[consulting] Retainer Plans

[Domenic Santangelo]

"I think people are still getting used to the idea that web development is
an ongoing project -- not something you pay for upfront and you're done."

In my experience, it's more along the lines of:
"People are still getting used to the idea that web development is an
ongoing cost and often don't see the associated value."

This is something you should be thinking about when you first engage a
client -- show them how the web is an /ongoing strategy/, not just an
electronic business card. Clients don't blink an eye when they pay month
after month for IRL advertising; that's because they understand (or at
least, they've been sold to understand) that a small monthly investment
results in larger monthly gains.

-D


On Wed, Sep 17, 2008 at 10:15 AM, Sam Cohen <sam at samcohen.com> wrote:

>
>
> On Wed, Sep 17, 2008 at 9:47 AM, Fred Jones <fredthejonester at gmail.com>wrote:
>
>> > Can you share how you structured your retainer program?
>>
>> >From July of this year, this precise discussion:
>> http://drupal.org/node/286539
>>
>> > My biggest stuggle now is finding time for all my smaller clients who
>> want
>> > changes to their sites -- I'm finding it really hard to fit them in.
>>  I'm at
>> > the point where I have far more work than I can do and let's face it,
>> the
>> > big clients need to come first.
>>
>> I have the same problem. I have not yet come up with a good solution.
>> Prepaid hours doesn't really help, though, now does it? You still need
>> to give them the hours. In fact, the advantage of prepaid hours
>> (retainer) seems to be your 'insurance' that you have work, and the
>> client gets a lower rate.
>>
>> But if you have no lack of work, I see it as a bit of a mistake--you
>> are reducing your rate without too much reason.
>>
>> Unless I am misunderstanding something.
>
>
>
> Well I definitely wasn't thinking of reducing my rate for a retainer -- if
> anything raising my rate for those not on a retainer!
>
> I think one of the main benefit would be not feeling bad about not having
> the time to service smaller clients who don't go on a retainer.   It's sort
> of gives me a way out -- I say to them, look here's the offer -- say $225 a
> month for three hours guaranteed work.  If they don't take the offer they
> either pay a rush fee or may have to wait a while to get their job done?
>
> Another benefit might be having a number of these agreements with clients
> would make it far less riskier to take on an employee or contractor, in fact
> you can hand them all the retainer work and focus on new business.
>
> But to me, for it to work, you really have to have a use it or lose it
> policy.  No rollover hours.
>
> Otherwise, how can plan your time.  I'm negotiating this very thing with by
> biggest client tomorrow -- and what I think I will propose is they get x
> hours a month.  If they don't have work for me I will pro-actively work on
> their site (SEO, layout issues, recommend improvements, upgrades)
>
> Of course, this whole strategy might work for clients already dependent
> upon me and who already see the value in what they recieve.  It might not be
> easy convincing clients to pay a large monthly fee.
>
> I think people are still getting used to the idea that web development is
> an ongoing project -- not something you pay for upfront and you're done.
>
> Sam
>
>
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