The Impact of Inflation on Videography Pricing
A Look at Inflation thru the McDonald's Analogy
In this article, I want to address the problems arising from clients expecting services at 2019 prices and the negative influence of amateur videographers offering unsustainable rates. The McDonald's analogy serves as a relatable example to illustrate the impact of inflation on the cost of living. I want to use this analogy because… Since I was sixteen years old, McDonald's has been a familiar and consistent presence in my life. No matter where I traveled in the world, the cost of a meal at McDonald's remained relatively stable. However, as we currently face skyrocketing inflation across various sectors, it's shocking to see how the prices have soared even for a meal at a place I've always considered affordable.
The short version is: McDonald’s has become fucking expensive.
By exploring the McDonald's price increases, I'll illustrate why these low rates are unreasonable and how they endanger the quality of services provided. My focus will be on the inflation figure of 50%, which I derived as an average of having a meal at McDonald's, representing the increased cost of living for most people since 2019.
The Struggle of Low Budget Clients in a High Inflation World
Inflation in Everyday Life
McDonald's Prices To understand how inflation affects us, let's look at the big price increases at McDonald's. For example, a cheeseburger that cost $1.09 in 2019 now sells for $1.99. Similarly, a Quarter Pounder with Cheese jumped from $3.89 to $4.69. These increases give us an inflation rate of 47.46%. But if we think about other daily expenses like groceries and eating out, the inflation figure goes up to almost 50%. Just like these price increases affect our pockets, they also impact videographers trying to make ends meet.
Inflation Rates: Why Online Figures May Be Misleading
When you search for inflation rates online, you might find an 18.06% figure. However, this percentage doesn't show the real rising cost of living for most people. Comparing McDonald's meal costs from 2019 to today gives us a better idea of the challenges faced by videographers and why they have to charge more.
How Amateur Videographers Affect the Marketplace
Undercutting the Market
Amateur videographers offering services at low rates might look like a good deal, but they can actually hurt the market and create unrealistic expectations. By charging much lower prices, these amateurs make the work of experienced professionals look less valuable.
Unsustainable Rates and Potential Problems
Low budget clients who choose amateurs might end up with bad services or even no finished product. When videographers earn less than the average hourly worker, their business can't keep going, which can lead to bankruptcy or rushed, low-quality work.
Teaching Clients About Reasonable Pricing
How 50% Inflation Affects Videography Rates
The big increase in McDonald's prices shows how inflation impacts all industries, including videography. Clients need to understand that expecting services at 2019 prices is not reasonable and can't last for videographers.
The True Cost of a Videography Package
When you think about inflation and other costs like running a business and equipment, the old $500-$1000 budget range for an eight-hour wedding package doesn't work anymore. Clients need to understand current market rates to make sure they get high-quality services.
A Personal View: Inflation and the Cost of Living
Disclaimer: Not a Financial Expert
It's important to note that I am not an expert in finances, cost of living, or inflation.
The observations and opinions shared in this article are based on my experiences and the impact of inflation on my daily life as a videographer.
The Real-Life Effects of Inflation on a Videographer
Inflation has a real impact on the everyday lives of videographers and other individuals. From increased prices at restaurants like McDonald's to higher costs for groceries and other essentials, the rising cost of living affects our ability to maintain a sustainable business and a comfortable lifestyle.
Adapting to the Changing Market Conditions
As a videographer, it's essential to adapt to these changing market conditions by adjusting pricing and educating clients about the realities of inflation. By sharing our personal experiences and observations, we can help clients understand the need for fair pricing and foster a healthier industry for everyone involved.
Navigating the Challenges of Inflation: A Personal Journey
In this article, we've discussed the impact of inflation on the videography industry from a personal perspective, highlighting the real-life effects of the rising cost of living. By sharing these observations, we hope to foster a better understanding of the challenges faced by videographers and the need for fair pricing in the industry. It's crucial for clients, amateur videographers, and professionals alike to adapt to the realities of inflation to ensure a thriving and sustainable market for all.