prototyping your business with dan mall
Post on 28-Jan-2015
110 Views
Preview:
DESCRIPTION
TRANSCRIPT
Prototypingyour business
@d!nielm!ll d!n@d!nielm!ll.com
Design
Illustration
iOS
Motion Graphics
JavaScript
“Portfolio piece”
“More work”
Wh" do we just de!l with this?
Business isn’t a science.
Business is an art.
“Desi#n” isn’t limited to the thin#s we m!ke.
Desi#n "our process. Desi#n "our business.
Business is an art.
Founder $ Desi#n Director
Business is an art.Desi#n Director
Business is an art.
Inter!ctive Director
february 2011
With ! %ull-time s!l!r" !s ! b!ckup, I w!s %ree to experiment with m" business.
I w!s %ree to protot"pe.
prototypeA w!" to test ! h"pothesis.
webdesignforidiots.net/2012/11/plan-learning-to-wire-frame/
How much should I charge?
I can make good moneyon side work
H"pothesis
I can makegood moneyon side work
H"pothesis
rate cards
Principal
Art Director
Sr. Designer
Jr. Designer
Intern
$250/hr
$200/hr
$150/hr
$100/hr
$100/hr
Principal
Art Director
Sr. Designer
Jr. Designer
Intern
$250/hr
$200/hr
$150/hr
$100/hr
$100/hr
Hourly ratesSpoiler: hourl" r!tes suck.
$25
$50
$100
$200
$400
$800D
For me, it w!s di%%icult to convince ! client to p!" more th!n $150/hr.
No one went to school to be ! client.
paid hourly—$7/hr
paid hourly—$70/hr
paid hourly but went to school for 7 years
$375/hr
Hourl" r!tes don’t sc!le with experience.
Hourly Rate $ 100
Hourly Rate
Hours
$ 100
10×
Hourly Rate
Hours
Total
$ 100
10
$1000
×
Hourly Rate
Hours
Total
$ 100
10
$1000
×
$ 100
Hourly Rate
Hours
Total
$ 100
10
$1000
$ 100
5× ×
Hourly Rate
Hours
Total
$ 100
10
$1000
$ 100
5
$ 500
× ×
Hourly Rate
Hours
Total
$ 100
10
$1000
$ 200
5
$1000
× ×
Hourly Rate
Hours
Total
$ 100
10
$1000
$ 400
5
$2000
× ×
Hourly Rate
Hours
Total
$ 100
10
$1000
$ 200
10
$2000
× ×
Hourly Rate
Hours
Total
$ 100
10
$1000
$ 100
20
$2000
× ×
Hourl" r!tes incentivize "ou to be slower.
Director of Client Service
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service $ 533/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
$ 533/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
$ 533/hr
$ 601/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
Executive Research Director
$ 533/hr
$ 601/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
Executive Research Director
$ 533/hr
$ 601/hr
$ 427/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
Executive Research Director
Chief Creative Director
$ 533/hr
$ 601/hr
$ 427/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
Executive Research Director
Chief Creative Director
$ 533/hr
$ 601/hr
$ 427/hr
$ 964/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
Executive Research Director
Chief Creative Director
Executive Media Director
$ 533/hr
$ 601/hr
$ 427/hr
$ 964/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
Executive Research Director
Chief Creative Director
Executive Media Director
$ 533/hr
$ 601/hr
$ 427/hr
$ 964/hr
$ 478/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
Executive Research Director
Chief Creative Director
Executive Media Director
Executive Director Print Production
$ 533/hr
$ 601/hr
$ 427/hr
$ 964/hr
$ 478/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
Director of Client Service
Executive Director Account Planning
Executive Research Director
Chief Creative Director
Executive Media Director
Executive Director Print Production
$ 533/hr
$ 601/hr
$ 427/hr
$ 964/hr
$ 478/hr
$ 391/hr
2008 Hourl! Billin" R#tes* Over 500 employees—http://dmall.me/15CxrwU
t
t
Time
Ye!rs in business
Clients should not be p!"in# %or our time. The" should be p!"in# %or our expertise.
if not hourly, then what?
Fixed pricing
Hourly Rate
Hours
Total
$ 100
10
$1000
×
Hourly Rate
Hours
Total
$ 100
10
$1000
×
Hourly Rate
Hours
Total
$ 100
10
$1000
×
Hourly Rate
Hours
Total
$ 100
5
$1000
×
v
Hourly Rate
Hours
Total
$ 100
15
$1000
×
v
value pricing
0
V!lue pricin# is not the s!me !s %ixed pricin#.
* However, %ixed pricin# is one t"pe o% v!lue pricin#.
V!lue pricin# o%ten h!s little to do with the project itsel%.
It’s more !bout the service provider !nd the client.
1. touchy feely.
2. cool & calculated.
1. touchy feely.
2. cool & calculated.
1. touchy feely.
2. Cool & calculated.
danielmall.com/articles/object-value-pricing/
Trust "our #ut.
1. touchy feely.
2. cool & calculated.
Fi#ure out wh!t "ou need to e!rn.
Health Insurance
Gym
Mortgage
TV Services
Auto expenses
Groceries
Misc shopping
Student loan
$472.62
$79.98
$700.00
$25.99
$887.27
$400
$407
$128.09
Taxes
Phone
Water
Electric
Tithe
Property Tax
Sewer Dept.
Misc.
$1000.00
$200.00
$80.00
$125.00
$300.00
$100
$33
$2000
$6938.95Tot!l
Round numbers m!ke the m!th e!s".
1 month project = $10K
2 week project = $5K
2 month project = $20K
1 month project = $10K
danielmall.com/articles/superfriendly-annual-report-2012
February 2012
1-month project, $10K
February 2012
1-month project, $10KMarch 2012
1-month project, $10K
February 2012
1-month project, $10KMarch 2012
1-month project, $10KApril 2012
1-month project, $30K
February 2012
1-month project, $10KMarch 2012
1-month project, $10KApril 2012
1-month project, $30KMay 2012
When "ou’re !he!d on c!sh%low, "ou h!ve the %reedom to be pick",
rel!xed, or !mbitious.
When "ou’re !he!d on c!sh%low, "ou !re more v!lu!ble.
V!lue-b!sed pricin# is !bout how v!lu!ble "ou !re.
V!lue-b!sed pricin# is !bout how v!lu!ble "ou !re (!t !n" #iven time).
Save-the-date
They Really want to work with me.
H"pothesis
I’ll be honest: m" time is in dem!nd. To reserve ! speci%ic time%r!me %or "our project, "ou c!n opt into !n !ddition!l ret!iner which #u!r!ntees th!t "our project is m" %irst priorit" st!rtin# October 30. This ret!iner is non-re%und!ble.
I choose to immedi!tel" reserve this time%r!me %or m" project !nd will send $7500 !lon# with the si#ned contr!ct.
budgetThe B-Word
Wh!t’s "our bud#et?You
Well, we’d like to he!r wh!t numbers "ou come up with.
Client
[li#hts h!ir on %ire]You
?
$60K
$60K
$35K
$60K
$105K
The M!#ic Question
“Is it closer to three thous!nd, thirt" thous!nd, or three hundred thous!nd?”
The M!#ic Question
“Bud#et” = This is wh!t I think "ou’re worth
The Questionnaire
• Wh!t kind o% time%r!me !re we lookin# !t? Is there ! cert!in event or d!te th!t is dependent on this site l!unchin#? On m" end, the soonest !v!il!bilit" I h!ve to st!rt this is in _____________. In the spirit o% %ull disclosure, I !lso h!ve !nother prospective client interested in the s!me time slot.
• Wh!t kind o% time%r!me !re we lookin# !t? Is there ! cert!in event or d!te th!t is dependent on this site l!unchin#? On m" end, the soonest !v!il!bilit" I h!ve to st!rt this is in _____________. In the spirit o% %ull disclosure, I !lso h!ve !nother prospective client interested in the s!me time slot.
• Is there !n" work !lre!d" st!rted th!t I should know !bout? A new lo#o? Some rou#h desi#ns or ide!s %or the site?
• Wh!t kind o% time%r!me !re we lookin# !t? Is there ! cert!in event or d!te th!t is dependent on this site l!unchin#? On m" end, the soonest !v!il!bilit" I h!ve to st!rt this is in _____________. In the spirit o% %ull disclosure, I !lso h!ve !nother prospective client interested in the s!me time slot.
• Is there !n" work !lre!d" st!rted th!t I should know !bout? A new lo#o? Some rou#h desi#ns or ide!s %or the site?
• Wh!t size is the project te!m on "our end? Would it just be "ou? Or would it be ! whole te!m on "our end?
• Wh!t kind o% time%r!me !re we lookin# !t? Is there ! cert!in event or d!te th!t is dependent on this site l!unchin#? On m" end, the soonest !v!il!bilit" I h!ve to st!rt this is in _____________. In the spirit o% %ull disclosure, I !lso h!ve !nother prospective client interested in the s!me time slot.
• Is there !n" work !lre!d" st!rted th!t I should know !bout? A new lo#o? Some rou#h desi#ns or ide!s %or the site?
• Wh!t size is the project te!m on "our end? Would it just be "ou? Or would it be ! whole te!m on "our end?
• How did "ou he!r !bout our work? Wh!t speci%ic!ll" interests "ou !bout it? An" p!rticul!r projects th!t "ou're keen on?
• Wh!t kind o% time%r!me !re we lookin# !t? Is there ! cert!in event or d!te th!t is dependent on this site l!unchin#? On m" end, the soonest !v!il!bilit" I h!ve to st!rt this is in _____________. In the spirit o% %ull disclosure, I !lso h!ve !nother prospective client interested in the s!me time slot.
• Is there !n" work !lre!d" st!rted th!t I should know !bout? A new lo#o? Some rou#h desi#ns or ide!s %or the site?
• Wh!t size is the project te!m on "our end? Would it just be "ou? Or would it be ! whole te!m on "our end?
• How did "ou he!r !bout our work? Wh!t speci%ic!ll" interests "ou !bout it? An" p!rticul!r projects th!t "ou're keen on?
• Are there other people th!t "ou’re t!lkin# to !bout this project? Mi#ht I !sk how m!n"? Wh!t do "ou like !bout their work?
• Wh!t kind o% time%r!me !re we lookin# !t? Is there ! cert!in event or d!te th!t is dependent on this site l!unchin#? On m" end, the soonest !v!il!bilit" I h!ve to st!rt this is in _____________. In the spirit o% %ull disclosure, I !lso h!ve !nother prospective client interested in the s!me time slot.
• Is there !n" work !lre!d" st!rted th!t I should know !bout? A new lo#o? Some rou#h desi#ns or ide!s %or the site?
• Wh!t size is the project te!m on "our end? Would it just be "ou? Or would it be ! whole te!m on "our end?
• How did "ou he!r !bout our work? Wh!t speci%ic!ll" interests "ou !bout it? An" p!rticul!r projects th!t "ou're keen on?
• Are there other people th!t "ou’re t!lkin# to !bout this project? Mi#ht I !sk how m!n"? Wh!t do "ou like !bout their work?
• Wh!t kind o% bud#et do "ou h!ve !lloc!ted %or this project?
• Wh!t kind o% time%r!me !re we lookin# !t? Is there ! cert!in event or d!te th!t is dependent on this site l!unchin#? On m" end, the soonest !v!il!bilit" I h!ve to st!rt this is in _____________. In the spirit o% %ull disclosure, I !lso h!ve !nother prospective client interested in the s!me time slot.
• Is there !n" work !lre!d" st!rted th!t I should know !bout? A new lo#o? Some rou#h desi#ns or ide!s %or the site?
• Wh!t size is the project te!m on "our end? Would it just be "ou? Or would it be ! whole te!m on "our end?
• How did "ou he!r !bout our work? Wh!t speci%ic!ll" interests "ou !bout it? An" p!rticul!r projects th!t "ou're keen on?
• Are there other people th!t "ou’re t!lkin# to !bout this project? Mi#ht I !sk how m!n"? Wh!t do "ou like !bout their work?
• Wh!t kind o% bud#et do "ou h!ve !lloc!ted %or this project?
• Wh!t !re "ou speci%ic!ll" lookin# %or %rom me? Do "ou !lre!d" h!ve developers or other p!rtners lined up !nd !re lookin# to us just %or desi#n? Or do "ou w!nt the whole thin# desi#ned !nd built?
• Wh!t kind o% time%r!me !re we lookin# !t? Is there ! cert!in event or d!te th!t is dependent on this site l!unchin#? On m" end, the soonest !v!il!bilit" I h!ve to st!rt this is in _____________. In the spirit o% %ull disclosure, I !lso h!ve !nother prospective client interested in the s!me time slot.
• Is there !n" work !lre!d" st!rted th!t I should know !bout? A new lo#o? Some rou#h desi#ns or ide!s %or the site?
• Wh!t size is the project te!m on "our end? Would it just be "ou? Or would it be ! whole te!m on "our end?
• How did "ou he!r !bout our work? Wh!t speci%ic!ll" interests "ou !bout it? An" p!rticul!r projects th!t "ou're keen on?
• Are there other people th!t "ou’re t!lkin# to !bout this project? Mi#ht I !sk how m!n"? Wh!t do "ou like !bout their work?
• Wh!t kind o% bud#et do "ou h!ve !lloc!ted %or this project?
• Wh!t !re "ou speci%ic!ll" lookin# %or %rom me? Do "ou !lre!d" h!ve developers or other p!rtners lined up !nd !re lookin# to us just %or desi#n? Or do "ou w!nt the whole thin# desi#ned !nd built?
• An"thin# else th!t I should know !bout wh!t "ou’re lookin# %or %rom me?
performance-based compensation
V!lue Pricin#
Equit", s!les bonuses, incentives, etc
Cashflow
When should "ou #et p!id?
50%-50%
Thirds
Good c!sh%low is !bout miti#!tin# risk.
Biweekly
97%
Further areas to prototype
Contracts
Contracts
stuffandnonsense.co.uk/projects/contract-killer
Proposals/pitches
Language
When "ou w!nt numbers to seem low, use “K.” When "ou w!nt them to seem hi#h, write out the %ull number.
Pro Tip
“While our competitor mi#ht be ch!r#in# "ou $372,000.00, we’re con%ident we could #et it done %or
!bout $254K.
Ex!mple
Wh!t clients w!nt to bu" more th!n !n"thin# is trust.
businessolo#"show.biz @bizolo#"show in%o@businessolo#"show.biz
Wh!t clients w!nt to bu" more th!n !n"thin# is trust.
The more time "ou spend buildin# trust, the better "our business will be.
Thanks!B u
@d!nielm!ll d!n@d!nielm!ll.com
top related