Photography Business Success Course Introduction Lesson 1...
How to match your business to your lifestyle (so you start out on the right path to the fun, creative, and profitable life you seek!)...
In this lesson, we’re going to take a look at three things you absolutely need to make your business happen the way you want it to happen. Hardly anyone thinks about these things and almost no one teaches them, but they are vitally important to ending up with the life you want!...
Dear Pam & Jeff... Received the instructional package and I was very impressed with how complete your package was. I’m 65 years old. I have designed and created many businesses over my lifetime and I never asked all the important questions you recommend. If I did, I would have been happier much sooner. You’re info is right on the money. You guys are for real and I couldn’t be more delighted. — Huge Thanks, Alvin
CRITICAL INGREDIENT #1—A plan for your lifestyle
Everything flows from here. Without a firm idea of how you want your life to “look,” it’s very easy to get yourself trapped into situations you don’t want to be in.
If you’ve read the book, The Secret Of Making $2,970.00 In One Weekend Photographing People And Pets, you know that Pam and I have certain requirements for our businesses.
Since we talk about this in the book, I won’t go over it again in detail here, but basically, Pam and I don’t want to be tied down to anything, and we don’t want anyone (within reason), telling us what to do.
We also like the option of taking a lot of time off to pursue our many unprofitable activities like fine cooking and playing piano (in Pam’s case... Pam’s a very fine classical pianist, by the way), and in my case, “Farrmscaping” (working on the trails and other features out here at The Farrm where Pam and I live).
Of course, both of us like taking pictures of things that are harder to make pay in a substantial way, like nature photography and other fine art photography pursuits (we do have gallery showings from time to time, but we don’t depend on that for a living!).
The need for that kind of flexible lifestyle quickly eliminates a lot of things — like having a “real” job, or having any kind of store or a “studio” that’s “open” on a regular basis!
Hey, what if the weather’s really nice, but you have to go to work instead of enjoying it?... yikes!... there’s just no way I could live like that and be happy! Nice day, go out and play!
But that’s just Pam and me. You have to decide for yourself what you will and won’t do and what will make you happy.
There’s certainly no right or wrong here, but one thing’s for sure — you must consider putting your lifestyle — however you see it to be — first. So you can build your business to support it, or get the right job, if that’s the direction you want to take.
Otherwise, it’s way too easy to end up where you don’t want to be; too easy to waste precious moments of your life; too easy to let your job or your business become the boss of your life rather than you!
Again, everything flows from your lifestyle decisions. Your business exists to serve you, not the other way around.
Of course, there are going to be compromises, transition periods, and some “rough spots.” But if you know where you’re going — if you have your life goals set in place — then all of that actually becomes a fun part of the challenge and the journey.
Special note — if you’re currently an employee and you’re accustomed to servicing and enabling someone else’s dream and lifestyle, this may be “opposite thinking” for you. But you need to swing your head around to it, put yourself and your family first, establish your lifestyle goals, and then start taking the actions that will lead to the results you want!
CRITICAL INGREDIENT #2 — A market that will support your lifestyle goals
OK, since you’re taking this course on the business of photography, I’m going to assume that you enjoy photography and would prefer to make a living using your camera, than say, unloading dead animal carcasses at a meat packing company, or being a door greeter at Home Depot (although those orange aprons are pretty snazzy!!!).
But no matter what your interest is or what business you want to be in, the same principles apply — you need to build your business around your lifestyle and that means finding a market that will readily and repeatedly pay you to do things you don’t mind doing, and hopefully, get you even one step further to perfection — pay you to do things you love doing and would do anyway even if you didn’t get paid!
You may have heard the old saying, “Do what you love and the money will come.” Well, that's a nice idea, but it only works if there are other people who also love what you do and are willing to pay you for it!
Here are the characteristics I look for in a market...
A vibrant market — You need a market of buyers, and you need a good supply of them, otherwise your business is going nowhere fast.
One reason many “newbie” business owners fail, is they don’t consider the market first. They spend a lot of time developing products and services for things that “should” sell, only to find there aren’t a lot of ready, willing, and able buyers for what they are offering.
The “buyer factor” is one of the reasons Pam and I like the people and pet photography business so much.
So how do we know in advance that we have a market of buyers (other than from our personal experience!)?
Well, we can take a look at business magazines like Entrepreneur Magazine who called child photography, “one of the 12 hottest businesses in the U.S.” and Small Business Opportunities Magazine who listed pet photography as one of the “50 Top Boom Businesses to start at home.”
Or, we can take a look at industry statistics and see that people and pet photography is a multi-billion dollar industry that is predicted to increase in the future.
But easiest of all, we can just take a look around us and see if there are any other photography businesses around. Chances are, there’s a bunch in your area.
And what does that tell us?...
Well, the foolish see “competition” and get scared off, but the smart business person sees a market where people are making money. Ever wonder why, when one fast food chain moves into an area, they all do?
It’s because people are spending money eating at fast food restaurants... when McDonald’s moves into an area, Burger King doesn’t say, “Oh no, McDonald’s is already there, now we can’t move in, there’s too much competition.” No way. They say, “Hey, McDonald’s is there, people must be eating, so we better get OUR chunk of that market, too!”
Special note — in any broad category there are niches you can exploit... you know, some people like Big Macs and some go for the Whopper. And it’s the same way in photography — each photographer can build his or her own niche by catering to a specific group of people, so ultimately you don't have any competition. People will come to you for the unique products you offer, your style, the customer experience you provide ~ and ~ just because they want to do business with you.
A market that pays well — having a vibrant market of buyers will do you no good if you can’t make a nice profit from it.
Rest assured there are plenty of markets where there are a lot of sales being made, but not much money.
An old joke goes like this...
Accountant — “You’re losing money on every sale.”
Business owner — “That’s OK, we’ll make up for it in volume!”
That may sound funny, but a lot of photographers try to do something similar by competing solely on price. If you simply try to compete on price, you will be competing with companies like Wal Mart, and that's a battle you won't win.
I suggest you don’t touch the low-end, low profit-margin, market segment with the proverbial ten foot pole. And you don't need to. Like the restaurant business, prices and profit margins range from dirt cheap, low margin (gotta run a lot of people through to make a living) to the very expensive, high margin (just need a few good clients to live well), and everywhere in between.
Let’s take a look at the difference...
At the low end of the market, you’ll be working a lot for a little bit of money and you’ll be dealing with “price conscious” people who often don’t appreciate good photography, and/or don’t even know what it is.
That’s not the kind of market that’s likely to provide you with a fun, creative, work-when-you-want, lifestyle.
The only way to make money (and still have a life) at that game is to hire photographers to work for you, work 'em til they drop, and don’t pay ’em squat. (If you happen to have worked for one of the big companies operating at this end of the market, you know what I’m talking about!!!)
At the very high end of the people and pet photography business — $4,000 per session and up — the margins are high and clientele is appreciative of good work and service. At this level of the market, you’ll make more for working less and you’ll be well respected as an accomplished artist. It’s good work if you can get it, but the very high end is a limited market and not one you can easily start in right away — definitely something to aspire to... we know of at least one pet photographer who charges $4,500 a session, works from home, and is booked 6–8 sessions a week — but that’s not a good place to start.
So what’s left?
There’s a very wonderful “lower” high-end market that will pay you well and it’s big enough to support a large number of photographers. It’s the market that Pam has done very well with and has provided us with the kind of lifestyle that we seek.
Who are the people in this market?... Doctors and other professional people, business owners, and other people who are fanatical about their families (more about the “fanatical factor” a little later in this course).
Most of them are able to cut a check for the full session fee ($997 in Pam’s case) without a blink, but not all of them are... some of Pam’s clients will save up all year for a session.
These type of people exist in nearly every community or very likely can be found close to you...
Special note — your “draw” may be bigger than you think. Pam has had regular clients who live 125 miles away and occasionally clients come from even further.
Another benefit to this "lower" high end market is “people quality.”
People who appreciate fine family photography, and are willing to pay a little more to get a superior experience and result, are generally a good group to work with.
Pam’s clients, for example, are some of the finest people on the planet and doing business with them is a real pleasure. Session blocks can become more like and ongoing "party" than "work."
A market that can adapt to your work habits — there are other photography markets that are active with buyers and pay well, but may not fit your lifestyle goals.
Event photography (which includes weddings), for example, requires you to be there when the event is taking place (obviously). Which is often at inconvenient times. Plus, you can’t easily “block them up,” — do all your work at once — and then take off for a few months like Pam does. That said, I know photographers who love doing this type of work, and if that's you, go for it! The key is to understand the nature of the business you're getting into, how it will affect your lifestyle, and whether it's acceptable or not.
A market that repeats and refers — many photography businesses are basically “one time” sales. Weddings, and even very high-end people and portrait sessions, for example, are perceived as “once-in-a-lifetime” events, and if they do repeat, the interval is very wide.
What that means is, you’re always selling to someone new. And that takes effort that you wouldn’t have to expend if your clients simply came back to you over and over again, and on top of that, referred all of their friends to you.
In Pam’s type of people and pet photography business that’s exactly what happens — once you get a customer, they tend to become a customer for life, and they tend to refer more people like them to you. So as your business progresses, you accumulate more and more customers, who refer more and more customers.
This makes your business easier and easier as time goes on. And it allows you to do things like send out e-mails or postcards to your client list saying, “Hey I’m going to be doing sessions the first week of October, call me if you’re interested.”
Simple as that. You don't have to sell them, because they already know what they are going to get.
Now you know why Pam and I like the higher-end people and pet market so much...
- It’s a huge market
- We can make a reasonable profit from it
- We can schedule sessions on our time table
- Clients tend to be customers for life ~ and ~
- They refer their friends to us
Plus, it’s a fun business to be in. But those are just our preferences. Again, what's important is that you consider the market you are planning to operate in and where that will lead you from both a business perspective and personally.
CRITICAL INGREDIENT #3 — A business model that supports your lifestyle goals and keeps your clients happy
“In order to get what you want, you have to help others get what they want.” — J Paul Getty
Business — and life — is always a “two way” street.
We’ve been talking a lot about shaping your business to your lifestyle, but none of that is going to matter if you don’t provide overwhelming value to your clients. Money is made by helping people get what they want.
So what do people want?
Well, they want a lot of things, and in the people and pet photography market, you’ll find an endless variety of little niches — little niches you can dominate by catering to a particular one.
Pam, for example, has found great success with her “Not Your Normal” style of photography.
But Pam’s success is based on more than just a style of photography. The style is a part of it, but the way Pam conducts the photo sessions, the experience she gives her clients, the unique session packages she provides, the business and the pricing model she uses is also very, very, important.
And these are the things most photographers “miss.”
Why? Because they’re all hung up on trying to figure out the latest Photoshop trick and which camera is “best,” instead of paying attention to what it takes to build a lasting relationship with their clients. And they fail to understand how their business practices affect the customer and the perceived value they’re giving them.
I’ll give you two examples to illustrate this point...
One is “environment and experience.”
Realize that you’re not just providing your clients with photography, but an entire experience. You’re giving them a session where you spend the time necessary to make them feel relaxed and special, and you’re doing it in an environment that’s comfortable — your home, their home, or a relaxed studio.
Rest assured, there’s a big “experience difference” between getting rammed through a “quicky” session at the local chain store, and a session that’s conducted in a comfortable location that makes the people being photographed feel like honored stars.
And the best part of that process is, in addition to getting a great experience, the people being photographed look better and more relaxed in the photos because they are more relaxed and having fun!
And what does that translate into? Greater value for which you can charge higher fees.
Which brings us to the second example...
Many traditional photographic services rely on luring people in with low-cost sessions and then selling them high-priced reprints. This model can work — does work — but it has some complications.
One is misplacement of value.
You see, if you charge a low amount for a session fee or a “creative fee,” what you’re declaring to the client is that your services — all of your creative skills and all your investment in equipment — is only worth a small amount of money.
And when you try to make up for it by selling them obviously overpriced prints (yes, everyone knows what your print costs are, and they can see how much your mark up is!), they resent it.
And they resent it even more when you “hard sell” them, which is often necessary to get the pricey reprint sales job done (I won’t go into all the tactics used, but there are plenty, and those of you in the business and using this type of business model know exactly what I’m talking about).
This type of arrangement — low cost session fees and high priced prints — isn’t fun for the photographer or the client.
It’s also bad for repeats and referrals because “buyer’s remorse” easily sets in when they feel they were “talked into” buying a print they know was “way overpriced.”
Even worse, if you don’t “sell” on the “backend,” you don’t make any money, so that really puts the pressure on you!
Not my idea of a good time. I don’t like to sell. I like to attract people to buy from me by providing them with so much value they’d be nuts to pass up the deal.
That’s why, in Pam’s business, we primarily use “up front” pricing.
With up front pricing, the clients know what they are going to get and how much it will cost before the session starts. We don’t shy away from the fact that Pam’s photographic services are highly valuable and worth what we charge. Her style is in demand. We take the time to do it right. And we add a lot of nice little “touches” that add up to a superior experience and result for the client.
All this is taken care of up front, so when session time comes, there’s no tension over cost. And when the prints are delivered, both Pam and the client can simply enjoy, admire, and celebrate the work that was done without the stress of an impending hard sales pitch.
Again, that’s just us, what we’re comfortable doing, and what our lifestyle dictates. You see, I want to have happy clients that trust us and buy from us with confidence over and over again. And I want them to refer other people to us. That’s how the “easy money” is made, and I’m not going to jeopardize that by making them uncomfortable during a reprint "pitch" session.
I also like to know I’m actually going to get paid for valuable work that was done, and charging a good fee up front guarantees that.
Now, one thing you should know — in Pam’s case, her session packages don’t include any large prints (we mostly use 4x6 prints), so she actually does have a “back end,” and she does sell a fair amount of reprints.
However, our business model doesn’t require it in order for us to make a nice profit and we don’t have to pitch it like there’s no tomorrow. We consider our reprint orders “bonuses” for doing a good job!
Your “business model,” by the way, is important. It can affect your lifestyle, and it can determine where you end up — rest assured you do not want to put an “artificial ceiling” on what you can achieve. Let me explain...
The very top people don’t photograph on spec and then pitch the prints. They also don’t run around selling their goods and services like Tupperware® and other common household goods that are marketed by “party selling.” And they don't do mass quicky sessions that run dozens of people through in a day (or even an hour!).
Doing business that way can certainly work, but it can only take you so far, both in a financial sense and a creative sense. Bottom line is, if you aspire to get to the top and get the intangible benefits of this business — the creative satisfaction and the recognition in your community as well as the financial benefits—you need to act the part, and use a business model that will ultimately get you to where you want to go!
OK, there you have it, the big three critical ingredients needed to achieve the lifestyle you seek...
- Your lifestyle goals
- A market to support those goals ~ and ~
- A business model to service that market
Really, if you get those things right, everything else is just “details.”
In Lesson Two, we'll take a look at some of the “physical assets” you’ll need to get your photography business on the fast track to success. See you then!
Photographically yours,
Jeff Farr
co-founder, Not Your Normal School of Photography
