How to Price Video Production Services

Most video production companies use the exact same model for pricing their services. I’m going to share this model with you because it can be an ok starting point and then, I’ll show you a better way.

If you want to turn your freelance business into a video production company, check out this one-hour training on my website.

The normal model for pricing video work is very much like pricing freelance work.
As a freelance DP for example, I looked around at other DPs that were doing the same type of work as me and I picked a rate that was average. So if some DPs were charging 700 and some 1300, I would charge 1000 or maybe 900 to be competitive.

Because a lot of business owners come from a freelance background, they use the same model.
They take the price of labor for production, add pre-production and post-production hours, and a little markup.

I’ll give you an example.

Let’s say a client wants a marketing video. To create this video, you need to do one day of shooting at their location, about two hours of pre-production time to put together all the logistics, and 12 hours of post-production.

Taking the average model here in Chicago, I would charge $125 an hour for producing time in post-production. I would charge $2500 for production, which includes director/DP, audio tech, grip, and all equipment and I would charge another $125 an hour for editing.
Then, you add all of it up and you add a 20% profit margin.

If you are starting out, this is just fine. But the problem is, you will lose so many projects based on price. Almost every video production company around me can do exactly this. This model is exactly why the cost of video production has barely kept up with inflation.

Your first option here is to raise the price and become the premium option. Now, you have to be in a position to provide premium value or you won’t have repeat customers. But the high prices can be perceived as a higher value.

Another way to look at it is if you sell a full video production service and a final video priced at $1500 to a small business, now that small business may not really care about putting the afford it takes to use that video to generate leads and sales. Their investment was just not high enough to care. But if they spent $15000, you better believe they are not going to let that project go to waste. They will do everything in their power to get results from your video.

Thanks so much for watching. Please give this video a thumbs up and subscribe to this channel for easy to follow filmmaking videos.

[Filmmakingmentor]

If you want to turn your freelance business into a video production company, check out this one-hour training on my website.

[leadfootgarage]

20+ years as a studio owner here, also remember to include video storage to your price. Each client of mine has their own hard drive that I include in my price. Also, if the client wants me to shoot in 4k that's additional expense. Bigger files, larger storage. Some clients will want to keep the footage for themselves but in all my years of doing this only one agency did this. I always bill the bid, if it takes me half the time to edit, they are still paying what I bid it out for. Also, I never charge hourly for shooting. I always charge half or full day rate even if I only shoot for an hour. Remember, travel and set up times.

[herodot]

your free content is way more valuable as most of the payed master classes. salute to you and thank you🙏

[richochet]

More gold from what is fast becoming my favourite videography channel.

[jordanpresley]

I've been looking and waiting for content like this for years! I feel like you either have to know someone who's in the industry and then pay them for consultation to get this kind of information. I get that these are kind of "trade secrets" but for someone who's been trying to break out of the freelance world & has no idea on where to start to look to get this kind of building-a-business information, I am so happy you've made videos like this.

I'm definitely going to consider looking into your course. In the meantime, I wanted to thank you for putting out this content for free. It means a lot and I bet I'm not the only one out here who feels this way.

Thanks a million <3

[RANDassociatesinc]

I followed exactly this path. I started with tight margin projects as a hired set of hands that recorded and edited. Once I proved to my market place that I could deliver, I “niched down” into highly specific topic areas in which I am a respected expert and melded my production skills with my specialized knowledge and boom; more revenue bcz now I was providing more value.

My caveat is that while my rates and revenue increased it didn’t all shoot up at once; it took a little time but overall I still had MORE to play with.

[Luceee]

Not even a videographer and this video has solved my pricing problem. Thanks

[Wearenobleink]

The Most Useful YouTube Page about Production. Real Tangible information ! 5 Stars all the way!

[JMELLOW]

So glad I came across you’re channel. YouTube University just gets better and better. Thank you for the information 🤝

[redlusion]

To be honest I love this channel it’s just what I needed some really good business side info about videography 🙏🏽❤️ thankyou so much for making this content it was hardly needed

[Cinema]

Great advice! Thanks! “Be the premier price of your area”. I feel as if my skills are much higher and I get it all the time from clients and I feel as if I’m competing price wise to get their business. I have to realize I am an asset to the project and not just someone who needs to do it for little pay competing with the other content creators in the Houston area that are no where near the caliber of content I can produce. Knowledge is power, I know a lot more about editing and filming so It should only be right I charge a higher price if my products blow the competition out of the water. Thanks again! Solid advice!

[RealLifewithAdrianRuth]

great tips. been doing videos for over 15 years and now just starting a company.

[AndyKingCo]

This channel is unreal! Straight to my top 3 favs. The quality and info here is unmatched. Got a new subscriber and fan

[realestatecoachestv]

Listen you keep me coming with these videos man!!! You eventually cracked the YouTube code on the type of content that works for you man. Keep it up! And oh I’m trying to set up a proper company instead of freelancing

[WrittenDigitalWorld]

I love this video exactly what we tried to do since 2020, we now offer marketing in South Africa mostly for medical professionals to start with

[ColeDeRuse]

Soaking up every video drop!! Thank you bro

[JaredSpink]

What a great video. Been watching a ton of your content lately and love it all! I'm super passionate about pricing and profit. So often I see people feel like the have to justify their pricing and when they feel that way they tend to lower it so they feel like it'll be less of an issue. People, don't do that! I guarantee you your pricing is usually never high enough, there is so much time that goes into running your business that you're probably not even paying yourself for and overhead your forgetting that should be factored into your business.

[chapstyleusa]

Great video and channel!
It reminds me when I started a handyman service with my friend, we were scared to charge an average price, and we had hard time with customers, they were mostly just rude and not willing to pay sometimes, however our quality was above average. After realizing that, and raising prices, we started getting more customers with the same advertising expenses, and making more money eventually! And the customers have become nicer.
Unfortunately, there are always those guys who offer services for cheap, and not only they underprice themselves, but they also make customers get used to lower prices, which is bad for everyone in the sphere.
The best advice - don’t be cheap, even when you just start.
Planning to move to Dallas and start video production in March!

[norringtonmedia]

2nd video ive watched already! Your a huge help. Thanks for making these videos 🙌

[karlbell]

Great video.
I Live in Chicago and am just starting a Video production