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This is an extremely complicated question. I run a UI/UX studio here in Toronto and we go all up and down the spectrum, with some clients being shocked at our prices for web design/development but we've also lost jobs from other prospective clients because our prices were too low (no joke).

It depends on two things:

  1. Where you get your business

  2. Who your competition is
For many, #2 depends on #1. We see three main sources of business: Google (we rank highly for 'Toronto web design'), Dribbble (we have the 2nd most followers in Toronto, and 8th in Canada), and of course, referrals.

Dribbble leaves us with clients with the biggest budgets, who aren't afraid of 5-figure prices for web design. This is where we're competing with other high-end designers and thus our prices are more in-line with theirs.

Referrals are the strongest leads, with clients who when they don't have larger budgets are more comfortable stretching a bit because of our strong work for a friend or mutual acquaintance (and we're often happy to mark down a bit for a referral).

Leads from Google are where the clients who get really shocked come in; they don't really understand or appreciate the work that needs to go into good, iterative, considered UI/UX (and the custom development that goes along with it). The competition here includes a swath of companies who game SEO and outsource work offshore, and they can charge considerably less. Thus, our prices look unreasonably higher to the untrained eye.

There's also a phenomenon where cheaper clients expect more. If you move up in terms of positioning yourself as premium, better clients will consider you and your services-- the types of clients who aren't shocked by "high prices" for design and/or development.

So, if you find all of your clients are shocked at your prices, you're not marketing towards the right clients.

I would also highly recommend listening to patio11's podcast #3 about making more as a consultant: http://www.kalzumeus.com/2012/10/10/kalzumeus-podcast-3-grow..., and charging more http://www.kalzumeus.com/2012/09/21/ramit-sethi-and-patrick-...




Great comment.

I'am a self entrepreneur and I do some web designing from time to time. I recently got a lead for a organization which had EU funding of 250'000€. They wanted me to roll two sites with independent designs and features which's content had to be editable. I offered them my full consultation in choosing everything from ground up, but they kept on asking for the price. Once I told them I never heard anything back.

I offered to do the sites for about 0.5% stake of what they got from EU, but they apparently thought it was too much.

Recently a friend of mine was observing me coding and he was astonished of the complexity of it. As he said, 'For me, a button has always been just a button with no further functionality.' I also let him to change the source code as he was interested to see what effects it has on the program. He deleted a single bracket and was amazed to find that the program failed to run. I then continued to tell him that no matter how big your codebase is, a single mistake such as that might screw it all.

He now understands my frustration better.


well, maybe that ~1000€ were far to low.




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