This is the second part of the tutorial on video production budgeting. Actually, this part is about pricing. The first part was about figuring out what it would cost. Now you need to come up with how much to charge for the project.
And that is another story.
It’s possible that you can be successful in the video business by marking up various line items in the budget. But the real profit comes from the charges that are above the line – charges for the creative side of the production business.
Unless you are working with a client that is looking for pure production services only and demands to see your full line item budget, you’ll likely hand the client the only first page of your budget. And that should be the last page in your proposal.
This is where you move ahead of the pack, where you begin to get paid for the value you add more than just your ability to set up lights, point a camera and deliver an edited video.
As I mention in the video, you need to understand what this project is worth to your client. And you need to understand how that client values investments like this project.
But the most important thing is how you value yourself. What is this worth to you?
This goes way beyond the usual video production budget line items. At this level your client does not care which camera you use or which cool post-production technique you added. What they care about is simple – does this project do the job they expected?
Beyond knowing about your client and your own values you have to know the real return on investment the client expects.
I just saw the web site for a wedding video company. I don’t know much about that part of the production business but I could easily see that this company understands how they and their clients value their services. They specialize in weddings in exotic locations and put their pricing right on the site – local packages range from $10,000 to $19,000. On location packages start at $19,000.
They also are clear about the services they offer but more importantly they demonstrate how they feel about their work on the site. I’m not getting married (whew!) but this company had me in seconds and I looked through every section of the site. They know how to tell their story and I believe they know how to tell the story of their client’s wedding beatifully and uniquely.
The return on the investment from hiring this company is a moving love story starring the happy couple.
That’s value beyond the budget. No line items, no discounts. And that’s what happens when you spend time figuring out what it’s worth.
