livebooks blog

An image from Lou's time in Russia. ©Lou Lesko

During my career I have been accused of being cocky, self assured, and overly confident.  To which I respond; yes I am, I’m a photographer.

Sample wedding photo stamps from Photo.Stamps.com

Most brides and life partners dream about their wedding day for a long time and want everything just perfect. Yet they can also get stressed out, focusing on everything they have to plan: wedding service venue, reception, guest list, photographer, dress, and flowers. So why not offer them items featuring your photography that not only take some pressure off of them, but that also increase your visibility and profit?

The wedding album will always be the big-ticket item, but there are many other opportunities to make the photos you’ve already taken do more work for you and your clients. With services such as Photo.stamps.com, Zazzle.com, and Pictureitpostage.com, you can offer clients the opportunity to put your photos of their happy faces on their stamps as well as Save the Date and RSVP, and thank you cards. You can charge a handling fee; the bride will have one fewer thing to worry about; and guests who receive something with your image on it will be more likely to remember your name when they’re looking for a photographer for their big day or family portraits. Just don’t forget to include your name with the images!

You can also suggest that busy, possibly cash-conscious brides consider custom books instead of albums for attendants and family members. They may not realize the full range of offerings, so show them some samples. There are lots of good options for these self-publishing services: Blurb.com, Asuka.com, Paperchase.net, and, of course, the good old iBook that comes with MAC software.

It is important to think outside the box since the competition is so fierce in today’s market. Offering items that others don’t sets you apart from your competition. And by offering items like stamps, special cards, or books, you give your clients a chance to stand out too. On that special day, that is their ultimate goal.

Are you keeping an eye on your bottom line? ©LaCour

Many of my favorite photographers have built successful careers on being excellent observers. Their images are powerful because they watch, anticipate, and press the shutter at the decisive moment.

But being a keen observer of people is not enough. To succeed in the business of photography, you must employ a careful combination of observation skills. You must be an excellent observer of people AND business. To succeed, you must watch your business –- know it inside and out. As John D. Rockefeller said, “Everything that is watched improves.”

Rockefeller knew exactly how much it cost to extract, refine, and deliver a barrel of oil. He was fully aware of all his costs. Knowing this information –- and acting on it –- gave him a competitive advantage. He knew how to price a barrel of oil to turn a profit.

As a result, he implemented cost savings measures like manufacturing his own barrels and starting his own transport company. By carefully observing the data that mattered, Rockefeller made Standard Oil wildly successful.

The success of your photography business also depends on your observations. Are you watching each area of revenue and cost? What things are you tracking? What systems do you have in place to help you measure and manage your business’s success? Here are three areas that you should be observing particularly carefully.

1. Calculate Your Profitability

• First, create a price list of all your “items” (individual products and services you offer) and calculate profit margins for each item. By understanding profit margin, you will ensure that you’re making money on everything you sell.
• An item’s profit margin is based on “Cost of Goods Sold” (COGS). In order to calculate the total profit margin on packages/proposals you create for clients, identify a COGS for each item on your price list.
• COGS for an item is calculated as the total direct expenses incurred in the production of a good, including the cost of materials used to make that good and the cost of labor to produce it. COGS does not include indirect expenses, like marketing, accounting, and shipping.
• Knowing the COGS will help you determine which products and packages are turning a profit. Subtract an item’s COGS from its sales revenue to determine the gross profit it earns.
• Net profit is the difference between COGS and indirect expenses from sales revenue.

2. Identify and Track Referrals

• Referrals are the lifeblood of many photography businesses, especially wedding. In a good economy, fostering strong referral sources is the most effective growth strategy. In a bad economy, it’s critical.
• If you don’t know where your profitable referrals are coming from, you’re wasting time and money. For example, let’s say five colleagues in your community are responsible for referring 60 percent of last quarter’s business. Don’t you want to treat those referral sources differently than the florist down the road who hasn’t referred anyone? Tracking your referral sources allows you to invest valuable marketing resources into the right people and groups that will give you new business.
• Tracking referrals is a detailed process — one that requires organization and automation to be effective. You can use simple Excel spreadsheets to track referral sources and leads. There is also more sophisticated studio management software available. The good news is that both options can be cost-effective for even the smallest studio.

3. Create a Marketing Strategy and Track Your Success

• Marketing can seem daunting at times, but even a simple marketing strategy can have a beneficial impact on your business. Here are a few things that most successful businesses strategies have in common.
• First, a contact database. The importance of maintaining an organized contact database can’t be stressed enough. It may sound like a basic tactic, but trying to grow your business without a contact database is like trying to drive a car without an engine. If you want to grow your current relationships and develop new ones, you must keep track of communications with every client, referral source, partner, and prospect with whom you interact.
• Second is email marketing. Email communication is the name of the game these days. And with the help of your growing contact database, you can easily reach thousands of prospective clients with a single key stroke. Keep your contacts up to date on events, new services, awards, specials, and other important information with emails. That way, you will already be on their mind when they are seeking photography services.
• Finally, make sure to track your database efforts. Some automated solutions allow you to track the read and response rate for email blasts through easy-to-read reports. Whichever way you decide, be sure to regularly review your efforts to understand what’s helping you drive revenue and what’s not.

This is a question I get a lot from readers. Do I need to move to LA or New York or other big fashion market to have a successful fashion photography career?

In the past I have offered a diplomatic answer because I know the question is coming from a place of apprehension, and I hate to be one of those arrogant asses who throw out an answer that will potentially change someone’s life without being sensitive to their context. But the question came up again in reverse form this week via email: Do I need to stay in Los Angeles to start my career, because I’m really over this city. So it’s time to address the question definitively. The short answer is, yes.

If your goal is put out a shingle and make a nice living as a local fashion photographer, then there are alternatives to moving to a big market. But if you’re looking for myriad opportunities to turn your talent and training into a career, you must immerse yourself in an epicenter of the industry. I say this with conviction because, had I moved back home instead of staying in Los Angeles after I graduated from school, my career would be a shadow of what it became.

Big city big opportunities for you and thousands of your peers
Aside from the obvious factors of logistics, knowing no one, and not knowing the terrain, moving to a city where there is an advertising or fashion/celebrity market is intimidating because you’re not the only one trying to make it. In fact there are a lot of you trying to make it, and you’re all probably pretty good at making pictures. These are your comrades and your competition.

Despite what you’re probably thinking, jumping into a pool with so much good talent is one of the healthiest things you can do for your career. Not only will you be exposed to styles and methods that you’ve never imagined, you will lose sleep trying to sort out how to compete. And that is where the magic lies: in the Darwinian epiphanies where you conjure an idea that’s better than the next guy’s. That’s one kind of creative motivation that can only come from the pressure of friendly competition.

More entry-level job opportunities in your field
Big markets, especially L.A. and New York, have a lot of of entry-level job positions in your field. This is valuable for making a buck, staying abreast of the industry gossip, getting exposed to the names of the industry players, and generally understanding the vibe of the career you’ve chosen. These jobs also carry little expectation of a long-term commitment. As soon as anyone who works for me starts exhibiting flawless performance, I know they’re about to depart for the next level of their life. You should go into these jobs with the same attitude: expecting to leave as soon as you’ve learned all you can, or you’ve saved enough money, or you’ve built your portfolio enough to start showing — whatever the reason, have an exit strategy. But, like I say in my book, never forget where you come from either. If you move past the people you work with, never lord your success over them. Remember you would be nothing without them.

More opportunities to shoot for money
I am forever grateful for the vast headshot market in Los Angeles. During lean times when I was seriously questioning how I was going to pay my bills, I was saved by the actor community. Headshots are not the most glamorous of shooting jobs, but it is a market you can break into fairly quickly and cheaply. All you need is a nice location with good natural light and a camera. Do a good job with one actor and they will recommend you to their friends. Clients usually pay in cash on the day of the shoot and the gig is a short term commitment. Best of all, it doesn’t adversely affect your reputation like shooting an ad campaign for an Alpaca porn DVD. (I’m not admitting anything here.)

Masters and heroes live in the big markets
Large markets tend to attract the heavy weights of the industry. Not only will you probably get to meet one of your heroes, you will interact with all kinds of editors, art directors, and writers who are masters of what they do. You can’t beat this type of exposure. Not only for your career, but for your sensibility as well. I can write volumes of what it’s like on the other side of magazine and agency doors, but you’ll never really feel it until you experience it for yourself.

If you can, transition slowly
When I first moved to L.A. from San Francisco, I was visiting model agencies trying to expand my model testing career on the side while going to school. It certainly made it easier to get my ass kicked in the real world when I could always return to the safety of school. I highly recommend this path, it lessens the shock of the transition. If you are out of school or not going to attend school, the transition to a new city can be tough. But once you get through the first year of emotional tumult, you’ll be acclimated and focused. That’s when the fun begins. Be smart, always keep in mind why you moved, and keep your eyes open — golden opportunities rarely present themselves the way you expect them to.