Jan 24, 200841 appreciated comments
How much is that logo in the window?
Have you ever been frustrated when a logo designer doesn’t tell you the cost up-front?
You might think they’re stalling you, trying to figure out how much you can afford, but what good would that do? The designer is by no means guaranteed your business, so it makes perfect sense to provide an accurate logo design quote ASAP.
The issue lies here:
No project is the same, and every client differs. You can’t receive an accurate quote until the designer knows exactly what you need.
If a logo designer provides a fixed price before researching the project, the reason is due to one of three things:
- They’re shooting themselves in the foot by under-valuing their expertise
- They’ll create a poor design by scrimping on the research stage
- The figure is huge because the designer doesn’t need the business
Always expect to answer questions before money is mentioned.
Image courtesy of Jem-K
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41 appreciated comments, click here to add one
matt adams
So Dave, Where do you start? I’d love to compare pricing processes across the the different firms reading this.
matt adams’s last blog post..new factor 1 diggs
Jan 26th, 2008
David Airey
I’ll soon be approaching different logo designers and asking a few pricing questions.
The answers will be published here, and I hope that helps give a better insight.
Congratulations on moving into your new Factor 1 offices!
Jan 27th, 2008
Toon
The problem is like most industries nobody sticks together to keep the value of the work up, somebody will always break away and offer cheap prices. It’s a shame but it’s true. (Nice blog David)
Toon’s last blog post..Superexpresso – Typography & Graphic Design
Jan 27th, 2008
David Airey
You could see it as a problem, although more often than not the quality of logo design will decrease alongside the price. I prefer not to work with people who aren’t prepared to spend more than $100 on their logo, so it works both ways. There’ll always be business owners who value a higher quality logo design.
By the way, thanks very much for the kind mention on Graphic Design Blog. I appreciate it.
UPDATE: February 1st 2008
It seems a few of you have misread my comment, thinking that I charge $100 for a logo design. Sorry for the confusion. I meant that anyone who expects to pay $100 is not the type of person I work with.
Jan 27th, 2008
Anthony
“Toon,
You could see it as a problem, although more often than not the quality of logo design will decrease alongside the price. I prefer not to work with people who aren’t prepared to spend more than $100 on their logo, so it works both ways. There’ll always be business owners who value a higher quality logo design.
By the way, thanks very much for the kind mention on Graphic Design Blog. I appreciate it.”
I guess I have been overcharging? I see you mention logos for $100… I have been charging from $650-$1500 for logo designs. Think I am in the wrong? I basically charge 50 an hour and my typical quote for logo work is 20 hours, which includes research and a couple rounds of revisions. Do you think this system is flawed? I have had several satisfied clients at these prices, but hearing they could get a great logo from someone like you for $100 is a little alarming…
Jan 29th, 2008
Peter
I could be wrong, but I have a feeling that there’s a 0 missing in David’s price. $100 for a logo is the kind of thing that undercuts the market and doesn’t help anybody in the long run.
Even at Anthony’s prices ($50 – I would consider quite reasonable), do you think you could churn out a quality logo in 2 hours?
Feb 1st, 2008
David Airey
You most certainly haven’t been overcharging, and you’ve read my comment in the wrong way. I said I’m not prepared to work with people who won’t pay more than $100 for a logo, so please don’t be alarmed.
Peter,
I guess I didn’t word my sentence as simply as I could have. You’ve also got the wrong end of the stick. A good logo design can take weeks or months, so to expect anything in a couple of hours is ludicrous, I’m sure you’d agree?
Feb 1st, 2008
Anthony
David,
Thanks for taking the time to answer my question. For the record, I have really enjoyed your site. I think it is informative to both clients and designers. Cheers on such a clean design! Thank you for the advice you have on your site concerning logos, and working with clients. I have learned a lot from this information, and I am sure many others have as well. Ours is an industry of no rules, no standards and no help from successful peers. It is a breath of fresh air to find a designer who obviously understands the art of design is much bigger than one person. Thank you again.
P.S. I will be submitting a logo to your contest. Any criticism would be well-received.
Feb 4th, 2008
David Airey
You’re very welcome to my time, and I’m glad you’ve enjoyed the site. I always appreciate learning that someone has found information of use from me.
Feb 6th, 2008
Joe
David,
Great site. I always enjoy reading up on what you’ve been working on.
I do a lot of work for smaller businesses and can generate a lot of repeat business if I play my cards right. I often will package a logo project with business cards and letterhead. I generally figure about 20-30 hours of work total for each package and bill between $1000 and $1600.
Joe
Mar 17th, 2008
David Airey
Great to see you’re not selling your services short, and thanks for the website compliment. I notice you don’t have an online portfolio. Will you be adding any work to your website?
Mar 19th, 2008
ellen petty
Hi David,
I love your site! It’s been a fantastic resource.
I recently started a new design company specializing in identity and branding packages. For a logo alone, including the vector and jpg files I typically charge anywhere from $900-1500, for a small business and $3000 and up for a midsized-large businesses.
Apr 14th, 2008
David Airey
All the very best with Identity Kitchen.
Apr 15th, 2008
Twanna
Hi!
Stumblin on your site could not have come at a better time. Question, when you say you package letterhead and biz cards with your logo design, is that at a different price or bonus for allowing you to do the work. If it’s bonus, I think that is very much of a value for a future client. I’m in the process of working this out w/ someone now. Thanks for any input!
Apr 15th, 2008
David Airey
Adding stationery design to the logo project will undoubtedly be an extra expense. Care and attention is taken over the layout, and how different elements work together. I’m sure any self-respecting client will understand the additional cost.
Apr 17th, 2008
Todd
Wow! $100 logo – Please Don’t!!! It undermines and devalues the entire design industry! Most people wouldn’t take you seriously and cheep isn’t somthing we should be advocating!
I’ve been in the business for nearly 20yrs and can’t believe that someone wouldn’t want to invest any more into their logo than a $100! You’ve got to sell them on it. It is an investment into their business and this type of component can’t be done cheap! It will be the very cornerstone to every thing they do! and should be able to stand the test of time! Price: $750 min. – $1600 ave (small company). $2k – $5k (med/ larger), and large corporations $7k – $15k & beyond ( and I’m located in the Midwest).
Apr 25th, 2008
David Airey
Thanks for leaving your thoughts.
Apr 25th, 2008
Todd
Yeah, I may have David? …just skimming through rather quickly and offering up my thoughts and my experience.
Apr 25th, 2008
Caroline Watson
We launched our company via a retail gift card, so we needed a strong brand identity. We are delighted with the result for Gift Days Out, but it cost us nearly £3k. Buy cheap and pay twice! we will stick with our logo for many moons!!
May 13th, 2008
David Airey
Your thoughts / experiences on the matter are indeed appreciated.
Caroline,
Glad to know you have a logo you’re happy with, and one that will last many moons. That’s definitely where the value comes in – the fact that you won’t need to spend more money soon after the initial implementation. Best of luck with it.
May 16th, 2008
Jason
I know that this is an old post but I figured I would add my 2 cents. So many times does a logo require more than just a few comps. It often requires research, brand positioning, and finally execution and revisions. Good logos are identities, crappy logos are produced for $50 via spec work. You get what you pay for.
Jason’s last blog post…David Cross is a Larry the Cable Guy fan
Jul 15th, 2008
David Airey
Jul 16th, 2008
Staniel
Hi David,
Many companies that will end up being very successful do not have a huge start-up budget. A logo is very important but so is financial responsibility.
An example you will always hear…the Nike logo cost only $35.
Thanks,
Staniel
Oct 20th, 2008
David Airey
Here’s an interesting comment that was left on davidairey.com:
I think Phil realised what a bargain he picked up.
If a designer believes their logo design projects are worth just $35, the chances are they’re right.
Oct 20th, 2008
Skoo
Ok, I have a quick question for you if you would please. I have recently been hired by a fairly popular musical group to design a new logo for them. They are a national touring group and have a couple of major label CD releases. What do you suggest I charge for that sort of thing? I’m new to charging people really lol. I have done tons of logos and things for people but they were all friends and did it for free. This will obviously be on all of their promotional items and CDs and things, so I want to charge what its worth. Any help is appreciated thanks!
Nov 19th, 2008
David Airey
What you charge depends less on your client, and more on your design skill. Regardless of whether or not you pay the bills with your fee, don’t sell yourself short — you can’t negotiate upwards.
Good luck.
Nov 21st, 2008
Nic
I think that good identity design for a small business is well worth $1,000 +. However, I sometimes see work from established designers who charge that (and more) that I don’t like, and work from some newer , less expensive designers that I think is beautiful. I say this only b/c I don’t believe that a higher price point always means you get a better–or even a good –product, though the chances may be higher if you’re dealing w/ someone who’s experienced. I’ve heard stories from people who’ve lost a lot of $$ b/c they’ve had to hire more than one designer to get what they want. It seems almost like the luck of the draw–you can look at a portfolio, but even if you like what someone has done before, that doesn’t mean he or she will “get” your business and ideas.You can’t knock clients for being cautious. If the logo is exactly what you wanted then you should be happy to pay good money for it. BUT, an expensive logo that misses the mark is basically worthless and depending on yr budget/finances, it could mean taking a substantial loss.
Feb 11th, 2009
David Airey
You mention the following:
“I don’t believe that a higher price point always means you get a better product.”
I completely agree. The chances are improved, but it’s far from guaranteed, and the client has a responsibility to do some research before choosing a designer. Here’s a relevant blog post of mine, detailing 10 things to expect from your logo designer.
Feb 14th, 2009
Pablo
LOVE THIS THREAD!
I agree with so much of it. Especially the logo designers cgharging $50 for a brand that under-cuts and devalues what established and proven designers are producing. Much as people who get a free “Build You Own Website” CD on a magazine and then start offering websites for $99, devalues what true/trained designers working in the medium of the Internet are doing.
I also try not to work for people with a $100 budget as there is always as much work involved in a simple logo as in brochure…but people seem to accept the fact that a brochure will cost them more?
So much so, I recently did a job for ‘friends’ – always a mistake – but after 3 weeks work, 5 original ideas, fine-tuning the final logo and implementing it for print and digital media, by ‘mates rate’ bill of $300 was scoffed at!
(I feel better for that)
Jun 8th, 2009
gholem
Wow! Do you have any idea what prices are in Romania? There are “companies” that charge 25 dollars on a logo or so. And this happens only because there will always be some hungry and cheap students that would charge the smallest price ever just to get some food on their table.
And, please don’t fool yourselves, those students work very good and they’re full of good ideas and understand the concept of marketing, advertising, pr and publicity.
Muzica Nu Ucide’s last blog post…Lhasa De Sela
Jun 15th, 2009
Aaron
i have recently entered into design… finally got my finger out and decided to get images out of head and off the paper and onto a computer… however i’m finding it hard with the pricing as i dont know anybody in this line of work… my projects are rather small and for people i know which is an added obstacle… so i cant charge huge amounts… however… i cant constantly sell myself short… is there a rough standanrd to go by or is it a case of just winging it…
need guidance…
Jun 22nd, 2009
Troy
Aaron:
“i have recently entered into design… however i’m finding it hard with the pricing as i dont know anybody in this line of work”
I’m in the same boat. Added to that I have no formal design education and a very limited portfolio, so it’s difficult to “sell” a client on a project at a reasonable rate. (that brings up another question I thought of about what you should include in your portfolio… but that’s for another time I guess)
Jun 29th, 2009
David Airey
Back when I first started, I found it useful to set myself an hourly rate — one I’d be happy working for. Then, when confronted with a new client project, I’d estimate how many hours it would take, and multiply by my hourly rate, giving myself a rough estimate.
With experience is becomes much easier to set flat rates, but there’s no exact science given the wide range of variables.
Hope that helps a little.
Jul 2nd, 2009
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