As an interior designer, the question, "how much?" should never make you nervous. The key is to be confident and secure in how you price your interior design packages and services, that way clients are sure to feel the same. There are different pricing strategies for interior designers, which means you are to decide what works for you. The important thing is to make sure you are valuing yourself and your services and covering your expenses, all whilst remaining realistic and appealing to clients. The good news? It is easier than you think! Ask yourself these three questions to get started in setting the right rate for your interior design services.
What are you offering?
Before you put a price tag on it, you need to be clear about what you're offering. Are you providing clients with everything from moodboards to project management? Or are you offering initial concepts only? Maybe you have different packages that cover different extents of the services?
Determining the scope of your services and clearly defining the contents of each package will provide clarity for both you and your clients. And it will allow you to accurately break down the costs associated with each product to ensure your pricing is accurate and fair. Clear guidelines as to what is included in the price of a project will also prevent clients from demanding additional tasks that are not within the agreement. Avoid giving a quote with a vague package description, you might end up spending more than you earn.
What do your competitors charge?
Well, this is awkward. Your client just pointed out that your competitor offers a much more comprehensive service at a much lower price point. Whilst you should never undersell yourself for the sake of matching others, you need to be realistic with yourself about the value of your services and what clients are willing to pay. It never hurts to try to check the prices of your competitors within your area. Although your competitors likely won't share their exact rates online, it is worth doing some research into the general pricing consensus in your area—clients always want a bargain.
Tip: Houzz is an excellent site to check for price references. If you don't want to compromise on your pricing in order to match competitors, then simply prepare yourself for awkward situations by having a good justification for your pricing and confidence in your ability.
How much do you need to earn?
Remember, you are an interior designer and a business owner. You need to charge enough to cover your business expenses and still make a healthy profit. The profit margin need not be exorbitant, but it should definitely reflect the value of your work. If you provide excellent services with exquisite results, you deserve to charge like a luxury good.
As a starting point, work out your desired yearly income. Divide the amount by months, then days of work. It will give you a rough estimate of what to charge for your personal labour which you can then take into account on top of the cost of physical parts, travel etc.
