How much should I charge for my Virtual Tours?
That’s a great questions and there are no right or wrong answers. The answer will depend on;
- Is there competition
I’ll discuss how you can come up with an estimate to determine a price for your Virtual Tours.
As a successful Virtual Tour provider, I have been asked to give my opinion on pricing several times and I’ve found the following 3 steps to be the most effective:
Find out what your competition charges and why?
To discover what your rivals charge for Virtual Tours, you must first identify who they are. You may then visit their website or, if you’re bold, call them and pretend to be a client seeking for estimates.
The following step is to look at the pricing and why it’s justified. What distinguishes yours from theirs? Do they photograph the tour on site or do they shoot it themselves? Regardless of how much you charge, understand your market and what your client wants. There may be a variety of reasons why one provider might cost less than another; investigate each one thoroughly.
Estimate the time needed for each Virtual Tour
The length of the tour, the number of locations, and the quantity of content (e.g., amenities) at those sites must all be considered when determining how long it will take to complete each Virtual Tour based on its degree of complexity.
Depending on the sort of building it is and how many floors have been prepared with virtual tours in mind, shooting an average structure might take anything from one hour up to two months. The more complicated the site(s), especially if they’re big buildings, the more thought should be given when estimating project durations.
Understanding the ROI.
Because each client’s requirements are unique, it’s critical to be upfront and honest about the investment they’re making. You can also provide a range of pricing options (e.g., $500, $1000) that fit their budget while also illustrating how many Virtual Tours may be completed within a certain amount of time.
The goal is for your customer to make back at least double (ideally more) than they invested in you through increased traffic as a result of the Virtual Tour(s). So, if your Virtual Tour costs them $1500, they’ll need to make back at least $3000-$4000 without any additional advertising expenditure.
FORMULA for ROI =(Net Return on Investment/Cost of Investment)*100%
You should also consider how long it will take you to complete a Virtual Tour, and what you’ll invest in your own business. You’re putting your company’s name on the line by doing this project, so you want the client to know that they may get their money back more than what they spend on it. It isn’t unusual for businesses that charge my recommendations for pricing their Virtual Tours to make at least 4x as much money as it cost to create the tour.
In addition to the ROI for your client, I’ve discovered that calculating a Virtual Tour is simpler if I first determine how much money I want to make back from this investment and then figure out what my break-even point will be by subtracting the total amount of money invested in the project from that number. Simply divide one by the other for your ROI. You may price your tours after you know your net return (money coming in minus expenditure) and your ROI percentage.
Virtual tours are becoming increasingly popular and sought-after, but what is the best price to charge for them? We’ve compiled a list of factors to consider when pricing your virtual tour. Your aim should be to make sure that it’s comparable with similar services while still keeping a healthy margin. Virtual tours are an excellent investment that may deliver more than what your clients pay for.
The cost of the Virtual Tour should be higher than the client’s current website valuation to allow for a profit at least double (ideally much more) than they paid into increased traffic from your Virtual Tour(s). This must be achieved while maintaining a healthy profit margin, and the Virtual Tour should be comparable with other Virtual Tour providers.
Virtual Tour Pricing
Break Even point = Net Return of Investment minus Cost
If you’d like help determining an appropriate rate or help to scale your virtual tour business, we would love to talk with you. Just schedule a time that works for you and one of our team members will contact you shortly!
Preparing to Succeed
If you’d like help determining an appropriate rate or help to scale your virtual tour business, we would love to talk with you. Just schedule a time that works for you!