UX/UI Freelancer Pricing Strategies Guide

Written by Daisie Team

Published on 18 July 2023 6 min read

Deciding how much to charge for your services as a freelance UX/UI designer can be a bit of a head-scratcher. You want to maintain a competitive edge but also ensure that you're adequately compensated for your time and expertise. In this guide, we'll explore effective pricing strategies for freelance UX/UI designers, taking you through a methodical process of assessing your skills, researching market rates, establishing a pricing structure, communicating your value, and adjusting your pricing over time.

Evaluate Your Skills

Before you can set your rates, you need to have a clear understanding of your skills and how they stack up against others in the field. This involves identifying your skills, rating your proficiency, and comparing yourself with other UX/UI designers.

Identify Skills

As a UX/UI designer, you bring a unique mix of skills to the table. You might excel in creating intuitive user interfaces, conducting user research, or designing interactive prototypes. Take the time to list all your skills—both technical and soft skills. This not only helps you assess your strengths but also provides a basis for your pricing strategies as a freelance UX/UI designer.

Rate Your Proficiency

Next, rate your proficiency in each skill. Are you a master at user interface design but still learning the ropes in user research? Rate your skills on a scale of 1 to 10, with 1 being a beginner and 10 being an expert. Remember, honesty is key here: overestimating your skills can lead to over-promising and under-delivering, while underestimating can undervalue your services.

Compare With Others

Finally, see how you stack up against other freelance UX/UI designers. This can be a little tricky, as people don't usually share their skill ratings openly. But you can get a rough idea by looking at job postings, LinkedIn profiles, or online communities like Behance or Dribbble. This comparison is not to discourage you if you're just starting out. Instead, it's to give you a reality check and help you position yourself effectively in the market.

Research Market Rates

Now that you have a better understanding of your skills, it's time to research the going rates in the market. This involves studying industry standards, considering the impact of geographic location, and examining competition pricing.

Study Industry Standards

First off, you'll want to get a grip on the industry standards for UX/UI design services. Websites like Glassdoor, PayScale, and Indeed can provide you with average salary ranges for UX/UI designers. While these are usually for full-time positions, they can give you a ballpark figure to start with. Also, don't forget to check out reports or surveys from professional organizations like the Interaction Design Foundation or AIGA, which often include freelance rates.

Consider Geographic Location

Next, take into account the geographic location. If you're working with clients in high-cost areas like San Francisco or New York, you can usually charge more than if you're working with clients in areas with a lower cost of living. Also, if your clients are international, you need to consider their currency and purchasing power. These factors can significantly influence your pricing strategies as a freelance UX/UI designer.

Examine Competition Pricing

Lastly, investigate what your competitors are charging. This doesn't mean you should copy their pricing, but it can give you an idea of what clients are willing to pay for similar services. You can find this information on freelance platforms like Upwork or Freelancer, or by networking with other designers. Remember, though, that everyone's skill set and experience level is different, so what works for others might not work for you.

Establish Pricing Structure

Equipped with a better understanding of market rates, let's now focus on establishing your own pricing structure. This involves selecting a pricing model, setting your rates, and planning for negotiation.

Choose Pricing Model

There are several pricing models you can choose from as a freelance UX/UI designer. Here are a few common ones:

Hourly rate: Charging by the hour is common and can be a good choice if the scope of the project is not clearly defined.
Fixed rate: Charging a fixed price for a project works well when the project scope is clear, and you can estimate how much time it will take.
Value-based pricing: This model involves charging based on the value you're providing to the client, rather than the time it takes.

You can also mix and match these models based on the project and client. The important thing is to choose a model that reflects the value you bring to the table and feels fair to you.

Set Rates

Once you've chosen a pricing model, it's time to set your rates. Based on the market research you've done, decide on a rate that matches your skill level and the value you provide. Keep in mind, this is not a set-it-and-forget-it process. You may need to adjust your rates as you gain more experience, take on more complex projects, or as the market evolves.

Plan for Negotiation

Finally, have a plan for negotiation. Some clients will accept your rates as they are, but others may want to negotiate. That's perfectly normal. Just remember to stick to your guns and know your worth. If a client isn't willing to pay what you're worth, they probably aren't the right client for you.

Communicate Value

Now that you've established a pricing structure, let's move on to communicating your value. This involves showcasing your portfolio, highlighting testimonials, and providing clear proposals.

Showcase Portfolio

A portfolio is a powerful tool that can speak volumes about your skills, style, and past work. It's like a visual resume for freelance UX/UI designers. Be sure to include:

Varied work samples: Show your versatility by including different types of projects.
Process snapshots: Show your working process, not just the final product. This gives potential clients an insight into how you work.
Case studies: If possible, include case studies that show how your design improved a client's business.

Highlight Testimonials

Testimonials act as social proof and can be a powerful persuader. If you've worked with clients who were happy with your work, ask them for a testimonial. Display these prominently on your website or portfolio. These real-life reviews can boost your credibility and reassure potential clients of your abilities.

Provide Clear Proposals

When pitching to a client, provide clear and detailed proposals. Outline what the project involves, what the client can expect, the timeline, and of course, the cost. A well-written proposal can demonstrate your professionalism and attention to detail, further communicating the value you offer.

Adjust Pricing Over Time

Setting your rates isn't a one-time thing. It's important to regularly review and adjust your pricing strategies for freelance UX/UI design work. This will ensure you stay competitive, profitable, and fair to both yourself and your clients. Let's look at how you can do this.

Track Work Efficiency

Keep an eye on how long it takes you to complete projects. If you're consistently finishing work quicker than you estimated, it might be time to adjust your rates. The faster you work, the more value you're providing in less time. So, give yourself a pat on the back, and a pay rise!

Consider Market Changes

The market isn't static. New design trends, software, and industry standards can all impact your rates. For example, if a new software becomes popular and you're proficient in it, you might be able to charge more for your services. Stay in tune with the market and adjust your pricing strategies accordingly.

Review Client Feedback

Finally, listen to your clients. If they're raving about your work and you're getting repeat business, it's a good sign you're providing great value. On the other hand, if you're not getting as much business as you'd like, it might be worth reassessing your rates. Remember, the goal is not only to attract clients but to maintain a sustainable freelance UX/UI design business.

If you're looking to further improve your UX/UI freelance career, don't miss the workshop 'Do's and Don'ts of UX Portfolio' by Tetiana Gulei. This workshop will provide you with valuable insights and practical tips on creating a compelling UX portfolio that sets you apart from the competition and helps you land more clients.