Benefits of having pre-defined packages: You can create your packages in such a way that people generally select the package you want them to select. Yes, really. Downfalls of having pre-defined packages: People ask to swap things out and change them at A la Carte prices, but they are often discounted because they are sold in a package. Provide a great reason for people to upgrade. Sorry for sounding like a broken record, but it truly is amazing and will give far more tips than I can in one little blog post.
With A la Carte only pricing, you start with an hourly rate and people can hire you for exactly what they need. I know many photographers who use this model successfully as well. Always a good thing. The simpler the list is, the better. Price your hourly rate high enough that you will be just fine if no one adds a single extra thing onto it.
This avoids people who only want 2 hours on the day of their wedding from taking up an entire day when you could have otherwise been shooting a full wedding.
Walk through the options with them and make it as clear as possible. Have samples of everything you want to sell so that they can hold it and fall in love with it. We value things we can feel more highly than just images of products. My friend Andy has convinced me to change up the way we do pricing by creating a hybrid between offering packages and straight-up A la Carte pricing.
This guides your client through the different things they need to decide by category so it seems like fewer choices to people. This example shows 4 bands but this could easily be just 3 or even up to 10 — depending on the complexity of your business. This rate should only be used when you know that demand is low and that by charging lower rates, you could perhaps stimulate demand.
Then work out your Rack Rate, which is your Highest Rate. This rate should be used when you predict you are going to be busy and that there is a high demand for your product. Then work out rate levels in between. In the above example, there are two interim rates. There may only be one rate in between or multiple. These are the rate levels you should be most comfortable with as these are the rates you will sell most often.
If you work this out for your Standard Room, then you can add supplements for your higher graded rooms such as Executive or Superior. This rate strategy will then give you the flexibility to price as your business demands and does not limit you to selling on a traditional flat rate policy. Once you decide on your rate levels then look at the next year ahead. Understand which dates will be busy for you: perhaps Easter, mid-term break or perhaps there an event happening in your area.
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Increase your rates to reflect this higher demand. Then review dates when you know you are always quieter — January for example or Sundays during the Winter. Choose your country's store to see books available for purchase. The easy guide to pricing your portrait studio products for maximum profit. Contains information on how to package and price your studio products, and how to put together a price list for your studio. Sudoku For Dummies, Mini Edition. Andrew Heron.
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