Parc Entertainment - A Video Production Company - Birmingham, AL

The above scene is from Jaws and it takes place right at the moment that Chief Brody gets his first look at the great white shark. It’s then that he realizes that he and his team underestimated just what they are up against. The same problem can occur in any video production. It’s easy to underestimate the scope of your project. What seemed like a simple, straightforward shoot and edit can quickly balloon into something entirely unexpected. The last thing that you, as a video producer, want to do is to go back to your client and say, “We’re going to need a bigger budget.” That’s not a fun conversation. Here’s what needs to happen to ensure that neither you nor your client underestimate the scope of the video project.

1. Everyone (both client and video producer) need to be upfront and honest at the beginning. You as a video producer should never over promise. Be clear on what your capabilities are. And you, the client, should never try to downplay what’s involved in producing the video. If you are working from a script and are not as prepared as you need to be, then you need to tell the video producer, “I’m going to need several takes to get this right.”
2. All decision-makers need to be involved from the very beginning. If the “higher-ups” wait to watch the video after everything has been shot, you may be forced to re-shoot portions of the video if they don’t like what they see. Re-shoots are costly. You as the client can avoid them by making sure that anyone who has to put his/her stamp of approval on the video is present for all important decisions.
3. When it comes to budgeting for post-production, the “less is more” mentality doesn’t work. More is more. In other words, you will always need more money for post-production than you think you do. Many clients (and video producers) underestimate just how much time will be spent editing the video. You may accurately gauge the hours you will spend assembling the edit, but you may neglect to consider time needed for encoding, making approval copies, delivering approval copies, approval meetings, phone calls with the client, making changes to the edit, re-working sections of the script, additional color correction, audio mixing, more encoding, more approval copies, etc. The list can go on and on, so you need to be prepared. Always budget more for post-production.

Video producers and clients need to work together so both parties clearly understand what’s involved in the production of any video. These tips are intended to help you avoid potentially awkward meetings wherein you have to ask for more money, because you simply underestimated what you were up against.

Knowing how much to spend on advertising is a struggle all businesses deal with - especially during a recession. When economic times are lean, the gut reaction is to jettison all the weight you deem “unnecessary,” batten down the hatches, huddle together with your staff, and pray for daylight. In the long run, however, how will that strategy help your business? Sure, you may weather the storm, but when you come out safe on the other side, you may find that your competitors have taken a huge lead in the marketplace. How come? Because while you were hiding in your office, they were still out there in front of the public, maintaining their visibility.

A.G. Lafley, former CEO of Procter & Gamble, said, “I think it’s more essential to innovate through a recession, and certainly what we are trying to do at P&G is to continue to bring sustaining and even disruptive new brands and products for our consumers, to make their lives better, to offer them a little more value.”

Professor Andrew J. Razeghi of Kellogg School of Management at Northwestern University said, “Moments of economic turbulence provide the unique opportunity to start new businesses, launch disruptive new products, and strengthen customer loyalty - often at a discount.” Razeghi has a great presentation entitled, “Innovating Through Recession.” You can read it in its entirety here.

Or consider this statistic from a McGraw Hill study that surveyed over 600 businesses: In the 1981-1982 recession, businesses that cut advertising spending, increased their sales 19%. Businesses that continued to spend on advertising increased their sales 275%.

The key difference between those who continued to spend money on advertising and those who didn’t is visibility. Businesses who continued to advertise were in a better position once the recession ended. They were in the forefront of the customer’s mind when he/she was ready to buy. Make the word “visibility” your motto this year. Get out in front of your customers. Advertise. Market your business. Strive to be the first company people think of when they are ready to buy.

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Grab the Market While the Competition Makes Cuts

I talk with many prospective clients who express interest in producing a video for their business. When all the discussions are over it’s time to sit down, fill out my budget, and submit the proposal to my contact. The cost of a video production is affected by several factors and so the budgeting process must be thought out very carefully. Otherwise, it can be easy to overlook certain items.

I have created a spreadsheet that itemizes just about everything that one could possibly have on a shoot. Those items are divided into categories for easy reference (Creative Fees, Crew, Per Diems, Travel, Editing Fees, etc.) One column lists my estimated costs and another column lists my actual costs. That way, at the end of the shoot I can compare both columns to see how accurate my original estimate was.

The main thing to do when budgeting a video shoot is to prioritize. In part one of this two-part series, I want to cover what I believe are your top priorities when creating a budget. In part two, I will go over those items in the bid that can easily be overlooked. Here are my suggestions:

Estimate Your Time

Start with yourself. Think about the amount of time that you will spend on this video project. Obviously you want to include the amount of time in production , but you never want to neglect the time you invest in the pre-production and post-production stages. Pre-Production includes conceptualization and scripting, scheduling the shoot, meeting with the client, scouting, meeting with the talent, and meeting with your crew. You’ll spend more time in pre-production than you might think, so budget accordingly. Post-production not only includes the time to edit, but it also includes your time to record the voice-over, meet with the client to go over the edit and make necessary changes. I always like to pad my post-production budget to account for revisions the client might ask for.

Estimate For Your Crew

After you ensure that your time is reflected in the budget, you want to allocate monies for your crew. Surround yourself with quality people and the entire project will turn out much better. Think about how many people you will need and how many days you will need them.

• If you aren’t as confident in your skills behind the camera, consider hiring a DP to handle the technical aspects of lighting, framing, etc.
• If you aren’t as confident in your abilities to manage the project and handle all the logistics of a production, consider hiring a producer.
• If you have on-camera talent, you might consider hiring a hair/make-up artist.

Aside from actual shooting days, will you need the crew to come in early for a tech scout? If so, make sure they are paid for their time. And don’t forget your post-production crew.

• Will you need an assistant editor to help you with the final cut?
• How about an audio engineer/mixer to record the voice-over?
• Will you need to hire a graphic designer to create a custom disc label and DVD warp-around?
• Will you need to hire a composer to write a custom music track?

Estimate Your Equipment

This is where you need to factor in the costs of any equipment rentals your shoot may require. Budgeting for a dolly or a camera jib will really increase the overall production quality of your video. In this category you also want to factor in the cost of your media:

• tape stock or solid state media cards
• hard drives
• blank DVDs (for when you need to send your client copies of the video for review)

Check back in on Monday, August 10 for part two on how to create a video production budget.

If you work in a company or non-profit with a proud history, there will come  a time when a committee will be organized to plan an event that coincides with  an important milestone. The event will feature all the usual fanfare, including a brief video that documents the history of the company or non-profit.

During one committee meeting, the chairperson will turn to you with a stack of tapes and DVDs, place them in front of you, and say, “Here’s some footage and still images from the past 50 years. I’m putting you in charge of getting this video edited.”

This can an overwhelming task, considering the amount of raw footage you have to work with. And the costs of post-production can get out of hand quick if you aren’t careful. So how can you keep your costs down and come out the other side with a polished product?

1. Don’t Procrastinate - This is the first mistake that many people make and it results from the belief that any video can be assembled at the last minute. Start talking to production companies right away and give them your deadline. Look at our previous post for tips on production schedules. Remember that some production companies will charge more for rush jobs. If you are duplicating the final video, you want to give yourself at least two weeks so the duplication house can turn the job around in plenty of time.
2. Log the Footage Yourself - Sorting through a lot of raw footage is incredibly time consuming, but if you want to keep your costs low, you need to be the one to log all the footage. Create a spreadsheet listing each tape by its numerical designation. Then, when one scene starts, record the timecode. Record the timecode again when that scene ends. This log sheet will help your editor find shots quickly and efficiently. It’s also important to make a note next to those shots that definitely need to be included in the video.
3. Write the Script, If You Are Qualified - I’ve worked with many clients who have their own marketing department and by the time I’m hired, they have a script in place for their video. Having a script prepared will help you keep your costs low, but remember that the quality of your final video depends a lot on the quality of the script. If you have experienced marketing people in your company, then you might want to consider writing the script in-house. Otherwise, specify to your production company that you will need their writing services.
4. Stay Away From Copyrighted Material - Sometimes you might need additional footage in your video to compliment what you already have. If you are on a tight budget and a tight time table, it would be wise to stay away from copyrighted material. Securing licensing rights can be time-consuming and expensive. Use public domain footage as an alternative. You can also buy stock footage and stock photos at a decent price.

The last thing you need when you are volunteering your time to produce a video for a public event is an anxiety attack. So, take time to educate yourself on the production process and you can keep your costs and your stress level low.

Part of being a successful freelancer or small business owner is having a specific vision for the type of work you want to go after. Early in your career, however, you might have to take jobs you wouldn’t ordinarily accept. But what happens when you are a few years into your career and a job is offered to you that doesn’t exactly fit with your vision? When should you take it and when should you pass?

1. Consider the Contact - the job itself might not be attractive, but if the individual offering you the job is someone who can offer bigger and better jobs in the future, it might be wise to take it. Do what you can to establish that relationship. If he or she is pleased with your work on the smaller jobs, they’ll be more inclined to come back to you later.
2. Consider Your Finances - Keeping an eye on your cash flow is important. If the three-month outlook isn’t where it needs to be, consider taking those smaller jobs to make ends meet.
3. Consider the Timeframe - How soon does the prospective client need the final product? If you can come through in a pinch with a quality product, your client will see you as a reliable resource and will be eager to hire you again.

Always consider the kind of reputation you are building. Evaluate it and make sure it’s a reputation that fits in with your goals.

I was recently approached by a potential client with a question, “I’m interested in putting together a 6-8 part educational DVD series. How much will that cost?” On another occassion I received a call from an individual who simply asked, “I want to do a video. How much will that cost?”

If your company puts you in charge of working with a production company to produce a marketing/promotional video, it’s important to understand the budgeting process. There are several factors involved in bidding a job, and there are some questions that you need to ask yourself before picking up the phone to call a video production company. The more specific you are, the more accurate the bid will be. Let’s use the example of the 6-8 part educational DVD series to understand some of the factors involved in bidding a video. Here are some variables that need to be addressed:

• How long will each of these videos be?
• What’s the desired format? Do you need single/multiple camera coverage of a live lecture? Do you need a single/multiple camera coverage of a round-table discussion? Will you require any dramatic re-enactments? on-camera interviews? fictional narratives to illustrate a point?
• Will you need HD or SD?
• Will you need the production company to conceptualize and script the series, or will you provide the materials?
• Will the series require a professional voice-over talent, or will the educator drive the series?
• Will you want to shoot on location? Where? A classroom? Auditorium? Will the location be interior or exterior?
• Will the videos require any motion animation or heavy graphics? If so, how much?
• Will the DVDs need to be replicated and packaged with graphic art? If so, will you need one color, two colors, four colors?

The answer to each of these questions will affect the budget of the entire production. They dictate how much crew will be needed on set, how much and what type of gear will be needed, whether actors need to be hired, whether sets need to be built, whether location fees need to be paid, etc.

I understand that sometimes you might not know the answers to these questions, but don’t panic. Talk to potential production companies and allow them to help you narrow your focus. Then you can be assured that you will receive a more accurate bid.