Should Copywriters Only Be Paid a Commission?

30 replies
I recently had a client thank me for taking his case on a contingency because he felt it showed my confidence in his position.

That, and most individuals cannot afford an attorney. But it is true that the contingency arrangement is an excellent method of weeding out cases not worth pursuing.

While I am not claiming a perfectly analogous situation to copywriters, there are certain parallels.

The benefit of a copywriter is increasing sales. After all, who would pay a copywriter if there was not a belief that increased sales would be more than the cost?

But what if sales are not increased? Who should bear the risk?

If the buyer does not use the sales copy as-is then a fee would be justified.

But if the sales copy is used, and sales do not result, is it because of the copy or because of another problem in the sales process or because the product is crap?

In that event, why shouldn't the risk fall upon the copywriter for not properly investigating and evaluating the project before making their commitment?

I'm guessing more than copywriter will say they would be homeless if they relied on claims of commissions being paid from sales, or promises of future projects. I also deal with such promises, which are really empty, sugar-coated ways of asking for a freebie.

But at the end of the day that still goes back to the question of properly evaluating the project.

Seems to me that relying on commissions could be more profitable, while at the same time signaling to bad product owners that they have a problem.
#commission #copywriters #paid
  • Profile picture of the author Zentech
    I hear you. I'm considering going to a commission-based fee structure myself. There's something appealing about it, at least to me. With commission, if I overdeliver, I'll get paid for it.

    Plus, it can be hard to really "break in" with any fee, anyway. If I charge low, people will think I'm a hack who isn't worth anything and can't sell. If I charge high, people will think I'm going to underdeliver, or am acting too big for my britches. And worse yet, "high" and "low" are subjective terms. At $897, for example, one person might think I'm an underpriced hack and another might think I'm trying to overcharge.

    I may go to a nominal upfront fee (just to cover incidentals) plus reasonable commission. It's something to think about, for sure. Alex Cohen does copywriting on commission, and I don't think he's anybody to scoff at.

    Having said all that, I predict your OP is going to meet with some stiff resistance/objections.
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    • Profile picture of the author Matt James
      While I'm taking on more and more commission-based projects myself, I'm also fully aware things won't always go as planned or I'll get ripped off, plain and simple.

      As a copywriter it's damn near impossible to be in control of everything. Like the OP says, we can do our research, but online that doesn't guarantee the client can summon up enough traffic to make any money.

      You can investigate and evaluate all you want but when it comes down to it, you're still relying on the client to hold up their end of the deal.

      Heck... at the end of last year I worked with an experienced JV manager who managed to fumble a launch completely.

      Point is, commission deals are a risk no matter how much you feel prepared. But when they DO work out, it's all worth it.
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  • Profile picture of the author Jag82
    Should Copywriters Only Be Paid a Commission?

    My personal reply will be a "NO".

    Because of external factors that Matt has highlighted
    which could be out of the copywriter's control.

    That said, it doesn't mean copywriters Should Always just stick
    to fee-only (or basic fee+commission) deals




    Outside the "IM" world, you can always find high-paying
    commission-only deals which you can leverage on your copywriting
    and advertising expertise.

    I'm NOT talking about copywriting jobs.

    I mean using your copywriting knowledge to help a
    seller/supplier to find a buyer.

    And believe it or not - all it takes can just be 1 simple email
    (with good copy of course) or 1 simple ad which may
    take you less than 1 hour to do.

    And the pay-off can potentially be multiple times what you
    will usually charge for a copywriting job.

    - Jag
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  • Profile picture of the author John_S
    If the copywriter is doing what they're supposed to be doing, they don't need to take contingency deals.

    Let's put this some other way. If they can sell non-contingency deals, why take a contingency?

    But lots of copywriters will take a contingency deal -- from people they've done business with in the past (often on cash up front basis).

    Anyone who tries the ploy which starts off "...if you were any good, you'd" as an opening bid to start off the relationship, is a write-off.

    Whose risk is it? It is mutual.

    I have people put paid letters in the drawer. What's the commission on a letter sitting in a drawer? Why on earth would you think there aren't three, five, eight or more contingency deals the guy doing the offering just won't ever get to?

    However, there are always alternatives.

    I don't get many of these offers cold. But when I do I consider them fair game to have a little amusement.

    No matter how outrageous the terms of the deal, I always start off my reply with "That's fine." For example...

    ....That's fine, please provide me contact details of two or three others who've taken this kind of deal, so I can chat with them about how that went for them.

    ....That's fine, please provide the signed contracts with major retailers (or really any details at all) proving a baseline figure of sales so you'll know exactly how much sales increased. Gary Halbert used to say copywriting is a sales multiplier -- and you can't multiply zeros without getting zero.

    ....That's fine, what third-party mechanism(s) have you set up for me to monitor gross sales? (Jay Abraham has his accountant go over the books of any joint venture partner).

    Pretty close to one hundred percent of the people making this offer will run from the hint of the slightest effort on their part. We're not talking risk, we're talking regular, generic, common sense due dilligence effort towards a workable deal.

    Rest assured, they only offer a piece of NOTHING. The way the deals are worded is the tipoff. They are universally percentage of net profit offers -- rarely if ever gross sales.

    There will always be some unforeseen expense which reduces your cut to roughly ZERO on percentage-of-profit deals. That's why people propose them. That's the tipoff they're not to be dealt with.

    Next, all these deals require no accountability, no verification, and no effort on the part of the person making the offer. The least little effort (it can be five minutes at zero cost to them) will usually kill these deals. That's the tipoff they're not to be dealt with.

    Part and parcel of this is utter ignorance about copywriting, usually with the final word on editing, changing, and "making it work." Strangely enough, without the least little test of their own stuff informing the decision to change yours. That's the tipoff they're not to be dealt with.

    Finally, the universal lack of a track record for Taking Action. It's all ASAP on your end -- and when I get around to it on theirs. And why would you want to pay if you had a bookcase of advice you've never put to work?

    In other words, I have no problem with pay for performance. But the people proposing pay for performance most certainly do.
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    • Profile picture of the author paradigmoneweb
      No.

      There are many factors in your marketing--product, market, price, list, demand, consumer preferences, major events--that you cannot control. Therefore, while you can and do guarantee your clients satisfaction with the copy before they test it, you cannot promise and cannot guarantee specific results.

      Your client is paying for the 'increased likelihood of conversion'. That's it. You also need to get paid for your time if you are dedicated to your craft.

      Besides if they could write good copy themselves, they wouldn't have hired you anyway. I would include a few revisions too free of charge to sweeten the pot but that's it.

      If every copywriter could guarantee results everyone would be billionaires and there would be no need for copywriters period. Clayton Makepeace is probably the highest paid copywriter in the world. He get's 3mil for short copy and he doesn't guarantee results, but apparently he makes enough for his clients to where they feel comfortable paying him those fees.

      Remember: The client bears the risk, not you.

      There is no magic bullet. If there was we'd all be retired right now eh?
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      • Profile picture of the author kindsvater
        Good responses. Expected responses. But let me take one paragraph (unfair I know) and dissect it:
        "There are many factors in your marketing--product, market, price, list, demand, consumer preferences, major events--that you cannot control."
        Product - that should be part of your evaluation - obviously. This is within your control. Evaluation of the product is something one would hope is considered to prepare copy.

        Market - ditto.
        Price - ditto.
        List - ditto.
        Demand - ditto.
        Consumer preferences - ditto.
        Major events - unsure. Maybe this should be 'unexpected' events.

        Tell me where I am wrong. If you are not evaluating the product, market, price, list, demand, the consumer, etc., how the heck are you writing copy?

        - To write copy I assume you have seen / used / at least know something about the product.

        - You know the price.

        - Do you bother to ask what marketing method you are writing copy for? A website? An email list? A mailed letter?

        - Don't you have an ideal target consumer in mind you are writing to?


        While one can never "control" everything (wouldn't it be great if we could force someone to buy a product), if you don't "know" these factors for a product I'll posit that you cannot effectively write copy for that product.



        Another stated issue is getting paid for your time. That misses my point. A copywriter's time is worth nothing to the buyer without results.

        And the issue of risk is the ultimate question - not a conclusion to be stated.


        I don't think those are really excuses at all for not generating sales. Nor are they issues out of your control.


        So go ahead and take me to task, and then I'll have another followup.
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        • Profile picture of the author MikeHumphreys
          Originally Posted by kindsvater View Post

          Good responses. Expected responses. But let me take one paragraph (unfair I know) and dissect it:
          "There are many factors in your marketing—product, market, price, list, demand, consumer preferences, major events—that you cannot control."
          Product - that should be part of your evaluation - obviously. This is within your control. Evaluation of the product is something one would hope is considered to prepare copy.

          Market - ditto.
          Price - ditto.
          List - ditto.
          Demand - ditto.
          Consumer preferences - ditto.
          Major events - unsure. Maybe this should be 'unexpected' events.

          Tell me where I am wrong. If you are not evaluating the product, market, price, list, demand, the consumer, etc., how the heck are you writing copy?

          - To write copy I assume you have seen / used / at least know something about the product.

          - You know the price.

          - Do you bother to ask what marketing method you are writing copy for? A website? An email list? A mailed letter?

          - Don't you have an ideal target consumer in mind you are writing to?


          While one can never "control" everything (wouldn't it be great if we could force someone to buy a product), if you don't "know" these factors for a
          product I'll posit that you cannot effectively write copy for that product.
          "Knowing" all of these factors still doesn't guarantee positive conversion rates. Once the copy is written and launched, it's pretty much out of your control, especially with offline marketing.

          * Ask any financial or investment-related business what happened to their business when 9/11 happened. It was a completely unexpected tragedy and any marketing that was already launched for these niches absolutely bombed because the target market's attention & focus (understandably so) dramatically changed. Marketing that was working suddenly flat-lined. [Not in the copywriters control]

          * You could write a direct mail salesletter for your client and they decide to save a few bucks and put in photocopies of the dollar bill your salesletter mentions in the first paragraph instead of the actual thing. I know a copywriter who this happened to and they immediately fired their client, especially after the client called to complain the salesletter was bombing on the second mailing (and the first mailing with a real dollar had converted nicely). [Not in the copywriters control]

          * A client of mine's product launch averaged 4-10% conversion rate on launch day, depending on the affiliate. Same salesletter that everyone sent their traffic to... the difference came down to the relationship the affiliates had with their respective list and effectively they pre-sold in their email (and yes, we provided email copy that they could use). [Not in the copywriters control]

          * One client project of mine, all of their affiliates made at least one sale, except one. This lone affiliate sent over 5K unique visitors and didn't make a sale... because the traffic was non-English speaking people being sent to an English-only salesletter. [Not in the copywriters control]

          * Yet another client of mine decided to follow some bad advice and more than triple the price on an existing product. The problem was the copy was written to sell the product at its original price and not 300% higher so the conversion immediately flat-lined. [Not in the copywriters control]

          I could give you even more examples but you should get the point.

          There are a lot of factors that are out of the copywriter's control, especially once the copy is delivered.

          Take care,

          Mike
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    • Profile picture of the author jasdon
      Originally Posted by John_S View Post

      If the copywriter is doing what they're supposed to be doing, they don't need to take contingency deals.

      Let's put this some other way. If they can sell non-contingency deals, why take a contingency?

      But lots of copywriters will take a contingency deal -- from people they've done business with in the past (often on cash up front basis).

      Anyone who tries the ploy which starts off "...if you were any good, you'd" as an opening bid to start off the relationship, is a write-off.

      Whose risk is it? It is mutual.

      I have people put paid letters in the drawer. What's the commission on a letter sitting in a drawer? Why on earth would you think there aren't three, five, eight or more contingency deals the guy doing the offering just won't ever get to?

      However, there are always alternatives.

      I don't get many of these offers cold. But when I do I consider them fair game to have a little amusement.

      No matter how outrageous the terms of the deal, I always start off my reply with "That's fine." For example...

      ....That's fine, please provide me contact details of two or three others who've taken this kind of deal, so I can chat with them about how that went for them.

      ....That's fine, please provide the signed contracts with major retailers (or really any details at all) proving a baseline figure of sales so you'll know exactly how much sales increased. Gary Halbert used to say copywriting is a sales multiplier -- and you can't multiply zeros without getting zero.

      ....That's fine, what third-party mechanism(s) have you set up for me to monitor gross sales? (Jay Abraham has his accountant go over the books of any joint venture partner).

      Pretty close to one hundred percent of the people making this offer will run from the hint of the slightest effort on their part. We're not talking risk, we're talking regular, generic, common sense due dilligence effort towards a workable deal.

      Rest assured, they only offer a piece of NOTHING. The way the deals are worded is the tipoff. They are universally percentage of net profit offers -- rarely if ever gross sales.

      There will always be some unforeseen expense which reduces your cut to roughly ZERO on percentage-of-profit deals. That's why people propose them. That's the tipoff they're not to be dealt with.

      Next, all these deals require no accountability, no verification, and no effort on the part of the person making the offer. The least little effort (it can be five minutes at zero cost to them) will usually kill these deals. That's the tipoff they're not to be dealt with.

      Part and parcel of this is utter ignorance about copywriting, usually with the final word on editing, changing, and "making it work." Strangely enough, without the least little test of their own stuff informing the decision to change yours. That's the tipoff they're not to be dealt with.

      Finally, the universal lack of a track record for Taking Action. It's all ASAP on your end -- and when I get around to it on theirs. And why would you want to pay if you had a bookcase of advice you've never put to work?

      In other words, I have no problem with pay for performance. But the people proposing pay for performance most certainly do.
      Excellent response! Particularly the last couple of lines.
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  • Profile picture of the author Bruce Wedding
    Think about Halbert's starving crowd and the hamburger joint... The copywriter has no effect on the offer being put in front of the starving crowd.

    PS: John_S, I loved your response.
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  • Profile picture of the author jtunkelo
    Should lawyers be paid only when they win the case? I think that's actually a pretty good analogy.

    I hate to say this, but I find in most cases a client suggests a commission based structure only to drive down the overall price out of pocket. There's no guarantee you'll ever see those commissions.

    Screenwriters know this all too well - the accounting can always be obfuscated so that it appears there's no profit at all.

    In short: going commission ONLY is asking for trouble. IMHO.
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    • Profile picture of the author Alex Cohen
      Screenwriters know this all too well - the accounting can always be obfuscated so that it appears there's no profit at all.
      It's best to negotiate a percentage of gross sales, not net. In my agreement, I define gross sales as "sales minus returns minus payment processor fees".

      In short: going commission ONLY is asking for trouble. IMHO.
      Life always has risks.

      For example, every time you drive a car, you take a risk. Of course you mitigate it to the highest degree possible with defensive driving and the safety features of the car. But risk is still present.

      When working for a percentage, do your due diligence beforehand. I have a list of things I ask myself (about the person and the project) before agreeing to work with a new client.

      Alex
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      • Profile picture of the author 247Copywriter
        I had a client last April on a commission deal. Initially loved the copy provided. His words? "You've found my voice exactly, this is excellent, just what I was looking for."

        It converted well. Very well in fact when the product launched. He made a respectable mid range 5 figure on the first day alone.

        A couple of weeks pass by. Said product owner starts to lose interest in his new product before pulling it down altogether, to 'concentrate on other things'.

        Where did that leave me? Let me tell you... high and dry.

        He refused to pay any commissions owed as previously agreed in writing. I was forced into a corner. He negotiated on his terms only. I came out of it with less than $3,000 as a lump payment for my copywriting.

        Would I ever put myself into this situation again? No.

        If someone wants copywriting... like anything else in this world... if you want it, it comes with a price attached.

        You don't want to pay any money to minimize your risk? That's your problem, not mine. If this is your attitude, I don't want you as a client.

        You want something? You pay for it. Simple.

        And now, we both make more money. You? On your initial investment. Me? For the time and marketing expertise and profits, I bring to the table.
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  • Profile picture of the author The Copy Nazi
    Banned
    Laughable. I counter with "Should lawyers only be paid on results?". I wish that were the case. In my experience you're all a bunch of crooks. Ringing me up and waffling on about nothing, sending me faxes I don't need, sending me photocopies I don't need - and all the time the meter's on. You bill on the quarter hour do you not? Charlatans the lot of you.
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    • Profile picture of the author kindsvater
      OK, I'll chime back in before too many take the easy road of tossing out well-deserved lawyer jokes. But keep in mind many lawyers are only paid on results.

      If I were to have posted - To have a more profitable 2011 copywriters should consider pricing their services like contingency attorneys - it may have been ignored, or my reasoning glossed over and then quickly forgotten.

      Forgive me for taking a different approach, but hopefully it got your mental juices flowing about a number of issues.

      When I take on a case I often end up knowing more about my client's business than they do. Background research on the judge, the opposing attorney, even my own client is vetted. I will know their industry lingo.

      Graphic example: I've had cases about botched funeral services. So I'll watch cremations. Spend time in the blood splattered embalming room. Subscribe to funeral industry publications. Attend industry trade conferences, etc.

      Why?

      Because lawyers and copywriters are really in the same business.

      The business of persuasion. A lawyer's goal is to convince a judge or jury to reach a certain decision. I've written a lot of "copy". They're called legal briefs and motions where you have 5 minutes of the judge's time and the issue at had could destroy your client's life or business.

      The copywriter's goal is no different. We will both use any and every trick, technique, strategy, etc. imaginable to obtain our goal.

      It's "my" case if I'm getting a contingency. So I'm not going to let someone screw it up. In fact, if they screw things up I have the contractual right to bail and I have the right to convert the contingency to an hourly arrangement to guarantee I'm paid for all of my time.


      Here are my thoughts on how copywriters can make changes in their business and make more money in 2011:

      - Instead of complaining about factors "not in your control", get them under your control and use that to justify taking a bigger reward.

      Attorney's contingency fees can run up to 50 percent. If you can deliver results, don't you deserve a bigger reward?

      Haven't you heard that the "new" thing is do it yourself services. Such as, don't teach someone how to market, do it for them and charge more.

      Are you just a copywriter? Or are you a marketing expert providing services that include copywriting?

      Why is it someone hires you? They want your persuasive skills to sell more product.

      For something like a direct mail piece your persuasive skills obviously do not start and stop with words in the sales letter. Everything from the list selection to the envelope to the font to the address to the color to the stamp to the return address to the PS to the offer to the risk reversal is all part of the persuasion (and a lot lot more things as well).

      Instead of "just" being a copywriter sell a marketing program.

      - You will write the sales page for a website.

      - You will have access to the owner's Aweber account and write emails to the owner's list over a period of 3 months.

      - You will do the mailing.

      - You will direct the demographic/selection criteria used for the mailing.

      - You will use your association of friends on the Warrior forum with lists to send out more emails.
      A note here: How much more powerful would your sales message be (i.e., why should someone hire you) if you could promote your copywriting skills PLUS access to a list of buyers already proven responsive to your writing?
      - You will receive and prepare the follow-ups to anyone asking questions from a website question form.

      Mike, I'm really glad you joined the thread:
      "You could write a direct mail salesletter for your client and they decide to save a few bucks and put in photocopies of the dollar bill your salesletter mentions in the first paragraph instead of the actual thing."
      Mike, why are you giving up control of the mailing? There's money to be made so don't let some cheap bonehead product owner screw it all up.

      You're the persuasion expert. The product creator is not.

      Let them focus on the product. You focus on the selling.

      If you charge $X for a letter charge $X + Y plus costs up front for the marketing plan.


      If you are just writing a letter, emailing your Word document to the buyer and leaving everything else up to another person, then yes, just get your fee. But I think you're leaving a lot of money on the table doing that.


      - How creative are you in your fees?

      Just an up-front fee?

      Just a commission?

      What about for free in exchange for a testimonial, right to use the client's name, marketing results, etc.?

      What about a combination if you're not confident enough to go all commission? Such as an up-front fee of $3000 applied to a 10 percent commission of gross sales.
      * Note gross sales. I agree there are ways to reduce the amount of net sales that everyone then has to argue about.
      What about costs up front (since you're going to be taking charge of factors 'out of your control')?

      What about stock ownership?

      What about a guarantee? If you are writing copy that includes a guarantee as a means of getting a sale, it is, frankly, contradictory to try and sell your services as a copywriter and to also not have a guarantee. Are you an exception to the rule about increasing sales? I think not.

      What about 'change orders'? Take a lesson from construction industry. If the owner wants to change your work, add something to a project, stop using their guarantee, change the sales process, etc., then you need to be appropriately paid because it can affect you.



      - Are you an expert in a particular niche?

      For example, maybe you know the IM niche and how to write ads that sell PPC services. Does that mean you can effectively write an ad for a funeral home? Maybe. Maybe not. But instead of marketing yourself as a copywriter, market yourself on the Warrior Forum as an Expert IM Marketer.



      - Are you branding yourself?

      It is interesting to see online sales pages where the graphics creator puts their name right in the footer graphic - telling all that they designed it.

      What recognition do you get?

      Have you ever considered putting your name in the sales letter, with the ultimate goal that when people in an industry see your name they become more inclined to purchase the product?

      Then it's self-fulfilling. You do the letter and create sales as a result.




      - Are your copywriting contracts worth sh*t?

      I saw this in the thread. Everyone is sorry this happened, but it could happen whether you have a contingency or fixed fee arrangement for any amount not paid up front:
      "He refused to pay any commissions owed as previously agreed in writing. I was forced into a corner. He negotiated on his terms only. I came out of it with less than $3,000 as a lump payment for my copywriting."
      You know whose fault this is? It's your fault. This is what should have happened:
      "He refused to pay any commissions owed as previously agreed in writing. I pointed to various provisions in the contract and forced him into a corner. I gave him 48 hours to pay before having my attorney publicly sue him for the fee, lost commissions, and outrageous attorney's fees. I was paid within 24 hours."
      - Do you ever tell a client no?

      This goes full circle back to my original post. If you can properly evaluate whether a product with a marketing plan is going to be gold versus a brick, then I think you can bring home a lot more money this year, even after factoring the projects that go south.
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      • Profile picture of the author MikeHumphreys
        Originally Posted by kindsvater View Post


        Mike, I'm really glad you joined the thread:
        "You could write a direct mail salesletter for your client and they decide to save a few bucks and put in photocopies of the dollar bill your salesletter mentions in the first paragraph instead of the actual thing."
        Mike, why are you giving up control of the mailing? There's money to be made so don't let some cheap bonehead product owner screw it all up.
        I'm swamped these days so I'm not on Warrior as much as I used to.

        That particular example wasn't my client.

        I have done royalty-based & JV deals in the past, present, and future.

        The key is doing them with the right clients who have the right marketing and business savvy to bring to the table.

        At the risk of insulting some of the people who read this, not every potential client has this level of skill or expertise nor ever will.

        An experienced client knows when to step back and let the expert (copywriter/marketing consultant) do what they do best and offer specific questions on key points of the campaign.

        The inexperienced client will try to micro-manage all of the details or worse.

        Take care,

        Mike
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        • Profile picture of the author AidenChong
          Originally Posted by MikeHumphreys View Post

          I'm swamped these days so I'm not on Warrior as much as I used to.

          That particular example wasn't my client.

          I have done royalty-based & JV deals in the past, present, and future.

          The key is doing them with the right clients who have the right marketing and business savvy to bring to the table.

          At the risk of insulting some of the people who read this, not every potential client has this level of skill or expertise nor ever will.

          An experienced client knows when to step back and let the expert (copywriter/marketing consultant) do what they do best and offer specific questions on key points of the campaign.

          The inexperienced client will try to micro-manage all of the details or worse.

          Take care,

          Mike
          That's the key point, and I agree, Mike.

          On my way to learn to be a local offline business development expert consultant, I find out what you've mentioned to be VERY TRUE.

          Thanks for sharing the insightful tips.

          Aiden
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      • Profile picture of the author 247Copywriter
        Originally Posted by kindsvater View Post

        OK, I'll chime back in before too many take the easy road of tossing out well-deserved lawyer jokes. But keep in mind many lawyers are only paid on results.

        If I were to have posted - To have a more profitable 2011 copywriters should consider pricing their services like contingency attorneys - it may have been ignored, or my reasoning glossed over and then quickly forgotten.

        Forgive me for taking a different approach, but hopefully it got your mental juices flowing about a number of issues.

        When I take on a case I often end up knowing more about my client's business than they do. Background research on the judge, the opposing attorney, even my own client is vetted. I will know their industry lingo.

        Graphic example: I've had cases about botched funeral services. So I'll watch cremations. Spend time in the blood splattered embalming room. Subscribe to funeral industry publications. Attend industry trade conferences, etc.

        Why?

        Because lawyers and copywriters are really in the same business.

        The business of persuasion. A lawyer's goal is to convince a judge or jury to reach a certain decision. I've written a lot of "copy". They're called legal briefs and motions where you have 5 minutes of the judge's time and the issue at had could destroy your client's life or business.

        The copywriter's goal is no different. We will both use any and every trick, technique, strategy, etc. imaginable to obtain our goal.

        It's "my" case if I'm getting a contingency. So I'm not going to let someone screw it up. In fact, if they screw things up I have the contractual right to bail and I have the right to convert the contingency to an hourly arrangement to guarantee I'm paid for all of my time.


        Here are my thoughts on how copywriters can make changes in their business and make more money in 2011:

        - Instead of complaining about factors "not in your control", get them under your control and use that to justify taking a bigger reward.

        Attorney's contingency fees can run up to 50 percent. If you can deliver results, don't you deserve a bigger reward?

        Haven't you heard that the "new" thing is do it yourself services. Such as, don't teach someone how to market, do it for them and charge more.

        Are you just a copywriter? Or are you a marketing expert providing services that include copywriting?

        Why is it someone hires you? They want your persuasive skills to sell more product.

        For something like a direct mail piece your persuasive skills obviously do not start and stop with words in the sales letter. Everything from the list selection to the envelope to the font to the address to the color to the stamp to the return address to the PS to the offer to the risk reversal is all part of the persuasion (and a lot lot more things as well).

        Instead of "just" being a copywriter sell a marketing program.

        - You will write the sales page for a website.

        - You will have access to the owner's Aweber account and write emails to the owner's list over a period of 3 months.

        - You will do the mailing.

        - You will direct the demographic/selection criteria used for the mailing.

        - You will use your association of friends on the Warrior forum with lists to send out more emails.
        A note here: How much more powerful would your sales message be (i.e., why should someone hire you) if you could promote your copywriting skills PLUS access to a list of buyers already proven responsive to your writing?
        - You will receive and prepare the follow-ups to anyone asking questions from a website question form.

        Mike, I'm really glad you joined the thread:
        "You could write a direct mail salesletter for your client and they decide to save a few bucks and put in photocopies of the dollar bill your salesletter mentions in the first paragraph instead of the actual thing."
        Mike, why are you giving up control of the mailing? There's money to be made so don't let some cheap bonehead product owner screw it all up.

        You're the persuasion expert. The product creator is not.

        Let them focus on the product. You focus on the selling.

        If you charge for a letter charge + Y plus costs up front for the marketing plan.


        If you are just writing a letter, emailing your Word document to the buyer and leaving everything else up to another person, then yes, just get your fee. But I think you're leaving a lot of money on the table doing that.


        - How creative are you in your fees?

        Just an up-front fee?

        Just a commission?

        What about for free in exchange for a testimonial, right to use the client's name, marketing results, etc.?

        What about a combination if you're not confident enough to go all commission? Such as an up-front fee of $3000 applied to a 10 percent commission of gross sales.
        * Note gross sales. I agree there are ways to reduce the amount of net sales that everyone then has to argue about.
        What about costs up front (since you're going to be taking charge of factors 'out of your control')?

        What about stock ownership?

        What about a guarantee? If you are writing copy that includes a guarantee as a means of getting a sale, it is, frankly, contradictory to try and sell your services as a copywriter and to also not have a guarantee. Are you an exception to the rule about increasing sales? I think not.

        What about 'change orders'? Take a lesson from construction industry. If the owner wants to change your work, add something to a project, stop using their guarantee, change the sales process, etc., then you need to be appropriately paid because it can affect you.



        - Are you an expert in a particular niche?

        For example, maybe you know the IM niche and how to write ads that sell PPC services. Does that mean you can effectively write an ad for a funeral home? Maybe. Maybe not. But instead of marketing yourself as a copywriter, market yourself on the Warrior Forum as an Expert IM Marketer.



        - Are you branding yourself?

        It is interesting to see online sales pages where the graphics creator puts their name right in the footer graphic - telling all that they designed it.

        What recognition do you get?

        Have you ever considered putting your name in the sales letter, with the ultimate goal that when people in an industry see your name they become more inclined to purchase the product?

        Then it's self-fulfilling. You do the letter and create sales as a result.




        - Are your copywriting contracts worth sh*t?

        I saw this in the thread. Everyone is sorry this happened, but it could happen whether you have a contingency or fixed fee arrangement for any amount not paid up front:
        "He refused to pay any commissions owed as previously agreed in writing. I was forced into a corner. He negotiated on his terms only. I came out of it with less than $3,000 as a lump payment for my copywriting."
        You know whose fault this is? It's your fault. This is what should have happened:
        "He refused to pay any commissions owed as previously agreed in writing. I pointed to various provisions in the contract and forced him into a corner. I gave him 48 hours to pay before having my attorney publicly sue him for the fee, lost commissions, and outrageous attorney's fees. I was paid within 24 hours."
        - Do you ever tell a client no?

        This goes full circle back to my original post. If you can properly evaluate whether a product with a marketing plan is going to be gold versus a brick, then I think you can bring home a lot more money this year, even after factoring the projects that go south.
        A long post does not make a man any more intelligent. Often they'll simply be more glaring holes in your presented case and/or argument.

        Your psychology is skewed in this post in many places... so many places in fact, it's impossible to point them all out to you. Unless of course you want to pay me for my time, upfront I add.

        Might be better for you to stick with law and leave the professional copywriters here to do what they do best.
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      • Profile picture of the author Collette
        You bring up excellent points about setting up the copywriter/client relationship properly, and CYA with a written contract.

        Originally Posted by kindsvater View Post

        ... But keep in mind many lawyers are only paid on results....
        I think you're missing a crucial difference between copywriting clients (especially IM clients) and contingency case clients.

        In contingency cases, the attorney's client really, REALLY wants or needs a favorable outcome. And the attorney is usually working within a precedent, making the initial evaluation easier and a favorable outcome more likely. It's a partnership where both parties have something tangible to lose.

        Copywriting clients, OTH, are all over the place. We rarely have a client for whom this marketing project is something they're willing to focus on to the exclusion of all else. The marketing project is another item on their "to-do" list. Which means, if there's a personal or professional "emergency" on their end, the project goes to the back of the list.

        If you're the copywriter on the other end relying on your 'partner' to hold up their end... you've got the wrong end of the stick. Sucks to be you.

        ...Why is it someone hires you? They want your persuasive skills to sell more product.

        ...There's money to be made so don't let some cheap bonehead product owner screw it all up.

        You're the persuasion expert. The product creator is not.

        Let them focus on the product. You focus on the selling.
        In a perfect world, this would be so. In the world of copywriting, clients are people; and people are imperfect. I'm jaded enough to no longer be amazed at the number of people who hire an 'expert' - only to ignore their expert advice. However, boneheads exist at all budget levels.

        This goes full circle back to my original post. If you can properly evaluate whether a product with a marketing plan is going to be gold versus a brick, then I think you can bring home a lot more money this year, even after factoring the projects that go south.
        I've never been approached cold by a client who had their s*&t together, and who offered a straight compensation deal. Maybe that's just me. I have had some very satisfactory arrangements with clients that paid me a decent retainer up-front, and a piece of the action.

        However, in my experience, it's a losing ROI for me to go through a thorough marketing evaluation with someone who can't even offer me the ghost of marketing budget. It's time-consuming for me to go through their business model with a fine-tooth comb, especially when I have no prior working relationship with them.

        Before I invest that kind of time and energy, I want to know who I'm dealing with, and that they're capable and committed. And typically, when someone presents a copywriter with one of these 'proposals' it's not a winning proposition.
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        • Profile picture of the author kindsvater
          I'm hearing that many product sellers are incompetent sh*t weasels.

          But they also want to make money and need to put food on the table too.

          So let me use some specifics and at same time address many issues argued to be beyond a copywriter's control.

          Why not take the existing control (if there is one) and run your copy against it with a fee based result?

          Admittedly some copy is not easily analyzed in this manner.

          But a website can have A/B splits. A new magazine ad results can be compared to the ad already running.

          Since this is an online forum take an online website you are preparing a sales page for. Run the A/B split for an agreed upon statistically significant period of time.

          If you don't beat the control then no fee is owed.

          If you do beat the control then you have a number from which a fee can be derived.

          For example:
          Current conversion rate is 1.5 percent.
          Your copy converts at 2.0 percent.

          $97 product. 1000 visitors per week.
          Current weekly revenue is 1000 * .015 * 97 = $1455
          Your copy revenue is 1000 * .02 * 97 = $1940

          Increased profit of $485 per week.

          Or:

          Your copy conversion rate is a revenue improvement of 33 percent.
          (20 - 15) / 15

          Artificially discounting the time and expense for the product seller in setting up the test, if the seller comes out $1 ahead it is a profitable decision to use your copy.

          Even if the copywriter is paid 90 percent of all sales revenue for an agreed upon period of time above $1455 per week, the product seller comes out ahead.

          Or consider this: the "commission" based upon the sample is 50% of proven increased revenue, or $242.50 paid weekly.
          "I deliver the copy, he shuts down the PPC ad campaigns and takes the presell site offline."
          Set the commission based $242.50 to be your guaranteed fee for a period of time based on the test results so the product owner has no incentive to commit financial suicide even more.

          While any testing can be subjected to shenanigans, if the copywriter and product seller do not have a sufficient level of trust not to try and skew the sampling results, the relationship may not be worth having.

          I have used a contingency agreement several times with a set floor and a set ceiling. Also called a high-low agreement. This could guarantee you some money in your pocket. It also limits how much you can be paid.

          No reason a copywriter couldn't do the same.

          In our example based on the split test results the commission is set at a minimum of $100 and maximum of $1000 per week for 3 months, with a commission rate of 50 percent of gross sales above $1455 per week.

          Hopefully the wheels are spinning with possibilities.

          My suggestion for avoiding incompetent sh*t weasels is that you come into the negotiation well prepared, educated, and with YOUR package and deal to be signed.

          --

          Perhaps someone can also take a swing at the seemingly contradictory position that a "must have" for an effective copy and sales process is a strong risk/reversal guarantee - except for the person writing the copy who is unwilling to guarantee the effective results of their work.
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  • Profile picture of the author auradev
    Lol, its a free country charge and do what you want.

    That being said, if you are such a good copy writer you won't need clients... therefore I say get as much money as possible up front. The world is too uncertain to try to make money on the back end when partners are involved.

    There are many stories of the gurus like Gary Halbert getting screwed over after making a client over 6 figures.

    But seriously, if you are so good, put your own money behind your offers and work out a licensing agreement or send traffic to a second domain and use software to track your sales.

    And never work on commission for a new product. Only established products so you can actually measure the improvement.
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    • Profile picture of the author Ross James
      Originally Posted by auradev View Post


      There are many stories of the gurus like Gary Halbert getting screwed over
      Gary Halbert wasn't a "Guru", he was thee alpha sh!tweasel -- a gurus guru.
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  • Profile picture of the author AidenChong
    On the last post, I can see where Brian is coming from...

    I think Rob (ccmusician) would love to read this thread.

    Thanks for posting this up, Brian.

    There are a lot of solid logical points and experience talking in here.

    Thanks for all of those who made an input.

    Aiden
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  • Profile picture of the author deannatroupe
    I like the fee + commission idea.
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  • Profile picture of the author fasteasysuccess
    It's funny, the people who want to hire people for only commissions on the back end without upfront investment are usually the ones who wont pay on time or correctly anyways.

    The legit and serious business owners and entrepreneurs know that you need to invest to have a return. Whether it's time, money or both.

    Fee plus percentage is the way to go and it keeps things more fair since investing time to create the copy and marketing and in business...time is always money.

    Plus like stated above, you could of written the best copy in the world and if they don't use it or want to send traffic to it, then that's not fair on our side.

    However, I do feel you should be able to back up what you say as well. If you charge someone to create copy or marketing, then you need to deliver value and bring to the table what you promised. If you deliver what you say you can, then you build profitable relationships with clients and it's a win/win.

    If you can't deliver results or keep your word, then get out of the game.
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    • Profile picture of the author OutOfThisWord
      Where a lot of newbees make a mistake is by thinking...

      ...if they have a tiny budget for copywriting, that some how they will get the same sales if they hired a competent copywriter.

      Or they want a competent copywriter to somehow deliver top notch work for a tiny budget.

      Many newbees simply don't have a business... but hope a good copywriter will give them one so they don't have to take any marketing risk.

      Top notch pros work off fees + commission.

      And some work in joint ventures... placing their marketing talents into the ring with an investor's money.

      Imagine if you had a tooth that needed to be extracted... and you rode around town asking dentists to give you a deal and then foolishly think you can get the same service from someone holding a sign on the corner.
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  • Profile picture of the author Raydal
    There are few marketers who see copywriters as team players.
    They see a copywriter's fee as a necessary evil. So the
    idea of paying the copywriter long after the initial writing
    is done is not very tasteful to them.

    I don't know how many Madison Ave firms create those
    30-seconds Super Bowl ads waiting on the sales for a
    commission. Of course they have no way of measuring
    how effective the as was anyway.

    When I meet a marketer who sees me as a partner
    in his business then you've struck gold. He knows
    that as I help him make money then I also need to
    participate in that success.

    But this is by far the EXCEPTION and now the rule.

    -Ray Edwards
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    • Profile picture of the author 247Copywriter
      Originally Posted by Raydal View Post

      There are few marketers who see copywriters as team players.
      They see a copywriter's fee as a necessary evil. So the
      idea of paying the copywriter long after the initial writing
      is done is not very tasteful to them.

      I don't know how many Madison Ave firms create those
      30-seconds Super Bowl ads waiting on the sales for a
      commission. Of course they have no way of measuring
      how effective the as (ad) was anyway.

      When I meet a marketer who sees me as a partner
      in his business then you've struck gold. He knows
      that as I help him make money then I also need to
      participate in that success.

      But this is by far the EXCEPTION and now (not) the rule.

      -Ray Edwards
      Quick couple of corrections to the above so it makes sense Ray.
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  • Profile picture of the author Dan Williams
    As a paying client of several good copywriters on this board I'm happy to see the majority saying "No" It would "double" my expense based on the outstanding overall results I've received from these guys. I know when I dealt with one particular writer he started asking about lifetime client value and it scared the crap out of me...thought he was headed toward commission based fees thankful to get the expertise and know my exact expenses irregardless if the piece bombs or goes great
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  • Profile picture of the author CDarklock
    Originally Posted by kindsvater View Post

    But what if sales are not increased? Who should bear the risk?
    There is no risk. You have a control. If my copy doesn't convert, you go back to the control. At worst, you have a temporary loss of sales.

    Meanwhile, you're asking me to risk a lot of time and effort for potentially not getting paid, when there are far too many variables you control.

    I'll occasionally do copy on a contingency basis, when I trust the client.

    Every single time, the client screws me.

    Let's say he has a page that converts his pre-sold traffic at 4% and he wants to convert at least 6%, so I agree to a contingency basis because I think I can make it 7% or better. Per our agreement, my fee will multiplied by half the percentage increase over 4% - so if I convert at 7%, I get fee and a half. I tell him exactly why I'm doing this (projected 7% conversion) and why I think it's a fair deal.

    I deliver the copy, he shuts down the PPC ad campaigns and takes the presell site offline. Now what little warm traffic is left gets a 404 error, and all I've got hitting my page is a trickle of organic search. I convert at less than 1% because I've written copy for a different audience. He grins and says "you didn't even beat my own amateur copy."

    Now, explain to me why I should do this for someone I don't trust.
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    "The Golden Town is the Golden Town no longer. They have sold their pillars for brass and their temples for money, they have made coins out of their golden doors. It is become a dark town full of trouble, there is no ease in its streets, beauty has left it and the old songs are gone." - Lord Dunsany, The Messengers
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