Pricing creative work can be a mystery, and EVERYONE has their own opinion on how it should be done.

Some do hourly/day rates, others charge for their creativity, and now I am saying to charge based on the "value your work brings to the client."

The worst part? They're all right.

What you charge comes down to your experience, creativity, business knowledge, and skillset. It also depends on how much the client trusts you can deliver what they need.

If you're just starting out and confused about how to price your work and licensing deals, here are a few quick formulas to get you started.

SIX PRICING FORMULAS

Charging for Time:

• Time + Expenses + 25%-50% = Rate

Charging for Creativity:

• Time + Expenses + 50%-100%+ = Rate

Charging by Value:

• Total sales from campaign x % = Rate

Licensing:

• % of expenses/fees to capture the footage = Rate (typically 20% or more) Ad Campaigns:
• % of Ad Spend=Rate
• % of expenses/fees for project = Rate (but higher than normal licensing)

Treat these formulas just as a starting point, and make sure to "price the client, not the job." A 30-second video for Nike should be a different price than one for your local gym.

Ultimately, what you can charge comes down to your OFFER and how valuable it is to your client. If a brand comes to you asking for a video, they need more than just a video—they need what the video does for them.

Whether it's for an ad campaign to generate more sales or an IG Reel to boost brand awareness and grow their following.

What is the underlying value that the video brings to the business? What problem does it solve? Are you creating a commercial that will help the company increase sales? Or are you producing a brand film to help establish the company's image and reputation?

Your work should be priced based on the value it brings to the company.

Once you implement this mindset into your conversations, pricing and offers, you'll be able to charge A LOT more for your projects.

For pricing and creating offers, I like to make a proposal with 2-3 options with the opportunities to increase the budget by offering more;

• Activities
• Usage Rights
• Extra Edits
• Photos
• Social Promotion
• Influencers as Talent

What add-ons I offer depends on the client's goals (which I discover on a call) and what I think they'll get the most value from.

If you have questions about pricing an upcoming project, post them in the Kolder Creative Facebook group. We're here to help!

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