The value of your logo design business
There are many ways to organize your business, create revenue, and deliver results to those who hire you. You can charge by the job or according to how much space your logo takes up.
There are few rules in business; however, charging by the job is one way to go. This means you will be paid very well for the work that has been asked of you and there won’t be any surprises when you get the bill.
It also helps you focus on only what you do best – creating great logos.
Let’s say you earn $25 per logo – which usually requires about an hour to complete. That’s less than what most designers earn but if you have lots of clients and produce high-quality work it could become more realistic.
You could easily increase your prices significantly since people are often willing to pay extra for a logo with flair or creativity. Or you may find some customers willing to pay a higher rate for unique logos not found elsewhere.
And then there are times where you need a logo right away – like tomorrow! In this case, you might want to charge considerably more. It all depends on the situation.
Design elements that contribute to your business’s value
When you are trying to determine how much money you should charge create beautiful logos, it is best to think about what additional value your customers get by having your logo work or design.
There are many different ways to add value through your logo project — from increasing brand recognition, to helping users identify individual members of the team contributing to the logo, to improving user experience (less frustration during log-in, loading speeds, etc.).
If you can measure these benefits, then you can estimate how much your logo project will cost to produce. You can then apply that number into your pricing model to create an overall price.
How to choose a logo design service
There are many online services that can create beautiful logos. However, there are few that stand out from the rest.
You may have heard of an agency or freelancer who creates custom logo designs. But what does “custom” mean? It means that the designer will research your brand and create a unique logo just for you. This is great if you need something very specific.
But how much should you pay for such a logo? Depends on what you want!
If you simply want someone to create a logo using one or two colors and print it on some materials, then maybe not so much.
However, if you want a professional designer to create a unique logo with multiple styles, then you probably want to spend a little more money.
The best way to find out how much you should pay is by asking other businesses about their costliest assets (the ones they were most proud of), and see what kind of price changes they got.
Logo design is not like buying yourself a new pair of shoes. You won’t actually use this asset forever, so don’t go too far.
Remember: customers buy products because they trust you (the owner) and believe in your product. Don’t let budget stop you from creating a cool logo but try to save up sometimes.
Prepare a business case for your logo design
It is very important to be able to justify the cost of any logo design you choose to do. If you are doing it solely for yourself, then you can calculate the price into your budget.
If you’re trying to sell your logo design company, you need to prove that the logo will help sales by either having an estimate from each client or presenting statistical data that demonstrates customers who purchase with your logo get more sales than those who don’t.
You also want to show that the logo makes clients feel better about their brand, which could lead to increased sales overall. There are many ways to demonstrate the value of a good logo.
Find out your unique selling proposition (USP)
Finding your USP is one of the most important things you can do to help people understand what you offer, in terms of products or services, that they couldn’t get anywhere else.
Your USP isn’t something you put out there for others to find; it’s a hidden asset that you know about. It’s not something you fake-sell, like low prices or free items. Your USP is what makes you different from other businesses in the area, what we call “brand equity”.
The more times people search for information about your business using keywords, the better understanding you have of how to communicate your brand’s message.
Your customers may just come looking for me if my last name starts with B-. Make sure you are aware of who you are as a person and what you want to convey to everyone.
Determine your logo design style
You can charge whatever you want for your designed logo. However, to be successful, you should know your market well.
Does your product or service fit within that market? What is the average price per person in your area for custom sign logo designs? Find out what people are willing to pay and go from there.
Maybe start with offering your services at lower prices to win customers over. Then, when you have a track record of success, raise your prices.
Maybe get help from friends or family members who love logos and can see how your business could use a logo. They can give you advice about which styles they like and don’t like.
Maybe try hiring someone to create custom artwork for you. You can search online for companies that offer this service.
Test your logo design style with customers
It’s important to test your business model by asking people what price they would be willing to pay for your product or service. In order to get valid data, you have to use research that tests their willingness to pay.
There are several ways to go about this. You can ask people whether they would pay a certain amount per year, per month, etc. You can also ask how much someone would pay for a version 1 versus a version 2 of your product/service.
The key is to test as many people as possible and make sure those tested feel comfortable being asked about their pricing preferences.
It’s also important to note that everyone has a budget and looking out for those who don’t may not necessarily mean more money in the bank.
Testing your customer base is one way to see if you need to adjust your prices. If you notice that people are always demanding new features and are unwilling to pay for anything else, then maybe it’s time to try another market.
Maybe your target audience knows nothing about technology and you should offer them a discount because they’re too stupid to know any better.
Choose a name for your logo design business
You need to be able to identify your business in any way possible. Your best option is registering a domain name and building a website.
But if you don’t want to or can’t build your own site, you can always hire someone to do it for you. Hosting a website isn’t cheap, but there are many free hosting services where you can try out an idea before investing in a domain and web space.
Once you have your domain name and website built, start advertising! But how? By using other people to spread the word about you. Find social media groups that are relevant to your business and community and use them to promote yourself and your work.
The more visibility you give yourself, the better chance you have of growing your brand. People spend money online (and elsewhere) to find trustworthy designers and developers. If you provide value and quality, they will pay for it.
Create your website
With a few clicks, you’re online. If you already have a web site created, you can start promoting your logo design business. If you don’t have a web site yet, there are many websites that will help you create one for free.
You also need to put up ads for your services. Put in ad spots for everything you offer-logo designs, letterheads, social media banners-and set prices. It is best to be as specific as possible when it comes to pricing.
Let people know what you want them to do and how you expect they will go about doing it. Explain where they can find your information, but give them choices without being blunt.
Put a face to your brand/business. People love seeing names and faces.
