The global graphic design industry is thriving, with projections indicating growth from $57.5 billion in 2023 to $59 billion by 2032 (Next Move Strategy Consulting). Nigeria mirrors this trend, as demand for design services continues to rise. However, inflation and the naira’s depreciation are presenting significant challenges for Nigerian designers, threatening their competitiveness and profitability.
This blog explores the key drivers of these challenges and offers actionable strategies to help Nigerian designers navigate the tough economic climate.
The Rising Costs for Designers in Nigeria: Currency Depreciation and Inflation
Previously, Nigeria’s relatively stable naira allowed designers to access affordable tools and services. Today, the naira’s volatility has drastically increased the cost of imported design tools, software, and resources. This forces designers to reassess their pricing strategies, balancing higher costs with the challenge of justifying rate increases to clients.
Quantifying Design Work
Unlike trades that involve tangible materials, design work is largely intangible, making it harder to convey its value. With operational costs rising, designers must adopt pricing models that reflect the time, skill, and resources required to complete a project.
Areas Where Designers Pay More in Nigeria
- Internet and Power Supply Costs
In Nigeria, unstable power supply and internet connectivity are significant pain points for designers. The cost of maintaining reliable internet and investing in power alternatives like generators and inverters adds to operational expenses. Telecom companies like MTN have raised prices for calls and data, while Starlink’s internet subscription has gone from N38,000 to N75,000—further increasing costs for Nigerian designers. - Subscription to Stock Assets
Designers often rely on platforms like Freepik, Envato, and Shutterstock for stock assets, but the devaluation of the naira has increased the cost of these services. While subscription fees in foreign currencies remain relatively stable, Nigerian designers are paying significantly more, which adds a layer of financial strain. - Cost of Living
Inflation in Nigeria is currently over 24%, which has dramatically increased the prices of everyday items like food and transportation. With fuel prices rising by more than 40% last year, it’s clear that designers are feeling the pinch. These increasing living costs make it even more essential for designers to adjust their pricing strategies. - Rising Software and Hardware Costs
Industry-standard tools such as Adobe Creative Cloud and CorelDRAW are becoming more expensive due to the naira’s depreciation. Additionally, hardware like high-performance laptops and drawing tablets is also increasing in price, as import duties and fluctuating exchange rates continue to inflate the cost.
How Designers Can Stay Profitable Despite Rising Costs
- Reevaluate Your Pricing Strategies
- Implement Value-Based Pricing: Instead of pricing services based on time or deliverables, consider using a value-based pricing model. This allows you to charge according to the value your work brings to your client’s business, rather than just the hours spent on the project.
- Tiered Pricing: Offering different pricing packages based on project complexity ensures that clients with varying budgets can still access your services while also ensuring you are fairly compensated.
- Diversify Your Revenue Streams
- Offer Workshops or Training: Many designers can supplement their income by offering online courses or workshops. This allows you to generate additional revenue while positioning yourself as a thought leader in the industry.
- Sign Up for Freelance Platforms: Platforms like YouDesign Today allow designers to connect with project owners across Africa and gain access to a wide variety of design projects. This is a great way to seek more gig opportunities and expand your client base.
- Increase Your Financial Literacy
- Track Expenses: Regularly monitor your operational expenses, including software subscriptions, internet costs, and power supply. By understanding where your money is going, you can identify areas for cost-cutting or adjustment.
- Plan for Currency Fluctuations: Given the volatility of the naira, it’s important to plan for currency fluctuations by adjusting your rates periodically to accommodate changes in exchange rates and inflation.
The Ultimate Goal of Doing Design Isn’t Fun
The goal of pursuing a career in design goes beyond creative expression—it is a means of survival. Designers should view their work as a source of recurring income, not merely as a creative outlet. While the devaluation of the naira presents challenges, designers can use this as an opportunity to reevaluate their approach to earning and even potentially increase their income. Staying informed about rising costs and adjusting pricing strategies accordingly is crucial in navigating these turbulent times.
Still wondering whether to raise your rates? Check out these insightful guides to help you stay informed and navigate the challenges ahead.
5 Top Roles in Design that Don’t Involve Design
I Chased a Client Tirelessly For My Money After Using My Design
Creative Jobs in Nigeria Sweet Pass Canada
I’ve stopped Pizza Dates with My Girlfriend – 3 Designers on Coping Inflation Habits
How To Make Your Money Matter During an Inflation
