Closing the deal?

[Steve Wargo]

You have asked the “question of questions”.

Decide whether you have a business or a paying hobby.
Decide what you’re worth.
Quote that amount or more.
If they decline, don’t lower the price.

The only way to make strong, consistent money is to create your own product.

I’ll save Bob the trouble: “Go out of business now, before you go into debt”.

Good luck.

Steve Wargo
Tempe, Arizona
It’s a dry heat!

Sony HDCAM F-900 & HDW-2000/1 deck
5 Final Cut (not quite PRO) systems
Sony HVR-M25 HDV deck
2-Sony EX-1 HD .

[Steve Wargo]

Even though you may be a great shooter or editor or whatever you are, you’ll never make a dime if you’re not a salesman first, and an accountant, a receptionist, toilet cleaner, and bill collector. After all, if you don’t do it, who does? Your brother?

Did I mention that you’ll be making coffee for the grinder clients?

Sorry to be such a piss ant but that’s how it is.

Steve Wargo
Tempe, Arizona
It’s a dry heat!

Sony HDCAM F-900 & HDW-2000/1 deck
5 Final Cut (not quite PRO) systems
Sony HVR-M25 HDV deck
2-Sony EX-1 HD .

[Zane Barker]

It’s hard to say what the issue may be with out knowing how you and your brother are presenting your selves to customers.

What type of potential clients are they and what type of demo reel are you showing them. For example showing a demo reel of wedding video demo to someone wanting a corporate video is not going to sell them on using you to make a corporate video for them.

[Douglas Wright] “Many are scared off by having to pay anything reasonable”

This is something that always happens, because people do not under stand what it takes to make a quality production. For example I had a local aerobics instructor contact me a couple of years ago wanting to have an exercise video done that she could sell. When I gave her a ruff bare bone quote she was shocked at the price she was expecting something like $300 because that is what she payed for her wedding video 10 years ago. Sure she would have loved to have had the video done but she just did not understand the real cost of things. That may be part of what you are running into .

Also where it is you and your brother you must be vary careful you do not come off to customers as if video thing was not just something you came up with one night while playing video games. Sorry but I have no Idea how old you are for all I know you may be a couple of collage age kids who have always just played around with a camera for fun and now think that you may be able to do it professionally, you never said what experience you or your brother have.

Also if you are doing this thing out of your home/apartment and you don’t have a part of the home that has a separate entrance to a designated work area, then may I suggest that it is best if you go visit the potential client to discuss things. Having them over to your apartment or living room no matter how nice your place may be it just will not scream professional video production company.

If you wish to share some more info on how you are trying to sell yourselves then we might be able to give some more suggestions.

There are no “technical solutions” to your “artistic problems”.
Don’t let technology get in the way of your creativity!

[Douglas Wright]

Well we started trying to do it is as a business because many of the people really liked the work that we were doing for ourselves and I’ve been self-studying it for years….we’re not the “crem del la creme,” as of yet, but we do pretty decent work and in my opinion, better than some of the people that I know who are closing deals. You can view our demo reel here: https://legendsfilms.com/index.php?option=com_content&view=article&id=44&Itemid=33.

We’re both in our mid 20’s, so of course there’s the struggle of being taken seriously as far as being “seasoned” videographers/directors. Also, since most of our past work is from stuff that we did in “urban” settings, we are having a hard time trying how we’re going to target people outside of that market. It’s like we’re in the peculiar position of being beyond the low budget clients, but not yet at the point to take on high budgeted clients. Meanwhile we’re constantly studying and working on pet projects to improve our craft, but obviously we need to close some deals to be able to buy/rent all the toys that we need to able to do bigger projects.

We’ve only been taking it seriously as a business for few months and we are getting about a handful of queries a week. The vast majority don’t want to pay anything to make it worthwhile or want to discuss some sort of ridiculous “favor for a favor” crap. However, I’m not so much worried about the people who can’t afford us, but rather, I want to make sure that I’m doing the right things in order close the deal on those potential clients who are serious and can afford to pay.

We usually try to meet the client at some local location, but for the last two weeks we’ve been trying to get as far as we can into the deal on the phone to weed out people.

I would try to link with someone who could handle that front for us, but that’s opening a whole other can of worms.

legendsfilms.com

[Mike Smith]

Lots of clients will like working with young creatives. You’d want to make sure you present and position this as a positive – perhaps a direct connection to the zeitgeist, part of the soc networking generation, whatever.

If you don’t take yourself seriously and believe in yourselves, no-one else will. So you’re no doubt presenting credentials short and sharp, showing a great reel – and focusing mainly on the clients, their project, their audience, their objectives.

Creative services can be a complex, costly and visible purchase. Put yourself in the buyer’s position. You’d want a simple, clear pathway to a great end product, reliably on time and on budget, wouldn’t you? So make sure you’re offering exactly that – vision of results, cost level, sign here and let’s get started.

BTW, those that don’t want to pay anything – some of them can’t afford it. Be nice as you kiss them goodbye ; they may be back later in another role, and regardless they are humans and should be treated with human dignity. Some of them will convert to paying customers if they realize they like your stuff, you can deliver and offer value, and that you take yourself seriously. There are those with an approach to negotiating who see every deal as an occasion to extract as much as possible out of the other party. If they don’t ask they won’t get. So they ask. Doesn’t necessarily mean they can’t or won’t pay, if they have to. Just be careful to add payment terms (when the cash is due) very clearly into your contract or agreement.

[Tom Maloney]

Hi Douglas, I would like to give you my honest opinion here,just my opinion, no offense intended. In looking at your demo, is this what you are showing people ? It seems to me a trailer for a music video of some sort. The footage looks good but no story, your say you do interviews ,commercials? maybe people would like to see something like that. I think you may need to make your demo in tune to what type of service you are trying to sell to clients. Your demo looks like After Effects just added to clips. This would be a good demo if you are trying to market yourselves as an AE artist. As the previous poster said, you have to learn sales also, if your are a good salesman you can sell a car , a suit or a video.

Best wishes
Tom
http://www.slatemic.com

[Douglas Wright]

Well, most of the work we’ve done so far has been music videos and parties, so the reel reflects that. I’d love to have a reel that attacks a different market, but that’s stuff we haven’t done. Like I said, we are a fairly new company, so it’s not like our demo is a mile long. We have a comedy show and a couple of other projects we’re working on right now that we will definitely add to the reel once they are done.

As far as the salesman issue, we have had a background selling products….my brother especially, but selling a service is uncharted territory. Often we get stuck at the stage of pricing and working out the details. What do you guys think about having packages? I know it isn’t ideal, but I’m just looking to attack the problem in different ways.

legendsfilms.com

[Bruce Bennett]

Hi Douglas,

I went through your post responses and put together some of your quotes…

“We’re both in our mid 20’s, so of course there’s the struggle of being taken seriously as far as being “seasoned” videographers/directors.”
“We’ve only been taking it seriously as a business for few months…”
“Well, most of the work we’ve done so far has been music videos and parties…”
“Many are scared off by having to pay anything reasonable…”

I think your answer lies within your own statements. Do you expect to command the same rates and “high profile” projects like others who have more experience, been in business for years (versus a few months) and have portfolios that go well beyond “music videos and parties?”

And then there are many, many other “haves” that you are competing against. Such as seasoned professionals who are making a living in this business (without a primary or secondary job), have $1-4 million general liability insurance policies that help ensure clients against production mishaps, have incorporated production companies (versus TBAs) that help protect clients from paying employee related taxes to the government, have a physical building where clients can bring their bosses and keep their media in a fireproof vault, etc., etc.

Seems to me that you are “reaching way too high” for what you have to offer. It’s not a jab. Many of us did the same thing (myself included) when we were new and young so many years and so many projects ago.

As far as your demo reel… In my opinion, it does not say “We can solve your problem” or “We can tell your story” (unless you need a music video). It does not connect with Corporate America’s needs (training, marketing, etc.) at all if that is your target market.

Hand pick some of the “low paying” jobs that might touch your soul, craft them into great stories and highlight them with your talented fancy effects, and then use them to grow and get better paying projects.

Good Luck!
Bruce

Bruce Bennett
Bennett Marketing & Media Production, LLC

[Douglas Wright]

Thanks for the suggestions. For the level that we are at now, how do you think we should approach the more corporate clientele other than giving it away?

legendsfilms.com

[Bruce Bennett]

Hi Douglas,

Like I suggested, I would hand pick one or two projects from the “low budget offers” and invest time (not out-of-pocket expenses) into producing something that can be used to show and gain higher-end clients in the future. Promote, distribute, and show the Hell out of it. The pride and confidence that you will feel will also be conveyed to prospective clients when you show your work during your face-to-face meetings. Keep track of all your time and expenses so that you can estimate/bid similar quality level projects without having to invest/lose money in the future. Also make sure you line item the discount on your final invoice(s) so that your client knows that it will cost them if there is a next time Chances are that you will not want to do business if the grinder client expects a discount again, so choose what may be a “one shot” project.

If you don’t want to look like, or have your competitors see/know, your “giving away” time/money, I suggest that you look to non-profit organizations and do a pro bono project There are tons (especially with this recession) of food pantries, homeless shelters, home assistance projects and many other related non-profits that could use a good video to show prospective donors. You might even get some of your expenses (tape costs, a couple of free lunches, etc.) paid by a businesses/donors within your community. Also, exposing yourself to such causes may have a positive affect on how you personally grow within your craft (it does for me).

On another note (no music video pun intended)… One thing that I have done (and continue to do) is hire people who are better than I am for higher dollar projects. Some times the project is so large that I can’t do it all and need to sub out another colleague to write, direct, or produce. Their services/rates still come out of the project budget and I get less money, but the value of what I learn has proven itself time and time again in getting better paying gigs/higher quality projects.

Bruce

Bruce Bennett
Bennett Marketing & Media Production, LLC