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Commercial Price Help

This is a discussion on Commercial Price Help within the Business Talk forums, part of the Business Discussion category; I don't do this very often, but a company is wanting to use four photos on and ad that will ...

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Commercial Price Help - 05-06-2009, 04:01 PM


I don't do this very often, but a company is wanting to use four photos on and ad that will run in a free publication that is very targeted and I'm going to say there are no more than 2,500 copies made each time. The ad will run for four months.

Then they are wanting to use the photos on a flyer that is going to be handed out at 5-6 Houston Dynamo games.

What would you consider a ball-park estimate of what the industry standard charge would be for a usuage fee with these parameters.

Thanks in advance for your time and help!
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05-06-2009, 05:03 PM


Quote:
Originally Posted by LSCSN.com View Post
I don't do this very often, but a company is wanting to use four photos on and ad that will run in a free publication that is very targeted and I'm going to say there are no more than 2,500 copies made each time. The ad will run for four months.

Then they are wanting to use the photos on a flyer that is going to be handed out at 5-6 Houston Dynamo games.

What would you consider a ball-park estimate of what the industry standard charge would be for a usuage fee with these parameters.

Thanks in advance for your time and help!
Pricing a job has many variables which effect the price significantly. It might be hard for anyone to give you an accurate estimate without knowing more information about this job quote. Here are just a few questions that came to mind upon reading your post. Others might contribute more.

One thing you stated is unclear to me is: there are no more than 2,500 copies made each time

How many total press runs of 2,500 will be made? If there are four press runs of the magazine, one each month, that would be 10,000 total copies. Or will there only be 2,500 total copies made?

How many total flyers will they be producing?

What size, in relation to the ad are the images?

How large is the ad in reference to the page?

How unique are the images?

Will all four images be used in one ad campaign? You might be able to work in a quantity discount.

--Frank

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05-06-2009, 07:38 PM


One variable I would also take into consideration when offering them a price is will you get billing on the picture itself as being the photographer?
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05-06-2009, 08:08 PM


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Originally Posted by ADP Photography View Post
One variable I would also take into consideration when offering them a price is will you get billing on the picture itself as being the photographer?
Although not entirely out of the question, photos used in advertisements are normally not credited.

zepp added 13 Minutes and 35 Seconds later...Double Post Merged Below

Another thought to enter my mind is - Since this is a non-editorial usage, do you have a model or property release for each image? That will add value to the images. If you don't have a release you need to make your client aware of the fact and state this in your licensing paperwork.

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Last edited by zepp; 05-06-2009 at 08:21 PM.. Reason: Automerged Doublepost
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05-06-2009, 09:07 PM


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Originally Posted by ADP Photography View Post
One variable I would also take into consideration when offering them a price is will you get billing on the picture itself as being the photographer?
That is an extremely valid variable, but the actual value of photo credits is basically zero. Credits run small and barely noticeable in editorial layouts, might make a nice portfolio addition but don't really serve as advertising. Unless a photog's mom is a potential client ... she'll be one of the few to care. As mentioned above, ads don't often carry credits (I've seen them, but it's usually someone famous creating the image) because that would cloud the intended message of the ad.

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05-06-2009, 11:16 PM


It seems like there are two things to consider. The ad in the magazine, which if it is 2,500 per issue is a press run of 10,000. But then there is the issue of the flyer. How many flyers are they going to print? I would imagine that the press run would be a lot higher than 2,500. What is the average attendance for a Dynamos game?

Rob

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05-07-2009, 06:13 AM


Jason,

If you haven't done so already, you might visit this thread as it has some information that might help you in pricing your project.

http://www.texasphotoforum.com/forum...ad.php?t=47032

Make note that a new version of Fotoquote, Ver. 6, has just been made available. The link is posted on the thread mentioned above. It might be worth the price of the software on this project alone.

--F

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05-07-2009, 11:58 AM


Unfortunately I have given you all the information I have to go on. This is a messed up situation and I'm just trying to get a ball park price range. The 2,500 is just a guess for one press run. Sot it would run four times with a total of 10,000 at the most. I can't imagine it would be more than that.

The four photos are not entirely original and I am sure he could get two of them from any stock company. However two of them could only be supplied by us unless he personally knew of some parents that had something similar.

And in regard to the Dynamo game they are going to be hand out and 5-6 games, so I can only assume we are talking about several thousands flyers.

Have not seen the flyer layout, but for the ad layout the photos are pretty significant.

I know about Fotoquote, but I don't want to invest in it, because like I said this is a rare happening for me.

I was guessing somewhere in the neighborhood of $1500.00. Would you consider that close?
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05-07-2009, 12:05 PM


Go and buy the PhotoQuote software....well worth the small amount of the cost....

http://www.cradocfotosoftware.com/fo...Pro/index.html

Bob

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05-07-2009, 12:12 PM


Bob if this situation happened more often I wouldn't hesitate, but I can't justify spending that kind of money for something that has happened just twice in six-plus years.
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05-07-2009, 12:20 PM


Quote:
Originally Posted by LSCSN.com View Post
Bob if this situation happened more often I wouldn't hesitate, but I can't justify spending that kind of money for something that has happened just twice in six-plus years.
I hear you but the thing is, the software might just net you far over what you are going to pay for it versus what you are currently thinking of charging for the project.



--F

zepp added 6 Minutes and 34 Seconds later...Double Post Merged Below

If you don't want to spend the money on stand alone software like Fotoquote, go sign up for an account on Getty Images and use their price calculator to get some idea of pricing. At least you will have a starting point price to adjust from for the specific conditions of the project.

--F

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Last edited by zepp; 05-07-2009 at 12:27 PM.. Reason: Automerged Doublepost
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05-07-2009, 12:29 PM


Well it's a rather long story, and I know this person isn't going to pay anywhere remotely close to the industry standard. I'm more or less trying to get a quote together to make a point, but I would like for it to be somewhat accurate and not absurd.

So my question I guess is $1500 an absurd quote based on the information? Too high/too low?

Thanks again for the help!
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05-07-2009, 12:49 PM


Quote:
Originally Posted by LSCSN.com View Post
Well it's a rather long story, and I know this person isn't going to pay anywhere remotely close to the industry standard. I'm more or less trying to get a quote together to make a point, but I would like for it to be somewhat accurate and not absurd.

So my question I guess is $1500 an absurd quote based on the information? Too high/too low?

Thanks again for the help!
Not knowing that much about your client, the images, or the project itself I can only generalize in saying - The industry standard beginning price point is higher than what you currently have in mind. Take the advice I posted in my previous post to determine the industry starting point and adjust from there. Take things to mind like: the client; the industry the images represent; the uniqueness of the images, the publication it's appearing in; how hard were the images to acquire originally; what value does it bring to the client; can like images be easily acquired elsewhere and at what price point; etc, etc.

At this point it seems to me it all comes down to just how much it's worth to you and only you can make that decision. Remember though that once you under charge a client the first time it will be far harder to charge them correctly the next time.

Good luck.

--F

zepp added 24 Minutes and 23 Seconds later...Double Post Merged Below

Quote:
Originally Posted by LSCSN.com View Post
The four photos are not entirely original and I am sure he could get two of them from any stock company. However two of them could only be supplied by us unless he personally knew of some parents that had something similar.
I'm reading between the lines here and I assume at least two of the images are of kids. If you haven't already obtained model releases on the subjects, I'd concern myself with that fact. The hassle alone from a mad parent might not be worth it not to mention a possible law suit.

Take a peek at this gallery of some images I've captured through the years. They have provided income for editorial usage but now they sit idle in a hidden gallery on my server as apposed to being part of a stock collection and possibly collecting royalties.

http://www.zeppzone.com/kids

We all live and learn don't we?

--F

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Last edited by zepp; 05-07-2009 at 01:13 PM.. Reason: Automerged Doublepost
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05-07-2009, 02:42 PM


Thanks for the help Frank!
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05-07-2009, 04:31 PM


You can't answer the question accurately without knowing more than you've indicated you know. It may be a free publication, but how much is their ad rate? The easiest way to calculate given what we know is to charge in relation to what their ad rate is. If the ad rate is $600 per page per issue...then I'd charge about the same. You can just ask their ad rate. That will kind of give you the value of the photos (and ad).

That's just a very general estimate. Also, why do people think credit lines can substitute money? Ads=no credit line. Editorial=credit line is a gimme.

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