ▹  Are there special technical or creative skills required for the job? ▹  How complex or difficult is the job? ▹  How many of your competitors could do the job? ▹  What’s in it for you? (portfolio, experience, relationship, money) ▹  Will this job yield valuable stock photos?

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for? ▹  Are there special technical or creative skills required for the job? ▹  How complex or difficult is the job? ▹  How many of your competitors could do the job? ▹  What’s in it for you? (portfolio, experience, relationship, money) ▹  Will this job yield valuable stock photos? ▹  Can you do it on your schedule or do you have to do it on theirs?

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for? ▹  Are there special technical or creative skills required for the job? ▹  How complex or difficult is the job? ▹  How many of your competitors could do the job? ▹  What’s in it for you? (portfolio, experience, relationship, money) ▹  Will this job yield valuable stock photos? ▹  Can you do it on your schedule or do you have to do it on theirs? ▹  How busy are you?

QUESTIONS: FOR YOU ▹  Your contract or theirs? ▹  Is the intended use different from the licensing they're asking for? ▹  Are there special technical or creative skills required for the job? ▹  How complex or difficult is the job? ▹  How many of your competitors could do the job? ▹  What’s in it for you? (portfolio, experience, relationship, money) ▹  Will this job yield valuable stock photos? ▹  Can you do it on your schedule or do you have to do it on theirs? ▹  How busy are you? ▹  Do I need a signature or will an email confirmation suffice?

“Why can’t we use the pictures

any way we want?”

RESPONDING TO “ANY WAY WE WANT” ▹  Broader usage is more expensive, narrower usage is less expensive

RESPONDING TO “ANY WAY WE WANT” ▹  Broader usage is more expensive, narrower usage is less expensive ▹  Provide a licensing agreement that fits their budget

RESPONDING TO “ANY WAY WE WANT” ▹  Broader usage is more expensive, narrower usage is less expensive ▹  Provide a licensing agreement that fits their budget ▹  Sometimes a client wants to hide how they plan to use the pictures

RESPONDING TO “ANY WAY WE WANT” ▹  Broader usage is more expensive, narrower usage is less expensive ▹  Provide a licensing agreement that fits their budget ▹  Sometimes a client wants to hide how they plan to use the pictures ▹  Other times, they just don’t know

RESPONDING TO “ANY WAY WE WANT” ▹  Broader usage is more expensive, narrower usage is less expensive ▹  Provide a licensing agreement that fits their budget ▹  Sometimes a client wants to hide how they plan to use the pictures ▹  Other times, they just don’t know ▹  Mostly, they’re looking for convenience

RESPONDING TO “ANY WAY WE WANT” ▹  Broader usage is more expensive, narrower usage is less expensive ▹  Provide a licensing agreement that fits their budget ▹  Sometimes a client wants to hide how they plan to use the pictures ▹  Other times, they just don’t know ▹  Mostly, they’re looking for convenience ▹  Send two pricing options

RESPONDING TO “ANY WAY WE WANT” ▹  Broader usage is more expensive, narrower usage is less expensive ▹  Provide a licensing agreement that fits their budget ▹  Sometimes a client wants to hide how they plan to use the pictures ▹  Other times, they just don’t know ▹  Mostly, they’re looking for convenience ▹  Send two pricing options ▹  Don’t let a client tell you you can’t charge for usage (don’t be intimidated)

RESPONDING TO “ANY WAY WE WANT” ▹  What does your client really need? Structure “unlimited” in a limited way

RESPONDING TO “ANY WAY WE WANT” ▹  What does your client really need? Structure “unlimited” in a limited way ▹  Work for hire/transfer of copyright/buyout

RESPONDING TO “ANY WAY WE WANT” ▹  What does your client really need? Structure “unlimited” in a limited way ▹  Work for hire/transfer of copyright/buyout ▹  Any type of use, any medium, worldwide, forever, exclusive forever

RESPONDING TO “ANY WAY WE WANT” ▹  What does your client really need? Structure “unlimited” in a limited way ▹  Work for hire/transfer of copyright/buyout ▹  Any type of use, any medium, worldwide, forever, exclusive forever ▹  Publicity, collateral and advertising use, any medium, worldwide, forever, limited

exclusivity


exclusivity ▹  Maybe they need to use it everywhere but for a limited period of time


exclusivity ▹  Maybe they need to use it everywhere but for a limited period of time ▹  Maybe they need to use it forever, but just in one region

understand your client’s priorities

choose your battles

NEGOTIATING TIPS ▹  Put it in your own words

NEGOTIATING TIPS ▹  Put it in your own words ▹  Negotiating is about finding a “win/win”

NEGOTIATING TIPS ▹  Put it in your own words ▹  Negotiating is about finding a “win/win” ▹  It doesn’t need to be contentious or adversarial

NEGOTIATING TIPS ▹  Put it in your own words ▹  Negotiating is about finding a “win/win” ▹  It doesn’t need to be contentious or adversarial ▹  Don’t give up something for nothing (licensing/fee/expenses)

NEGOTIATING TIPS ▹  Put it in your own words ▹  Negotiating is about finding a “win/win” ▹  It doesn’t need to be contentious or adversarial ▹  Don’t give up something for nothing (licensing/fee/expenses) ▹  Never give a price quote over the phone

NEGOTIATING TIPS ▹  Put it in your own words ▹  Negotiating is about finding a “win/win” ▹  It doesn’t need to be contentious or adversarial ▹  Don’t give up something for nothing (licensing/fee/expenses) ▹  Never give a price quote over the phone ▹  Working for free or for cheap

NEGOTIATING TIPS ▹  Put it in your own words ▹  Negotiating is about finding a “win/win” ▹  It doesn’t need to be contentious or adversarial ▹  Don’t give up something for nothing (licensing/fee/expenses) ▹  Never give a price quote over the phone ▹  Working for free or for cheap ▹  Does the intended use match the licensing?

NEGOTIATING TIPS ▹  Put it in your own words ▹  Negotiating is about finding a “win/win” ▹  It doesn’t need to be contentious or adversarial ▹  Don’t give up something for nothing (licensing/fee/expenses) ▹  Never give a price quote over the phone ▹  Working for free or for cheap ▹  Does the intended use match the licensing? ▹  Production responsibilities (what can your client do to help?)

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose)

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose) ▹  Draw a box around the usage you want to allow for a certain price

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose) ▹  Draw a box around the usage you want to allow for a certain price ▹  Avoid vague terms like “buyout” and “unlimited”

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose) ▹  Draw a box around the usage you want to allow for a certain price ▹  Avoid vague terms like “buyout” and “unlimited” ▹  Be clear when you use the terms “digital” or “print”

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose) ▹  Draw a box around the usage you want to allow for a certain price ▹  Avoid vague terms like “buyout” and “unlimited” ▹  Be clear when you use the terms “digital” or “print” ▹  Web isn’t a usage, it’s a medium

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose) ▹  Draw a box around the usage you want to allow for a certain price ▹  Avoid vague terms like “buyout” and “unlimited” ▹  Be clear when you use the terms “digital” or “print” ▹  Web isn’t a usage, it’s a medium ▹  Low bid doesn’t always get the job

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose) ▹  Draw a box around the usage you want to allow for a certain price ▹  Avoid vague terms like “buyout” and “unlimited” ▹  Be clear when you use the terms “digital” or “print” ▹  Web isn’t a usage, it’s a medium ▹  Low bid doesn’t always get the job ▹  Share pricing information with other photographers

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose) ▹  Draw a box around the usage you want to allow for a certain price ▹  Avoid vague terms like “buyout” and “unlimited” ▹  Be clear when you use the terms “digital” or “print” ▹  Web isn’t a usage, it’s a medium ▹  Low bid doesn’t always get the job ▹  Share pricing information with other photographers ▹  Ignorance drives down prices

NEGOTIATING TIPS ▹  Bid vs. Estimate (heads I win, tails you lose) ▹  Draw a box around the usage you want to allow for a certain price ▹  Avoid vague terms like “buyout” and “unlimited” ▹  Be clear when you use the terms “digital” or “print” ▹  Web isn’t a usage, it’s a medium ▹  Low bid doesn’t always get the job ▹  Share pricing information with other photographers ▹  Ignorance drives down prices ▹  If you’re not willing to turn down a bad deal, you have no negotiating leverage

Case Study

The Penn Stater Magazine

Cover Shoot

- Brothers. Star basketball players.

- Cover, opener, table of contents.

- Posed, in action, with their family.

- What would you charge?

Case Study

Inc. Magazine Portrait

- Brothers who run online wine company

- One inside picture. Full page.

- White background.

- Sitting on wine crates.

- With and without wine glasses

Case Study

Corporate Event Shoot

-  2-day corporate event in Florida

-  Medium-sized Connecticut corporation

-  Medium-sized UK graphic design firm

-  Veteran Florida-based photographer

-  What would you charge?

Case Study

Lactaid Ad Campaign

-  Large New York ad agency

-  Medium-sized brand (part of big company)

-  3 ads (3 different models, each with prop)

-  1 day in studio

- 1 year consumer pubs, POS, direct mail, collateral, internet

Case Study

USAA Magazine Cover Shoot

- “Mug shot” concept with kids

- To illustrate story on identity theft

- Individual mug shot, line-up, seamless

- (USAA offers financial services for veterans and their families)

- What would you charge?

Questions?

Thank you!

(The End)

asmp south florida, pricing & negotiating

Business

thumb drives

shoot expenses

artistic work

terms enforceable

variable assignment

writing contracts

flat fee photographers

bill cramerceo