The economics of free or why I won’t do things for free anymore

Last year, my friend John Bollwitt wrote a really insightful post where he mused about when is the right point to stop offering your services for free. You should really read the full post, but the sentence that definitely touched a nerve with me was this one.

The part that gets sketchy is when you are asked for your services and not expected to be compensated for them. [John Bollwitt]

I started meditating about this issue shortly after I received a tweet from Mike Jagger who indicated “you are the Mother Theresa of liveblogs“. That, and the sentence above just absolutely triggered a thinking process around the wrong perception that I give out my services for free. Nothing further from the truth. I don’t want to nor do I plan to be the Mother Theresa of liveblogs. I would like people to appreciate the value of my time, the value of my writing and the value of my research skills. I don’t write “for the exposure“. I *have* the exposure, thank you very much! And bottom line? I write for myself, so whether people read my content or not is not one of my concerns, nor is it being “seen”.

I have volunteered my time for the Vancouver social media/tech community to extreme lengths. I am not self-absorbed or self-congratulatory in saying this, I am just being truthful. I have liveblogged numerous events for free. I have covered many events for free. This doesn’t mean that I have de-valued my own work: it means that I am interested in giving back to the community in the spirit of “paying it forward”. However, I work as a freelancer. I am NOT a freebie. Don’t mistake my generosity for lack of appreciation for my own value.

If people are expecting me to liveblog an event just “‘because” they may probably find that I will decide NOT to do it. Liveblogging, writing content for blogs, reporting on events, etc. are just a few examples of actual services, and people need to learn that they should be paid and rewarded. The perceptions that just because we are bloggers we should feel happy that we get invited to events or that anybody can liveblog an event are completely erroneous. Of course, everybody with some degree of knowledge of computers and technology can fire up a liveblogging event on Cover It Live. That’s not that difficult. It’s the skill required to capture the thoughts and meanings of a speaker that is an acquired, honed and valuable skill. Refusing to pay for a service that is provided is tantamount to trying to get a freebie.

For example, when you go for a consultation with a doctor (medical doctor, MD) or a psychologist or a counsellor, do peoplereally expect to go in, and come out and NOT pay anything? No, right? Then why would people think that they can come, ask me a barrage of questions and expect an in-house, one-on-one, free consultation? I have no clue why, but this has happened to me, more times than I care to remember.

There is a big difference when I deal with my friends. For example, if somebody who is a friend of mine tells me “hey can you translate this short sentence for me” (in any of the languages I speak) I am more than happy to do so. If somebody tells me to spend an hour of my time translating, I’m expecting that either (a) the person asking is a very close friend, and he/she will appreciate what I do and (b) the relationship is so reciprocal that asking a favor back will never be an issue. Or (c) that they are going to pay my translation fee.

I would really like to change people’s perceptions that everything can come for free (or be bartered). That’s not true. As Rebecca Bollwitt noted on her post on bloggers for hire, “bloggers who produce strong, insightful, creative and intelligently content have great value.” Bloggers, consultants, freelancers, researchers, all provide important services, and as such, should be rewarded.

Last year, when I was in the process of establishing more of a consulting practice in social media, I asked how to establish pricing strategies in this field, one that wasn’t really mine from the get-go. Right now, I think of social media as just one more of the fields that I consult on, simply because I have accumulated experience organizing social media conferences, giving talks, testing the tools, writing content, and establishing relationships. I have a PhD in environmental studies, that’s where my initial consulting work is. Social media is my “side job”.

As I mentioned in a comment I posted on John’s excellent post, your knowledge is your currency. I spent numerous years doing rigorous research and becoming a specialist in the fields I have expertise in. If anybody wants my knowledge, it comes at a price. I am wondering how do other freelancers/consultants/writers/bloggers feel about this topic. I know it’s touchy and thorny, but I wanted to put it out there.

Comments (57)

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CarolineOctober 26th, 2010 at 12:03 pm

Thank you for your post. I am in PR and recently had this conversation with a friend who owns a marketing agency, as we often get asked for ‘free’ consultations by clients eager to pick our brains. My friend surprised me with his smart and healthy approach to it, he does not give them, nor does he accept free services because he has less control of the deadlines as well as quality of the content. Likewise, I have stopped free consultations as someone who is really willing to take their business to the next stage will already know that this is a service well worth paying for. Why should someone not get payed for the time they invested in mastering their craft? We pay doctors and lawyers without objections -how are marketing professionals different?
When we volunteer knowledge we also exchange knowledge, hence as you say, then it is not free.

Vancouver photographer Tamea BurdMarch 6th, 2011 at 1:30 pm

As a professional photographer, even though I offer competitive and all-inclusive pricing, the issue of potential clients and sometimes friends essentially saying “I want you to do a bunch of work for me, but I place no value on your time, or your skill, or your knowledge or your effort.”, comes up far too often.

With friends, I offer a substantial discount, or offer a 100% trade. Occasionally, if they just really need help and can’t afford to pay or trade, I will shoot a few photos for them for free, but that’s only for the friends who offer me something of great value just by being my friends.

With potential clients, if they have a service or product that is of interest to me, I’ll offer a 50% trade. Meaning they pay half of my rate in cash, the other half in trade of their product or service.

Volunteering is entirely different. As with anyone who volunteers, it’s something I choose to do for free, to support causes I believe in.

My standard answer to anyone who attempts to convince me that they shouldn’t have to pay for my services is this: “If I were a plumber, would you expect that I’d be willing to install a new water heater for you at no cost? Nope, you wouldn’t. Because it requires skilled labour, the cost of parts and the cost of service… Well so do I.”

As for those who think saying “I don’t want to pay you, but if you work for me for free, it’s a great way to build your portfolio.”, I fight the urge to smack them and instead say this: “I already have a great way to build my portfolio. It’s by getting paid work.”

At the end of the day, we’re all responsible for our choices. I recommend that we choose not to be taken advantage of or devalued.

hilary henegarMarch 15th, 2011 at 10:22 am

Thoughts on the subject from the Flickr community: http://www.flickr.com/groups/concertshots/discuss/72157621117376271

(via http://www.flickr.com/people/stevelouie/)

caroMay 18th, 2012 at 10:29 am

Hi there. The topic you have raised also apply to designers. It’s amazing how many times I have been personally asked to “just do a logo” for free, after all “my nephew is taking art in high-school, has Corel draw and could do it for free”. In my industry, a big part of the problem is that so many people actually work for free (particularly students) hoping that will get them exposure and that eventually people will see the value of the work. Which happens seldomly, if ever. Creative professionals (writers, designers, photographers, artists) we all need to value our work. Knowledge and experience has a price. If people expect your work for free, please don’t do it, they’ll never get to value it and it devalues everyone else’s efforts.

Having said that, I agree that giving back to the community is essential, but even then, it’s good to have clear parameters discussed, in my experience, pro-bono work can sometimes grow like a monster!

TawcanMay 18th, 2012 at 10:29 am

Great post Raul.

Time is money and you can’t afford to give out your time for free all the time.

The truth is, people will always ask you to provide your services for free. The trick is to turn down these requests.

I’m a BarCamp Virgin No More | Gus FosarolliJanuary 31st, 2013 at 12:19 pm

[…] later on in the day, as well as a great round table discussion presented by Raul based on his “The economics of free or why I won’t do things for free anymore” post of last week, and a discussion on Fresh Media (an event that will be happening October 24th […]

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