Echoing the others...wonderful article and great advice for newbies and veterans alike. I was once solicited by a major cable company to voice an employee training film. I wanted a certain computer item that cost $500. So I off-handedly quoted a fee of $500. "Does the fee have to be that high?" they asked. I said, "That IS the fee." They said, "OK." So no matter how you set your fee, stick with it. Give yourself VALUE. Chances are they will respect your decision. Remember 19th Century retailer John Wanamaker who said, "I have no quarrel with those who sell for less, for they know best what their product is worth."

Unfortunately, there is a perception that was started by those who are coaches or teachers/voice actors, that voice over is a skill set that is specific but transferable and lucrative. The result is that more people are out there looking for their slice of the pie and dream. The end result is a supply influx that drives down demand from buyers. Yes there may be sophisticated shoppers out there who go on high value but there are more shoppers who are thrifty or appreciate bargain deals to say the least. So the probability factor of finding available talent for recording is now more than ever in their favor. If the majority of working voice providers once again become a collective as in earlier times, the pendulum will then swing back to reasonable earnings for all.

Thanks for all the kind words and compliments. My head is three sizes bigger now!

I agree with David: there are many aspects to this issue and they can't all be dealt with in one article. As you know, there's much more to explore on my blog and on VoiceOverXtra. I believe I have written at least 20 articles about voice-overs, freelancing and money.

Have I been "moaning" about losing jobs to lowballers? Was writing the above story a waste of time and should I be focusing on drumming up new business instead?

Well, writing is sort of a hobby of mine. It's physically impossible for me to talk for hours on end, and writing my blog is a nice break from doing voice-overs. Secondly, it's also about giving back.

When I started in this business, countless people gave me valuable advice, and they are in part responsible for where I am today. Reader feedback tells me that my articles are appreciated and considered to be helpful. Educated freelancers make better decisions that can benefit our group as a whole.

Lastly, I'm all for maximizing my income. In order to do that, people have to know where to find me before they can book me. My blog and these articles on VoiceOverXtra have driven traffic to my website in a way I could never have imagined.

Thanks to these articles, colleagues pass my name on to their clients who are looking for an international voice. Producers and agents have stumbled upon my stories and ended up hiring me for a VO project. I have turned some of my blog series into eBooks. Not only do I get passive income from that, I was also able to invest part of the profits giving micro loans to deserving entrepreneurs in Third World countries.

Every week I am in touch with colleagues from all over the world who have read my blog. They enrich my life in ways that go far beyond making money.

Marketing is a must, and that's precisely one of the reasons why I keep on using my pen to attract business. As long as there's still music in me, I will keep on singing!

Paul,
Fantastic article! It should be required reading for every VO artist out there. Thanks so much for sharing your insightful perspective.

If I may be devil's advocate for a moment, if someone is willing to pay $150 for 5 minutes work, and you have not made $150 that week, that looks like a good rate. If it's a choice between taking whatever is offered, or not making anything, what is their option? Being a hungry and homeless VO who stood on principle?

Hi Paul,

What a great article! And SUCH an important topic for anyone doing voice-overs, whether you’re full-time or part-time. And I really appreciate your balanced assessment of the whole situation. And I love Terry Daniel’s comment too. Very true!

I appreciate that we’re all in this biz for different reasons. And there are many voice actors who feel that by lowering their rates they’ll somehow make more money.

Here’s my take on this subject:

The LOWER your fees are, the less clients will value you, the harder they’ll be to work with, and the more difficult they’ll be to obtain payment from.

The HIGHER your fees are, the more clients will value you, the easier they’ll be to work with, and the more quickly and efficiently they’ll pay you.

Or look at it this way – who would you prefer to work with?

Ten different clients, who pay you $50 each for projects that are poorly planned, entail difficult and sporadic communication, and who take 90 days to pay you.

One client, who pays you $500 for a well-planned project, whose communication is efficient and professional, and who pays you in advance.

And I wholeheartedly agree with you that if someone’s starting out in the biz, using the SAG-AFTRA union rates as a starting point when setting your (non-union) fees is a great way to go.

Another great article Paul. While I don't disagree with what you say, the issue is a lot more complicated.

The Pay 2 Play sites have opened things up to everyone and they have driven rates much lower. But they've also allowed a lot of folks to get into the business who would never have otherwise landed a single client.

Just a few days ago I spoke with a friend who booked a job on one of the big 2. It paid her $650. The allotted budget range was $750-1000. So yes, she underbid. She drove the rate down. But she still made a tidy sum for her 3 hours work (including editing) and she's convinced that if she'd bid $800, the job would have been awarded to someone else.

This is a competitive business and we must each decide for ourselves what we're prepared to do to put food on the table. The biggest myth of all is that we're not in competition with each other. Fact is that we have to do what it takes to win a contract. When we moan about losing jobs to folks who undercut our bids, all we're doing is wasting time we could be using to search out more work!

Amen, Paul. In my experience the producers who try to beat down your price end up stiffing you on the bill anyway so why bother. The talent that keeps taking those jobs will have to give up on the business eventually due to the fact they cannot make a living.

Yet again hitting nails on the head, Paul. Having recently become a full time freelancer voice artist I doubly appreciate your perspective. No 10 is something I haven't heard before on any of the forums, and it's a good positive suggestion for the hobbyist.

Without any doubt, this is the most brilliant and helpful article that was published about fees in the industry in a long time. Thanks a lot, Paul.

Thank you so much, Randye. What many lowballing colleagues don't realize is that even the Dollar Store needs to turn a profit. Happy Holidays to you too!

Another terrific post, Paul. Great points, and fairly presenting different views as well. Each businessperson must decide if they are "The Dollar Store" or not. And we value our clients, who in are happy to have the quality and assurance that comes with hiring us at a fair rate.
Happy holidays!