Nov 262011
 

Who wants birthday cake? This week Warmpicture turned seven moths old!

Time sure flies when you are having fun. It was late April of this year that we sounded the horn, calling the world’s best stock photographers to join an important movement in our industry. It’s hard to believe how excited we were to get those first several Warmpicture Turns 7 Monthscontributors on board, and upload those first few thousand photos.

Fast forward to present day, and we now have brand new contributors like Katrina Brown, Edie Layland, Leslie Banks, Sharpshot, Jane Rix and Ron Sumners calling Warmpicture their home. The image database grows by leaps and bounds every week.

I know it sounds wonky, but I cannot tell you how many times my jaw drops when new images roll in. The talent of these photographers is without bounds. These really are my favorite photographers. I am proud to partner with them, and proud to call them friends.

The State of the Stock Photography Industry

In 2010 through the middle of 2011, the state of the stock photos industry was at an all-time low for buyers and artists alike. The leading stock agency dropped commissions for its photographers to an industry-low 15% to 20%. When photographers  complained that keeping 80% to 85% of the profit was ridiculously greedy, the agency deleted or locked their forum posts to keep them quiet.

The leading European stock photo agency not only cut photographer Crying Baby Stock Photocommissions to new lows, but also “moved the goal posts” on them. For years they promised when photographers reached a certain number of downloads, they would be rewarded with higher commissions. When a number of photographers approached the download criteria, the stock agency raised the criteria to levels they would probably never approach.

At the same time, stock agencies were raising prices on buyers while trying to keep quiet the truth about the commissions they were paying to their artists. How much profit did they really need?

The power of the internet to move information is immense. It was inevitable the truth would eventually get out about the treatment of artists. You know what the say about karma?

It was also inevitable that artists would take matters into their own hands, and remove the power from the stock agencies. The Warmpicture stock photos model allows artists to come together and sell their images direct to the public. The artists are paid a fair commission of 50%, and can make up to 63% on subscription downloads.

Profit is not wasted on multiple layers of management and company overhead. Because we keep our costs low, we can keep prices low for designers and bloggers.

Growth of Services

Warmpicture continues to provide on demand stock photo downloads to its customers. The ability to download a photo without being required to buy an entire package of credits, has proven to be very popular.

This week we added a new way for designers and bloggers to purchase stock images in bulk at significant savings. We introduced the industry’s first no limit stock photo subscription plan. The new subscription model is transparent, and allows bloggers and designers to download as many images per day as they want, up to their monthly download limit.

This is a significant change because it greatly increases the chances that subscription buyers will “get their money’s worth.” A common practice by stock photo agencies is to promise a huge amount of downloads per month, but put unnecessary restrictions on daily downloads.

The only way for buyers to download their promised photo quota is to download the exact maximum daily amount, every day of the month. Rumors from industry insiders suggest that buyers use as little as 15% or less of their monthly quota, raising the price per photo to nearly $3 despite advertising the price per photo as $0.16 to $0.33.

With no daily download limits, Warmpicture allows bloggers and designers to download photos at a more reasonable pace. They have all month to reach their download quotas. If they skip a day of downloading, they don’t lose those downloads. Whenever a design project or article calls for a few photos, they can download them at their leisure.

Community Building

We are truly moved by the way the design community has rallied around the Warmpicture model. We find that people appreciate our transparency, and feel good about supporting their fellow artists.

community building stock imageWarmpicture outreach efforts include social connections through Facebook. At Twitter you can connect with me directly, and connect with Jami Garrison who leads our Twitter community.

The Warmpicture Blog has also proved to be a successful way for us to build community. We recognize designers and bloggers as fellow artists, and see them as our partners. Our blog builds a knowledge base for writing effective articles, creating winning designs, taking great photographs, and managing search engine optimization.

As we grow our community in the future, we will introduce new ways for the design and blogging community to partner with Warmpicture.

From all the artists at Warmpicture, we thank you for your support in our first seven months. We cannot wait to see what the future brings!

Nov 252011
 

The biggest liar in the world is a politician.

And the second biggest liar is a statistician.

Over the past several years, the popularity of stock photo subscriptions has skyrocketed. Nearly every stock photo agency offers some form of subscription plan these days. And the ads for these subscription plans remind us of another truism.

If it sounds too good to be true, it probably is.

Get this photo for as little as 16 cents! Download 750 images per month for only $249! Really? That equates to 33.2 cents per high resolution image. Aren’t they paying some of their photographers 35 to 40 cents per sold photo? How could any stock agency sell photos so cheaply and not go bankrupt?

The answer is, they can’t.

When a stock photo agency sells you a subscription, they know ahead of time that you will never download that many photos. They depend on you failing to get your perceived money’s worth. And they go out of their way to make it as difficult as possible for you to download your full quota.

A common technique is to combine your monthly download quota with a daily download quota. Sure, you could download 750 images in a month. But you are limited to 25 image downloads per day in a normal 30 day month. If you download only 10 photos on Monday, you can’t make it up by downloading 40 on Tuesday. Those 15 photos you never downloaded are gone forever.

Businessman Pulling Out Hair

Only 2 more hours to download 20 more photos!

Not working on the weekend? Too bad. There goes another 50 or so lost photos. Out of the office for a week? Another 175 downloads lost, with no opportunity to get a refund.

Nobody is Talking

As you might guess, the stock photo agencies aren’t telling anyone how many downloads per month subscribers actually use. However there have been some troubling rumors in recent years.

In a 2008 post to the Microstock Group forum, one of the world’s most successful stock photographers and businessmen, Yuri Arcurs, quoted an unnamed industry insider who claimed stock photo buyers use only 15 to 30% of their quota per month.

Yuri is a straight shooter in public forums, and as intelligent as he is talented. The math makes a lot of sense, and supports the claim that 70 to 85% of the stock photo download quota is lost.

If we assume only 15% of the downloads are used by the subscriber, then the $249 deal is for only 113 images, not 750. The cost per photo rises to $2.21. Now consider a photographer is being paid 33 cents per download. That yields a paltry commission percentage of 15% to the artist, while the agency keeps 85%.

Now that is how you make money! I think we are beginning to understand how Cashier Change stock photostock photo agencies get away with baiting buyers with super low prices.

They place barriers in front of customers, preventing them from downloading enough photos. And they keep the artist in the dark as to how low their commission really is.

Do Buyers Care?

If you are downloading stock images for you blog or your design business, you probably care quite a bit that you aren’t getting your download quota in your stock photo subscription plan.

But what about a person tasked with purchasing photos daily for a large business? The appeal of the subscription plan is strong for the business owner, who can set a budget of $200 to $250 every month for photos and simply forget about it. It wouldn’t be difficult to believe that the owner of a large business would be completely insulated from whether or not the business is getting its money’s worth.

The person further down in the company hierarchy, charged with downloading photos, probably has little to no concern about downloading a full quota. It’s not their money, right? Who gives up their lunch hour to catch up on stock photo downloads?

Stock Photo Subscription Recommendations

When considering if a stock photo subscription plan is right for your business, evaluate if you will be able to download anywhere near the quota given to you. Are there daily limits? If so, can you catch up on Tuesday if you don’t reach your quota on Monday?

Do some realistic math calculations to determine how much you are really paying per stock photo. Are you better off purchasing photos individually? Most people would likely save money by purchasing photos on demand, rather than racing against the subscription clock.

Talk to other stock photo buyers. How many photos did they download last month? How many did they pay to download?

We hope for transparency in the coming years regarding the statistics behind stock photo subscriptions. Buyers and artists each deserve to know what they are signing up for. Until then…

Let the Buyer Beware

Sep 182011
 

Stock Photos SubscriptionBy popular demand Warmpicture Stock Photos has increased the amount of downloads per month and per year for its subscription packages.

Our subscription packages are tailor made for bloggers, article writers, and anyone needing blog size stock photos and images.  As a subscriber, you may download 50 images per month for only $49. Or for even greater savings, you may become a Flex365 Annual subscriber and download up to 600 images per year for only $499.

We are also excited to announce that several more high profile stock artists have joined Warmpicture, allowing you to buy stock images direct from even more artists.

To keep up with the exciting updates at Warmpicture, we invite you to connect with us on Twitter:

http://www.twitter.com/Warmpicture_dan