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    Pricing suggestion?
    #1
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    I have a good client that I record events and produce DVDs for. The way it's set up is the client orders XX number of DVDs at $30 each from me. The client marks it up $5 to cover their time and sells to parents for $35. This works out well for us all.

    However now we also live stream the events. The Live steam service costs me $495. It also adds some complexity to the job due to extra cabling, time and stress, even though it's a minimalistic live stream.
    So I am not sure what is a fair way to handle this now. If I should just eat the cost since it's a good client or work out some sort of deal. $495 is a significant chunk of the total $ I take in.
    Suggestions?
    Youtube/Facebook free live streams are not an option because the music in the event will probably cause a cancellation during the event.


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    I should bring these exact questions to your client. You and he are in the same boat. Both your service grew and your revenues didn't.
    Peter Bosman


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    You really shouldn't be giving anything away. Sell the added value.

    But, obviously, it's always a personal relationship between you and your client.


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    It is a big struggle coming out of the DVD era. You would benefit from revamping your pricing model away from a spec sales approach. That works best with physical media and folks don't even have the DVD players anymore...


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    Thanks guys. This particular client chose to stick with DVDs again instead of digital files or Bluray. I've been figuring it in so that the DVD sales pay for the production without the client having to pay anything, they actually end up making some due to the $5 markup so it's good for them. The client DVDs sales have been increasing through the years so the job has been a good one for me but the pdemic of last year cut it down quite a bit.
    This year looks to be better


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    Quote Originally Posted by Bassman2003 View Post
    It is a big struggle coming out of the DVD era. You would benefit from revamping your pricing model away from a spec sales approach. That works best with physical media and folks don't even have the DVD players anymore...
    You'd be surprised. I'm not going to try and flex with numbers here
    but let's just say I've done ok selling DVD's over the last few years.


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    It is complicated. I wish things would stay with optical but I hear of more and more folks telling the dance studio owners they do not have a way to play the discs. They will never completely die, but digital is what seems to excite people. Of course that means we have to offer all three! DVD, Blu & digital


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    #8
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    Everything has its time...and DVDs will one day only be a part of history like VHS tapes. In a generation, maybe two.

    Some 30-35 year olds (the last generation who grew up with DVDs in their prime) see it as a perfectly viable format (I do).

    Some 20-25 year olds aren't exactly sure what a DVD is.


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    I recall the time when no one knew what DVD was ... because there wasn't.


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    #10
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    Quote Originally Posted by firehawk View Post
    Thanks guys. This particular client chose to stick with DVDs again instead of digital files or Bluray. I've been figuring it in so that the DVD sales pay for the production without the client having to pay anything, they actually end up making some due to the $5 markup so it's good for them. The client DVDs sales have been increasing through the years so the job has been a good one for me but the pdemic of last year cut it down quite a bit.
    This year looks to be better
    So, in a way you really aren’t working for the client in the traditional sense, because he isn’t paying you for your production services. You’re only making money off of the DVD sales. If no one bought a DVD from one of the performances, you just did a freebie. Correct? It’s spec work. I’m not judging, I’m just making sure I read the post correctly.

    In my opinion, you can’t eat $500. You’re not throwing in a piece of equipment that you already own. You’re forking out $500 cash, regardless if you make a single penny. Someone else has to pay for that(i.e: you bill for it) or it doesn’t get done. It’s like one of my buddies says when he quotes jobs to clients and they say it’s too much and they need to cut X dollars, he asks them what they want to cut out of the package. I’m not saying that most of us don’t have wiggle room in our rates, but once you get to a certain amount, things have to come out. If someone calls me for a shoot with my gear and I give them the quote and they ask if I can do it for $100 less, I’m not gonna quibble and I’ll take the job. If they ask if I can do it for $500 less, that’s a much different story.


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