The confusion of pricing🤔

Why clients reject your quotes

I’m running a 7-figure web development agency.

• My clients are from the USA, DUBAI, UK, Australia, etc.

• I’ve designed more than 500+ websites

I’m sure some of you have reached this stage or you might have seen people talking about their agencies and thinking of what they are doing differently that I’m not doing as a freelancer.

I had screwed up so many times because when I started I did not have clarity on how much I should charge for my services and I believe 90% of freelancers go wrong at this point when it comes to charging right to clients.

• If you undercharge, you will feel underpaid and overwhelmed

• If you overcharge, you might scare your potential clients.

There is a very thin line between undercharging VS overcharging clients for your services.

Now how do you quote the right price?

Before thinking about jumping directly into sending quotations to your clients, first, you need to focus on:

Understanding your client's requirements.

As a freelancer or agency owner, it’s very important to understand

Source: Maria Corby

• What do your clients want?

• What details will be needed?

• How soon do they need it?

You need to scope out with your potential clients to understand their requirements because every project is different and every client is different hence every requirement and pricing will be different.

So what do you need to consider?

1. What exactly does the client want? How many pages are required? What kind of content will need to be included? The scope will largely determine the effort and the resources you’ll need to put into the project.

2. Is the client asking for a simple, minimalist design, or are they looking for something more complex and interactive?

3. Will the client provide the text, or will you need to create or edit content for them?

4. Are they expecting you to source images, videos, or other multimedia assets, or will they provide these items? Clear this up early to avoid confusion later on.

For example:

You are building a website for a dentist and they need a total of six pages, including a blog page that they can update regularly. But they also want you to handle content creation and help with branding. 

It will be easier for you to create a quote that is accurate and fair if you understand these specific needs from the beginning.

Now once you have all the details about your client's needs, you need to make..

Detailed Scoping

It’s important to clearly define your project details with your clients and your team because once you understand client details it’s important to scope the requirements in detail to avoid unexpected revisions, delays, and unhappy clients.

The clearer you can define the project requirements, the smoother the project will go—and the easier it will be to avoid disputes down the line.

Source: Wethos

For example:

At the start, they ask for a few basic pages, but midway through the project, they suddenly want to add a membership section, video guides, and a place for booking appointments. Without a detailed scope, you might find yourself doing a lot of additional work for free, or worse, losing the client when you try to renegotiate the terms.

A well-done scope allows you to say, “We initially agreed on a five-page website, but I’m happy to include these additional features for X amount more.”

So what do you need to consider?

1. Identify what the client will provide and what you’ll need to source or create.  

2. Make sure every page and feature is accounted for in your quote.

3. Once the project is in progress, significant changes should be treated as a separate addition, with clear additional charges.

Now once you have the client's requirements and the scope of the project, it’s time for you to send a quote or pricing your services.

Pricing your services

Here’s how you can quote:

Based on your requirements, we’ll build a six-page website including the following:

• Home page

• About page

• Client vision page

• Blog page (regularly updatable)

• Clinics information page

• Team members page

We will also create stationery for your new brand.

For all of the above, we’re charging $10,000.

Source : HubSpot

Now you also need to mention what’s not included to avoid any confusion when you have started working on the project.

What’s NOT Included

Clarity is king 👑

The mistake many web designers make is to only outline what is included. In order to avoid future misunderstandings, it's equally important to specify what is not included.

But why you need to do this? Because 

Clients often assume that certain services (like logo design, content or photography) are part of the package, but that may not be the case. 

For example:

• We will use your existing logo.

• Video shoots: This will incur additional charges.

• Customer testimonial shoots: Not included in the base package.

• Customer photograph sessions: Additional costs will apply if requested.

Tips for Quoting

It’s often a good idea to ask for the client’s budget range early on. If a client is expecting to spend $2,000 but you quote them $10,000, there’s a significant mismatch.

Ask thoughtful questions to fully grasp what the client needs. Sometimes, clients don’t even realize they need certain features (like SEO optimization or mobile responsiveness).

Offer Multiple Packages:

1. Comprehensive package: Six pages, full branding, blog setup, mobile responsiveness, and social media integration.

2. Essential package: Six pages and blog setup, but no social media integration or advanced SEO.

3. Bare-bones package: Three essential pages (Home, About, Services) with mobile responsiveness only.

Offering these options allows clients to choose what works best for them while ensuring that even your lowest-tier package meets your baseline standards.

Now the golden fish is: Upselling Opportunities

These are additional services that you can offer to enhance the client’s website, often resulting in higher project revenue.

1. If the client doesn’t have the time or skills to create content, offer content writing services for an additional fee.

2. Many businesses need regular blog posts or SEO optimization to maintain their web presence. 

3. Some clients may want their social media accounts linked to their site. 

4. Many small businesses could use a visual upgrade. If you’re not a branding expert, consider partnering with one to offer a full suite of services.

Be sure to clarify that adding services after the initial quote may not come with the same discounted price as bundled services offered upfront.

Pricing a web design project isn’t just about coming up with a number; it’s about understanding the client’s needs, scoping the project thoroughly, and being transparent about what's included and what's not. 

Remember:

1. Customer is king

2. Clarity is queen

Both goes hand in hand.

Thanks for reading, and keep designing with purpose!

Before we say the final goodbye to today’s topic, here are 5 Interesting things I came across last week 👇

1.  The Tough Future Facing Gen Z

2. A less sterile derangement

3. The Future of Inequality

4. The Looking Glass: The Curse of Perfect

5. Cracking PMF

If you liked the “reading experience” please share this with a friend. It would mean the world to me❤️