A few days ago we received a call from a client who wanted a corporate website for your company. We asked for a requirements analysis and shortly we had it in the mail. He was very clear about what he wanted, both in terms of design and functionality. He even gave us some similar pages to the competition as an example. A level project.
We responded according to all the specifications, indicating the delivery times, approximate budget, and other details, and in less than 5 minutes he replied that the budget was getting out of hand, because he had thought spend about 500 euros.
This is a very typical case in this sector. A businessman who wants a great project, at the level of the first in his sector, to compete against the best, with a ridiculous budget, and a profound ignorance of the industry. That is why we are going to do a quick cost calculationto give you an idea of where the shots go:
The project in question took 2 two people for a month. Let’s see how much the price is per hour:
- €500 divided between 20 working days of the month: €25 per day (for both)
- €25 divided between 8 hours of the day: €3.12 (for both)
- €3.12 divided between the two workers: €1.45 per hour.
Considering that only the costs of those two people (gross wages and social security paid by the company) rub the 5,000 euros per month, the numbers do not appear anywhere. This without taking into account the fixed and indirect costs, such as office rent, monthly receipts, software licenses, etc.
So, if we factor in all the costs, and add our margin (because we have to live on something) a project of such characteristics would cost approximately 10,000 euros. Obviously, these costs will depend on the dimensions and requirements of each project, but considering that the price of a top programmer or designer is between 40 and 50 euros per hour, depending on the degree, and it is practically impossible to do anything in just 10 hours. And that’s why we can’t make websites for 500.
The title and concept of this article is based on the post “” of Sarah Parmenterfounder of who by the way, will be talking about this Tuesday.
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