Web Design Pricing Guide: Learn How To Charge for Websites


web-design-pricing-guide

kyle-prinsloo  by Kyle Prinsloo      Last updated Aug 27, 2022


I talk a lot about how web designers can charge for their website design services.


And there’s good reason for it:


โŒ Cheap pricing = you stay in the rat-race to the bottom.


โœ… High pricing = good profits and good freelancing business.


In this article, I hope to help you learn the fundamentals of how much to charge for a website and to become a successful freelancer.


Here’s what we’ll cover:


  • Fixed pricing
  • Hourly pricing
  • Value-based pricing
  • Packaged pricing

Let’s get into it!



๐ŸŽฅ Prefer watching? Here’s the video:




Quick thanks to Editor X for sponsoring this article.


It's my favorite no-code/low-code website builder. Try it for free and let me know what you think ๐Ÿ™‚




๐Ÿ’ฐ Fixed Pricing Method


What is the fixed pricing method for creating websites?


It’s a price per project where you work on Cost (Time) + Profit = Client Price.


Example: 


I pay myself $5k /mo, the project is going to take 1 month, I add a 20% profit (buffer), total price = $6k.



โฐ Hourly Based Pricing Method


What is the hourly pricing method for creating websites?


An hourly rate regardless of project length: Hourly Rate X Hours Worked = Client Price.


Example: 


My desired salary is $5k /mo, I want to work 6hrs /day Mon-Fri, my hourly rate = $39.


Notes on Hourly Pricing:


  • Your hourly rate is generally determined by experience and location.
  • It’s a great pricing method when the project scope is not defined.

Here’s a guideline on charging per hour for those struggling with it:


hourly-billing-guideline

Beginner (0-2 years experience)

$8 - $25 /hr


Intermediate (2-5 years experience)

$25 - $50 /hr


Expert (5+ years experience)

$50 - $100+ /hr




๐Ÿ“ˆ Value-Based Pricing Method


What is the value-based pricing method for creating websites?


Charging a % (usually 10%) based on potential sales increase: Annual Sales Increase / 10 = Client Price.


Example:


You can increase sales by $300k, you charge 10%, the client price = $30k


Notes on Value-Based Pricing:


  • Good for when you have experience.
  • Factor in time to compare Fixed vs Value-based pricing.

How to do it:


After investigating the project needs, I’m confident based on experience, I can increase sales by at least $300k in one year.


I will charge $30k to the client and make sure it’s more than a “fixed price” alternative.




๐ŸŽ Packaged Pricing Method


What is the value-based pricing method for creating websites?


A fixed monthly price for specified services over a period of time. Could also be considered as “subscription-based-pricing” but these are usually month-to-month.


So rather than charging $5k for a website, you’ll charge a fixed price per month over 12 months.


Examples: 


$1,000 /mo for 12 months.


Includes:

  • New Website
  • 3 Services
    • SEO
    • Content Writing
    • Social Media Management

OR

$5,000 upfront, then $1,000 /mo for 12 months


OR

$3.000 /mo (month-to-month)



Important Note:


For greater success, the website is usually a template or existing client website to choose from – not a custom from scratch.


โœ… Pros of Packaged Pricing:


  • You avoid the “valley-income”
  • Easier to scale + outsource.
  • Simple pricing for clients.

โŒ Cons of Packaged Pricing:


  • If the client doesn’t play.
  • If the client cancels before the agreement ends.
  • Smaller amounts = more clients needed.

Freelancers and agencies using this pricing model:


  • PlumberSEO
  • FuneralMarketingServices
  • DesignJoy
  • DesignDash
  • FlowSparrow
  • DesignPickle

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That’s it ๐Ÿ™‚ hope you found this short article helpful.


If you'd like some more content on pricing, check out my popular tweet thread:



And if you’re interested in building websites using a drag-and-drop builder, consider using Editor X - it’s my favorite nocode web building platform.


I also have a free 500+ member community for web designers & developers interested in freelancing.
Join us here.


Cheers for now,


Kyle





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