Optional Usage Prices

When you begin pricing out the requested optional usage prices on your estimate, pad them with the expectation that the client will respond by minimizing with less usage options and you will have to present cheaper rates.

Often on jobs, estimates, or bids, we’re asked about renewal or reuse terms. They might inquire about rates for one year, two years, or additional uses like print advertising. They may also ask about extending usage beyond the initial period—such as for an extra year or five years.

You should be prepared to include some flexibility in your pricing. Quote a bit higher than what you expect they’ll accept, knowing they might come back and request adjustments, such as a shorter term or reduced scope. This way, you’ll have room to negotiate and adjust the prices as needed.

Does that make sense? The idea is to leave some room in your bid so you can accommodate their requests for reductions and still meet their needs.