Pricing your service

[Danieleastwood.com]

Ok, so following a week of threads starting like "How much would you charge for..." and "Would you work for free" etc, I have to admit it's getting a little irritating listening to it all.

This isn't because it's getting repetetive, but because a lot of us aren't thinking about it and common sense seems to have dissapeared. It would seem easy to come on the forum, post a thread asking the money question, and of the handfull of members that reply, simpy pick a figure and bingo, off you go.

For those of us running a business, pricing is a very important factor. Charge too much and you risk losing out to your competitors, Too little, and you end up wondering why you seem to be working 24-7 and not paying the bills.

I appreciate the newer members may be after advice, but I would have thought that researching local competitors prices and working out how much you have to make each month to cover your costs would be a far more productive approach.

I would urge anyone who's after working out their charges, to think that this is a national forum, with a huge spread of DJ's and Multi-operators who are either just starting out or have been establaished for years. Add to this that some are enthusiasts while others are relying on it as a living and with such a regional spread, This should be the last place to enquire about such an issue.

Of course, if you want an opinion or an experienced answer to how many hampsters on wheels make your amp work, or why your Hard Drive turns pink in the rain after midnight. This is the best resource I have ever come accross.

This isn't a rant (honest) just an opinion, but would love to know how everyone else feels about it.

[spin mobile disco]

The thing is that every one wants answers to these questions but as you say a lot of variables will effect this. The major one being the local area you live in is different to others in the forum.
Prehaps the correct question should be how much am I worth in my current area , with my current experience, and with my current equipment.
And lets face it most people already know these about themselves but are looking for justification from others or at least a differing opinion on what they are worth.

[Danno13]

The thing is that every one wants answers to these questions but as you say a lot of variables will effect this. The major one being the local area you live in is different to others in the forum.
Prehaps the correct question should be how much am I worth in my current area , with my current experience, and with my current equipment.
And lets face it most people already know these about themselves but are looking for justification from others or at least a differing opinion on what they are worth.


ARRRRRRRGGGGHHGHHHHHHHHHH :bang:

[soundtracker]

Nurse......... the screens!

[mike8863]

Horse's for course's.....
depends where you work, and what gigs make up your bread and butter business. Me, i work full time, this keeps the wolf from the door, and i just happen to love doing it. North Wales will never command £350 a night gigs, no matter what the occasion, so you may find the answers somewhat repetitive comapered to and in accordance with other threads, and indeed, individuals responses to those threads, ie "credit crunch" and "south east credit crunch" to name but two!.
Me, I charge, what i reckon it costs me to do the gig and something for my time, if it is unrealistic, compared to what i think others will charge, then so be it, if i get the gig ok, if i don't, unlucky!!. But there again i don't rely on this as a sole income.

[Danieleastwood.com]

The thing is that every one wants answers to these questions but as you say a lot of variables will effect this. The major one being the local area you live in is different to others in the forum.
Prehaps the correct question should be how much am I worth in my current area , with my current experience, and with my current equipment.
And lets face it most people already know these about themselves but are looking for justification from others or at least a differing opinion on what they are worth.

never thought about it that way.

[rob1963]

I see nothing wrong with someone asking how much people think they should charge for whatever.

They will get back opinions which vary widely, but surely that's what the forum is all about, and I'm sure that reading the various replies will help them come to a decision.

I'm guilty of asking how much to charge for something specific recently, and although the answers varied a lot, they still helped me reach a decision.

[DeckstarDeluxe]

With the climate changing i think its normal to expect more threads about pricing. Do we change what we charge or stand our ground. Some guys on here can change up to £400 for an event while some guys only charging less than £200 are struggling for enquiries. End of the day we dont have to read the threads we dont like...

[Danieleastwood.com]

I see nothing wrong with someone asking how much people think they should charge for whatever.

They will get back opinions which vary widely, but surely that's what the forum is all about, and I'm sure that reading the various replies will help them come to a decision.

I'm guilty of asking how much to charge for something specific recently, and although the answers varied a lot, they still helped me reach a decision.

Thats the nails head hit firmly. this forum is brilliant for advice. My post was only really trying to point out the 'misconceptions' that could come from the variation of members.

[Danieleastwood.com]

With the climate changing i think its normal to expect more threads about pricing. Do we change what we charge or stand our ground. Some guys on here can change up to £400 for an event while some guys only charging less than £200 are struggling for enquiries. End of the day we dont have to read the threads we dont like...

The point was missed!!!!

this is my reason for the post. there are so many different answers and not one of them right or wrong. I was suggesting that local homework was better in this case than just asking everyone here.

The forum being used purely, in this case, as a last resort opinion/justification.

[Vectis]

Surely the baseline calculation is simple?

(total nett annual costs) / (average annual gigs) + (nett minimum amount you're prepared to go out and work for)

Anything more than this is a bonus.

If your nett annual costs are £10k and you do 100 gigs, going out for £100 you're not making any money. A 5-hour job (including travel/setup) for £150 is only making you £10 per hour pre-adjustment and that doesn't even cover the admin side of things.

Don't just look at other DJs - look at other professionals. Can you see a qualified certified local plumber getting out of bed for £10 an hour?

I just had some work done on a big oak tree in my front garden. I got 3 quotes and went with the cheapest because they were the only ones who mentioned TPOs and that they'd sort out a check for me as part of the service. Took 2 blokes 5 hours. Kit required included a flatbed Luton van, two chainsaws, some ropes and harnesses, safety hats and a brush. £400.

You can swim with the pondlife and go out for £60 a night and get plenty of work. But you'll have no funds for dragging yourself out of the pond with reinvestment, proper licensing & insurance etc. etc. OR you can charge what you're worth and work towards being a professional. Yes it's harder to land the well-paying jobs. But using the figures above, take this example:

A) 4 gigs a month at £150 each; after costs total pre-adjusted income £200.
B) 1 gig a month at £350; after costs total pre-adjusted income £250.
Plus 3 nights at home with the Mrs/kids/TV

(A sudden switch from A) to B) will obviously skew the costs calculation so take this as a very basic example...)

[discomobiledj]

Don't just look at other DJs - look at other professionals. Can you see a qualified certified local plumber getting out of bed for £10 an hour?

As a soon to be qualified plumber I can confirm that prices round my way (Essex/East London) the hourly rate starts at £49.00 with the average being £75 - £100.

[soundtracker]

. North Wales will never command £350 a night gigs, no matter what the occasion,

Hurrah! and this weeks forum award goes to!!!!!!!!!!!!!!!!!!!!:bang: :bang: :bang:

[rob1963]

Surely the baseline calculation is simple?

(total nett annual costs) / (average annual gigs) + (nett minimum amount you're prepared to go out and work for)

Anything more than this is a bonus.



I agree.

However, it's worth mentioning this is only possible to work out if you've been doing discos for a few years, as that's the only way you'd know the first two figures.

If you're just starting out, you can only estimate what these figures will be, and this estimate could end up being way out depending on how things go.

[Vectis]

If you're just starting out, you can only estimate what these figures will be, and this estimate could end up being way out depending on how things go.

True enough. Another good reason for making sure it's not too low then :o

[rob1963]

True enough. Another good reason for making sure it's not too low then :o


Indeed! :thumbsup:

[Danieleastwood.com]

As Rob and Vectis have pointed out/discussed, a newbie, wouldn't really have experience enough to work out their pricing. But as my post stated, a little local research would give them a better idea of the general concensus.

[PropellerHeadCase]

What you also have to remember, Daniel, is that the vast majority of people who take up DJing start off doing so as a hobby first and foremost - it is a business a distant second, at least to begin with. Having fallen into a 'business' it's worth remembering that understanding business, and especially the fiscal side of things, can take a lot of time (and for some, a lifetime).

I suspect the vast majority of people who post the 'How much do I charge question" very often just don't know where to start and wouldn't even know of that baseline calculation, above, let alone the numbers to plug into it.

[DeckstarDeluxe]

My first gig i did was for £40. I cant belive how bad the kit was but i thought i was the bee's knees at the time! As with time i upgraded my kit and experience my fee has risen. As been said I do it as a hobby so profit isnt a worry for me though i am wanting to earn as much because theres so many more toys i want to reinvest in! If your running it as a buisness then profit is more and more important. I think theres so many factors in fees that its natural for people to post these questions.

[Vectis]

I do it as a hobby so profit isnt a worry for me

But Mr HMRC won't like you posting a loss year after year...