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Table Of Contents  The Online Freelancing Guide
 >  Online Freelancing Proposals and the Bidding Process

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Taking Into Account the Value of a Successfully Completed Project
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Static Pricing - Determining an Optimal Hourly Rate
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Online Freelancing Proposal Pricing Strategies and Tips

Dynamic pricing means coming up with a bid for each project based on its own unique characteristics. The first phase, which was the subject of the previous section, is to assess the value of the project, and use that value to come up with an initial estimate of what you want to bid. The second phase, which is what we’ll talk about here, is to adjust the value-based bid by using a variety of pricing strategies that seek to optimize your earnings.

The first topic in this section is not actually related to dynamic pricing. Rather, it provides advice on the key issue associated with static pricing: determining what you want to charge for your hourly rate. (Why is it here? Well, it does discuss pricing strategy, and it didn’t fit anywhere else. :) )

The remainder of this part of the guide provides opinions and analysis on different ways of choosing prices for freelancing projects under dynamic pricing. I start with what I call the “apathetic pricing model”, which aims to help freelancers choose prices that balance their desire for more money with their concern about losing jobs to competitors. I talk about how you can use client budget estimates and the bids of other freelancers to help decide what you should bid. I then move on to talk about minimum bid policies, and how they can be helpful in positioning bids on small projects. The last two topics give you some suggestions for how to negotiate with clients who want you to work for them but at a lower rate, as well as how to deal with clients who cross the line from striving for a bargain to trying to exploit you.

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