Are you lowering price for recession?
- Thread starter Abbey Lane
- Start date
No, so far on average all the jobs I booked for next year are more money than the ones I did this year. At most I may not raise my rates at the first of the year.
I would never lower our prices, but instead would merely cut back on services in order to keep prices the same.
For example, I've NEVER gone out w/o a subwoofer (powered 18" with 800-1200 watts)....but would consider this as a way to keep firm rates w/o having to charge more.
OTOH, maybe the client is Rap-intensive, and would be OK with me bringing just 100 rap CDs (thereby getting to leave 1000-2000 Compact Discs at home).....I'd bring the Sub and cut back the CD carry-in.
I can eliminate face-to-face consultations and also keep prices stable, by just doing e-mail and phone conversations only.
For some events, I can cut the Suit-and-Tie and save $15 on dry cleaning.
Eliminating wasteful spending, and nearly ALL advertising costs (except SEO & internet), also yields increasing profits despite flat grosses.
Finally, making do with less. Shorter drive times can be achieved by doing more close-to-home events.
For example, I've NEVER gone out w/o a subwoofer (powered 18" with 800-1200 watts)....but would consider this as a way to keep firm rates w/o having to charge more.
OTOH, maybe the client is Rap-intensive, and would be OK with me bringing just 100 rap CDs (thereby getting to leave 1000-2000 Compact Discs at home).....I'd bring the Sub and cut back the CD carry-in.
I can eliminate face-to-face consultations and also keep prices stable, by just doing e-mail and phone conversations only.
For some events, I can cut the Suit-and-Tie and save $15 on dry cleaning.
Eliminating wasteful spending, and nearly ALL advertising costs (except SEO & internet), also yields increasing profits despite flat grosses.
Finally, making do with less. Shorter drive times can be achieved by doing more close-to-home events.
Funny thing, alot of the DJs around here are but we have kept ours the same and seem to be booking more lately.
Ah, a McCain fan.
Same here. In fact I have increased my price for 2009 and haven't found much opposition. I to have cut back on expenses. I now buy my music in MP3 as I need them. Since I carry a wireless Verizon card I can purchase and download songs on the fly. I've also cut back on offices expenses and some equipment. Oh, I'd love new toys but I need to use what I have for now.
After a lot of inner debate and discussion with my better half, I've increased prices for 2009, but not quite as much as I'd wanted to. The minimal increase should cover increases in expenses and keep profits the same...
I really envy those of you who haven't had a drop in business. Mine is in the dumper. I am investing money into my web presence and hoping this brings the phone calls back. My prices have dropped a bit, yes.
I thought about lowering for a second or two. However, if the client can afford the event, why not my fee? So far, so good.....
Then you have given everyone, your established clients, potential clients, your competition, your employees and the reflection in your mirror an indication of your self established value. If prices are increasing for the general consumer market and you are lowering, you are screaming a message that will result in a commensurate and continued decline in business. The only caveat to this is the unlikely circumstance where your original price was unnaturally inflated and unproven. Then it is not a discount/decrease/fear induced price cut but more an adjustment. But that is not what this sounds like.
You are setting up a slow and painful death scenario.
You should seriously, carefully, and diligently examine and evaluate your marketing and sales efforts AND your performance abilities. You will likely find the cause there and not in your price point.
G
Guest
Guest
I realized that with Gas prices where they are that people just couldn't afford my rates and the gas to get to the event when they had to pay extra for food services, higher prices for the venues etc. so I dropped my rate to $50 for a minimum 6 hour gig.
Steve *shakes head* you're still too dam expensive! I recommend you pay them $800 for letting you DJ.
K
Kirby Ball
Guest
Prices will remain stable at this point in time. Some form of increase in fees in 2009, but how much has not been determined.
Rox,
Do you have a tour going or maybe a workshop or something. Listening to you might just be worth the paying for.
Those of you who have dropped price, are you full time or part time? Oh, it does matter, oh yes it does.
With gas prices dropping back down we can't use that excuse anymore at least for now. We are down to $2.54 a gal. Food prices, well that's another story. I don't see those coming down anytime to soon.
Do you have a tour going or maybe a workshop or something. Listening to you might just be worth the paying for.
Those of you who have dropped price, are you full time or part time? Oh, it does matter, oh yes it does.
With gas prices dropping back down we can't use that excuse anymore at least for now. We are down to $2.54 a gal. Food prices, well that's another story. I don't see those coming down anytime to soon.
For 2009 prices have already gone up. I have more weddings booked for next year that at any time (Thank you God). I'm my area I really am in the middle of the road for prices. Like I have said I will raise our prices when I feel like we have become good enough to do so.
So our prices go up each year but not that much maybe 50 dollars. In this last year I have worked very hard to raise our image as a DJ service. Most of our brides seem to be fairly educated and have understood our value. I feel there are clients out there that will only pay so much because thats what they can afford.
And it does not matter what you bring to the table. But there is the other client that is not overly effected by the economy. Meaning they have a good job and money and maybe there 401k is being effected but there spendable income is not. I have learned one thing from a friend of mine. "Price is only an issue in absence of value". But most of all the biggest thing that my wife and I have done for our business is to give it to god and let him bless it, and he has.
So our prices go up each year but not that much maybe 50 dollars. In this last year I have worked very hard to raise our image as a DJ service. Most of our brides seem to be fairly educated and have understood our value. I feel there are clients out there that will only pay so much because thats what they can afford.
And it does not matter what you bring to the table. But there is the other client that is not overly effected by the economy. Meaning they have a good job and money and maybe there 401k is being effected but there spendable income is not. I have learned one thing from a friend of mine. "Price is only an issue in absence of value". But most of all the biggest thing that my wife and I have done for our business is to give it to god and let him bless it, and he has.
The only caveat to this is the unlikely circumstance where your original price was unnaturally inflated and unproven. Then it is not a discount/decrease/fear induced price cut but more an adjustment. But that is not what this sounds like.
You are setting up a slow and painful death scenario.
You should seriously, carefully, and diligently examine and evaluate your marketing and sales efforts AND your performance abilities. You will likely find the cause there and not in your price point.
I agree with alot of this. My marketing had slipped, because I became comfortable with the referral base I had. When they fell apart it all caved in. My fault. I am fixing that, starting with the web presence.
Also, I think about four years ago I was too aggressive with the GWYW thing.
I know when I get my phone ringing more, my bookings, and then my prices will rebound.
At least that is my plan.