By Craig Oppenheimer, Wonderful Machine
Each month, we explain a recent cost estimate, contract, or purchase order in the form of a Pricing & Negotiating article. By redacting the names of the photographer and the client, we can share useful information that would otherwise be confidential. You can read more about our Pricing & Negotiating services on the Consulting Services page of our website.
Concept: Portraits of business owners, and images of them interacting with products at a manufacturing facility
Licensing: Unlimited use of up to 30 images for five years from first use
Photographer: Portraiture specialist
Client: Beverage brand
Summary
I recently helped a portrait photographer create an estimate and negotiate a project for a beverage brand. The client was launching a new product within a larger portfolio of beverage companies and wanted to capture portraits of business owners interacting with their products at a manufacturing facility. The images would help tell the story of the product’s origins and the people behind it.
The shoot took place over a single day and focused on five main setups with variations on the same themes. The photographer and crew worked to capture 30 final images. Although the client initially requested unlimited use across all media, based on the creative brief and our discussions, the images were primarily intended for use on their website and social media. While they were not willing to restrict media use, we did convince them to limit the duration of use to five years.
Fees
Traditionally, photographers in this market have undervalued usage, and local clients, such as this one, were accustomed to more conservative rates compared to other major markets. I priced each of the five main setups at $1,500, totaling $7,500, and added a creative fee of $2,500, bringing the total fee to $10,000.
Crew
We kept the crew lean, including a first assistant for both the scout and shoot days and a Digitech for the shoot day, all at rates appropriate for this market.
Styling
After a call with the agency, they asked that we include light prop styling in our bid, with a dictated prop budget of $750. We factored in a prop stylist for both prep and return time, in addition to the shoot day, and detailed the prop budget as instructed, while noting that the final amount would depend on the creative direction. We also added a hair and makeup stylist and noted in the “client provisions” section at the top of the estimate that the client would be handling their own wardrobe.
Equipment
We allocated $1,000 for the rental of the photographer’s own gear as part of the production.
Misc.
We allocated $750 to cover mileage, parking, meals, and any other unforeseen expenses on the shoot day.
Post-Production
We allocated a few hundred dollars for the photographer’s time to create a web gallery for the client and set a rate of $100 per image for retouching, allowing up to one hour per image for each of the 30 images they would select.
Feedback
The estimate was received well, but they asked if we’d be willing to reconsider the time limitation and grant perpetual usage. I suggested that we at least double the photographer’s fee, but we ultimately included an extra $5,000, bringing the total creative/licensing fee to $15,000. While I would have preferred a higher fee, I think the shelf life of these images would likely have been around three years.
Results
The photographer was awarded the project.
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