Upgrade to Pro
— share decks privately, control downloads, hide ads and more …
Speaker Deck
Features
Speaker Deck
PRO
Sign in
Sign up for free
Search
Search
Value-Based Pricing for Freelancers
Search
Brennan Dunn
July 11, 2013
Business
6
2.3k
Value-Based Pricing for Freelancers
Brennan Dunn
July 11, 2013
Tweet
Share
More Decks by Brennan Dunn
See All by Brennan Dunn
WooCommerce Conference 2014
brennandunn
1
940
6 Tricks That Helped Me Triple My SaaS' Growth Rate
brennandunn
10
39k
The Long-Tail Sale - MicroConf 2013
brennandunn
2
590
Rails Without Views
brennandunn
25
19k
Other Decks in Business
See All in Business
ログラス会社紹介資料 新卒採用 ビジネス職[経営幹部候補]/ Loglass Company Deck
loglass2019
0
1.4k
VISASQ: ABOUT US
eikohashiba
15
470k
会社紹介資料 / ProfileBook
gpol
4
25k
「+ Joy」 初めは熱々だったはずなのに だんだん硬くて冷たくなっていく目標に 血を通わせる工夫_2024年度下期アップデート版
sasakendayo
0
140
ストーリーテリングでチームに”熱"を伝える🔥
inagakikay
1
10k
EM、会計を学ぶ
yigarashi
0
210
経験やセンスに頼らずに成果を出すためのチームマネジメント実践ガイド / Team Management Without Relying on Experience or Intuition
happy_imafuku
4
11k
よいPM定例はPM組織を強くする ~ 共有から共創へ、悩みを共に解決する場づくり ~
jouykw
1
6.3k
Azure Functions HTTPトリガーにおけるタイムアウトでハマったこと
recruitengineers
PRO
2
150
SUN METALON会社紹介・採用説明資料
shindoyuto
0
330
AWS re:Invent参加のリアル 〜女性目線で考える健康・美容・安全のベストプラクティス〜
o2mami
1
320
UIL広島駅前 利用検討者への事業所紹介
ymtyhka7o4o8
0
220
Featured
See All Featured
The Psychology of Web Performance [Beyond Tellerrand 2023]
tammyeverts
45
2.2k
The Success of Rails: Ensuring Growth for the Next 100 Years
eileencodes
44
6.9k
Adopting Sorbet at Scale
ufuk
73
9.1k
CoffeeScript is Beautiful & I Never Want to Write Plain JavaScript Again
sstephenson
159
15k
Easily Structure & Communicate Ideas using Wireframe
afnizarnur
191
16k
The Cult of Friendly URLs
andyhume
78
6.1k
Fantastic passwords and where to find them - at NoRuKo
philnash
50
2.9k
For a Future-Friendly Web
brad_frost
175
9.4k
Rails Girls Zürich Keynote
gr2m
94
13k
Building Flexible Design Systems
yeseniaperezcruz
327
38k
Gamification - CAS2011
davidbonilla
80
5.1k
ReactJS: Keep Simple. Everything can be a component!
pedronauck
665
120k
Transcript
Value-Based Pricing How to make your clients happier by charging
more.
None
None
None
$100
$100
$100
$100 $10
None
None
None
None
None
None
None
None
None
None
Why should I pay you $150 an hour to write
Ruby when that other guy will do it for $15?
None
RACE TO THE BOTTOM
RACE TO THE BOTTOM COMMODITIZATION
RACE TO THE BOTTOM COMMODITIZATION MARKET RATES
VALUE-BASED PRICING TO THE RESCUE!
A Paradigm Shift
A Paradigm Shift ★ You are no longer a Ruby
developer
A Paradigm Shift ★ You are no longer a Ruby
developer ★ No one cares about Ruby or Rails or whatever you take pride in
A Paradigm Shift ★ You are no longer a Ruby
developer ★ No one cares about Ruby or Rails or whatever you take pride in ★ Clients want to know: "What's in it for me?"
Take The Spotlight Off Yourself
Take The Spotlight Off Yourself ★ Reverse engineering salaries
Take The Spotlight Off Yourself ★ Reverse engineering salaries ★
Figuring out what your peers charge
Take The Spotlight Off Yourself ★ Reverse engineering salaries ★
Figuring out what your peers charge ★ It’s all about me, me, me
And Start Understanding Your Clients
And Start Understanding Your Clients ★ Are they losing money?
Are they missing out on untapped revenue?
And Start Understanding Your Clients ★ Are they losing money?
Are they missing out on untapped revenue? ★ How can you increase core KPIs?
And Start Understanding Your Clients ★ Are they losing money?
Are they missing out on untapped revenue? ★ How can you increase core KPIs? ★ How can you help them fix their pains?
Focus On The Future
Focus On The Future ★ Most of us bill. We
look to the past.
Focus On The Future ★ Most of us bill. We
look to the past. ★ ...What can this project do for my client?
Focus On The Future ★ Most of us bill. We
look to the past. ★ ...What can this project do for my client? ★ How will this improve what matters?
Focus On The Future ★ Most of us bill. We
look to the past. ★ ...What can this project do for my client? ★ How will this improve what matters? ★ How can I further improve their KPIs?
Tech Is A Means To An End
Tech Is A Means To An End ★ No one
is paying you to write code
Tech Is A Means To An End ★ No one
is paying you to write code ★ People pay you to make more money
Tech Is A Means To An End ★ No one
is paying you to write code ★ People pay you to make more money ★ EXPLOIT THIS!!!
Be An Investment, Not An Expense
Be An Investment, Not An Expense ★ Most don’t recognize
the value we produce
Be An Investment, Not An Expense ★ Most don’t recognize
the value we produce ★ We focus on the deliverables. The code. The features. The workflows.
Be An Investment, Not An Expense ★ Most don’t recognize
the value we produce ★ We focus on the deliverables. The code. The features. The workflows. ★ None of this matters.
Level Up Your Business Skills
Level Up Your Business Skills ★ ROI, TCO, KPIs, utilization,
profitability, overhead
Level Up Your Business Skills ★ ROI, TCO, KPIs, utilization,
profitability, overhead ★ Make sure every meeting, every proposal, every LoC aims to benefit a particular KPI that matters to your clients.
“Brennan, You’re Throwing Out A Lot Of Jargon!”
“Brennan, You’re Throwing Out A Lot Of Jargon!” ★ Yes
I am.
“Brennan, You’re Throwing Out A Lot Of Jargon!” ★ Yes
I am. ★ The $10 coder overseas doesn’t use this jargon.
“Brennan, You’re Throwing Out A Lot Of Jargon!” ★ Yes
I am. ★ The $10 coder overseas doesn’t use this jargon. ★ And this is how you’re going to get ahead.
And now...
And now... THE SECRET TO GETTING PAID MORE MONEY
Value based pricing focuses on the destination, not the road.
When our focus is correct, the risk that we'll fail
to solve the business problem(s) at hand is lower.
And when we can clearly communicate that we know what's
at stake and we know what that goal is, we’re perceived as low risk.
Clients want to hire someone who knows their business, its
needs, and has the technical knowhow to get from today to tomorrow OVER the person who is merely adept at coding.
If a client think there's a 50% chance that a
project will fail (e.g. a website redesign won't result in more customers) and is quoted $50k, the true cost is $75k after self-insuring for failure.
Reduce perceived risk by aiming for the right target and
helping your client get to that target faster and more efficiently, and you'll be able to charge more.
Value-based pricing means focusing on the client, not yourself, and
pricing based on the expected outcome of a successful project completion via establishing a low risk profile.
Ê> > > 2>Ê+"(>. Over 3,000 freelancers are
charging more. Are you? doubleyourfreelancingrate.com use coupon RUBY for $10 off