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Clients

Refusing to Sign an Estimate

Q:

When you tell us always to provide an estimate, what if they refuse to sign your estimate, saying legal will only allow them to work off their agreement? How do we respond to cover ourselves?

A:

The norm is for larger clients and ad agencies NOT to sign our estimates/bids/contracts as their legal department controls the company decisions. We cover ourselves by carefully reading through their SOW (statement of work) agreement, not signing any terms contradicting our arranged policies. Our estimates still protect us if it comes down to a legal matter, so use the protection terms wisely as our backup.

How Rates Are Based On More Than Your Time

Rate sheets, rate cards, and day rates do not have to be the same across the board. Rates are based on more than your time, amount of images, and usage terms. Your unique creative experience and the client’s budget affect your fees, making ‘one single rate’ for every project an incorrect business model system.

Day rates in the photography industry are not fixed and can fluctuate depending on various factors such as the artist’s level of experience, usage, and the client’s budget. Negotiation skills and a sales mindset are crucial in determining the day rate for a particular job. The assumption that day rates remain the same once a certain level of success is achieved is incorrect. There can be a range of prices to consider, and it is not necessary to stick to one specific price.

Additional Usage Pricing Options

Additional usage pricing options are the one client request which gives us more flexibility than the other bid costs since they do not add to the bid total. My approach is to come in higher on these since it won’t make or break a bidding situation, allowing the wiggle room to be lowered after we get the job.

Discussing the benefits of pricing oneself for additional options for usage when negotiating a photography job. By having control over additional usage terms, a photographer can negotiate for more options and flexibility in their fee. This allows for more negotiation and freedom, as photographers are not held to a strict usage amount in their fee. Furthermore, additional usage terms are optional and can be used as a bargaining tool to ask for more money or benefits. This approach can provide more financial security and opportunities for photographers in their industry.

Bidding Without Getting The Job

Q:

An international agency with a household name client has reached out to me to bid on five separate occasions to do a grueling bidding/treatment process, and each time I didn’t get the job for different reasons. How many times do you bid with an agency before you are to believe that they are only collecting a third or fifth bid from you?

A:

Bidding’s long-term goal is to keep yourself well-footed inside the agency doors with the ever-evolving creatives and clients. Repetitive bidding may indicate that you are in the door but must strengthen the relationships and your work to get further in. See the open door as an entry invitation. Invite them to dinner and ask the Creatives what they look for, taking your relationship to the next level.

Sales Tax For Digital Goods

Q:

I recently moved to a state where it is required to pay sales tax for digital goods. As a commercial photographer, how appropriate is it to charge sales taxes to my clients?

A:

Sales tax laws have been changing, and no matter how you deliver your images, some states like Kentucky and Texas now require photographers to charge clients sales tax after we have invoiced them a certain amount. 

If you know of a good resource for this, please share it in the comments.

Strategic Category Padding To Deal With Bidding With Larger Clients

Bidding with larger clients usually means dealing with cost consultants asking us to reduce their selected costs. The better we prepare with strategic category padding, the more we can keep in our budget and respond with reasoning explanations of why costs need to stay the same. 

When bidding for a job with larger clients, it is common for clients to hire cost consultants to review and fine-tune the bid. The cost consultants’ job is to reduce prices, so it is expected that some areas will be padded. This can include crew size, producer time, equipment rental, and even meals. To prepare for cost consultants, it is recommended to pad some areas knowing they will be reduced. For example, inflating prices a little bit or bringing up prep days with the expectation of being asked to reduce them. It is important to adjust for cost consultants on the client side to secure the job.

Tagging Clients on IG

Q:

I tagged a client on my IG image, and it worked; they want to use it for their socials. I don’t want to just hand over the image. How can I approach asking for compensation of some sort, and better yet, how can I translate this into an actual booking in the future?

A:

Tagging clients on IG is one strategic door-opening marketing tool,  but it is more of a way in vs. a way to sell that image. How?

  • Usually, the social media manager will not have a budget to purchase image usage for IG.
  • You’ve created the rare opportunity of having their attention for one response.
  • Use this door-opener to get the “photography hiring” contact information. 
  • If your image is shared, get your name tagged to use this for your benefit.
  • Take this experience as a conversation starter on LinkedIn, where you will talk to the correct potential clients. 

Always Provide An Estimate

Always provide an estimate. Don’t tip-toe around this when a client doesn’t request a bid from you. If all details are emailed to you, discussed on the phone, or you approve their pdf, send them your estimate to cover yourself with all potential mishaps.

When a client approaches you for a job and provides you with a contract, they may assume that all the necessary details are included. However, it is important to submit an estimate to ensure that both parties are on the same page. An estimate includes information on prices, what is covered, and what is not covered. It is also important to include a job description and details on any additional items such as travel expenses or equipment. By providing a clear estimate, you can avoid misunderstandings and ensure that the client understands what they are paying for. Even if the client does not ask for an estimate, it is highly recommended that you provide one.

Recognized Company With Low Rate

Q:

I’ve spent time sending samples of my work for a company I thought I’d be perfect to work with. They finally responded with some interest in me by holding some dates, but they released me. What shocked me was the rate of $1500 for the shoot. Is this normal? I understand I am just getting started, but it felt low for the company’s size and brand recognition.

A:

Kudos to you for getting your work out there to the companies you want to work with. That is step one. I see the increase of $1500 rates due to a heavily saturated industry with more in-house marketing clients, more photographers, and more marketing opportunities for all of us to be in direct contact with our dream clients. Take the feedback as a stepping stone to growing your dream client list, increasing your marketing options, and fine-tuning your testing/branding focus.

Digital Usage Rights and Billboards

Q:

I saw how one of my clients used my images on an electronic billboard after I gave them “digital usage rights.” I had no idea a billboard could be considered DIGITAL. How are we supposed to monitor usage like this?

A:

Usage definitions are constantly changing as new developments creep up quickly. The best way to stay ahead of the curve is by carefully defining specifics to limit each purchased usage category.

Examples:

1. Excluding billboards

2. Limited to 48 X 70-inch bus shelter-sized poster displays

3. Not including paid ad placements

4. Client name website only

5. Not including electronic media or video

(For more info see AMA Usage Glossary: https://static1.squarespace.com/static/5f3449e3b908c4454253346b/t/62cd98713535691a6dadd3a8/1657641073387/AMA+Usage+Glossary.pdf)