Yesterday I went to meet a new potential client who sells a very high end product (upwards of £70k per item) who also wants to produce a website for each product that is sold, to essentially give the purchaser a turn-key solution from the word go.
My job would obviously be designing the sites that get sold onto the clients. When the initial enquiry came in we had a chat over the telephone and I asked how much he was currently paying per site, he said "£400", to which I said that I would be considerably more and would he still like the meeting, he said 'yes' so I went and had a face to face chat with him.
Without going into too much detail, as I truly do not believe this is the clients fault, I'm just seeing an increase in this across the board, the client in question was thankfully a web savvy client who knew the difference between a table based and div based website, albeit all of his websites contained tables used in the wrong context but that's by the by for the moment, he was very easy to chat with regarding the best solution for his site(s). I certainly came up with an excellent solution to his problem that would provide him with an superb selling point to his customers and also considerate of him making a nice profit on each site too, solutions which no other web designer had suggested to him.
Back to the office, write the proposal, send it. Wait.
Wait some more. Phone rings. It was the client calling to let me know I was too expensive and that if I could negotiate down on price..
Somewhere in the region of £400, like we're currently paying...
He would be able to use me. I should point out here, I have the utmost respect for clients who have the common courtesy to call/email to say "Thank you but we won't be using you for x,y,z reasons" - as normally, as we all know, a proposal gets sent with out so much as a "Thank you" to be had, let alone a response if you haven't quoted what they thought you should.
The price point however, is of course an issue. After posting to Twitter I realised there's a small minority of people "making websites" who just don't understand pricing on the web, this small group don't realise how much harm they are causing our industry.
I had quite a few messages sent to me on Twitter, including:
forward this to @**** he would knock out a website for that price.. plus hes good.
and
pass that site to me ... i will look on it ..
And I sent back the same response to both, saying they are not understanding my point. If I wanted to I could "knock out" a website for £400, I could "knock out" a website for £10, unless I'm needing to licence something, my only outgoing cost is my time, therefore anyone could do a website for any cost, but there's a reason we don't and this is the big black hole many people are just not grasping. What we do isn't easy folks, we take it for granted because we know it inside out and this is our professions but for many people, turning on a computer is about as far as they go, let alone all the many things we have to do to produce a site - just like any other service industry (solicitors, physiotherapists etc. etc) , we have specialist knowledge of our sector but a small minority are completely undervaluing that knowledge.
It's all about integrity, integrity for what you do, integrity to the web community. By "knocking out" websites the care and attention to detail ultimately must suffer and in turn, give web designers a bad name as inevitably, the client is going to come into problems later down the line and turn to someone for help, and then expect that person to be super cheap too.
It's about value for the client, how much is that website worth to them? Not a lot if someone down the road will produce it for £400.
Apple are a great example of brand and price point awareness, the products are high end, they do their jobs spectacularly and the price points are the same across the board, you won't find Apple stores with differentiating prices and they never have a sale. They have a product they know consumers want so they have no need to drop the pricing substantially - people will still buy.
As web designers, we are holding the largest marketing portal in the palm of our hands and yet people still don't understand it's value.
It's up to the designer/coder if they want to accept £400 for that job.Some people don't have the luxury of turning down work - a response to my tweet
and
i got your point ...i am saying that send that project to me ... send that client mail to me ...
No one has the luxury of turning down work - even web designers who are busy and booked up obviously still need a stream of enquiries to enable us to carry on into the future.
Put it this way, if the Yellow Pages, (the traditional printed book) 10 years ago said to everyone "You can have a full page colour advert for £10 per year" can you imagine how big the book would be? They didn't, because this would devalue their product. This is a very basic way of me trying to get across what some web designers are doing to our industry, only it's worse because it's starting to filter through to clients who we then have to work with.
Let me go back to a quote from above regarding Apple:
They have a product they know consumers want so they have no need to drop the pricing substantially - people will still buy.
We have a product consumers want, we have the ability to pretty much set the pricing based on the value to the client however, it needs to be done by every single web designer. If the price point was, for arguments sake £1000 + to build a basic site, clients would get to know this and everyone would gradually see budgets increase to make allowances for this, yes including you Mister "I will produce a site for £400".
There's so much more to this argument than I can even get into now however, let me just check, you want me to plan, project manage, design, develop, jQuery, cross browser test, validate, seo and respond to the countless emails you are bound to send me, all minutes within you sending them, for £400?
Sorry, but I'd pay £400 to keep my integrity.
https://thewebstation.wordpress.com/2009/10/25/this-is-why-i-complain-so-much/
There is no body of organisation that can accredit a webdesigners skills, or experience or quality of work.
but the other part of me doesn’t as I don’t know if I would have gotten into this market if there was one.
For those of us that are starting out, we don’t have the equivalent reputation that can ask for those figures, and we have to make do with what we have and work hard to build on it and work towards those kinda of figures.
Good for you, wait until you have enough money. WHAT? You did buy a car and it was not a Mercedes? How could you. So what that you needed a car, you only bought a vehicle, not a car. WHAT IS IT? It’s good enough for you because all you need is a car that takes you from point A to point B and you don’t need all the features Mercedes has? Plus you only use it locally most of the time? Still, what were you thinking? Did you ever consider how you hurt Mercedes brand? You didn’t and you are not hurting them, because you were never really planning on being their customers? How can you say that, everyone who wants a car is their customers. Only some of them have the money now, and some of them have to wait to save up. It sounds ridiculous? PLEASE, next time think before you act. Don’t you realize how much you are hurting once proud auto industry?
2) People always want a good deal. Maybe you can’t give it to them, but someone can. And good for them!
There is room for this range of price points. The interesting thing is that even lawyers fees are now being driven down and down. There is some thought from Richard Susskind that law firms may, in the future, offer their services for free and derive their income in other areas (public speaking etc).
I am not a professional freelance designer (I am an employed developer) so my view may be irrelevant and skewed. I have however worked as a contractor for a lot of my career, charging wildly different rates depending on the demand for my skills at the time.
My view is that it is a basic human right that everyone should be allowed to work.
IF the designer values their work at £400, can afford to do it for that and the client is happy with the result then who is to say they shouldn’t do it? Especially in a time with such high unemployment.
Of course pro designers shouldn’t have to work down to that price and yes you do get what you pay for.
Market forces have to play a part in this, it is a commercial world and competition is rife. Mercedes cost more than Skoda because they are (aruably these days) a better car and have a certain brand image.
Lots of people can’t afford the Mercedes so have to settle for the Skoda. And many of them will be very happy with what they get at their price point.
You get what you pay for but also Horses for courses.
Good debate though because this will be more of an issue as the web continues to grow.
Web design is such a young industry that it and the people who work in it will need to evolve in the same way as, to continue the analogy, the car industry has had to.
How much variation was there across each site for each product?
2) Ignore the issue, since those providers aren’t your competition anyway
3) Die (as a business!)
“By charging next to nothing to design and develop a web site … your making a living at my expense … and, I have a right to get pissy about that.”
And then thinking that pizza I had the other day from the new place up the road was loads better – smaller (and i guess you might say more expensive) but better.
Teaches me to buy cheap again…. you do indeed get what you pay for!!
But we web designers have no such body to guarantee the quality of our work, and therefore the price we charge … and would we even want one?
For most clients price is the main criterion and, even if everyone raised their prices to an acceptable rate there will always be someone inexperienced or desperate enough to lower their price just to get the job.
The problem is design (and to an even greater extent, development) is seen as immaterial and therefore of little value since, as you stated in your article, most of your development cost is measured in time. Will this change? I hope so.