How Much to Charge for Logo Design in 2023?
Last Updated: March 10, 2023
How much to charge for logo design is a question graphic designers often ask themselves. The answer, of course, depends on a variety of factors from experience to the time necessary for finishing a design.
In this blog post, we’ll take a look at what goes into setting the price of logo designing projects, discuss the stages of designing, and look at the value-based vs hour-based pricing approach. By the end, you’ll be able to set the right price for your logo designing services!
What Is Logo Design and Why Is It Important?
Before we get into logo pricing, let’s understand why logo designing is important. A logo is a graphical representation of a company’s name, trademark, or other identifying information that’s often used on company letterhead, business cards, and product packaging. A well-designed logo can help create an instant visual association with a company or brand, building customer recognition. For this reason, it’s important to make sure the logo is well-designed and reflects the positive attributes of the business.
How Much to Charge for Logo Design?
Graphic designers often find it difficult to determine the right price for their services—you don’t want to scare away your clients, but you also don’t want to undervalue yourself.
Although most graphic designers charge an average of $25 per hour, many of them don’t work on an hourly-basis but rather charge a fixed price for their designs, which varies between $300 and $1500 based on their experience. Similarly, a graphic design agency charges $2000 on average. Businesses serious about their brand image that have ample funds usually go for this arrangement.
If you’re a freelancer, here are a few factors you should keep in mind to set up your logo design pricing.
Of course, one of the most important factors that determine the price is your expertise. Professional graphic designers with a strong portfolio and years of experience are able to charge more than someone who’s just starting out because they have more skills and knowledge. On the other hand, if you’re new to the field, you may want to consider charging less to build up your portfolio and attract clients.
Before starting their work, most professional graphic designers and graphic designing agencies create a contract specifying the number of revisions and concepts, the placement of the logo, etc.
If a project requires a lot of extra work, you’ll need to include that in your pricing for logo design. This includes the number of revisions requested by the client or additional services such as copywriting or brand identity design. Since you’ll be spending more time on this type of project, it’s advised to charge your clients a higher price for your efforts.
On the other hand, if the project requires creating a simple design without any revisions, you can charge a lower price.
Type of Client
The type of client you work with also affects your pricing. Large corporations and companies usually have a larger budget they’re willing to spend on a quality logo design. Moreover, if you charge them a lower price of logo design, they may be skeptical about your work.
On the other hand, if you’re approached by an individual or a non-profit organization, you might want to reduce your prices, as they don’t have much funds. Of course, if you feel they’re underpaying you, you can recommend some other graphic designer to them! This will also increase not only your reputation in the market, but also your network in the graphic designing industry.
Deadline of the Project
Another thing to keep in mind is the deadline of the project—if a client needs a logo designed urgently, you may be able to charge a premium fee or a rush fee for your services. Clients who want the logo urgently will have no problem paying you more than the average price of logo design.
However, you shouldn’t take on more projects than you can handle simply because of money. If you’re not able to meet their deadline, it’s better to pass on the project than to deliver subpar work. Do this in a professional way, and you can again recommend another graphic designer instead.
|DID YOU KNOW: Graphic design as a career option is great, as stats suggest the graphic designing industry is worth $45.8 billion globally!|
|A logo is very important in establishing a brand’s identity—a well-designed logo can help create an instant visual association with a brand and build customer recognition.|
|The typical price of logo design ranges between $300 and $1500, although graphic design agencies tend to charge more.|
|To decide the price for the logo, consider your experience and the project deadline.|
|The price also depends on the type of client—if it’s a big corporation, you should charge more, but if it’s a small business, you can charge a bit less.|
|The price also varies depending on the project specifications like the number of revisions, or additional services like copywriting.|
Stages of the Production Process
Even after considering the above factors, it can be difficult to determine the exact pricing. Here are a few steps involved in designing a logo you should consider when charging your clients.
Research is the most overlooked part of designing a logo, and it’s often not considered in the pricing of logo design. However, this part takes the most time, as you have to research your client’s business and competitors to deliver a quality logo.
Brainstorming is another part of designing a logo that’s overlooked, especially by clients. In this stage, you’re basically looking for design inspiration that matches what your clients require and what suits their business. It’s a crucial stage you should definitely charge your clients for.
This stage involves sketching, mind mapping, and creating rough drafts of the logo matching your client’s needs. You may take the help of logo maker apps to create concepts and rough drafts.
Logo design pricing guidelines also consider the presentation while calculating the price. Many graphic designers use free premade Photoshop mockups for delivering their presentations by printing the design, creating placements for the logo, or creating design books. The presentation style ultimately depends on the client—if your client is a large corporation, you’ll have to deliver a high-quality presentation.
Once the client has seen the design, they may request some revisions in the form of corrections or slight variations of the logo, but they can’t ask you to change the original design. Make sure you inform your client about the number of revisions you can make prior to starting the project so you’re on the same page.
The last thing to consider in the price breakdown of logo design are the production costs. If you paid to make the logo high resolution or to obtain any stock image, you should include that in your pricing.
Apart from considering all the production stages while calculating your price, remember there will always be some clients willing to undercut your price tag, but the right clients will have no problem providing you with the prices you deserve!
|DID YOU KNOW: Freelance graphic designers make up around 90% of the industry participation!|
Value-Based vs Hour-Based Pricing
As we’ve already mentioned, you can either choose to charge your clients per hour or by the project.
If you choose the hourly rate, it’s important to have a clear understanding of your costs and how long the project is likely to take. You should also consider whether you want to offer a discount for prepayment or longer projects. Make sure you also charge the time spent on research and brainstorming, as it’s often overlooked.
With a value-based charge for logo design, you’ll need to decide how much the project is worth to the client, taking into account the time and effort involved, as well as the client’s budget and the value they’ll get from the final logo.
For example, if an MNC approaches you to get a logo design done, you should charge them more considering how important the logo will be for their brand image. You should also research how much profits they’re earning and charge them accordingly. Suppose a firm is making $30,000 as profit per month—charging 10% of it, which is $3000, wouldn’t weigh heavily on such a business.
However, if a small business approaches you, you can’t charge them as much, and you should consider quoting a low price even if you’re an experienced freelance designer, as they won’t have the funds to pay more.
A logo is crucial for building brand awareness for any brand. There are a lot of factors to consider when pricing logo design services, but the most important thing is to have a clear understanding of your costs and the value you’re providing to the client. Remember not to undervalue yourself, as you’ll be playing an important role in building your client’s brand. With that in mind, you can start negotiating a price that works for both of you!
A few factors to consider while deciding your price are experience, project specifications and deadline, and the type of client you have.
As a beginner, it can be difficult to determine how much to charge for logo design. However, you can start by considering the same factors an experienced freelance designer would take into account, including the specifications of the project, the type of client, and the deadline of the project.