Make the Leap from Shoot and Burn to Product Sales!

Every once in a while, people drop notes asking how to handle various situations. I received this one today from a photographer in a Facebook group. Is this a letter that you could have written?

                                                                             

Hi! I just saw a post on a Facebook photo group about charging $100 for a disk of images versus just offering prints and products I am assuming? She said that you had helped her convert... Well I am one of those photographers that offers sessions for $125 and they get to choose 10 poses for edit and receive a disk of the finished product... it works, but I am leaning more and more towards not offering digital images anymore. I guess the main thing holding be back is the fear of losing clients or not staying busy enough... I am still trying to get my name out there and grow my business and I wish I was busier the way it is... I feel like if I didn't offer a disk then I would slow way down as most of my clients come to me because they want a photographer that offers this. Do you have any words of expertise for me?! I would love to hear what you have to say. Thanks for your time.

- Scared to Switch

                                                                              

Dear Scared -

Thanks for your note and being brave enough to reach out. It's really difficult to make the leap, but the biggest obstacle is how WE think, not how our clients think.

Will you lose some clients by switching to a product-based model? Of course. There are people out there who want cheap. If you raise your prices and still give them the files, odds are they would leave you anyway in search of another $125 photographer. We simply have to get over the fact that these are our "starter clients".

With properly priced product, you WILL make more money. It's a fact. There are a number of photographers in the group who worked a shoot-and-burn model initially, then realized they were putting in hours of their time and talent and not reaping the benefits, emotionally or financially. Ask them; they simply won't go back.

Your fears are identical to theirs. They worried that they would lose clients. They worried that they would slow down. And yes, those things happened.

But then, a funny thing also happened. These same photographers began getting BETTER CLIENTS. Clients who valued the product the photographer produced, not simply the low price these people were charging. Suddenly, they became a good value in a high grade of clientele.

So, the decision is yours. Do the same thing and get the same results, or take the risk to change your model - and believe in it - and start making a decent living in this business.

It's not an overnight thing. You need to plan your pricing and prepare answers for why you're not $125 any longer. You can still offer files, but they need to be priced SIGNIFICANTLY higher.

Is it scary? You're darn right it is.

What's scarier is working as hard as you do for little or nothing.

- David

Selling Only a Disk of Images is a Disservice to Your Clients - Part 2 of 2

So . . . why do photographers say that selling only a disk of images is a disservice to your clients?

As long as we're on the subject of selling a disk of digital images, let me tell you a true story.

A funny thing happened to me last December . . .

I had a colleague from another FB group hand me a session he couldn't cover because he was going to be out of town. He'd told the client that he'd photograph her family and "give her the files" for $300.

During the session, I mentioned to her that I could honor his original agreement, or I could walk her through the ordering process the way I normally do.

Her first question was "What do I do once you give me the disk of files?"

This wasn't a dumb woman; this was a woman who is a corporate executive. However, she doesn't have access to the labs we do, she doesn't know about mounting or finishing. She just wanted a nice family portrait on the wall.

She and her husband returned to the studio to view the images. We went through the view and order process together . . . and $1200 (yes, twelve hundred) later I had an order. A framed wall portrait, some smaller gift prints and a boatload of greeting cards later, she walked out with a huge smile and I had a happy client.
The truth is, many people simply don't know what to do! We - as professionals - are doing them a HUGE disservice to hand over a folder of files. "Edited" or not . . . they have no clue!

It would be like going to a restaurant and having the server thump a raw piece of meat and some uncooked vegetables in front of you, demanding the price of the finished meal in the process.

Operating a service-oriented professional photography business does not mean shoot and burn! It means helping your client place the order and getting them the product they really want.

If you're not willing to help them with this process, who will? If it's too much work for us to do, how will someone who does NOT have the software and knowledge be able to figure it out?

Take the time to work with your clients and help them get to their ultimate goal . . . printed photographic products they can enjoy and display for years to come! 

- David Grupa 
 

Selling Only a Disk of Images is a Disservice to Your Clients - Part 1 of 2

Photographers everywhere say that selling only a disk of images is a disservice to your clients.
 
It's a daily debate in the professional world. Do I print photographs, or do I sell images on a disk?

Personally, I feel that any photographer who only sells digital files is doing their clients a huge disservice.


People will tell you they want the digital files "so they can save them." The fact is, they remain packed away or in this case, held captive on a hard drive . . . never to be seen by anyone.

My mom died last September. In the process of cleaning out her house, we found thousands of color slides and black and white negatives. Boxes and boxes were stuffed onto shelves . . . and what did we look at? The photographs that were already printed. Why? Because they were easier to view! We didn't have to pull out a projector for the slides or try and view the negatives on a light table.

Most insurance agents will tell you that the one loss people lament the most after a fire or flood is that of their photo albums. It simply robs them of their irreplaceable memories.

So . . . think about it for a minute. How many people do you know personally (not just the ones you read about online or see on the evening news) who have lost everything due to a disaster such as this? Maybe one? None?

Now, think about all the people you know personally whose hard drives have crashed. I'm willing to bet you can think of 3-4 right off the top of your head.

When I do a bridal fair, I bring along a crashed hard drive to illustrate this point. It sits on the table with a little tent sign saying "I'm going to put these images on my hard drive so I'll have them forever." I also have a 5 1/4" floppy disk (remember those?) with a little sticker that says "What if this was the only way for you to view your parents' wedding photographs or your childhood memories?" CDs and DVDs are on their way out as well . . . they'll be history within a few years. Apple isn't even putting DVD drives in their new computers.

The point is . . . whether they are snapshots or professional portraits, your images deserve to be printed and viewed, not stuck somewhere in limbo waiting for you decide if you want to do something with them later.

Print photographs! 

- David Grupa 
 

The Pitfalls of Raising Your Prices.

There's lots of talk among professionals about adjusting pricing for the coming year. Most all of it revolves around "I'm too cheap and not making any money, but if I raise my prices I'm afraid I'll lose what clients I do have!"

The fact is, when you raise your prices there are some issues you will have to deal with, both good and bad:

1 - You'll lose some clients who only came to you because you were cheap. These people are not loyal supporters and are only there to catch whatever scraps you let fall off the table. Their loyalty is based solely on you giving them the greatest amount of product for the least amount of money. They also tend to complain about your low prices and tell you that you're too expensive. They will want "a deal" on any extra product they purchase.

Downside - Without these clients you won't be as busy, but you also won't have to deal with people who waste your time and aren't willing to compensate you in return.

2 - If your work is where it needs to be, you will gain new clients who respect what you charge and will appreciate what you do and the quality of your product. They will view your work as an investment, not an expense. Treat these clients well and they will be yours for a long time.

Downside - You will still have to work hard to gain their loyalty, but not nearly as hard as you worked before just to get the cheap clients to be interested.

3 - You'll actually start making money. You may be able to purchase an upgraded piece of gear or a new background. You will probably have to stop making excuses about not being able to attend educational events and conventions because there will be enough money left in the checkbook, even after you pay studio expenses and yourself. You may actually be able to book fewer sessions and make the same amount.

Downside - You will have to open a savings account and put some money away during the busy times so there will be enough to pay the additional income taxes at the end of the year.

Don't be afraid. My favorite quote is from Star Wars when Luke was trying to use The Force to raise his speeder from the muck. Yoda kept telling him "Concentrate. Use The Force." Luke said "I'm trying!"

Yoda's famous reply was "There is Do and there is Do Not. There is no Try."

- David Grupa

Stop Worrying About What Others "In Your Area" are Doing!

We were having a discussion in a Facebook group and I thought I'd share this part of it for readers here.

It seems any time we talk about pricing, someone will say "well, that will never fly in my area" or "in my area, people would never pay those prices", or "in my area, everyone just wants a CD."

"In my area . . . " <sigh>

In my area, there are over 650 registered photographers (with the MN Dept of Revenue).

In my area, there are probably an equal number of students, MWACs and wannabees who own DLSRs, print business cards, have a FB business page and a website and call themselves professional. However, they pay no taxes and do it all "under the table."

In my area, these "professionals" charge anywhere from $100 / up and give a disk . . . and while it frustrates me that I have to constantly explain myself to clients, the bottom line is basic:

"I'm sorry, Ma'am . . . I am in business to make a living. This is how I feed my family, pay my bills, put my kids through college. I'm happy to sell you images on a disk; the first one is $500. The next two are $250 each. You may choose 10 for $1500. (That makes them just $150 each.)"

I'm in business to create awesome images and sell you finished photographs. It is not my mission to be cheap so that I can save someone a buck or two while they print my work at Costco.

I still need to pay my bills and cover my expenses, not to mention put something away for the future.

After spending 28 years with a business partner who almost ran us out of business because he wanted to charge based on what everyone else "in our area" charged, I knew I needed a change. Eight years ago I finally broke free of that and - scared to death - went into my own thing knowing I was going to sink or swim and the only thing standing between the two was me.


I believe that the "area" people are talking about is the space between their ears.

I've stopped caring about what others "in my area" charge. I've started looking after me. I deserve it.

You do too.

- David

Where will YOU be in 5 years?

I was reading a Facebook post today in which the writer stated that people looking for low price should expect low quality product.

While we'd all like to believe that is true, less money charged does not necessarily translate to low quality. Sadly, there are some really decent shooters out there who:

- Have no confidence in their work and ability to charge appropriately
- Have no business knowledge and therefore no clue as how to charge appropriately
- Think that they're going to save the world from expensive photographers by practically giving their work away

All of them are thinking that they are running a successful photography business - either full-time or "on the side" - and with the exception of the one who's trying to save the world, truly believe that they're charging as much as they can for their work.

There are a few basic statements that can be made which apply to many people who are new in the business. No, I'm not talking about the ones who went to WalMart or Best Buy and came home with a Rebel kit and a copy of PS Elements. The photographers I am referring to are the ones who have been active for a couple of years, gotten some additional education via traveling seminars and have actually kept themselves somewhat busy. However, they refuse to set their pricing at "market value" because:

Many new photographers are way better than they think they are. 
Most new photographers are severely underpriced.
As a result, most new photographers are making far less than they probably could be making.


Is this you? If so, here are a few more startling facts:

15% of you won't be a professional photographer next year at this time.
38% of you won't be here in 3 years.
50% of you will be out of business within 5 years.

You pick. Which one do YOU want to be?

Here's a graphic from business blogger Barry Ritholtz which outlines the profile of a US Small Business. How closely do you fit?

 

Copyright Alert - Action Required!

The software company Teorex www.theinpaint.com has introduced an inexpensive retouching program called "InPaint". While this in itself is not a bad thing, the website is advertising the software as a way to "remove logos and watermarks" from images.

I have already spoken with PPA's Copyright and Legal Dept, but am encouraging ALL of you to write a letter to this company to ask them to stop advertising their program essentially as a way to violate copyrights.

My letter to Teorex is posted below.

Their email is support@theinpaint.com or teorex@op.pl ; if you are a PPA Member, I would also recommend CCing Maria Matthews of PPA at copyrightdefense@ppa.com .

Thanks for your help, but PLEASE REMEMBER: 

The software itself is not the problem, it's the manner in which they are marketing it. If you choose to write a letter, please make sure to keep it polite and professional. This will get us a lot farther than threats and trash-talk.

- David Grupa

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Teorex Software
March 8, 2012 
RE: InPaint

Good Morning - 

Your website (www.theinpaint.com) was brought to my attention this morning by a concerned colleague. After reviewing the site and your software, I was disappointed to see that you are promoting it as a way to remove logos and copyright markings from images.

"Remove undesirable objects from still images, such as logos, watermarks, power lines, people, text or any other undesired artefacts.”(sic) 

Professional photographers rely on watermarking their images with copyright or studio logos to prevent online image theft and illegal use. By advertising your software as a way to remove these markings, this is essentially encouraging the practice of copyright infringement.

The screenshot page (http://www.theinpaint.com/screenshots.html) actually shows an example of how to remove such a watermark from a photograph.

While I understand that your software in and of itself can be a helpful product for manipulation of images, I am asking that you simply remove references to "removing logos and watermarks" from your products description, along with any images or screenshots that depict your product being used in this manner. This will still allow you to demonstrate the qualities of your product without encouraging and profiting from copyright infringement or other illegal activity.

Thank-you for your understanding and cooperation.

Respectfully,

David L. Grupa, CPP, M.Photog.Cr., AFS-MNPPA

CC: Maria Matthews - Professional Photographers of America - Copyright & Legal Affairs

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What's Hiding in Your Mailbox?

We've all had it happen. You get a vendor or client who says something like "Didn't you get my email?" or "I sent you a message on Facebook!" It didn't show up when we clicked on our mail, but they swear they sent it.

Really? Are they just making up excuses?

Possibly not.

Mail services such as Yahoo mail and Google's Gmail employ some pretty intensive filters in order to prevent "spam" mails from reaching you. Since many of these unsolicited messages are sent from free email services, some clients may also be blocked or sent into the the "Junk Mail" folder. Depending on the virus scanner used on your system, this may also filter email which have a "suspicious" appearance. Unfortunately, these scanners are not 100% accurate.

Make it a habit to check your "Junk Mail" folder on a regular basis to make sure you're not missing an inquiry from a current or prospective client.

You're thinking "I already check my junk mail on a regular basis; this isn't news." If you do, great! You're a step ahead of the game. If not, you may wish to check that box more frequently.

Here's one that came as news to me, however!

On Facebook, click the "Messages" link on the left side of your home page. When you do, a small link opens underneath it that says "other". Clicking that may reveal messages from people who you haven't friended, or messages from groups you have joined. I found no less than 6 messages from colleagues and clients who I had not previously friended . . . some over a month old!

Fortunately, you can keep yourself from looking like an individual who doesn't pay attention to or return their messages simply by checking these areas on a regular basis.

Until next time . . .

- David Grupa

Resolve to Be a Better Businessperson in 2012!

First off, I hope everyone enjoyed a wonderful holiday with the people they love the most. After all, that is really what it's all about.

Florida photographer Kevin Newsome has posted a series of YouTube videos with his opinions on different issues within the industry. They're relevant, thought-provoking and mildly entertaining. When a link to one of his videos on "Shoot and Burn" photographers was recently posted in another forum in which I participate, it opened the ever-popular discussion of "should I sell print or files?" While I don't want to get into that one one more time, I do think there were a few important points to be made.

One relatively young and opinionated member chose to point out that selling image files was the only way to make money and that Mr. Newsome was a "relic" and and "artifact" in the industry. This group member continued by stating "This dude is just afraid of losing his rip off of a business that needs to die and I'll be happy to be one of the ones to help make that happen."

Is he right? The fact is, we should all be concerned about losing our businesses, but not because we are "rip offs" or aren't embracing technology and selling files. We should be concerned about the fact that we are underpricing our products and services in an effort to compete with the MWACS and DWACS who enter this field daily. (Just think, there are probably hundreds of new "professional" photographers right now who are still trying to decide what to name their Facebook business page as they caress the shiny new Rebel they found under the tree!)

While I definitely have my own opinion, I'm not going to fuel the files vs prints debate here. What I am going to do is ask you to take a serious look at the amount of profit your studio needs in order to survive.

Photographer and educator Charles Lewis (another "relic" or "artifact") still talks about starting his studio and the number of hats one must wear to own their own photography business. He'd say "all I want to do is take pictures!" Of course, we'd all love that.

However, it takes more than just pushing a button. Those photographers who fail to do the sales, marketing and most importantly, pay attention to the numbers and bookkeeping are doomed to fail. You MUST find a way to make a viable living in this industry by pricing your product (whether image files or physical images) to make a profit.

Those who shoot and burn for cheap rates will be forced to find another source of income to supplement their photography. Those who sell prints for cheap prices will die for the same reason. 

It's not about the technology. It's not image files vs prints. It's not "relics vs young guns". It's each and every one of us vs ourselves and our own reluctance and hesitation to sell our products and services at professional rates that allow us to make a decent living while still doing something we enjoy.

Everything old is not necessarily bad, just as everything new is not necessarily better. Some things got to be old because they stood the test of time and have not crumbled under the pressure of change. Yet, embracing the "out with the old, in with the new" mentality can be a good thing in many ways. Perhaps the New Year is the right time to take the plunge with a new pricing structure. Maybe this New Year will be one in which you eclipse your old sales numbers. What if I told you 2012 would be your breakout year, simply by making a few positive changes in the way you look at your studio; not the photography itself, but the business of photography.

My suggestion for a great resolution for 2012 is to take a serious look at your own business model. Crunch your own numbers (or if that's not your strong suit, talk to a bookkeeper or accountant who can help decipher them with you!) We obviously love what we do and have a deep passion for the art. Make 2012 the year you get passionate about the business side of photography and start making it truly profitable!

Happy New Year!

- David Grupa

Are You Unknowingly Referring Your Clients to Your Competition?

Recently in one of the many Facebook groups in which I participate, I was walking one of the members through a somewhat involved process. It got to the point where it was just going to be easier to pick up the phone and talk them through it rather than try to type out line after line of instruction in messages. I clicked on the person's profile and followed the link to their Facebook business page. Since there was no contact information listed, I located the website link and clicked through to that.

Beautiful work. Awesome images. But how do I find them? Oh, here . . way down in the bottom corner, a tiny "Contact Us" button. I clicked on it and all it lead me to was an email contact form. No address or city . . . what time zone are they in? Is it too early/late to call? Ehhh, doesn't matter . . . no phone number listed, either. 

I went back to FB and mentioned this to the individual and left my phone number so they could at least call me. When they called, one of the first questions I asked was "Why don't you have any contact information listed?" The reply? "I don't like to be bothered on the phone. I just want to deal with people through email."

Bothered? Really? Isn't this your business we're talking about? Aren't clients the reason we even have a business? Without them, we don't have much of an income.

If you are running a photography business and using your home or mobile phone as the business number, why not just leave a professional sounding message that identifies your business, thanks the caller for their inquiry and invites them to leave a message so you can return their call at your earliest opportunity? That way, it doesn't sound like they've called a personal number and gives them the impression that you as a businessperson care about them as a client. While a contact email does essentially the same task, it does not offer the personal voice contact that happens during a phone call.

It started me thinking about other ways that people unknowingly drive business away. Beautifully designed postcards, websites, product brochures . . . all lacking easy-to-find contact information.

If you look at product catalogs you receive in the mail (let's say Victoria's Secret, but any mail-order catalog works) what is on each and every page?  

Website. Phone number. 

So . . . now you've gotten them to your website. If it's a national chain, what else is prominent on the first page? Yup it's a . . .

Store locator. 

Why? Because customers want to know where to find you! Even though many of us do not run retail establishments, prospective clients still want to know where to find us!

Think of it this way . . . if you were going to invest serious money in any product or service, don't you feel better having contact information? A phone number to call and an address to visit all instill confidence in a prospective client. To me, a website with nothing other than an email contact form conjures up visions of a photographer wearing dark glasses and a trench coat with a camera and a laptop in a graffiti-filled alley whispering "Psssst . . . over here. Wanna buy a CD of pictures?" 

It amazes me to see so many websites without as much as an address or contact phone number. Sure, some people will fill out an email contact form, but what about those who want to talk to you and are in the market for your product or service RIGHT NOW? You know what happened to them, don't you?

They went to one of the other websites in their search results; one with full contact information listed.

Yup. They called me. 

- David Grupa

PS - Thank-you for the indirect referral!

How Many Files Do YOU Have to Sell to Equal a Good Paycheck?

There are constantly discussions being opened in online groups in which I participate that revolved around the nagging question of pricing for actual photographs vs. "should I sell my files?"

A local colleague (who is an amazing artist!) commented "I still think it is better for the client to have US do the artwork and printing, but (purchasing files) is an option available for when someone needs the file. I had an image to be published in a book . . . because I did his (the subject's) wedding and the publisher bought usage of 1 jpg. What I charge per jpg is $450 for just 1. 3 jpgs are $1000, 10 jpgs are $2000 and 30 jpgs are priced at $3000. So, with a (minimum) order of $1500 or more the jpgs are $100 each, but only IF you are purchasing 30 of them. In this instance it would be at least a $4500 (sale)."

I'm pretty sure that there are too many photographers giving away their work because "that's how my friend does it" or "my client complained I wasn't including files".

You can certainly sell your files (although my personal preference and business model is to do the artwork and printing myself) AS LONG AS you're still making your session averages! Too many newer photographers think "Wow . . . I just made $100 shooting that portrait session and giving away a CD of printable images. All it cost me was a 50 cent disk - this is gonna be awesome!"

Do you remember the cereal commercial? "You'd have to eat TEN bowls of their cereal to equal the vitamins/fiber/whatever else that's in just ONE bowl of our cereal!" What we do is actually very similar.

Since there are only 24 hours in a day, do you really want to work 20 of them? There are just 5 days in a typical work week (bet your spouse/partner/kids are already thrilled to see you working nights and weekends). With 52 weeks in a year, you probably had paid vacation at your other job and enjoyed the benefits of that.

Suddenly, it's not so awesome if/when you figure out that you're actually making less than minimum wage. You're probably not even making enough to pay for the gear you own (not to mention the "wish list" of toys you want to buy!) The goal here is to make a living while creating awesome images for our clients. They, in turn, will compensate us appropriately for the portrait and lasting enjoyment they will receive!

My artistic colleague has the right approach and mindset. This is not about selling 80 square inches of photographic paper or a digital file, it's about the time and talent we put into the creation of each portrait. It's about the image, the emotion, the art.

This isn't about giving family, friends or frugal clients a cheap way out. It's about taking positive steps to insure we can make a living doing something we love.

While a great deal of my time is invested in this industry, photography is NOT my life. Photography is what I do so I can actually HAVE a life!

Take a look at what you are doing. What do you need to change to have a great life?

- David Grupa

Anatomy of a Business Card 101

You probably never even give it a second thought. Someone asks for your card, so you smile and hand over a 2x3.5 inch piece of paper that gives them the very first impression of you and your business. Stop and think for a minute; what's on your card?

Generally, a business card contains these 5 very basic pieces of information:           

1. Your business name
2. Your name
3. Your phone number
4. Your website
5. Your email address

Simple, right? Apparently not.

At a recent gathering of photography professionals, the speaker collected business cards from those in attendance to use in a drawing for door prizes to be given away that evening. After the meeting ended, the bag of business cards was left on a table. Curious to see what other photographers are using for cardstock, layout and design, I grabbed a handful of these cards. What I found surprised me.

While all of the cards contained the business name, most of them also contained the name of a specific individual. Here's where the surprises came:

Nearly 20% of the cards in the bag were only printed on one side.

            With business cards available inexpensively, why would you not use both sides? Put info about you or your business on the flip side. Use a photograph in conjunction with the contact info. (If it's not a client image, use a headshot of yourself!) Use association logos to let your clients know you're a member. Flaunt the fact you're a Certified Professional Photographer.

Choose a readable font and use it in a size that can be easily read.

            I was amazed at the number of cards where the font was so small, I had a difficult time reading it. Other cards had fonts where the numbers were difficult to discern because of the font style. Be sure to choose a font that reproduces well in different sizes without disappearing, running together or blocking up.

Almost 50% of the cards had a website and phone as the only contact information.

            Electronic media is a staple of our daily lives; include an email contact address so your clients can reach you via this method. Even though you have a contact form on your website, there are a percentage of prospective clients who won't work that hard to find you. Make it easy; include your email address on the business card.

Less is more.

            The cards with the most impact were the ones with fewer, larger images. Some attempted to cram so many tiny images onto the card that they were barely visible. Rather than try to showcase everything you do on a single business card, make up a card for weddings, for seniors, for children, for families . . . whatever you photograph! Labs who press print cards usually allow quantities as few as 50, so you can afford to have the right look for the right prospect. 

Take a peek at your card; is it making a powerful impression?

- David Grupa