A high-quality logo created by an experienced logo design and development services can go from $300 to $1500 on average. If you hire a design firm, the cost rises to roughly $2000 on average. There are also logo makers available, such as WIX logo builder and Canva, for a fee ranging from $10 to $50.
In most circumstances, businesses who are serious about developing a strong brand image and growing brand awareness would commission a custom design from a freelancer or logo designing services. However, it is dependent on a lot of aspects on both the client’s and the designer’s end. We’ll look at what aspects determine a designer’s logo design pricing and how you should charge clients in this blog.
How Much Should You Charge For a Logo?
As a designer, you have the skills and experience to create amazing logo designs that will impress your clients. However, you have no idea how or what to charge them for their logo.
Here are some elements to consider when determining the best price for your logo design:
l Experience and Expertise
A logo design should be reasonably priced for someone who has recently graduated from college and is still building their portfolio.
Senior designers or art directors with 5+ years of experience typically have a better understanding of their craft. They can provide clients with more value, a broader perspective, and faster and more reliable results.
l Type of Client
Understanding your customers is essential for determining the price you should charge them. If you are approached by a huge corporate organization, you should charge a high price because they will have a larger budget and will value the designer’s long-term value more than the price. If you charge these large clients a low fee, they may distrust your expertise and be cautious of the quality you will provide.
However, if you are designing a logo for your cousin’s startup company, you may cut your costs owing to personal relationships and their financial situation.
l Deadline of the Project
Being able to provide a time estimate to the client is a talent that you will improve as you advance in your career. Most designers will charge a “premium fee” if the client needs a logo designed in short time or wants to be handled as a priority.
Customers that seek extra service for their logo design are paid a premium or expedited price. This treatment comes at a cost; clients who need a logo on urgent basis will be willing to pay more to get the design completed sooner.
You should not give in to the desire for extra money if you are currently swamped with work from other clients or have a tight schedule. It is preferable to gently decline. You don’t want to be too direct about it, so keep it professional and empathetic.
You might even choose not to charge them if they are your existing customer from whom you receive many referrals and would naturally favour them.
l Project Specifications
The scope of work and the specifics of the logo design are quite important to the designer. Professional graphic designers sit down with their clients to create a contract before beginning any kind of practical work. The contract would outline the business’s requirements as well as the designer’s deliverables.
This could include the amount of revisions, the number of concepts, logo changes, and logo placements. You should charge clients extra for additional logo design revisions, concepts, variations, and placements.
This is due to the fact that it would require more time and effort than simply designing a simple design, submitting it to the client, and being done with it. A greater number of changes and concepts need you to spend more time communicating with the client, allowing you to charge more for your logo designing services.
Choosing How to Charge Your Clients
We’ve looked at what aspects influence the cost of your logo design; now we need to figure out how to charge your clients.
There are two ways for designers to charge their clients.
l Fixed Price
As stated at the outset of this blog, most designers charge a set fee. This is due to the difficulty of determining how much value you deliver your clients with an hourly rate.
For example, if you are an experienced designer, you may take less time to create a high-quality logo than a newbie since you are more efficient.
However, you are now earning less money for being more productive and efficient, which is illogical. After learning more about them and their company, you should consider the company’s potential and constraints. For example, if a business owner approaches you about designing a logo, you might check at some of his current statistics. You may be surprised to learn that he earns roughly $20,000 each month by selling smartphone accessories.
The Most Effective Strategy – Value Based Pricing
Assume you are a $150/hr graphic designer who is recruited to rework the Nike logo. You estimate that designing a new logo for them will take you 120 hours.
The total cost is $19,000. That may appear to be a fair salary, but is it reasonable for a firm worth more than $34 billion?
Nike’s logo can be found on billions of dollars’ worth of items. It is incredibly iconic all around the world. Just getting the new logo out there will cost millions of dollars. In this case, paying $100,000 for a logo that will cost millions to deploy makes sense. Nobody cares how long it takes to develop something. They only have one chance at success (high risk), and it will be costly to implement (high-value).
When you don’t include time in your price, you erase your income ceiling. You can charge $19,000 for a logo that you created in 5 hours. Why? Because your pricing is determined by the value of the work to the client’s business rather than the time it took you to complete it. At its most basic, value pricing is just a means of framing or “grounding” a fixed-fee price against the client’s financial upside.
The Bottom Line
The logo of a firm is an important part of its brand identification. When it comes to pricing your logo design service, don’t undervalue yourself and keep in mind the importance of your client’s branding success. It is better to charge each client separately based on the value you bring them, a practise known as value-based pricing. This will ensure that you charge the correct price to the correct client.