Struggling to price your creative services with confidence? You’re not alone. Whether you’re a freelance designer, writer, marketer, or creative entrepreneur, setting the right price can feel like a guessing game. But it doesn’t have to be.
In this guide, we reveal 9 proven pricing strategies used by successful creatives to win better clients, increase profitability, and build sustainable businesses. From value-based pricing and psychological anchoring to monthly retainers and tiered packages, these expert insights will help you take control of your income and creative freelancer career.
Table of Contents:
Leverage the Anchoring Effect in Pricing
One pricing strategy that has been especially effective for me as an entrepreneur is leveraging the “anchoring effect,” a behavioral economics principle highlighted by Dan Ariely in his book, Predictably Irrational. Ariely explains that people tend to rely heavily on the first piece of information they receive – the anchor – to make subsequent judgments.
When presenting pricing proposals, I’ve learned to first introduce a premium-tier option that includes extensive, high-value deliverables and comprehensive support, which sets a high anchor point. Immediately afterward, I offer the mid-tier package -my actual target – that appears significantly more attractive and affordable by comparison. The anchoring approach subtly nudges clients toward this package, making it seem like an optimal balance of value and cost, thus increasing acceptance rates.
To ensure fair compensation, I base my rates on a combination of market research, clearly defined project scope, and transparent discussions of value rather than hours. This approach ensures alignment between client expectations and project outcomes.
My advice to fellow freelancers and entrepreneurs is to carefully structure your pricing tiers with clear anchors. Doing so not only simplifies your client’s decision-making but also helps you secure projects at rates that reflect the true value of your work.
Lloyd Pilapil, Founder, Pixelmojo
Offer Monthly Retainers for Financial Stability
I’m a big fan of monthly retainers. They are one of the easiest ways freelancers can set themselves up for financial predictability and stability. I determine my rates based on the project scope. I’ll charge hourly if it’s an article or eBook that requires extensive research and interviews with thought leaders. If it’s a shorter, more straightforward blog, I’ll most likely charge a flat fee. I always am mindful of my time, as well as the client’s budget, when determining my rates.
Steph Weaver, Freelance Writer, SDW Contenty
Use Contrast Pricing to Demonstrate Value
Depending on the client, I like doing a mixture between anchoring estimates and contrast pricing.
Contrast pricing means, to contrast their current cost to what you will cost, for example:
What the customer currently does costs them 300k per year, that is 25k per Month.
Me helping them to rebuild their strategy costs them, let’s say, 5k per month for a few months. That is a 1 to 5 in costs. Basically a no brainer what they get when comparing to what they are currently spending.
The phrasing is more in the realm of: This project will probably cost you between 20k and 40k, does that work for you?
40k being our high anchor. They will either have a budget limit and find a middle-ground, or agree, which will be a good price for you.
If they start to aggressively lowball the offer, it becomes usually clear that we probably will not want to work with them in the first place.
Andreas Rüegger, Lead Business Development at zevvy, Owner kiniroo
Incrementally Increase Rates with New Clients
As a freelancer, my most significant shift in pricing strategy was providing a quote for every new project that’s higher than my current rate. Taking on a new client is always a big deal, and it’s a lot easier to incrementally increase your prices with every new win. This approach is how you find yourself on an upward trajectory, not stagnating at the bottom end of the market.
Stephen Marsh, Senior Freelance Copywriter, What For Creative Limited
Calculate Minimum Rate Based on Expenses
I did a lot of brainstorming when developing my pricing strategy. I started by thinking about the costs I would need to cover by going out on my own, such as paying for software, hiring a bookkeeper, paying taxes, health insurance, business insurance, and contributing to a 401k. I also had to consider the costs of taking time off for holidays and vacations. Then I determined how much I would need to make to maintain or exceed the salary I made in my full-time job, with those costs in mind.
And that’s how I set my minimum hourly rate. That gave me the lowest rate I would accept while still living comfortably. I don’t take any jobs below this minimum rate, or I risk stress and burnout.
But I also talked to other freelancers in my industry to get advice on what to charge, and that helped me set my starting point, which is higher than my minimum rate. I make adjustments depending on the complexity of the job or the size of client – for example, I’ll pitch a lower rate for small businesses with basic needs or a higher rate for a large website with hundreds of thousands of pages and complicated technical issues.
Alex Juel, Owner, Digital Marketing & Strategy, AlexJuel.com
Utilise a Pricing Calculator for Accuracy
In order to determine my hourly rate, I use a pricing calculator. I input all my expenses, account for taxes and insurance, and ensure I add a profit percentage on top. This becomes my base wage. Once I have that figured out, I can develop project rates. You’ll improve at estimating hours the longer you do it. One pro tip is to always overestimate slightly, because unexpected issues invariably arise.
Sam Fagan, Founder, Design It Please
Develop a Three-Tier Pricing Approach
A three-tier approach is helpful when offering services. I think it’s important to consider two main factors: the time you’ll be spending to complete the work and the value of your time, as well as researching competitors and understanding the market rate for the same services. Once informed of both, you’ll be able to combine the information into an offering that feels fair and appropriate to you.
Tiffany D. Davidson, Web Designer & SEO Specialist, Squarespace Website Design + SEO by Tiffany
Adjust Rates Based on Client and Market
Know your value, but also know your client’s value.
You can charge a finance company more than a school for the same work.
This is not meant to imply that you should take advantage of people, but understand that your cheap price for the school may be too low for the financial institution to take you seriously.
Start at a price point that is reasonable for the market. Again, Manhattan has a different rate from Alabama, so price accordingly.
Then, when you get to the client, if they don’t argue about the price, you’re either low or within range.
This means that for the next client, you need to increase your billing rate by 10% (or more) and see what happens.
Once you start hearing from multiple prospects that the rate is high, you have probably found a comfort zone for them. You may still need more money, but that’s another story to be told.
Keith Brooks, CEO, B2B Whisperer
Know Your Value and Client’s Value
One pricing strategy that has worked well for me is value-based pricing. Instead of charging by the hour, I price based on the outcome and impact I can deliver.
For example, if I’m running advertising campaigns and can improve a client’s conversion rate by 2-3x, that can lead to exponential revenue growth. In that case, pricing based on the time spent wouldn’t reflect the true value created. It’s important to show this in advance and also outline the opportunity cost of not optimizing the campaigns (which usually means wasting money on the advertising platform and leaving money on the table).
Sascha Hoffmann, Lifecycle Marketing Consultant, SH Media
