My sister is two-and-a-half years younger than me. She is also a good inch taller (she’ll say two). This is frequently pointed out to me by people on meeting us for the first time. “She’s taller than you – and she’s younger!!”, they shriek triumphantly, as if they have uncovered a shocking secret.
There’s no real comeback to this level of shrewd observation. I used to try and justify it (“she’s wearing heels”, “she’s walking on the kerb”, “she’s on a pogo stick”). It’s an incredulous reaction based on – well, not a lot – that always makes me snigger.
“How much?!”
Since the start of the recession, many business owners – copywriters included – will have come across equally incredulous reactions from prospective clients when they find our rates remain unchanged.
“But there’s a recession on!”
(Yes, a recession – not a war. Normal rules of business – and professional ethics – still apply)
“I can’t afford you!”
(Then why are you calling…?)
“If I pay your rates, the sky might fall in!”
(Might do. Be a bit weird)
“Are your rates negotiable…?”
(No.)
“You’re having a laugh!”
Things are tough for all of us at the moment, and probably will be for some time to come. It’s natural to think twice about where you spend your money and even more natural to see if you can get a ‘bargain’. But think about it: when you call in a tradesman to do a job at your house, the chances are that you’ve checked out their rates first. You wouldn’t call up and then start trying to haggle the price down. After all, you’ve done your research and you know there’s a huge choice out there in terms of price – and value. What’s more, you know that what appears to be a bargain price can sometimes be quite the opposite.
“Do me a favour!”
In times of recession, prices inevitably come under pressure. But during a downturn, it’s the relationship between price and value which is the real issue. Whether you’re a copywriter, a web designer or a mechanic, you’ve set a fair rate based on the years of professional experience and expertise that you’ve worked hard to acquire, so don’t start apologising for them when times are tough.
This is just not an argument about price – it’s about professional standards and ethics. Yes, we’re in an economic downturn, but if prospective clients expect you to drop your rates on the back of it, would they also accept a drop in the quality of your service? If we all give in to the temptation to discount our prices, we get stuck in a self-perpetuating slump, and where does it end?
If a client expects you to justify your rates, don’t let it phase you. Use it as an exercise in reinforcing to yourself the value of the services you provide. Clients will only put a proper value on your work if you do, so don’t worry if your competition undercuts you. Let them do their thing. If you start compromising on your prices, eventually you’ll start compromising on service too.
“Get away!”
Back yourself. When the recession is over, you’ll come out stronger and you’ll be glad you stuck to your guns. You’ll also have clients that you genuinely enjoy working with, rather than clients you secretly resent because you let them knock you down on price.
So know your own value and believe in it. Because you’re worth it.*
(By the way, my sister is still taller than me.)
* With thanks to L’Oréal.
[...] This post was mentioned on Twitter by Luke Williams, Alex Franklin, Carole Noakes, Hari Covert, Ruth Malone and others. Ruth Malone said: RT @CopyConsultant: Why you should stick to your guns on pricing in a recession http://bit.ly/eD9uOq featuring @achieve_more @alex_franklin [...]
Pingback by Tweets that mention The dreaded ‘r’ word…and why it makes no difference | The Copy Consultancy -- Topsy.com — February 24, 2011 @ 7:22 am
Absolutely agree and very eloquently put! Discounting your work is basically saying that it isn’t worth your usual rate. Do it once and regret it forever…
Comment by Hannah Griffin — February 24, 2011 @ 1:58 pm
Thanks Hannah! I think you’re absolutely right there – these things tend to backfire. And in fact if you let clients have a discount, they actually end up valuing your work less, rather than more. That’s also a good reason to set your rates at a reasonable rate in the first place rather than getting into a price war with competitors.
Comment by Hannah — February 24, 2011 @ 2:02 pm
A friend once asked me why I advertise my day rate on my website. “Won’t it put some prospective clients off?” he asked. “Yes, and that’s exactly why I do it,” I replied. “Saves all the time wasters who haven’t got the budget/aren’t prepared to pay the going rate.”
There are plenty of people on those online jobs boards who are prepared to write a 1,000 word article for a few dollars. And there are plenty of companies who want to hire those people.
I’m just not in that particular market space. And like you, Hannah, I don’t negotiate on price.
Comment by Carole Seawert — February 24, 2011 @ 4:49 pm
Thanks for your comments, Carole. I’m definitely with you on the day rate issue. I’d much rather keep everything transparent, too – easier for me and the client that way…
Comment by Hannah — February 24, 2011 @ 4:56 pm
Here’s what would go through my head if any of my clients tried this:
“Er, yes, there’s a recession on – but inflation is running at nearly 5%. Which means by keeping my rates the same I’m having to run faster just to stay still. I should be charging you more. In fact, thanks for reminding me – my day rate just went up.”
Comment by Clare Lynch — February 25, 2011 @ 7:43 pm
That’s a very good point, Clare! Note to self…
Comment by Hannah — February 25, 2011 @ 7:51 pm