Need help pricing social media content creation but don’t know where to start? We lay out 3 pricing models to use between different clients — as well as recommendations on optimizing your pricing to fast-track your real estate media agency’s growth.
Out With the Old, In With the New
The biggest land grab of the century is happening in front of all of our eyes. On social media.
From reels to TikToks, more and more real estate agents are creating content to capitalize on people’s attention.
But your clients are busy — social media content creation may be a priority, but it’s definitely not at the top of their list.
That means they’re going to turn to you for the answers. Here’s how some top real estate marketing agencies structure their pricing plans to take advantage of this opportunity.
Pricing is Paramount
Social media content is not your average listing shooting. So their pricing plans are also going to be very different.
For example, rather than charging a client based on square footage of a listing, you’re going to have to figure out the cost of production per 1-minute video.
Social-media-specific pricing plans are essential to making sure you get an optimal return on your time and effort.
Here's the breakdown:
The Hourly Model
One pricing approach is the hourly model, where you break down the content creation process into various stages: pre-production/strategy, production/filming, and post/editing. Aim to keep the total hours required under 10 to meet the client's $1,000/month budget, ensuring you maintain your agency's target minimum rate (e.g., $100/hr). Any additional hours beyond the agreed-upon allocation should be billed at the same hourly rate.
Fair compensation for your time and effort.
Flexible approach as clients pay for the hours utilized.
Uncertainty about the exact deliverables and their perceived value.
Risk of exceeding the budget if hours are not adequately managed.
The Flat Rate for Deliverables Model
Alternatively, you can adopt the flat rate for deliverables model, which involves setting specific prices for different types of content based on complexity. For instance, simpler content like iPhone airdrop videos might be priced lower, while more elaborate content requiring extensive editing, captions, and revisions might have a higher price point. This approach allows you to manage your time more efficiently and aligns payment with the perceived value of the deliverables.
Payment is directly linked to the value and results delivered.
Efficient use of time for clients with clear content requirements.
Possibility of spending more hours on complex projects, affecting profitability.
Potential need to fine-tune pricing for different types of deliverables.
The Hybrid Pricing Model - Your Best Option
Another viable option is a hybrid pricing model, which combines elements of both the hourly and flat-rate approaches. Here, you can allocate a specific number of hours for production/filming and offer a set number of deliverables. This approach provides a clear understanding for the client of what they will receive while ensuring that the agency's compensation aligns with the effort invested.
Clients understand what they will receive for the agreed-upon price.
Payment is linked to both time and results, promoting transparency.
Possibility of dedicating more hours to post-production if not managed efficiently.
Requires careful communication and agreement on the scope of deliverables.
The Right Pricing Model Makes All The Difference
Choosing the right pricing model for your real estate media agency is crucial in meeting your clients' needs while sustaining a profitable business. By understanding your client's budget, establishing benchmarks, and exploring different pricing approaches such as the hourly, flat rate for deliverables, or hybrid models, you can tailor a solution that works for both your agency and your real estate agent customers.
If you have questions about closing clients on social media projects, ACRE Partner has several channels of support. Join us and get an even more comprehensive breakdown of exactly how to achieve this — from closing social media retainer deals to making up to $500/hour with social media content.