What to do when a client undervalues your work…
This has been a difficult week. I hit a snag in my Chinese lessons, my eczema is trying to return, and two clients undervalued my work, trying to convince me that I needed to (drastically) lower my fees to meet their budget.
While I love being a freelancer, sometimes I miss working a steady 9 to 5 because of the rigidity of rules and consistent pay. Though I’ve been freelancing for several years, it’s taken quite a while for me to work out the kinks of setting standards and boundaries for myself.
I was one of those newbie writers who would take projects that paid pennies just to gain experience and improve my craft. Part of that improvement included starting GNL Magazine, which went through many changes as I learned more about operating an online publication and using advertisement and affiliate marketing to monetize my passion project. Naturally, as my skills and experience improved, so, too, did my rates for both my freelancing and advertising on GNL Magazine. Most of my clients understand and respect it. But then, there are those who like to belittle my skills and experience.
Image: Windows via Unsplash
5 Tips to Navigate Clients Who Undervalue Your Work and Skills
1. Don’t Take it Personally
Everyone loves a good deal. People and companies will try to negotiate prices and fees to meet their budgets. When you put your blood, sweat, and tears into honing your craft, being told your rates are too high it can sting. Try not to take it personally.
2. Offer Flexible Packages
If you can, provide customizable packages that meet different budgets. Offer tiered services or options for add-ons, allowing clients to tailor solutions to their needs and financial constraints. You may still get leads who try to convince you to negotiate for lower rates, but they will not be the majority.
3. Highlight ROI
Let them know how your services generate a return on investment. Use case studies, testimonials, and data to illustrate the tangible benefits they'll reap by investing in your expertise.
Image: Faizur Rehman
4. Negotiate Scope, Not Price
Instead of lowering your rates, negotiate on project scope or deliverables. Find ways to adjust timelines, reduce project complexity, or offer alternative solutions while maintaining your value proposition. Think about what the client wants you to do and the budget they say they have as an alternative to your fees. Offer fewer services to meet their budget. I’ve begun to do this and it has helped in several situations.
5. Stand Firm with Confidence
Whatever you do, hold firm on your rates while expressing understanding and willingness to work within reasonable parameters. Communicate your value confidently and respectfully. If they continue to try to lowball you, respond something like,
“While I certainly understand having budgetary constraints. Should your budget open up in the future, I’d love to work with you.”
And then keep it moving.
As a freelancer and entrepreneur just starting out, it’s understandable to want to take on every project, even if that means lowering your rates. But the risk of lowering your rates comes with the risk of perceived lower quality work, ie. cheap work. And because we are our own worst critics, lowering your rates may cause you to begin to think negatively about your own work. When I would lower my rates, I began to think my work just wasn’t good enough and that made it even more difficult for me to increase my rates as I continued to improve my skills and craft.
There will always be someone out there who undervalues your work and will try to convince you to lower your rates. But like my grandmom used to tell me, “All money ain’t good money.” Don’t waiver. You got this.