George Varanakis (WPPI and Rangefinder Executive Vice President) emailed me (along with many others I presume) to offer a 50-word thought on the state of the industry in the next five years. The following is what I submitted.
Influx of inexpensive DSLRs will create waves of new photographers entering the professional industry. That coupled with free social media platforms, discernment through strategic marketing is dire. Ergo, individuals who rely on conventional methods and believe that pay will be commensurate with experience will slowly (or quickly) be weeded out.
However, I want to expand on that.
The introduction of inexpensive DSLRs with video capabilities allow for the expansion of different markets and lowering of barriers to enter the professional industry. If done correctly, even Uncle Bob can be a true threat to your business. These are the issues at hand:
- lowering of barriers – inexpensive DSLRs
- free social media marketing
- DSLRs with video capabilities
- lack of business strategies and marketing tactics
Lowering Of Barriers
To be completely honest, I entered the photography business under the premise of earning a few extra bucks while I was a full-time student at UCLA. Before even owning a DSLR, I never even had a point-and-shoot, but the learning curve was drastically truncated with the instant feedback of LCDs.
Therefore with the lowering of costs, abundance of resources online for learning (or trial and error), becoming a professional photographer is rather easy. This goes the same for other businesses too – get yourself a nice printer and Microsoft Publisher and you are a invitations designer, right?
Free Advertisement
With the spawn of social media marketing, individuals can create online communities painlessly and reach out to their target audience through free platforms. Twitter and Facebook have proven to be the two most effective across the board.
SEO is another form of free tactical marketing. I was able to generate a strong enough online presence to dictate any price I wanted and at the quantity of weddings per year I desired. All for free.
Video
There are things that photos can do that videos can never compare. Equally, there are things that videos can do that photos can never compare.
The capture of movement and sound can stir emotions amongst its viewers. Now that DSLRs have that capability, clients surrender to the need for whatever is new and cool. In all candidness, it is new and it is cool. It’s called fusion.
The real question is whether or not you will be left behind if you do not learn how to use it. Here are some hints:
- YouTube surpassed Yahoo as the #2 used search engine in U.S.
- Even the iPod Nano has video capabilities
Lack Of Business Strategies
I’m working with a number of clients (veteran photographers and event producers) on building business strategies. I’m not at liberty to say who they are, but they are all facing similar issues:
- newcomers are coming in and beating them up with super low prices
- newcomers are more adept with digital technologies
- newcomers understand this “twitter and facebook business”
- newcomers are forcing them to lower prices
- they dislike newcomers
- they feel threatened by newcomers
Sound familiar? It should resonate with everyone – newcomers and veterans alike. Veterans shouldn’t need to fear the aforementioned; nor should newcomers do anything differently [for now] unless they are ready to move forward with their businesses.
We always hear about “sell yourself, not your pictures.” Yes, it’s actually true. That is the “what” factor. We know the “why” factor; or at least you should. The only thing missing is the “how” factor and that is where business strategies and marketing tactics come in.
Lowering your prices to compete does not make you that much more competitive. In fact, it probably hurts you more than it helps. There are many bootstrapped businesses lacking clarity and strategies. It doesn’t mean that lacking the two will not allow you to survive.
The truth is without having business clarity and strategies, all you can do is just survive. There is no progression. There is no goal. There is no end. According to him, this is called the “hula hoop paradox”.
Conclusion
I am in no way trying to belittle part-timers because, again, I was once there. I am in no way trying to ridicule veterans because I am technically part of the group now.
Business is business. Money is money. We do what we got to do.
However, there are ways to distinguish the different levels of experience and clearly promote our worth to our brides. My goal is coexistence.
Food for thought – if veterans feel threatened and lower prices in an attempt to compete, then this inevitably leads to the lowering of all prices because they sort of set the benchmark…across the board degradation of standards. Think about it – who can really say that I’m worth $2000 or I’m worth $8000? It’s subjective and all based on business strategies.
Where are you in all of this?
Do you feel threatened? Or empowered?
What if I were to share these strategies? Would you be interested?
I could be wrong with all of these speculations :) but this is usually the same scenario for all businesses (even outside of our little wedding bubble).
French fries,
Lawrence Chan
P.S. After a normal presidential address of the state of the industry, the media is allowed to ask questions. Do you have any?
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Thank you for posting this. Very insightful AND encouraging. :)
Thanks for an insightful post Lawrence. I’ve enjoyed reading everyone else’s response to this topic as well. I have been shooting full time for over five years, but until recently had been just doing my own thing. I missed many networking connections and other relationships that could have been very helpful for a better business, had I not been “too busy.” It is very important to be connect with others, and to work to elevating the community as a whole. My advice for people just getting into wedding photography would be to shoot lots and develop your style, while at the same time growing a network of other supportive people around you. My advice for veterans would be to do the same. If you think you have nothing new to learn, then you have reached the top of your potential, and will begin to decline. Stay humble, hungry, and excited.
Thanks for posting all of this information. It is very helpful. I can see how video can help in marketing – however it can also be a distraction.
Thanks for posting all of this information. It is very helpful. I can see how video can help in marketing – however it can also be a distraction.
Interested :)
Yes… I would certainly be interested. We have NEVER lowered our prices! We don’t want to match the $900 wedding shooter… in fact, if you are really tracking your expenses (and time) you could not even shoot a wedding these days for $900. The difference is in the quality of work. We have resigned ourselves that we really wouldn’t want a client that thinks that a $900 wedding photographer is good. I agree with Joe Bussink – “the photography should cost more than the cake!” -Rick
[...] there are obviously a saturation of photographers, how will you stand [...]
You make a great point relevant to all of us in the Bridal Business regarding ,newbies, undercutting and the ‘hula hoop’. It’s not enough to be good at what you do in a very competitive industry. Selling yourself is what matters.
Never has there been such a shift in marketing as there has the last 3 years! Knowing where to create a presence, sharing who you are with distinction will make or break you. In these recessionary times we all have to be respectful of budgets, including our own. While I agree with Joe Bussink on the photography costs and cake, we all need to leave a lasting, good impression in our respective niches.
Valuable read, French Fries back atcha, Kate
Lawrence, you’ve nailed it perfect here. This is exactly what is happening and just the way things are….whether people like it or not. Things must evolve. Technology and the world are changing. Well said!
Wow! Great post…and I learned as much from the comments as I did from the post :) As a newcomer, I have been busting my butt trying to learn the technical and artistic side of photography. When I felt confident about that, I began working out the business end of things. I truly appreciate more seasoned photographers that are willing to guide newcomers like myself, if even in forums and blogs. It is much more productive and positive than bashing every newcomer that asks a question. I think we forget that we all start somewhere…and IMHO photography is the kind of industry in which newcomers need practical experience through assisting and second shooting. I get that seasoned photographers don’t want to train their competition…at the same time, some newbs feel like they can’t get a foot in the door assisting so they just take the leap…and then seasoned photographers flip out. I genuinely believe in the idea of elevating the industry because I hope to be part of it at some point or another…and that means not just raising the bar, but providing opportunities for people to actually work towards that bar. Not sure if my stream of thoughts made sense typed out. Regardless, thank you for this post!
You nailed it perfectly. People need to show confidence in themselves and their product. If people remain steadfast on their price, the customer will have more respect for you and your services. If you start slashing your prices, what does that say about you and your service? Slashing prices now is not the solution and as much as it may hurt right now, maintaining your price integrity will ultimately benefit you for your years to come. Once you lower prices, its a vicious cycle that takes years to get out of.
[...] P.P.S. If you’re wondering why you should care about video, read this. [...]
I think it is too early to say that DSLR video is going to the threaten existing, traditional photography businesses simply because they are truly 2 different creatures. To shoot and edit a 10 second video clip takes 10x more planning and execution (if you care about having your clip look professional). Stunning images that could be created with a single speedlight now require hotlights. Composition becomes even more important because you can move the camera as well as the subjects. Think about it this way – I can position my subject near a window, pose her and take a beautiful picture in less than 30 seconds. Now, if I do video, I have to think about what I’m going to do with my camera for let’s say 10 seconds – do I move in, pan, dolly forward/back,etc. But that’s not the end of it, in post, I can’t just color correct, I now have to edit that one 10 second shot with other shots. Does the shot stay at 10 seconds or do I cut it down to just 1 second because the flow works better with the other shots. Introduce sound and now you have more things to consider – sound editing, sound mixing, etc.
My take – video has been around for years and professional moviemaking did not suffer because of it. HD cameras has been around for years and although it definitely lowered the bar for independent filmmakers who could now shoot a feature length on a fraction of the cost, again, HD cameras did not hurt major studios. The real threat of HD DSLR cameras is to indy camera houses who specialize in professional HD Cameras.
Wedding videography will always have a place alongside wedding photography and can remain mutually exclusive. I don’t think that a wedding photographer should be afraid that DSLR video is going to put them out of business. Frankly, like the majority of indy films (and what you see on YouTube), most fusion is unwatchable because being a filmmaker is more than just shooting motion. And most fusion video is done like a music video – lots of rack focusing, over use of steadicam motion, poor composition, etc. If you YouTube started charging us to watch their videos, their viewership will drop like a brick. So since this is about making money, is adding fusion a profitable model for a wedding photographer whether they are a newbie or veteran? If it takes 10x more time/resources to turn all of those clips into a professional, high quality product, does that make sense? If your profit margin is going to be smaller because of fusion, is it at least scalable? Probably not. Like you, I could be completely wrong about this.
Its true that the industry of cameras is changing but I dont think its going to evolve into all video. Its easier to do now but it takes a good photographer to pull it off. Just because someone could record and pan around the room doesnt mean they are pro videographers. Its about composition, that is your weakness. I think the raz of fusion has come and gone for the most part, just like the IPad and soon Iphone 4. Ha.
[...] As many of you might know, I am partnering with Jeff Jochum to form Startup Strategy. In a recent post, a lot of discussion was created in regards to the state of the industry. [...]
These are great points. But, it has been the same for years. There have been cameras that always become “easier to use” , people that shoot and not charge appropriately and people willing to copy the photographers work.