More on Photography in the "New Economy"

It's amazing to see the discussions and input that has come back from the post the photographer who lost a bid to someone who came in at 80% under of what he did. Because there are so many, I'm sharing excerpts from the threads I did receive via e-mail. One thought I did have is educating these types of "photographers" on the true costs of business. When there not playing photographer on weekends, have them go to their real employers and tell them they will work for an 80% cut in pay and see if they can sustain the way they live and pay their bills. I'd call that "Teaching by Example."  I've used different fonts and text color to differentiate responses from each individual. Here are a few more thoughts...

"I just think the 20% bid doesn't really want to just make 20% of the job price...they like paying rent and eating well too. If they knew what to charge and they are just "hungry" then they would be a 70% right? If they are just starting out and trying to get their foot in the door they would be 70% too, right?  Find out who it is and help them or have John Harrington call them! They won't be 20% anymore."

Essential and highly recommended reading for anyone in the photography business! In reading this book on Business Practices for Photographers, by John Harrington, you'll have many ah ha moments. I have the First Edition which has been a great guide post.

John Harringtons book: http://www.best-business-practices.com/ 

"I think you are right-on in saying that new photographers have no idea what to charge.  Many want to get into the business so badly that they are willing to do the job at any cost, not realizing that that “cost” is often to their own businesses, careers and that of the entire industry.  We all need to look at the long-term, sustainable costs of operating a quality business.  The only way we can continue to do business (and therefore be there for our clients the following year) is to charge enough to pay our overhead, expand and stay in business long term. On both sides of the photo business we have to know when to say "no" to unreasonable client expecations, understand that we're in business and not just having fun behind the camera, and put in the significant amount of work it takes to be successful. A workshop instructor I know relayed that one of the students in a 3-hour seminar timidly raised her hand half-way through and said "This is HARD." He agreed with her. Those who don't put in the effort won't survive long, but that doesn't make it any easier to compete against the prices they charge because they don't know any better.  Invite the aspiring competition to join the association and get educated. I'm happy to compete on my vision, but not on price. I wish everyone else shared that attitude."

 "I've got 35 years in the biz under my belt, a sorta-MBA in the subject, some semesters of teaching business at the college level and a stint on the ASMP regional and national boards, so I've put a bit of thought into this, for what its worth....  I am sympathetic to your pain -- and the pain many suffer now in our industry. Sadly the cynical attitude expressed by your "small agency" client is truly a reality of the marketplace today. Trying to change the trends he describes is like standing in the surf and stop the tides. It just ain't gonna happen.

If that client who sent the semi-cranky email wants it cheap then OK either decide you can give him his price and still make a profit (and the lower quality/effort/experience he should accept as a consequence) or tell him to piss off and focus on doing exceptional work that really justifies a higher price for guys who have the dough. If you go the exceptional route you must be able to back it up. Look at the work that you aspire to among your peers and competitors. Are you better than them... really? Are you unique... really?

The fact is that most of us are not better or more unique. That is the truth of the bell curve -- not a reflection on anybody's value as a human being. If any of us can't pass that "really better" test then we'll have one hell of a time charging "really better" money. The alternative (for long term career success) is to respond to the REAL trend in media today and hone our particular skills in a sub-set of media production. Be the best damn gaffer, or set designer, or whatever. Point is media is now a TEAM effort (to produce stills, video, etc) and we all need to learn to be not lone wolfs (as any photographers are stuck on being) but team players. That can be relay fun and rewarding, too."

"In any industry, price competition can be brutal. Again we need to focus on value provided and our unique strengths or competitive advantage in the industry. We must be able to differentiate ourselves from the competition through some mix of values; experience, skills, people skills, knowledge, vision, composition, dependability, problem solving skills, retouching, production saavy...whatever it is that makes us unique."

"I just got the March 2011 issue of PDN and I’m reading the Q&A with the Executive Director of Rights & Permissions for Conde Nast. It’s very interesting and gives more insight into this subject. This is obviously NOT just about small agencies.

He says that they have had the right in their contracts since 1995 to re-use assignment images and outtakes digitally and they “expect to be able to use the images in all iterations of the magazine.” But then he goes on to say that isn’t true when they use stock images, because “stock providers are dictating the terms.”

He further says that “The digital editions are really a new [form of] distribution. It’s not a new product. We don’t pay additionally if we start distributing to ten additional newsstands.” Now isn’t that interesting?

So if the iPad edition of Wired magazine isn’t a new product, then why does a subscriber to the print edition have to pay an additional fee for the iPad version of the same issue? And why does a person have to buy each iPad issue individually at full newsstand price and not be able to buy an annual subscription, like they can for the print edition? Inquiring minds want to know!" 

Another response from a photographer who offered feedback on the AD's treatise:

"I'm callin' BS on this guy:There always has been, and always will be, someone who will do the job for less.  This is one of the most tired lines out there.  Presumably the old way of doing things was demanding reasonable payment and that just won't fly in this "new" economy.
I've just told you all the reasons why I don't think your work is worth what you're asking but I really like your work so I'm hoping that the next time I ask you for a quote you'll low ball your own bid and I can get a good job really cheap.My insight is that you charge too much money for your work.  I'm glad I could share it with you.  We'd give you more work if you charged less.



Does anyone really believe that this person is describing the new economy, the new business paradigm?  If the new economy means letting the client decide how much you charge for your work then we will all have to learn to survive without profits.  This is not a new business model, it's just doing business badly."

Finally, a response from a good friend who's thoughts I value greatly:

"Interesting read. Sorry but the way we learned the craft is dead. The way we use the craft is our best tool. Because of digital I'm getting the best $ return so far. I love that everyone can be in the foray. The good art directors know this. Film is dead. My secrets are now a filter on photoshop. Anyone can shoot at a quality level in a week what took me years to do. Do they have my eye? My experience? My artistic point of view? The ability to put out a consistent and usable product? Probably not..."

 

All of us as working professionals have had to rethink how we need to do business. Not always a bad thing. The only thing that's constant is change. Without change there is no growth. I hope this post gets each and every one thinking of how can educate out client/consumer to the value of what we know and have learned along the way, which makes us the best choice for the assignments out there.

Keep Following The Light!

The New Age of Photography

The e-mail below came from a friend who saw one of my posts on FB. I feel it important to share it because our industry, since the introduction of digital, has created major changes not only how photography is perceived, but also how its' worth in the marketplace is valued. I have run into similar situations more times than I care to share in the area I live in over the past few years. Clearly, by reading this response to the photographers query by this particular AD tells me he has no idea in the real cost of doing or running a business. Granted, times have changed in our line of business as photographers, but the costs have not. Camera memory is cheap. The equipment to do a shoot right is not, along with insurance, fees, taxes, etc. You get the picture. 

Digital photography has given those who are, for the most, part technically inept, a tool which requires a minimum amount of thought to get a reasonably good image which they can be pleased with in an instant. And for those who still take marginal photos, they have created actions to "dress up" a bad shot. A double edged sword for those of us who make their living behind a camera these days. A bad cake is still a bad cake no matter how nice the icing might look.


"There is nothing worse than a sharp image of a fuzzy concept." Ansel Adams

Sent from a friend via e-mail:

Hello everyone,

Last year, I was asked to bid a half-day, outdoor, product-in-action, multiple location shoot and did not hear back from the agency.  That's not particularly new but I knew they liked my work and had a suspicion that it had gone to a much lower bid.  I wanted a better sense of the "new landscape" out there so I decided to just be up front and ask the question straight out.  I just ran into this again and thought that maybe, in the new year, it would be appropriate to revisit some of the discussion points in this e-mail.  This is what I got back.  

Hi Jerry,

You are right, the project was assigned to another photographer whose quote was appx. 80% less than yours, is someone I’ve worked with before so I know they can deliver the required service and quality.  I did like your overall approach, and rarely if ever take the this time to try and give some constructive feedback, from an “small agency” perspective.  You may not like what you read, but here it goes, and please understand it would be easier for me to just say thanks but no thanks.... I take valuable time to write this as feedback you may consider so that we can possibly work together in the future..  I do think we need another photog or two as new resources at this time for future projects.

Being in the business 20 years is both a plus and a minus.  Photographic experience is a value, for sure.  So is staying current with the new economy and ways of doing business, especially in your industry.  You are being challenged on one front by inexpensive stock images that once were your bread and butter. We rely a lot on stock photos for time, efficiency, ease of client approval and less time in photo art direction makes us more price competitive.  We are solicited weekly by hungry new photogs that are ready and able to do what we need, without being tied down to the old ways of doing things, when the photographer ( and your quasi union ) could collaborate on setting terms and prices.

Here’s the hard love- your quote conveys the concepts of the old way of doing biz- not the new economy. As a company who’s most important revenue channel is web development, we’ve had to face a similar challenge.  It’s a relatively small thing, but you list $75 for rental equipment.   Rent what??  This is an on-location 4-image run and go shoot.  What could you possibly have to rent that you shouldn’t already own as a 20 yr. veteran. It’s a line item that is a turn off.  Same thing with the assistant fee-   if you need an assistant to help you with a location shoot ( no lighting set up, no food prep, etc.) then that’s on you. Usage fees are the next item, I got unlimited, exclusive usage without issue.  That’s old thinking, before stock photos took over the world of photography.  I’m sure there are clients and agencies still drinking that Kool-Aid, but that pool is shrinking rapidly, leaving younger, hungrier, more customer-centric photographers to enter the game.

Let me ask you this intellectual question:  the featured product and branding belongs to the client; the image shoot creative concept , photo art direction and graphic design belong to us.  So why should you claim ownership to the images?  Yes I know about how the copyright laws are written and the lobbying behind it, but in the REAL world, your contribution is no more or less than collaborative to us, yet we are buying “usage rights”  from you for images we conceive and art direct?  Like I said, you’re probably not going to like reading this, but it how agencies like ours are viewing the new economy.

Maybe I just needed to get this off my chest, and decided to share it with you now because I have a sense that you might get it, and we could work together in the future.  I don’t mean to offend, only offer insight that might help.  Like I said ,even as a “small agency” we get solicited by photogs looking for new business more times than I can count. This is the first time – don’t ask me why cuz  I don’t know – I’ve share this insight from the customer perspective with one of those potential new vendors;

I took much longer than I anticipated writing this little dissertation, so going to close now. I hope you read it in the spirit it has been written. I wish you well, and I like your work.

(name not important)

This is being offered only as a constructive framework for a discussion.  I really don't think there is anything to be gained my ranting at this particular AD.  I have several art directors that go to bat for me on a regular basis so this was a little unusual.  I've never had anyone spell it all out for me quite like this before.  Clearly this one and I had different ideas about how the shoot should be executed.  I actually appreciate that someone would take the time to respond to my request about the project.  Obviously, this agency and I are not meant for each other and I've moved on but I hear these arguments more and more.  I just wondered how some of the rest of you are dealing with them.

Any thoughts...

CL