In the world of freelancing, clients often walk a tightrope between budget constraints and the desire for top-notch services.
It's a common scenario.
You present your proposal, and they respond with…
"Well, another freelancer can do it for less."
How do you respond?
The problem:
Someone can always do it for less.
The benefit of solving it:
Land projects with a profitable margin even when the client’s budget is a concern.
Why what you’ve tried has failed:
You negotiate your rate to avoid losing out on the opportunity to someone cheaper.
Here’s how to solve it:
When a client mentions another freelancer offering lower rates, don’t panic.
Ask them, in a very non-judgmental way, if the priority is to spend the least amount of money, or to get the job done effectively.
This isn’t a sarcastic negotiating tactic, you genuinely want to know this answer.
Because either way they answer, you can still win the job, but their answer will determine your approach…
A lot of freelancers assume that clients always want to spend the least amount of money, but that’s not true.
The majority of clients want to make the most return on the investment.
Part of that is determined by money in (spend), but the lion’s share of that is determined by the job being done effectively.
Put yourself in their shoes →
If you were making a large purchase for something important to you, would you immediately go straight to the cheapest option?
Or would you go to the most expensive, see what’s available, and then work your way down from there if you have to?
Clients often want to minimize costs while still receiving efficient and high-quality work, you just need to know if there is a genuine budget constraint guiding their desire for cost minimization or if they’re mentioning cost just to see what they can negotiate.
I often tell clients in this situation, “Sure, there’s a version of this that’s doable for less, I just don’t want to stop short of the most effective version of this if we don’t have to.”
If a client is solely concerned with cost, take the opportunity to educate them about the potential trade-offs of choosing the lowest-priced option.
Explain how it might affect project quality, timelines, or long-term results.
By keeping the conversation on ROI, you can make sure you’re advocating for the client’s success even at this stage.
You should also make it clear that if the priority were to get the job done most effectively, then there’s a lot more that you could do to hit it out of the park.
Explain how your approach can provide long-term benefits and a better return on investment for them.
It's not always about being the cheapest option.
For freelance clients, sometimes it’s simply an instinct to bargain hunt.
Rather than play the price game, help them define their priorities.
They’re looking for a freelancer for a reason.
There’s a job that needs to be done effectively in order for their business to grow.
Your conversation should be about that, solving problems in a way that aligns with your client's goals.
As a freelancer, your ability to navigate these conversations and find alternate solutions can set you apart as a strategic partner and keep your clients coming back.
Best,
Jamie
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