The example BUR figures are just that, an example. Could be based on delivering 10 images or 5. Depends on your market, client, usage.

The BUR figures I set are to show that there *is* a very distinct difference between PR, Commercial and Advertising production costs.

i.e. PR you might use one photographer, no assistants, basic kit, flashgun and you’re away in an hour. Commercial might take a photographer, assistant, full location lighting kit, a day to shoot and a day in post. Advertising might be a photographer, two assistants, stylist, catering, even more lighting and grip, location fees, models, two days to a week in post. i.e. varying levels of production for varying levels of client and budget.

If your lines between PR/Commercia/Advertising are getting blurred then you may have to look at your production values and adjust up or down accordingly:

See: http://www.thephotographybiz.com/photography-business/how-to-deal-with-clients-who-want-your-photography-for-the-cheapest-possible-price/

The level of production you need to deploy to fulfil the client brief should ultimately dictate your BUR. i.e. you won’t get far setting a BUR of £500 if the production costs are £750.. ;)

So set the BUR for each job to a level which covers your production and your profit margin. If this is going to appear too high to your client then either:

a) the client needs to pay more; or
b) you adjust your production level costs to suit their budget

Either way the idea is to peg a BUR figure at a level that allows you to produce, make a profit, and easily calculate re-usage later down the line.

PP

Many thanks for this, it’s most helpful.

Are your example BUR rates are based on the 10 shots proposal, or per shot used, or for the entire shoot?

Would it also be possible for you to define or give example usage of: PR, Commercial & Advertising? The lines between them are becoming a bit blurred, and your sample BUR pricing is vastly different.

Cheers,

Paul

We’re both arriving at the same end point – charging on the image usage and not on time – but approaching from a slightly different angle.

My production costs are estimated into those usage categories from quick PR at one end to full rig Advertising at the other. So that gives me a line in the sand at which to start pitching.

My time is the same whatever I’m shooting, agreed. Some days are easier than others ;)

PP

When quoting for a job, the original job ‘title’, may and probably will however, influence how you are planning on shooting the images, in the first place, i.e. your style… and that in-turn, would then be reflected in your estimated production costs.
So for example: images you would be planning on producing, thinking: for PR use (point & shoot), will probably not be the same images, as the images which you would be planning on producing, thinking: advertising use (camera on a tripod, lights, etc).

Different set images = different ways of working = different production costs = different BUR for those set of images.

Your time is still your time, so your hourly rate doesn’t change, just because of the job ‘title’.
The BUR is still based on standard Usage.
The big difference, is what the images will look like.

If the client says they need more than Standard Usage, then you add-too the BUR figure.
+%.
It’s this +% figure, that you use to help you raise the bar, above your basic standard level. For example, you may now want to look at hiring in others to help, use a better camera system, spend longer on the job, etc, etc.

It’s their Usage needs that will therefore determine the importance of the images to them. That importance is reflected in the value, of what you are being asked to do – which will become your budget – and the Licence to Use fee.
Once that is determined, then it’s up to you to use that budget, as you see fit, to produce & provide images to meet their needs.
So it’s based on: the greater their needs are, the greater the images need to be.

The BUR figure, is therefore, your Base (to produce basic images) Usage (2 media, for 1 year, in 1 country) Rate (what you would charge for that).

Take your production costs and divide it by the number of images you produce – and that becomes your BUR per image figure.
Depending then on the client’s Usage needs, you either add-to or discount from, that figure.
You don’t drop your standards, just because it’s for editorial use only, you just give a discount for that type of limited usage i.e. -50%.
That way, the BUR figure remains at it true value, should someone require advertising use; for example, from one or more of the images.
So you don’t drop your hourly rate fee or imply the images you produced are of lesser value, you give them a discount, if their usage needs are less than standard.
It’s their usage needs that will therefore determine the value, of your images, to them.
Media use, Period of Use and Territory, are the 3 key things, that will determine that value.

The only relationship between your NTMPD (the amount I need to earn per day over 104 days to stay in business) and the BUR is that the AVERAGE BUR across the 104 days should equal £480GBP per day else I’m making a loss. Because £480GBP is what *I need* with my overheads to break even.

BUR would need to be *more than* an average of £480GBP per day to make a profit.

So…

On some shoots I know I’ll make less than £480 (low end PR etc).
On some shoots I know I’ll make a lot more than £480 (advertising etc).

Each “sector” will bear a certain cost depending on your skill, your location, the sort of client, what the client’s budget is.

All you need to do is make sure that once you’ve made a NTMPD rate personal to you based on your cost of doing business – you keep that in mind as a check and balance against your income when quoting.

i.e. if you need to make £300 a day for 100 shoot days to make £30k p.a then your average fee over those 100 days better be more than £300 else you’ll make a loss.

Many people in all sorts of businesses (but especailly photography) never ever work out their cost of doing business and this can lead to a false sense of achievement if all the work you get is low value. Yes, you are making money but if it’s not enough to cover your outgoings you’ve made a loss.

PP

Remember that X, Y & Z are flexible numbers. Adapt them to suit your client’s needs and your need to make a profit.

PP