All language subtitles for 13 - DEVELOPING PRICES

One of the most asked questions

I hear is how do you develop your prices
and negotiate with your clients?

While there are some criteria to consider,
it is important that you understand

that there is no formula
and there are no rules to pricing.

Instead, your pricing is made up

based on a handful of criteria
that we will touch on in a moment.

What does the client want?

The best way to go about determining
the price is by figuring out

what the client fully wants.

There is no catch all price.

Every project
is going to differ in a price

depending on the scale of the project
and what criteria is involved.

Is travel involved?
How many days you are shooting?

What type of camera equipment
and do they want you to use?

Do you need a crew, Ernie,
to rent anything?

Do you need lights?

Once you've gathered
all the information from the client.

You can then A sees a

more accurate price for the project
and what it would be worth to you.

Here's the protip.

It's okay to give your client
a ballpark price range first,

but then ask for the details

of the project and more information
so you can give them an exact quote.

It's a lot like contractor
work on a house.

There is no set price.

They may have an average
figure to base off, but ultimately

they give the client a code.

Once they determine all the factors
that will be going into the job

budget breakdown, budget
breakdown can be intimidating.

I find that doing a breakdown of the costs
is the best way

to see what each department
and areas of your production are costing.

A breakdown will inform your client of all
the costs and what they are paying for.

The breakdown should reflect
all the factors

we discussed prior
rentals, location, crew, etc.

A breakdown is also helpful for you
as a director or creator

to see how much money
you have left for certain things.

Make some good money off the project.

Often clients will ask you
for a ballpark quote for the project.

Try proposing a statement similar
to your client to see what they stand.

Projects
like this could cost around 2006 thousand,

depending on the scope
and details of the project.

You have a budget in mind
that you are looking to spend.

Answer some of the questions.

Answer some of these questions
and I can give you a more accurate quote.

There is nothing unethical or wrong about
charging one client more than the next.

Just because you present

the piece doesn't mean
that they have to accept it with pricing.

The worst that can happen
is the clients say no.

Whether you are working with major clients
like national corporations, music labels

or commercial brand,

and all you are doing is working
on a small independent music video.

It's wise to break down what various costs
of the project and production will be

so the client can see and understand where
and how the money is going to be spent.