When you run a creative business, pricing can feel like walking a tightrope between valuing your work and making sure clients don’t balk at the numbers.
But here’s the thing: if you price based on emotion, you’re setting yourself up for a rocky ride.
So, let’s look at how to take a step back, stop overthinking, and start making decisions that work for your business – not just your feelings.
Say ‘No’ to One-Size-Fits-All Pricing
First things first: there’s no magical formula for pricing your work.
Every business is unique, and the way you set your prices should reflect that:
- Experience
- Skills
- The value you bring
But we mustn’t forget three other, massively important things:
- The people you want to sell to – Who do you want to buy your products, who are your customers / clients?
- Your position in the marketplace – You decide this. Do you want to be cost-effective (cheap?!), exclusive, expensive?
- How much money you want to / need to make in your business – What are your business costs? How much profit do you want to make? How much do you want to pay yourself?
I know that self-doubt can sneak in – it happens to most business owners not only those in creative fields.
But guess what?
That doubt isn’t a reflection of your talent. To me it’s a refection of considering the ‘art’ but not the ‘business’.
The Myth of Standard Pricing
You might think there’s a “standard” rate you’re supposed to be charging.
Nah, that’s rubbish!
Pricing is fluid, and what works for someone else’s business will probably not work for yours. The trick is finding what feels right for you – and then backing it up with solid business reasoning, not emotion.
Don’t look at what everyone else is doing. Business is not a comparison game. Your focus has to be on what you need to make your business rewarding emotionally and financially.
Why Talking About Money Feels So Awkward
I’ll say it: discussing money can feel awkward, especially in the creative sector.
Here are some mindset shifts that can help:
- Customers always have a budget
- If people are saying it’s too expensive (or not expensive enough!) they aren’t your customers
- Even in a recession or hard-time, not everyone is broke!
Stop tiptoeing around the subject!
Set your prices based on business need using unemotional numbers and target the right customers with the right prices. You will be amazed how soon you will be able to tell people your prices without that little rumble in the pit of your stomach.
Don’t Just Price the Output, Price the Process
This is a big one.
You’re not just selling the final product; you’re selling how much it cost you to get to that final product.
Sure, there’s the hours you put in and, maybe, you want that reflected. But, EVERYTHING you create shares the cost of running your business – utilities, advertising, insurance, rent, stationery, materials, pop-up shops, petrol – you name it, it’s a business expense and needs to be covered by the stuff you sell.
Your job is not to explain to the customer why something costs what it costs (if you’re doing that you’re fighting a losing battle!) Your job is to make sure you are talking to the customers who pay that sort of price for that sort of thing on a regular basis.
Learning to Say “No” (It’s a Game-Changer)
Truth Bomb
Not every client is worth your time.
Some will try to convince you to sell something at a lower price. Some may look for “mate’s rates”. Others genuinely don’t understand that not everyone sells at Primark prices.
Saying “no” isn’t about being difficult; it’s about respecting your own value.
Maybe this will bring it home more – every time you let someone negotiate you down on price you will have to take at least one food item out of your basket on your weekly shop
Stop Under-Pricing You’re Worth More Than That
Do either of these ring true?
- You haven’t developed a pricing strategy for your business
- You are using the “if I keep my prices low I will sell more” pricing method
If either (or both) of these statements is even a little bit true, you’re doing yourself and your business a disservice.
And, more than likely, you’re under-pricing.
73% of creatives say they feel undervalued in their market.
Stop contributing to that statistic. Charge what you’re worth, and you’ll attract better clients.
Experiment and Adjust
It’s OK to experiment with your pricing, as long as it’s based on a business model pricing strategy.
I would say it’s essential.
If you’ve been selling a lot but still feel like you’re running on empty it’s time to adjust. Perversely, raising your prices can actually attract better clients who understand the value you bring.
Consistency is key. Don’t be afraid to tweak things as you learn more about your market.
Know Your Worth – and Own It
The saying goes “comparison is the thief of joy”
STOP comparing your prices to other creatives. Yes, you need to look at what they are charging, that’s part of understanding your market, but that’s so you can take your own position in the market – NOT THEIRS!
Your pricing should reflect your experience, your skills, your value and your business.
Every artist, maker, or creative professional brings something different to the table. Own your unique qualities and let your pricing reflect that.
Final Thoughts: Pricing Isn’t Personal, It’s Business
Pricing isn’t about whether someone likes your work or not – it’s about whether the value you offer aligns with what they’re willing to pay.
Don’t take it personally if someone won’t pay your prices. I would suggest you see it as an opportunity to develop a product they can afford. Create a staircase of prices / products in your business that people can ‘climb’ as they come to know you and appreciate what you make. (We could talk about creating a product staircase for your creative business)
Remember, your creativity is worth something, and the right customers will see that.
If you’re struggling with pricing, take a breath, step back, and start looking at it through a more logical lens.
You’ve got this.
Pricing might be a learning curve for, but with the right guidance, it’s one you can conquer.