Angela Pointon is the founder of Steel Toe Images. She inspires photographers and other creative people to kick major butt through her consulting sessions, blog, emails, workshops and her first book (coming soon), called “ A Swift Kick In The Pants: Business Smarts For Us Creative Types”. Follow Angela on Twitter or on Facebook.

Should You List Your Prices, And If So, Where?

Pretty much every photographer I meet asks me this question. And whether you’re just starting out or have been around for years, it’s something that challenges many.

Never In Expensive Print

A photographer I met with recently was about two years into the business. They thought that glossy brochures were a mandatory marketing “must” and printed a boatload when their business first launched. That was mistake #1. Mistake #2 was printing them with prices mentioned. When you need to increase prices (which they did), those brochures become useless. Ouch.

Price sheets should be printed off one or two at a time, never more. As your business grows, your price will typically increase. You never want to have a price written somewhere that isn’t easy to change.

Maybe On Your Website

If you receive most of your business through referrals, these consumers already have a price point in mind, because they probably already asked your past client. But if your business is a blend of referrals and completely fresh clients, you might be thinking that pricing can help attract them to you.

Consumers are busy these days. If you do not list your pricing, some will be frustrated that your price isn’t listed publicly for the entire world to see. So if you aren’t going to list prices (more on that in a minute), make it very easy for them to request it. Have your phone number and a quick form on the website (asking just a 3-4 questions… not a gazillion) and respond within 24 hours with an unbelievably well written and remarkable email or amazing phone conversation about what makes your business different. Attached to that, include your most recent price list.

But Seriously, Why List It?

Now we get to the why. Why… I mean, really… why list pricing on your website? What do you feel it is going to accomplish? You do not want someone choosing you based on price. So why go there right away?

If you and I were going on a date, I wouldn’t ask you how much you were planning on spending on me the first time we met. And you shouldn’t let people be so rude as to judge your value from a website visit alone, either. After all, what makes your business unique and what establishes your value is so much more than a price.

But ignore me if you must. If you’re going to list prices, be a tad vague. List starting prices and clarify that exact pricing will be provided. Give yourself the opportunity to at least engage with them, discuss your style and what you have to offer before you can have the only deciding factor be price.

Don’t Wait Too Long

If you do decide to remove pricing from your website, telling a potential client your pricing at a face-to-face meeting is too late. You’ve already invested time in them, and remember: you are qualifying them as much as they are qualifying you. Before you sit down with anyone, communicate how you’re unique and what you have to offer, and state your typical pricing range or send them your pricing sheet. Ask them if it’s within their budget. If it’s not and they aren’t willing to adjust their budget to afford you, you’ve saved yourself a ton of time. Spend that precious time on more qualified clients, instead.

How has listing or not listing prices worked for you or against you? I’d love to hear your stories!

Tara Gentile, a thought leader and creative business coach. She brings creative thinking to branding, product development, and marketing that incorporates both strategy and high touch design. Her approach to business in the You Economy resonates with MBAs, PhDs, and graduates of the school of life. She writes frequently for the Daily Worth, Design*Sponge, and Etsy. Bestselling author, Jonathan Fields, named her blog a Top 22 Single-Voice Business Blog of 2012. She’s the author of several popular digital guides including her latest on the relationship between personal art and money, The Art of Earning.Visit her websites: Reclaiming Wealth and KickStart Labs

1) You project a tremendous sense of discipline. Who do you attribute this trait to? Your mother, as you say, instilled in you the habit of saving. So, she would be my first guess.

I think you're right – my mama taught me discipline. Her business – she supported my brother & I as a seamstress – was driven by her values & personal priorities. She wanted to be present in our lives as much as humanly possible: picking us up from school, attending softball games, being there when we were sick.

So naturally, she found the discipline to work at the wee hours of the morning to get a batch of alterations complete or the strength to canvass the wealthy neighborhood a few minutes away with flyers about her business.

I think her disciple also emanates from just how much she loves & is challenged by her work. She still owns a sewing business even though she doesn't need to work. She truly wants to be at her sewing machine crafting new garments & altering old.

My discipline is very much the same. I want to work as hard as I do. I want to provide for my child. I want to model entrepreneurship & self-determination for my child. I'm also driven to discipline by my clients because I want to serve them at my highest level all the time.

But my personal discipline is also paired with a deep appreciation for time off. I don't push myself through “not feeling like it.” If I don't feel like it, there's a reason and I respect that reason. I do something else instead — even if that something looks frivolous on the outside.

I work hard & I play hard. It's a good life and one I'm happy to lead.

2) If I can speak for photographers as a collective, I would say we sincerely believe we can be both profitable and pursue our art. But we also a lot that gets too easily derailed. What would your advice be to stick to the path we initially imagined we would be on?

First, make sure you're not trying to do more than you can for the sake of money. Photographers (and web designers and web developers) all fall into the category of trying to work too much. As in, you try to accumulate too many billable hours. You work more to make more money because that seems to be the easy way to do it.

How can you make more money working less? Charge more for what you do. Create other revenue streams (i.e. sell prints at the right price, create books, diversify your services). Run your business smarter (i.e. create systems for referrals)

Second, make sure you're differentiated within the market. If where you shine is taking pictures of families with small children, make sure everyone knows that's your specialty. If you're the master of black & white, show that on your website and have a “no color” policy. You'll be able to charge more for your best work instead of making less doing more things.

The average joe doesn't know the difference between you and the 50 other photographers in your geographic area. Make it obvious. Show average joe that you understand his unique needs. Be the best match or tell him to go somewhere else.

3) In your seminal ebook, The Art of Earning, I get the feeling you are giving us artisans permission to pursue our dreams, which includes honing our craft and creating a sustainable lifestyle for ourselves and our families. Am I reading that right?

Yes! And right there you've hit the nail on the head. It's a two fold mission in becoming a thriving artist:

a) Hone your craft. Get better at what you do. Don't just learn about business — learn to become a better artist! Keep up with trends, invest in equipment, learn new skills.

b) Create a sustainable lifestyle. Make the money you need to live the way you want to live. Nothing is out of your grasp if you name it & work towards it. Don't aim for getting by, don't aim for working 100 hours per week. Aim for sustainable and thriving.

4) You say “transformation is valuable” and I agree. But who gets to place value on that transformation? Let's say a wedding client of mine is looking at a picture I took of her and her late grandmother on the dance floor. How does one put a dollar value to that emotion the bride is feeling at that moment? And how is that value conveyed to my client without sounding like a used-car salesman?

This is one statement from the book I might back pedal on a bit today. Not because it's untrue but because it needs context.

People don't actually buy “personal transformation.” No one believes there is a lump sum of money they can plop down & become better, smarter, richer, or prettier because of the service they've just bought. However, overall transformation is something that can be broken down into its parts. Those parts can be bullet-pointed, named, and price tagged.

For a photographer, transformation may be seeing yourself as you've never been seen before. It might be capturing the beauty of friends & family gathered 'round. It might be providing the best souvenirs from a moment in a child's life.

No kidding, there is no set fee for “the bride & her late grandmother on the dance floor” but that doesn't mean the fee should be low just because it's a beautiful moment either. Charge what you need or want to charge and then back it up with the language that you use to describe the service that you offer.

Break what you do down into tangible bits. Let people feel into having you as their photographer and give them a sense of what both the experience of being photographed & the experience of seeing the photos will be like.

Don't worry about sounding like a used car salesmen. This is ridiculous! You're not a used car salesmen. You weave beautiful stories when you talk to friends about what you do – weave those same stories for your potential clients.

Then say with confidence, “This is my fee.” And give them the space that they need to say, “Yes.”

5) Is having or making that “third choice” – beyond saving/investing or spending it on “stuff” – the driving force behind the art of earning? Also, do you recommend you declare this third choice to your clients so that they understand WHY you are doing what you are doing for you and your business?

Yes, the art of earning is always about earning with purpose. It's not about earning more for the sake of earning more — and it's not about earning enough to “get by” or “have just enough.” If you've built your business with a big ambition, and I hope you have, then earning money is a byproduct of working towards that big ambition.

The more you serve, the closer you come to your ambition, the greater your realize your purpose, the more money you stand to earn. Not in a drain-'em-til-they're-dry way but in a whole-hearted people-see-the-value way.

6) In a world where there are other artisans also providing a similar service, how does one distinguish oneself? Is it by clearly defining how we will deliver either an experience or product full of meaning to the client?

First – let me say – differentiation is so important! It's probably the biggest thing standing in between you and more money, you and better clients, you and full artistic self-expression. It's true!

I could talk all day about differentiation but I want to define it in two ways today:

First, your values define you. What are your values? How do you prioritize? What makes you stand up and say “yes!”? My values include wisdom, excellence, and equality. I know I resonate with someone else's work when I see those same values echoed back at me. I can instantly align with both their purpose & their modality.

Talk to me in values. Tell your story in values. Explain your process in values. Give me something to say “yes!” to.

Second, your value drives you. What are you really selling? What are people really paying for? Understand your value from your customers' perspectives. Interview them about how they received your services and what was important to them in the experience.

Don't paint in broad strokes. Use fine detail. Share others' experiences and allow me to see myself in their examples.

7) How much does faith personally direct you to help people?

Great question. Up until about 6 months ago, I didn't realize how much my faith & my previous academic study of that faith had carried over into my business. My faith not only directs me to help others but has shaped my whole outlook on business & the commercial system.

Especially observant folks have noticed that I have “Bonhoeffer chick” in my Twitter bio. Bonhoefferchk was my first blogging handle. But the theology of Dietrich Bonhoeffer is also the theology I ascribe to personally. That theology has also directly impacted my approach to business.

Bonhoeffer posited that “Jesus is a being for others.” Jesus' sole purpose was to live his life for others. While great self-love & self-acceptance is a necessary part of that kind of faith, it manifests itself outwardly in service. That's the kind of business I know seek to run and the kind of business I direct my clients to run, as well.

Yes, you must self-express through your great work. Yes, you must have a high self-worth to increase your net worth. But in the end, it's service of others that pushes you onward. It's service that defines your success. Your work exists for others not merely for yourself.

Those are the kind of businesses I want to see in control of the new economy.

Are YOU part of the “new economy” that Tara mentions? I highly recommend you follow Tara Gentile on Twitter. Sound off below to tell us what you thought about this interview. If you would like more such interviews, please help me spread the word. Thank you!

Today's guest post is by Jared Bauman who has built a photography studio in Southern California that photographs over 200 events and sessions annually. In business for a decade, Jared's clients fly him across the world to document their big events. Jared is a Co-Founder and President of ShootDotEdit, the #1 post processing partner for the professional wedding photographer. Known for his business background, Jared has released several educational DVDs and tours the country speaking to photographers about their small business. Follow him on Twitter.

Think Like An Owner

Mention that you’re a small business owner to anyone, and more than likely the response is along the lines of “Wow, you must make a lot of money and have a lot of time off!” Contrary to popular opinion, being a business owner seems to be synonymous with being a jack of all trades and master of none. Being a small business owner is overwhelming, time intensive, and all consuming.

In his book “The E-Myth”, Michael Gerber talks about going to work ON your business, rather than IN your business. By stepping back and watching your business, you learn to develop a system that will work outside of you. Systems don’t make mistakes … Only people do. So by developing a system, you can ensure that your business will run smoothly and effectively, providing the best possible product and experience for your clients.

Think of how much time we waste each day. Imagine if you weren’t the owner of the business … But merely just an employee. What would the owner think of how you spend your time on a daily basis? Are you working just to get things done? Or are you going to work and acting like an owner, working on tasks that only an owner can to grow and advance the business?

Determine the tasks in your business that only you can do. Spend time developing a system at your studio. It takes a lot of effort. But, by creating a manual for your systems and operations, you’ll be on the path to working ON your business, rather than IN your business. And this is where you’ll experience all of the freedom that small business owners dream about.

Efficiency

As small business owners, we are responsible for every part of our business. Most days, we juggle email, phone, calendar, billing, editing, production, IT … All in addition to our busy shooting schedule!

Because of this, becoming hyper-efficient at the tasks we are required to do becomes imperative. If we HAVE to do the task (reference the previous entry for more on that), then we need to perform the task as quickly and efficiently as possible. This is the only way we’ll be able to spend our time growing our business, rather than just operating it.

Here are some great tips for becoming more efficient in your daily tasks:

1) Set up Drafts and Rules in your inbox to handle frequently asked emails. Typically speaking, most of the emails we receive … We’ve answered before. Save your answer as a Draft, and next time you get that same email, copy it over as a response. Add a personalized intro and close, and send it off!

2) Utilize Rules to sort through emails that you can delay for later.

3) Utilize shortcut keys. Apple has a well-developed set of shortcut keys, along with Gmail. Shortcut keys can shave minutes off of your daily activity, but these add up to hours each week. You can see what that adds up to each year.

4) Take advantage of software like Text Expander to further reduce duplicated time.

5) Maximize your usage of a To Do list app, like Wunderlist or Things. Tasks that can be handled quickly (under 2 or 3 minutes) should be taken care of right away. Anything else is placed on your to do list, with a defined due date.

6) Much of this seems mundane and somewhat extraneous. However, if you can maximize efficiency on day-to-day tasks, you leave yourself able to do more of what you love…. And isn’t that what we all got in this for?

Pricing & Packaging

Pricing. It’s often the last thing we think about as photographers. We focus on our website, our branding. We pour over reviews of the latest gear, and try to learn how to light for every situation. Email monopolizes our time, and fulfilling client orders takes up our off days. And yet, pricing is one of the most important pieces of our small business.

Believe it or not, there is actually a science behind Pricing. From the beginning, you should set your goals BEFORE you construct your pricing. Do you know how much you want to work? Do you know how much you want to make? All of these things should be taken into consideration as you construct your pricing.

Confusion is usually the main reason prospective clients don’t book. Confusion enters the picture when the pricing is introduced. It might be confusion through the structure of the pricing, and they couldn’t find a package that suited their needs. Or maybe they were interested in an album, and there were just far too many options. Maybe they didn’t see an engagement session anywhere, it wasn’t in the packages, and they couldn’t find it on the a la carte list.

Simplifying the pricing process gives you a huge advantage when it comes to booking.

Here are a few tips to keep in mind:

1) Have an odd number of packages. This gives your pricing a “natural middle” point, which naturally guides your clients towards certain options.

2) Whenever possible … Less is more! Reduce the number of options available.

3) Don’t show them the whole menu. Save the details for later.

At the end of the day, keep it simple, and remove confusion at all costs. This will ensure you give yourself the best chance of booking the wedding, and working with the couples you really want as your clients.

This is a guest post by Andrew “Fundy” Funderburg, the creator of the Fundy Album Builder and Fundy Album Proofer. Please check out the free trials available at http://www.fundysos.com. If you were looking to design albums yourselves, I highly recommend Fundy's products.

I've seen many forum posts on pricing prints for photographers and they usually all end badly. There are those that defend the high price points due to labor, business costs and what the market will bear. And those defending the low end price points, focus on auto-fulfillment, and what the market is willing to pay.

So who's right? Well the answer is simple, both price points are correct?

How can this be? Well, ‘correct' pricing is based only on two things.

1. What the market is willing to pay for something.
2. That a price is profitable according to retail pricing rules.

Let's take a closer look. It's pretty easy to find out if people are willing to pay a certain price for something. You simply throw it out there in the marketplace and if people pay money for it, then it is a viable price. You can move the price point up and down. When it goes down, more people buy it, when it goes up fewer people buy it. Pretty soon, you find the happy price point, quite a few buyers at a profitable price point.

What is profitable? Well, according to the Professional Photographers Association of America, you'll want to have at least a 35% cost of goods mark up to be profitable – that is, pay your bills, run a profit and grow your business. A 35% cost of goods, simply means that for every $1.00 you make, it costs you 0.35¢. If you sell ice cream on the street corner, and you buy it for 0.35¢ and sell it for $1.00, then you have a 35% cost of goods.

To get retail pricing of goods, simply take your costs and divide by the percentage (35%=0.35). So, if something costs you $10 to create for your client:

$10 ÷ 0.35 = $28.50

We'll use this simple formula to prove both arguments are correct. We did this recently in a speaking engagement we had at ProDPI headquarters. We were using our new pricing program, Prosper™ during the demonstration.

Here in our settings, we have our cost of goods set at 25%, a good COG for an established photographer. We've also estimated our hourly rate in our studio for the work we do.

Now, let's look at two scenarios. The first being a photographer who is selling art prints for a portrait sitting or of the bride and groom in a posed shot. This is a special order, the photographer is going to retouch the print, have it shipped to the studio and the bride or groom (probably the bride) are going to come in and pick it up.

As you can see we've calculated that we spend 15 min. finding, opening and retouching the image. We've set aside 10 minutes contact time with the client on the phone and 10 minutes time meeting the client in the studio to chat and $5 for shipping to our studio. Prosper™ has done the math for us, and calculated all of our costs and divided by 0.25. The total is $57. I'm going to just round that off to $60. So, you can see that with this business scenario, $60 for a 4×6 is the proper amount. And if the photographer educates the client about the quality of the print, it should sell.

As you can see, quite a bit has changed here. In this scenario, we've used numbers for an auto-fulfillment. This photographer shoots the wedding, does minimal batch retouching with an action and uploads the whole wedding for anyone to buy. After that, they are done. We've added the price of the print to the calculation and allotted 5 minutes for a quick call or email if the client asks about the delivery of the print. As you can see, Prosper™ has done the math for us and come out to $7 for a retail price on this print. I've rounded down to $6 for the purpose of this discussion.

So, as you can see, depending on how your run your business, $6 or $60 can be the right price for a 4×6 print. It all depends on how much work you are putting into the final product. The only mistake you can make is creating a fine art print and pricing it like an automated fulfillment print.

The simple matter of fact is, if you know your cost of goods then calculating your pricing is easy Junior High School math.

Prosper™ is a product of Fundy Software. You can find out more here about a free trial and the limited time pricing special happening right now.

This is a guest blog by Sean Low, President of The Business of Being Creative which “provides practical business advice to those in the business of being creative.” You have got to follow Sean on Twitter.

Of all the issues confronting creative businesses, photographers included, pricing tops the list. Always. What to charge? How to charge? Can you charge? When to charge? If only there were a right answer. Unfortunately, there is not. However, there is definitely a wrong answer.

If you are not transparent and do not have a pricing model that supports your philosophy, you will go broke in a hurry. Why? You will never be able to create the trust with your client necessary for you to do your best (or even adequate) work. If you are trying to “bury” expenses and/or profit in a single number or “package”, your clients will sense it and will (rightfully) question your integrity. They will be waiting for the other shoe to drop, even if there is no shoe. So the better question to ask yourself is: have I communicated the value of my art and does the way I do things support that value.

You can earn a fair return if you a transparent with your pricing and your business model.

Fundamentally, photographers are in two businesses: 1) selling the act of creating the image; and 2) selling the products derived from the image (i.e., prints, albums, etc.). In a perfect world, a photographer would be able to make money on both businesses. However, in the digital age and with competition the way that it is, it is increasingly difficult to earn a fair return on your investment of time and energy in either business.

The pricing pressure on the act of creating the image has never been greater. You need only take a look at Groupon offerings by photographers to witness the price of creating an image approach zero. On the other hand, services like the Album Boutique make it very difficult to extract value from selling products associated with an image. Moreover, many clients are placing photographers in the very difficult position of having to give up control of their art and just turn over a CD of hi-res images. Just say no.

To move forward, you have to bring integrity to your process. You can earn a fair return if you a transparent with your pricing and your business model. You should be able to say to your client that this is what you need to create your images. If it means having a second or third shooter, then you should lay this out too. Despite what you might think, clients do know you are in business and have to pay things like rent, utilities, payroll, etc., so if you do tell them that you charge say fifty percent on your and your staff’s time they will probably accept it. Likewise, if you require a certain quality of album be purchased (it is the legacy of you and your art after all), they will likely accept that too. Again, you are entitled to earn a fair return on your investment of time and energy – enough to sustain your business. The key is to be transparent to what that is with your clients. Transparency builds trust and is really the only currency you trade in.

Ignore those that would compete with you solely on price. Focus on what you offer and why you do things the way you do. Be uncompromising when it comes to the integrity of your art and completely transparent in what it takes for you to create it. Your ultimate value has nothing to do with the price you charge and everything to do with how you communicate. Those clients who need (read: not just want) your vision will pay for it. It is up to you to move them from want to need.

It's your turn to sound-off. What are your challenges when presenting pricing to your clients? How do you approach pricing – is it transparent or do you make it difficult for your clients to get a good read on you and your business? What issues do you encounter when discussing pricing with your clients?