How & When Photographers To Charge Usage Fees
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- Опубликовано: 14 окт 2024
- Knowing when and how to charge usage fees and license fees to photography clients in the commercial world can be very tricky. Thankfully there is this tool to help you calculate everything!
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I made a video on this a while ago, but there were a few questions off the back of it so hopefully this helps. Also, make sure you have entered by photography competition here! www.tinhouse-studio.com/phone-photography-challenge/
You know, I think a photography agent, one that actually negotiates these big client contracts, would probably a good person for you to interview on the channel on this subject. It would be interesting to be able to hear their point of view, hear actual numbers and criteria involved in this aspect of the business.
"𝘐𝘧 𝘐 𝘤𝘢𝘯 𝘧𝘪𝘯𝘥 𝘪𝘵 𝘪𝘯 𝘢 𝘴𝘶𝘱𝘦𝘳𝘮𝘢𝘳𝘬𝘦𝘵, 𝘵𝘩𝘦𝘺'𝘳𝘦 𝘱𝘢𝘺𝘪𝘯𝘨 𝘶𝘴𝘢𝘨𝘦"
That is probably the best simple explanation on the subject I've ever heard.
While my primary business focus is corporate headshots, I do quite a bit of 'marketing image' shoots for small businesses(the neighborhood florist/independent autobody repair shops/dentists and doctors). For those jobs I simply figure a reasonable usage into my rate for the day according to the number of images they want. I do go through a usage agreement with them explaining how they can and can't use the images, but my allowable usage for that work is pretty lenient. I know these companies don't have large advertising budgets and are mostly going to be using the images for their social media or website and small(mailer/insert/local newspaper) ads so it is that usage I base my rate on. My typical usage agreement covers almost anything up to small billboards on bus stops. It's not a big payday, but they are more often than not repeat customers as their budget allows.
I did get a call once about doing an authors headshot for a book. It was the author herself that called, she was looking to self publish, and had NO IDEA how usage, copyright and licensing worked. Normally when I book a corporate headshot I will discuss the clients job and where/how they plan to use the image. Not to determine usage fees, I typically only have usage 𝘭𝘪𝘮𝘪𝘵𝘴 for those, but to help them through deciding on a background and wardrobe. Once it was established that her headshot would be used for publishing and marketing the book, I tried to get additional info to estimate licensing fees. This was followed by questions of why she needed to pay a license fee for 'her image'. She even tried to tell me it was illegal for me to charge different rates to different clients for the 'same job'. I hope she wasn't planning on publishing a book on legal matters.
I had a "band," essentially a wannabe metal group, ask me to donate them the whole job because they're "non-profit..." only for me to have to explain to them, that just because they're NOT currently making money from their work, they still have a profit motive and that their current status of being broke doesn't mean they're "non-profit" and that non-profit is a legal status. Needless to say I didn't get that job.
I love this gezzers channel. He just says it as it is and it’s refreshing to hear! However, I come away with more questions than answers after watching this one!! I look forward to more videos on this topic as well as ones on understanding the things clients say and do that are clear indicators to not work with them.
Keep up the good work mate, it’s great to listen to someone with your experience. from starting at the bottom to now getting some juicy jobs with juicy pay checks!! lots of the advice you give is very logical, yet its usually something I haven’t thought about until you say it!!!
All photographers' fees should account for how the client will use the photos. Some photographers account for usage as a separate line item, some account for it within their creative fee or day rate, and some lump it into an all-inclusive per-photo rate. In the end, from the client's standpoint, the entire fee is really a usage fee, since that is what it will cost them to use the photos. As the video points out, a particular kind of usage, such as advertising, will have a very different economic value for a large business compared with a small one. It is all about the value to the client. The more money a client stands to make by using the photos, the more the photographer should charge.
That helps alot with knowing who it's really meant for. Could you expand on the negotiation part for when you might not need usage fees? Obviously, something like using a photo on a commercial would be different than printed on someone's menus or something like that for lack of a better example.
I just found images that I photographed for a commercial client were used to create a RUclips short on the vendor/supplier's youtube channel, not the original client so I guess my client is just giving the images to whomever asks to use them.
Your intro music always reminds me of a portion of the Moody Blues' Knights in White Satin...
Hey Scott, as always, great insights. Can you elaborate more on why you say "paying a usage fee is actually saving money for the clients" ? Thanks for sharing your knowledge ! Keep it up.
By charging a usage fee means that the client isn't charging to own the images. If they were to buy the ownership of the images, it would be costly. Therefore by charging a usage fee for the purposes, the client would like to use the image would result in the client saving money.
@@JamesParsons1 It wasn't clear what was the costlier alternative Scott was having in mind. If it was indeed a full buyout of images he was referring to, then yes a usage fee is much cheaper :-) Thanks for clarifying that James
If you only ask your clients to pay you for the use of your images it may cost them less than it would for 'Standard use' - which is what your B.U.R. is for, i.e. it's the amount you would charge for standard use. Standard use being for the use of one's images in either 2 media of 1 year or 1 media for 2 years, in 1 country or region... according to the AOP. So when dealing with a magazine, for example, I would say the fee would be my B.U.R - %, because I would be talking about less than 'Standard use'.
How do you charge for portraits for a personal brand?
Thanks for the info!
You've got some great portraits
Is the AOP calculator applicable for photographers in the US as well? Where does the source authority come from to use the AOP calculator?
Their book, Beyond The Lens, it explains it all in more detail - however, it was written before the Worldwide Web became like the Number 1 type of use that today's client would ask for - so their online calculator is more up to date. The AOP are based in the UK, so the 'Territory of use' would be different. For example, when they say "1 country" they basically mean like the size of a European country (UK, France, Italy, etc) - so keep that in mind.
I was wondering how you work out the BUR when using AOP usage calculator
Your day rate or creative fee plus the production expenses represent the base fee, which includes the minimum usage rights that the AOP describes, that is, one year in two countries, in one medium; or two years in one country, in one medium.
Missed the sequence, but I am back..., Be safe and don't ne like me....
I am covid positive😷
Oh no. Hope you get better soon
@@TinHouseStudioUK I too hope for good....
Good luck mate