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Re: Your Guess for Project Cost?

Posted by Steve King on 10/06/05 18:59

"Steve Guidry" <steveguidry@earthlink.net> wrote in message
news:hca1f.9622$vw6.3391@newsread1.news.atl.earthlink.net...
> In my experience, the $1k per minute figure falls apart as projects get
> longer. That's because it usually takes comparatively less additional
> resources to produce the longer videos. Here's what I mean : The camera
> is
> there already. So what if you shoot for 3 hours or 6 hours. You're
> billing
> for a full day anyway. In the edit process, much of your work is in
> defining the piece's overall look and feel - - getting the show's graphic
> elements' "style" just right. Going through all the approvals for that .
> .
> . When it's done, it's comparatively little additional work to just
> create
> a few more lower thirds, or even full pages.
>
> On this project, I'd try to make a careful evaluation of the actors'
> abilities to carry the piece for 30 minutes of talking. Unless they're
> professionals - - that is to say if they are folks from inside the company
> who have been tapped to be the talent - - I'd build in 2X or more cushion
> to
> give them time to get it right. Be aware that often there are internal
> political reasons for choosing the talent, and you can't just fire them.
>
> Also, be sure to ask if the approval process has changed since last time;
> Ask "Who has to approve the final project ?" If there are 2 or 3
> additional
> people who didn't have to sign off on the last one, then add 25% or so,
> because each of them likely has their own agenda about what the video
> should
> contain and look like. Especially be wary of "higher-ups" who want
> approval but somehow can't make time for the planning process. I usually
> add 50% for those folks, and it's not enough. They're the ones who will
> have you starting over from scratch.
>
> Finally, if you at all can do so, insist on a graduated payment plan :
> 25%
> of the initial estimate upon script completion/approval; 50% upon
> completion
> of the shooting, and the balance upon completion of the edit. There's
> something about having already paid for it that makes a customer more
> flexible in their demands for changes. And the converse is true as well :
> It's a lot easier to tell them "OK, these changes are do-able, but it's
> going to cost you $XXX more . . ." when you only have the last 25%
> riding
> on their answer. Deal with them from a position of strength. If you
> think
> they won't go for a graduated payment plan, try this approach : "You know
> John, that previous project was small enough for me to finance it for you,
> but this one will take a lot more time and resources on my part. The
> pay-as-we-go approach allows me to give your project the focus and
> internal
> priority it deserves instead of having to chase other projects to pay the
> bills for the next 2 months while we're working on it." You'll probably
> be
> surprised how well they will understand this.
>
> More later if the interest warrants . . .
>

Correct on every point. I think your last sentence deserves emphasis,
"You'll probably be
> surprised how well they will understand this." When I first went into
> business, my top priority was to get the job. That meant lowball bids and
> prayers that everything would go smoothly. Now, I know that things don't
> always go smoothly. They go wrong in ways that I cannot control. I
> explain that to my clients on the first meeting after a proposal is
> selected. In almost all cases I find clients to be reasonable people able
> to recognize their choices will impact the budget. I make an agreement
> with them that whenever a change or new idea is proposed we will
> immediately discuss what impact it might have on the budget.
In a meeting this morning my client asked if I thought an aerial shot of his
facility would be worth doing. I told him it would work for the video, but
it would be an add-on and about how much it might cost. We decided to do
the shot but add high resolution digital stills and to treat it as a
separate job, which he will sell to his board both for the benefits to the
video and to their frequent brochures, catalogs, etc. The point I'm trying
to make is that one need not be afraid to talk with clients about the costs
involved in production. They make value decisions all the time. Give them
choices and let them choose. All the while being fair to yourself and those
who depend on you.

Steve King

 

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