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The product and the cost: How and Why by Paul Salmon
In a technological paradise some nano-tech contraption would utilize the fundamental light-weight particles dark matter and the rest of the universe is made of to synthesize macro-molecular structures that would range from a Cheese Royale to a Dodge Viper at the press of a button, for free.
I sometimes wake up and dream with my eyes open and this is just the kind of vision that re-affirms my belief that technology might one day deliver the ultimate free meal.
Until it does however we all have to work for a living and that means we have to get paid. I suppose the next dream in line is to have the kind of job where a Cheese Royale and a Dodge Viper can be bought on the same whim as pressing my imaginary nano-tech activation button. Which, if you’re working in investment banking, might just give you that kind of freedom.
The rest of us can hope for two things: A. A job that we enjoy doing and B. A fair reward for doing it.
Now the chances are that if A is really true B does not become that important. A truly enjoyable job offers its own rewards. It fulfils a sense of creativity, destiny, progression, personal development and satisfaction. The paycheque that goes with it seems incidental almost, until, I guess the mortgage statement comes in, demands for utility bills, hunger pangs (even hi-tech designers need to eat sometimes), you get the picture…
Which also brings us, naturally, if not entirely seamlessly to the topic of this piece. How much do you charge for anything? How do you decide? In an ideal world, where nano-tech had not even been dreamt of yet we, as website designers and newspaper and magazine content providers, would do maybe a couple of hours work a month (it gets boring doing nothing) and charge probably not less than 30,000 GBP per hour (we are really very, very good).
In that same ideal world you, as our client, would come in wanting a newspaper, magazine or full e-Commerce website, we’d get it right first time, deliver it the next day and thank you for the privilege of contacting us in the first place and waive all costs.
There truly are two very different sides to this story but they have the same common link: Cost.
Your concern to pay as little as possible for as much as possible is countered by our need to charge you as much as possible for doing next to nothing.
Take at face value this is a lose-lose situation. No matter how much we charge you we will still feel it’s not enough (even if we keep the Dodge Viper for longer than a month), and no matter how little you pay you will still think it’s too much.
Clearly it doesn’t happen quite this way (otherwise we’d all have gone out of business, or insane or both; long ago).
The reason it doesn’t is because what makes our business work is not the implicit contract we enter into with you the moment we accept your money, but the fact that we buy into your business vision.
The most successful business is collaborative. Certainly money changes hands. It cements the business relationship along terms which from a dispassionate point of view make sense. But what really drives things forward and makes it all happen is the fact that the moment you want to do something creative in the business world it is underpinned by a vision that fires up all those who agree to work for you to achieve it.
This is exactly why market forces and supply and demand, though exerting an inflationary pressure on prices of certain services all the time, do not -at the same time- succeed in creating an extortionate market where the price of services gets so high as to become prohibitive.
In a collaborative market place professional understand and respect each other. They know that skills, experience, artistic integrity, knowledge and a drive for success should be encouraged, nurtured and rewarded, and as a result they understand the pricing structure of services.
In a collaborative market place service providers understand that the job is what makes it all worthwhile. The price tag that goes with it is part of the integrity of the entire vision and, as such, has to be as competitive as possible.
Sourcing added-value and competitive prices is exactly the way professionals pay homage to each other. There is a certain degree of confidence in the knowledge that what is being worked on has value beyond that of money and the price tag attached to it is one of convenience rather than the reality of it. The price of a service or product within that matrix is reflective of this philosophy. This is partly the reason why there is a static or even deflationary pressure on technology services, software, computers and even engineering.
Now, we may get lucky and the free lunch courtesy of the universe may arrive, but until it does understanding each other’s dreams, respecting each other’s ambitions and collaborating as part of the process of achieving them is the closest we’ll get to building an earthly paradise.
About the Author
Paul Salmon is an online publicist and SEO engineer. He works for webdirectstudio.com a business solution company which works with businesses across the globe.
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