A very common mistake among artists is to undercut our value. I understand the instinct, and I think it’s largely driven by fear. We’re afraid clients will balk at high prices. But if you don’t charge what you are worth, you are disrespecting yourself and your work.
Our clients should also understand where their money is going and why. It’s not unreasonable for clients to ask for a written estimate of our designs and services. I understand this impulse: when I go to the doctor, for example, my first question is almost aways, “How much?”
A potential client once showed me another vendor’s proposal. This client said to me, “If you can give me exactly what this vendor is offering but for 10% less, the job is yours.” I was shocked and replied, “With all due respect, I simply can’t do that.” And truly, I couldn’t do it, because the other vendor’s prices were already amazingly low compared to market value.
This practice is wrong on so many levels. That client was asking me to sell my creativity, a passion that’s very dear to my heart, for next to nothing. But what really upsets me is that there are vendors who are encouraging this kind of behavior!
My advice to everyone, but especially to beginners who are just starting out in the wedding and event planning industry, is to never sell your work and your services at a discount. Even if you’re having a hard time securing clients, resist the urge to lower your prices. Please understand that if you price your work at bargain basement prices, you’re never going to get out of the basement.
The bottom line is that we need to respect what we do. We also need to trust and believe that the universe is a very generous place. As long as we keep honoring ourselves and our creativity by charging exactly what we’re worth, the universe will respond in kind.
Dear Readers, what is your opinion? Please share.
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PREVIOUS
George Bernard Shaw once said: “You see things and say, ‘Why?’ But I dream things that never were and say, ‘Why not?’” That quote embodies how Preston Bailey approaches every event.
Cecilia Rose
June 30, 2011
Thanks Preston for addressing this very important issue for our industry. Clients don’t know what they don’t know and it is up to us to teach them that engaging the services of a professional costs money and the fees we charge are in-line with the service they receive. Discounting just makes us look like we don’t have pride in our product.
Jennifer French/Lush Floral
June 30, 2011
AMEN!!!
Gabi Lavor
June 30, 2011
I agree 100%!!!!
Bucktown Guy
June 30, 2011
THANK YOU!!!!
They can go to the wire services for a discount on flowers.
Vatel Manila
June 30, 2011
THANK YOU, Preston, for being our voice in this issue. For this, you have our eternal respect and love.
Cheers from the Philippines!
Angela
June 30, 2011
I believe you pay for what you get. The value you place on your self is what determines the type of clients you attract. I also still believe that there has to still be a vendor/decorator for everyone. So if I wont offer discounts then they can jolly well get the value of what the person who is offering discount is giving.
Hemant Dadlani
June 30, 2011
Well said and so true. Totally don’t understand underselling urself. If are have faith in yourself you should have faith clients will see that, just be genuine and work from your heart. Another thing that ticks me off is commissions. Patience and faith
Pam Archer
June 30, 2011
Truer words were never spoken! 100% agree! “Charge what you are worth, or you will be worth what you charge.” I don’t know who said it first, but it is true.
YOUR NAME
June 30, 2011
I think that discounts have their time and place. My goal is to work with my client. Work with them to meet the budget they can afford. I’d never provide a product that wasn’t equal to the value of the contract my client agrees on. Now in saying that, it really all depends on how you use a discount. I don’t ever discount “services” (design, labor, or anything that generates direct costs to me) but equipment (equipment we own) if 100$, 200$ makes or breaks a deal with a client I have been working with…. discount on the equipment it is……..I make no money if the equipment just sits there on the shelf right?
But don’t get me wrong, I don’t apologize for my pricing..ever.. I firmly believe that if you want a project done correctly you hire a vendor you trust and has a good reputation and portfolio to back it up. You get what you pay for, and I have released clients to competitors… and often…. if they put me up against another lower priced quotes. In the end business is business. Price and provide reasonably …..just remember every contract sets a precedent for the next one
Jenny
June 30, 2011
I disgree Preston.
Discounts are not setting standards low, discounts can be a business move. While you didnt accept client A, they perhaps moved on to me who had the lower price.
After I secured that client I now have an opportunity to create a relationship with them and quite possibly can secure more business.
As business grows I am NOW in a position to raise prices.
I am sure when you started you werent charging $350,000 for a wedding. People need to learn to start from somewhere and NOT set their prices at a place where they will NEVER get any business.
Giving a discount is showing others that there is an alternative. Whereas you may do a wedding for $100,000 I could quite possibly do it for $85,000 because of my resources.
Having cheaper prices means business away from you.
Not so much cheapening the business.
Jenny
Brooke
June 30, 2011
Thank you for this. Its so hard in this economy but your so right that I need to charge what I’m worth, not sell my creativity, and respect what I do. I’m bookmarking this post and will certainly be re-reading again and again.
Sullivan
June 30, 2011
With all due respect to you Jenny, you can’t “do” Preston’s $100k wedding for 15% less and call it the same. It simply wouldn’t be the same no matter how magical you think your connections are, something would lack in either quality or design integrity. I don’t discount because especially in flowers it always negatively impacts the end result for the client. Wholesale flowers don’t cost less simply because you want them to so you either cut what you order or make less profit but either way you are training your clients to expect a deal. Good luck raising your prices with discount clients, they have no loyalty and will simply move on to the next bargain. You’ll be doing more work to find new clients.
Thanks Preston for another great post!
Stephen
July 1, 2011
I agree with Sullivan. You can not raise your prices if you have attracted only discount clients. I own and operate a retail florist and we concentrate on wedding and social events. We have worked for years to build a good business with high end clients. If I offered one a discount It would be expected by all of them. My clients know that we are reasonable for the quality of work and flowers we provide. I have no problems charging the necessary fees to cover the expenses and desired profits. Thanks again Preston for the Great topic.
Jessica and Holly
July 1, 2011
Great advice! Thanks for sharing
-Jessica & Holly
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Fida Viantymala Sakdin
July 5, 2011
How can i not agree with this? Ive learned a lot tru my experience by giving discounts in order to secure my clients and jobs…but it turned up that there’s nothing that i earned from it at d end of d day. All u had was just tired, stress n even worst if d customer was so fussy with d little budget! But there’s a lot to learn and i really hope to share n gain from ur tips n experience Mr. Bailey! Thanx!
Rebecca Keeling
July 7, 2011
Surly though, it’s with the customers interest to be competitive – just like mortgage, car & window sellers especially when weddings can cost more than 2yearly wages combined sometime. SOME (not all) wedding planners take the mick! If I were doing it all again, I’d get different quotes and compare & if someone could offer me MORE for LESS I would take it and if they did a good job Id sing their praises from the roof tops! The moral is don’t charge the max you think you can get out of the customer, charge what you think YOU are worth! Some will take up, some wont & if they think you are worth it, they will pay it. So with respect to all wedding planners, don’t take the mick as you may end up pricing yourself out of the market. I make wedding cakes and in my experience there are a few planners that have tried to hire my services at rock bottom only to make a huge profit of the back of MY “Creativity & Passion”!
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January 31, 2012
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If you need some inspiration to help you choose Christmas gifts for the family historian in your life (even if that’s you,Anglo-Celtic Connections Gaelic Hour Interviews on BIFHSGO C!), here’s a selection of ideas that might just solve your problem:Published last week,IndieLimerick March 2011, The Father Francis Browne Yeats is a high-quality blend of photography and poetry. Hailed as Ireland’s greatest photographer, Father Francis Browne created an unrivalled body of work from 1897 to 1960. This new book reveals 60 previously unpublished images, each matched to a poem by WB Yeats. Visit messenger.ie.Also hot off the press is Dunmanway Historical Society’s fourth journal, Doings of Dunmanway. It contains stories past and present of Dunmanway, mostly contributed by local people. More from: info@dunmanwayhistoricalsociety.County Sligo Heritage & Genealogy Society has launched a new online shop selling a range of local Sligo history books,IndieLimerick July 2011, many with a genealogical or family history theme, a ‘Scenes of Sligo’ calendar and a collection of Greeting Cards featuring beautiful Sligo scenes. Go to sligoroots.ie/shop-online/.
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Anonymous
April 19, 2012
With all due respect to you Jenny, you can’t “do” Preston’s $100k wedding for 15% less and call it the same. It simply wouldn’t be the same no matter how magical you think your connections are, so
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April 19, 2012
, Preston, for being our voice in this issue. For this, you have our eternal respect and love.
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Pearl - Malta Wedding Planner
May 19, 2012
I think that as with any business you have to decide what is the minimum amount you want to get paid per hour. I do offer discounts, I find it a good way to compensate for seasonal fluctuations in our business . It is also a good way to attract business from a different market segment.
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