I'm struggling with this...

I don't have much professional writing under my belt and can't really use my vast years of experience (yet) as a major selling point. It seems that the low-end rate ($50/ hr seems a good rate for a new guy like me, from what I've read) I have is a good selling point.

The problem is this, though: if I DO highlight my rates as a benefit for the buyers in my marketing info, does that raise a bright red "Amateur!" flag? Or do they see a good chance to save some bucks? Any experience with this?

One way around this is to offer a sale on my services through October to generate some interest, but does this smack of desperation?

Not sure if highlighting the price will help or hurt.

Thanks for the feedback,
Alex Stiner
Copywriting Solutions

I understand the urge to discount your services on your own perceived lack of experience.

However, be warned that you will likely attract undesirable types of clients by being "too cheap".

In fact, you really should have a stronger hook than your price. Personally, I wouldn't advertise prices, as quoting is a game of subterfuge - you have to figure out how much each person is willing to spend before quoting them, and in any event, most people don't like hourly rates as that presents a higher risk to them (because they don't know how long it will run on for).

Here's an example. One of my clients is a consummate "haggler". He just loves to haggle. He'd haggle over a "penny chew" and want to get it for 0.8p or to get 2 for the price of one. So, what do I do? I just quote him a higher fee and then let him haggle me down to my real fee. All the big management consulting firms do this as a matter of course. Anyone who pays the full fee is being naive. (Oh, and by the way, he gets inferior service from his suppliers because he's always being so cheap).

You may find it more beneficial to design your business model around a specific niche that you can demonstrate some expertise and experience in, in order to charge a commercial fee. You probably need to get clear on what results you KNOW you can produce and for whom.

Hope this helps,
Jane

HI Alex,

I concur with Jane. When I started out, I went the cheap route and it was a BIG mistake. I ended up with many clients who only wanted to pay peanuts--and a good portion of them complained about the peanuts they did pay.

So, I got rid of those clients and dedicated myself to getting better clients. It's working out well.

I say don't even bring price up. Find other things you offer your clients other than a low price. What benefits do you bring them?

Focus on your clients first and you'll find it easier to decide what to offer them other than a low price.

My 2 cents,

Carlon

I'm struggling with this problem right now. I started out super cheap. I've been steadily raising my prices a little at a time. Now, I think it's time for a drastic change.

People told me I would attract $$$holes with my cheap prices. People were right. But I can't say I made a mistake. Dealing with that 'anal' crowd teaches you a lot about handling people. And if you're new, it'll land you a lot more over-night business experience.

I wouldn't be afraid of cheap prices...just think of it as a first step. You'll learn a lot from it. And since you're working for yourself, you can change the prices anytime you want.

Here's how I came up with my prices:

"I need a part time job to pay bills. How much could I make working at [insert company name]. So I need to make at least that much per hour. There's my rate."

Now it's more like:

"I want to break from my full time job and write copy. I make [instert amount]. I'll need [insert number] hours at [insert new rate] to make a living."

From the books I've read, this is pretty standard. Agree? Disagree?

Also, I didn't mention that I wouldn't use an hourly rate for the same reason I would never hire someone that way as a business owner. I was going to use "$50/hr." X "est. hours for project" to give them a locked-in project fee. Seems obvious to do it that way.

What would you recommend as a middle-range starting rate to use for the project fee? $75/hr? $60?

Thanks for the tips!

Alex Stiner
Copywriting Solutions

I only write copy for myself. Perhaps you could build your portfolio by writing successful projects for yourself and marketing those. Websites, ebooks, books or cards or most anything is a possibility.

Also, a few years ago at one of my projects, when asked how much I get for a certain item, I would sometimes reply "we give them away to folks who will take them ... but some folks are too proud to take them and we have to charge them $*&#."

But it seemed to offend some folks and we had to quit it. Truth was I could tell who could afford a decent price and I'd rather give the items away than discount them too low. We gave away far more than we ever sold, but we still came out alright.

So you might do some free work for people you like or charities and in return ask them to recommend you to their friends.

Its a matter of how you wish to position yourself. If low price is the only thing you want to differentiate yourself on, I personally feel its better to channel that to the right crowd. Perhaps if you target businesses 'on a budget', that will cut down the number of hagglers and/or vampires.

I've been telling my clients my fee is X. If they ask for a lower fee, I say if I give you a lower fee, it means I just lied to you a few seconds ago! X is MY REAL FEE.

In the end, do what you feel is comfortable and yes, increase your rates as your workload gets heavier and as testimonials come in.

Exactly. Clients need to be trained. If your clients habitually as you for discounts or to cut your rates (first, shift your positioning to attract better clients) simply tell them... "Sure, no problem. Which area of your project would you like me to eliminate?"

Reduce the scope of your work... But don't reduce your own VALUE.

Eric

For Beginners:

Just because you have a low price, that doesn't mean you have to make it your selling point. You never should make it your selling point. But no matter how great a writer someone is, it's usually easier to get experience with a lower fee. You can raise it later. As you get more business, you drop the ones that won't pay a higher price.

Again...this is for beginners. Obviously, someone well trained with a portfolio doesn't need low prices.

I think you come across as lacking in confidence if you charge too low a fee. I'm in Massachusetts, where the cost of living is high. I've been doing this for about a year, but really feel I "launched" the business in January of this year. I charge $75 an hour (started charging that rate in January) and when people call they have no problem with that. I'm not saying everyone can afford it - I like working with idealistic people, and they ofen are in low-paying professions. But they do feel the work is worth it. The biggest problem is feeling comfortable charging that much. It takes some mental work - but once you realize you are worth it, you'll find it easier to charge more.

I will give a 20% discount to a non-profit.

I have also bartered.

Don't set your rates too low or promote yourself as a cheap copywriter.

Janet