Web studios, do not get into a black hole. There is no money

    Black hole in the cost range of sitesFor a long time no one wrote on this blog. Everyone works, works, works ... Is it worth it? )
    Surely, many heads of web studios will agree with me that a business called "website development" is not so complicated. It does not imply a high threshold for entering the market, everything is done under one roof, there are enough specialists in the market, there is also a demand for services. But even more studio managers will support me in that there are very high risks behind this simple business. The human factor nullifies all expected and seemingly easy incomes. If you do not choose the right model of work, you will quickly be disappointed in this business. Let's dig right into the depths of any ordinary web studio.

    Difficult to get a profitable project at market value

    When planning the budget for developing a corporate website, we evaluate the time it takes to spend on a project and make a profit. The math is simple until we collect data on completed projects and make sure that most of them are unprofitable, and some are mega-unprofitable. Who did not try to consider profitability - try.

    The project budget cannot lay down production downtime due to the fault of the customer, additional meetings with the client, repeated improvements, etc. we get a budget at which the client would never sign a contract.

    Hard to get a satisfied customer

    Suppose we took up a project taking into account all the risks and a high probability that the project would be unprofitable (and what to do, you need the money). In this case, be prepared that the client will be dissatisfied with the studio, and the studio with the client. What is the cause of discontent? The most important thing is the discrepancy between the progress of the project and the expectations of the client. In most cases, this is a delay. If the project is delayed (it doesn’t matter whose fault and for what reason), the contractor will be guilty of the client’s eyes in everything: the quality of the product received, poor management, lack of feedback from the site, etc. The dissatisfaction accumulated during the work on the project parties negates all the advantages that the manager tried to please the client, working on the project. At the same time, the manager wants to complete the project (not to abandon it, after a year of work),

    As a result, we come to the conclusion that if you lay the “right” budget and normal terms, then the client most likely will not buy the project. If you offer a competitive price on the market, then the risks go beyond the budget (and, accordingly, the time frame) are very high, which brings to the piggy bank another unhappy unprofitable customer.

    So what to do?

    I hope some of my observations will be useful:

    1. Decide on which side of the black hole you will work and clearly explain your policy to the client. Fast and cheap (up to 30 thousand rubles), or long and expensive (from 150 thousand rubles). In the middle, between them, freelancers. There are no studios there (should not be). I wrote about this in detail with the article "Black hole in the range of cost of sites . "
    If you are ready for the flow of the same type of orders and get the buzz from building an effective production model, and not from creativity, then your way is quick standard solutions. If creative ambitions do not give rest, then it is worth going the second way. But be prepared to surprise customers, constantly work with a team, live at work, work at home). Both that and other approach brings profit, but not the middle.

    2. Provide quality customer service at all stages of working with the client, regardless of the cost of the projects. Sales, development and subsequent support - at all stages, the client should feel taken care of. This will not give an effect right away, but after some time you will realize that new customers began to come just by recommendation. And the question of price is already in second place for them. No one has yet left us because of excessive care, but the lack of such turned the client into a headache.

    These are the conclusions after several years of work in this business sector. It turns out to earn both there and there, but not in the middle) Perhaps someone will agree with me, but someone will not. My experience in managing a studio of exclusive Internet projects and a studio of typical inexpensive sitesspeaks about this. Share your opinions.

    Vasily Churanov

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