It's great to be here with you guys! I'm a filmmaker here in Los Angeles, and breaking into the commercial realm to close the gaps. So I'm looking for growth in all areas, many of which I've known I need to do, but finally admitting to myself that I could use a bit of tutoring. So I look forward to engaging with you all and learning together.

Do you find it challenging to confidently charge what you’re worth to a client or find it difficult to set the right price? In this article, we’ll discuss a powerful process called price anchoring that will help you negotiate better rates with clients, set the right price from the outset, and create powerful perceived value. This technique has been used by experts in various industries, including Den, a 25-year veteran in the video industry. What is Price Anchoring? Price anchoring is a process where you present a client with three pricing options: a high price, a low price, and a mid-range price. This opens up a discussion that will likely lead to a price agreement somewhere in the middle. By starting with a higher price, you anchor the client’s perception of value, making the mid-range price seem more reasonable. The Three Price Points 1. High price: This is the all-inclusive, top-of-the-line option where you offer the best service possible. For example, in video production, this might involve multiple days of filming and editing, resulting in a high-quality video. 2. Mid-range price: This option involves reducing the scope of production but still delivering a great result. In video production, this could mean cutting back on locations and filming days. 3. Low price: This is the most affordable option, where you offer a basic service. In video production, this might include a simple talking-head interview with a few graphics. Why Price Anchoring Works Price anchoring works because it helps clients understand the value of your services. By offering three tiers of pricing, you give them the opportunity to choose the level of service that best suits their needs and budget. This also encourages clients to move away from the cheapest option and opt for the mid-range or higher-end options. How to Use Price Anchoring Effectively 1. Understand your value: Know your worth and take into account all aspects of your creative process when setting your price range. 2. Present your options with confidence: Be prepared with visual examples of the different levels of service and the associated costs. 3. Be open to negotiation: Engage in a dialogue with the client to understand their priorities and find a pricing solution that meets their needs.