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Results tagged “benchmark survey” from PPA Today

At PPA, we know that photographers are always looking for business guides to help them stay
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profitable. One tool provided by PPA that we often hear is useful for members is the Benchmark Survey! We've previously heard from June's winner Heather Sams, CPP and July's winner A. Michael Fletcher about why they find PPA's business guide, the Benchmark Survey, to be so helpful. But don't take our word for it; instead, take a look at what David. H. Smith of Phoenix, AZ has to say about it (he's the August winner!).

David has nearly three decades of experience in photography. At his studio, he specializes in high school seniors, engaged couples, families and fashion models. While he prides himself on creating unique imagery and experiences for his clients, the Benchmark Survey has also been essential to his success. 

"Learning, participating and using the Benchmark Survey has been extremely valuable in making sure I am able to keep doing what I love to do. Comparing the performance of our studio to the recommendations from the Benchmark has helped us put certain goals in place. It has also helped us position our business, so that it is financially profitable and remains as such for years to come; it was like having my own photography business guide," David said of his experience.
 
PPA's Benchmark Survey is the industry's only complete financial overview depicting what profitable studios look like (unlike other industry averages). As such, it has been helping photography businesses form a better idea of where they stand and how they can improve their bottom line. Participating studio-owners get a free side-by-side comparison of the Benchmark to their own financial data. Not only is this an in-depth source of information to help them grow their business, it is a $750 value (or more!), as PPA develops a customized comparison that is the first step in determining what to change for greater success! As a bonus, participants are automatically entered each month in some giveaway drawings for great prizes. For submitting his information in August, David won a $500 B&H gift card!

Ready to better your business and get a chance at winning September's prizes? There is a $300 Tether Tools gift card and a Spyder Pro 4 to be won! Go to PPA.com/Benchmark to participate!
 
But wait, there's more: all participants are also entered into a drawing for an all-expense paid trip for two photographers to Imaging USA 2015 in Nashville. That includes airfare for two, hotel for 4 nights and two all-access pass Imaging USA registrations. Submit your info today! 

Think about it: how useful has filling out a survey ever been to you? Well, for Heather Sams, CPP, from Fountain, CO, not only has it helped her business be more profitable, but she also won an iPad mini. How?

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PPA's Benchmark Survey, of course. The industry's only complete financial snapshot, it's been helping businesses get a better idea of where they stand and how they can improve their bottom line. Survey participants get a free side-by-side comparison of the results to their financial data. With that kind of valuable info, the monthly giveaways for survey participants only seem like an added bonus!

Sams has been in the photography industry for over a decade, and previously used the Benchmark to put together a business plan when starting her portrait studio seven years ago. "What's great about Benchmark is that it puts all the industry information in one location that businesses can easily use," she said.

Since building up her business, Sams knew the importance of the survey to her success. "I was excited just to have been able to participate in the Benchmark Survey this year! It's such an extensive tool that the industry has access to that it just made sense for me to take the time to do it."

She never considered the fact that she could win the monthly giveaway. "When I found out that I won, I thought it was the coolest thing ever. It was super easy to participate, but winning an iPad really takes the cake. I was on cloud nine!"

And as a true dedicated professional, Sams already has plans to incorporate the iPad mini into her business. "I photograph executives, and they like seeing portraits and galleries immediately. Having a device that can make this happen will be great for my business," she said. "I'm grateful that I had the chance to participate in the survey."

Want to get in on all the Benchmark awesomeness? Check out PPA.com/benchmark and enter for your chance to win this month's prize. And don't fret! There will be more through the end of the year!

PPA is dedicated to helping professional photographers be more. From techniques for photographers to better business practices, PPA and PPA's staff are here to help you take your photography business to that next level. 

Having great images is important, but as any photographer would agree, if you aren't managing your business properly, your path to success will most likely become an arduous one. That's why PPA created the Benchmark Survey. 

Periodically, we survey hundreds of photography studios to compile a comprehensive photography business guide that can help you increase your profitability and help you avoid some all-too-common (but also some not-so-evident) business pitfalls. These are the Benchmark Resources. At first that jargon-sounding name might sound a tad corporate, but those who use the Benchmark will tell you: this tool will make a difference in your business! And PPA members can access these Benchmark Resources at no extra cost. This comes with your membership!

To get started and see how the Benchmark can help make a significant difference for your business, let's look at it from square one. PPA recently added a new tool to the Benchmark Resources to help professional photographers plan for a profitable business by beginning with the end in mind. What do we mean by beginning with end? Just what it sounds like: the tool will start by asking you what you want your annual net income to be. Then from there, it will help you work backwards to help you realize how your cost of sales and overhead percentages affect your profitability (all as determined by the Benchmark Survey). You'll see a very clear picture of how many sessions, at what sales average, you'll need to reach the income goal you've set. 
Written by guest blogger, Kameron Bayne of Fotoseeds.

Photographers are often asking themselves (and other photographers) "what should I charge?"  It's a foundational question that raises worry and doubt over the survival of our profession.  There's an ocean of information out there with endless waves of differing opinions.  With so much information, it's easy to just go with the current tide until we're lost far at sea. I think part of the confusion comes because asking "what should I charge?" is really two questions in one. Let's take a closer look.  The underlying issues are 1). how do you price your work to be sustainable and 2). what are your potential clients willing to pay for it? One question is about your business' cost/profit ratios and the other is about the value you offer to others. If you try answer the second without answering first, you'll most likely base it on these common pricing myths.


  • What Other Area Photographers Charge. Don't fall into the trap of basing your prices on what the other guy is charging. Why? Because you have no idea what his actual costs are, which means you don't know if he's making money or losing it.  It's also quite possible he doesn't know either, especially if his prices are based on some other photographer too.
  • The Level of Your Work. If you base your prices on the level of your work, it gets sticky real quick.  Who decides when you're good enough? Your clients? Other photographers? Most likely it's based on how you perceive your work-or worst, how you perceive what other people must think about your work. That's a self-inflicted headache.  If you're always growing as an image marker, the truth is, you probably never feel as though you've "arrived" because there's always room to grow.
  • What You Would Pay. Another mistake is to forget you are not always your client, and start asking yourself what would you pay for your own work?  This can be an especially subtle and damaging trap because it preys on the natural bent of dissatisfaction in one's own work. I call an epidemic of self-abuse within the creative and artistic community. The roots of which are intertwined within our hidden thought patterns and how we feel about ourselves as human beings (see the upcoming post: Identifying the Patterns of Artistic Self-Abuse).

Pricing for Sustainability

  • The first step includes an in depth and brutally honest look at what it costs you to produce a final product for your client.  The primary factor of a healthy business is that it makes more money than it spends.
  • Under PPA benchmark research, the average photographer's salary is 20% of his or her gross income.  In very simplistic terms, this means if you charge the client $100 an hour, you only make $20.
  • That other $80 enables your business to sustainably function by covering the raising costs of products, albums, computer upgrades, equipment, maintenance, education, healthcare, etc. If you don't have these costs built in, guess where they come from? That's right, they come out of your 20% slice.
  • Once you honestly and thoroughly crunch the numbers, you'll know without a doubt where you need to set your prices.  You'll have a bare minimum you'll need to charge for your business to survive without stealing from other areas of your life.
  • It can be an overwhelming process to go down this road, and so I understand why most people never start.  But it's like someone saying they may be worried about being seriously sick so they don't want to go into the doctor.  The truth might confirm your worries, but it can also offer you an opportunity for a real and exciting solution.  You can get the help you need.
  • Here are some tools to help you get started: the PPA Benchmark Survey, Expense and Pricing Templates from PPA, and Stacey Reeves' Pricing Guide.
  • We are available on an individual basis if you need help applying this information to your specific circumstances. Contact us here for more information.
With that said, what your potential clients are willing to pay is a completely separate issue that deserves a post all to itself.  More to come later...
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