How To Give A Price Quotation For Building A Website

How much does it cost to create a website? As a web developer, I often hear that same question over and over from business acquaintances I get into contact with. Some would like to build a business website, thinking that it is a cool thing to do. Others would think that building a website is much like typing a thesis paper on a word processor and therefore it should be easy and cheap. If you were to answer that question, what would your response be?

Three hundred thousand Pesos? Fifty thousand? Five thousand? One thousand? Just a cup of McDonald’s hot chocolate?

Any Web Developer worth his salt and who has been in the business of developing websites — or Web Applications for that matter — is aware that the first question raised above is actually incomplete. It doesn’t even give you a hint as to the nature of the project. So any figure you that you will come up with based on that question alone is in fact meaningless. But, on the side of the customer (the one asking for a price quotation), it is a good way of spotting the kind of web developer you are talking to – whether an amateur or a real professional.

“Hey Carlos, if you don’t come up with a figure right then and there, how will the client know if he will hire you to do the project or find someone else?”

Thanks for asking and you have a good point. First, I don’t regret losing a client who doesn’t know what he is about to do. If I should be working WITH a client, I’d like to do it with someone who awards a project not on the basis of price alone, but on the benefits he will derive in knowing that he is working with a real problem solver. Second, as a web professional, I always make it a point to remember that I am also a consultant. It is my job to dissect what my client’s real needs are and offer a few suggestions. It could be free during the initial stage, I’d be glad to do that. Just because a client wants a business website doesn’t automatically mean that it is the perfect pill for him to shallow.

“So Mr. Consultant, how do you proceed?”

If you are new to Web Development Business, read carefully. I am about to share some priced possessions that I’ve been keeping in my treasure chest of wisdom learned from being a practicing web developer and software consultant. I am assuming here that you are dealing with a client who relies on you for guidance in showing him the right way to develop his website.

Here are the five points to remember:

1. Determine The Kind Of Website

There are different kinds of website as there are different kinds of businesses and people who patronize them. Ask the client if it is a personal website, not-for-profit website, political, porn, etc, etc.

2. Determine The Purpose of The Website

Here is where most clients would fail to provide a convincing answer. Some of them just want to have a website without knowing if it can help them or not. If it is a business website, ask them if it is going to complement a store that already exist in the busy street corner.

3. Determine the Audience or Users

Is it for exclusive use of select company employees and affiliate only? Is the content open to the public? Who will consume the business articles?

4. Determine the Features and Modules To Include on the Website

Knowing this is crucial for it will give you a rough idea about the number of hours you are going to spend in implementing the critical components of the website. This is also a nice way of pointing out that not all websites are created equal — some are complex, others are minimalists.

5. Determine The Technology To Use

Some small businesses will not care about the kind of Web technologies and tools you will use to implement the website. But, some are so specific they only require IIS Server, or ColdFusion, or Oracle. This is also important and will contribute to the price of the project.

To Quote or Not To Quote? That is the (Final) Question

Of the Five Points mentioned, you should pay close attention to the last two. Make notes. That is where the real work lies.

The first three may not cause you to think in terms of code-to-money conversion, but they are auxiliary to the crime you are about to commit. Sorry for the sloppy idiom, but what I am trying to say is that those three points would help you assess the client’s level of seriousness in implementing his online experiment.

Finally, I would say that the best project price quotation is one that doesn’t come from the mouth, but one that is put in writing with a signature on it. Send a detailed proposal after a formal interview with the client and see if there is a chance of doing the business.

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21 Responses to “How To Give A Price Quotation For Building A Website”

  1. technology » Blog Archive » How To Give A Price Quotation For Building A Website Says:

    [...] Read the rest of this great post here [...]

  2. Malou Says:

    Hey Carlos:

    I need a website. I already have the domain name and host. Can you price it out for me please?

    It’s an Internet Radio Station.
    I’m working on my logo right now, but could use your input on that as well.

    Dahang Salamat.
    Malou

  3. Carlos Says:

    Hi Malou,

    I’ll send you an e-mail in a while. I want to see it first. But please be informed in advance that this cowboy is currently working on a project.

    Salamat,

    Carlos

  4. Albert Says:

    What can i say…. Sir Carlos is one of the best developers i’ve ever known! Nice site sir!

  5. Emman The Great® Says:

    proud to be pinoy ha… hehe visit ka rin website ko…

  6. Jason Says:

    I’m proud to say that he was my teacher. :D
    And he still is teaching me with articles here. Like this one.

  7. Jairus Says:

    Sir Carlos is a good programmer at the same time a good teacher..

  8. ian Says:

    hi carlos, just read your blog. very good article. i’m currently building a non-profit website for a church where i go to. it’s an informative site and has backend access online for easy maintenace, news section, announcements and events. these are the dynamic features that are being implemented for this site. i’ve considered your points above, but still i can’t give the cost figures (Php!) to the client…can you please help me price it or perhaps give at least the usual amount for this kind of website???

  9. carlosonweb Says:

    Hi Ian,

    I don’t know what your motivation is in building that website. If you are doing it for free, then it must be FREE. You should price your service before you even start with the project. That will leave them with no surprises.

    Given your case, the simplest way to do it is to estimate the amount of time you will finish the project, then multiply it with your hourly rate. Of course you should make an allowance for your expenses while doing the project.

    Don’t be ashamed to charge for your services even if they are non-profit.

  10. ian Says:

    thank you very much carlos. that surely helps. can you email me or show me here your portfolio? i would like to see your works. i want to be inspired. thanks again.:)

  11. Dhanes Says:

    Carlos,

    Wow!!! That is very informative. Keep it up! Thanks.

  12. Blogging from Experience » Archives » Pricing 101, Part 1 Says:

    [...] products he is planning to sell. Of course, if you are following this blog, you already know that I don’t give quote for such a vague specification. One quick reply to the email inquiry and I was finally able to convince him to elaborate a bit [...]

  13. Jerry Ryan Says:

    I comment rarely on blogs but just wanted to stop and say Great Content.

  14. Brian Says:

    Hi Carlos,
    Brian here in Sydney. 61 and non-tech.
    Somehow I fell upon your site here and get the impression that you are a sort of retired boffin of some form.
    I’m in need of a website and was looking to find a Filipino becuase I’m told they are industrious and honest as well as being economical. I know where to find staff via ‘middlemen agencies’ but dislike that needless expense. I’d prefer to pay the worker directly.
    So, can I ask if you might simply point me to somebody capable, diligent, honest and economical to help me get a unique site up that will certainly help world learning and earn me some too. Price is negotiable but I expect whoever to also continue site supervision for an ongoing residual (I’m not wealthy but I’m also not mean).

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