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The Three Factors That Determine Your Speaking Fee

Your speaking fee actually doesn’t depend that much on what you think you’re worth.

Getting booked

Public speaking

Marketing

Andrew

Davis

Partner, Speaking Business Thought Leader

minute read

Published on

November 11, 2024

Calculating your speaking fee is much easier when you base it on deep market research.

“What’s your fee?”

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When those three words come out of an event planner’s mouth, do you wring your hands anxiously under the table? Does your heart start to beat a mile a minute? Do you worry they’ll discover your “made-up” speaking fee?

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Or… Are you able to confidently quote your fee because you know your value and what you bring to the table?

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Whether your current speaking fee is a number you plucked out of thin air or one based on the results from an online speaking-fee calculator, there are two important truths about fees to keep in mind. And there’s a better, more accurate way to calculate your fee—based on three key factors.

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This method for calculating your speaking fee allows you to expertly position yourself in the industry, negotiate smarter, and even understand your event organizer’s decision-making process.

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You’ll feel much more confident when quoting your fee, and you’ll get to know your market better—including the speakers who currently speak in your area. As you use this type of analysis more and more, you’ll be able to identify key areas of your performance and business that you need to uplevel to increase your value.

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Not to mention, it’ll set you apart from the majority of speakers who struggle to determine their value in the marketplace. You’ll know exactly what your speech is worth. And you’ll feel confident to share that number with event organizers. But before we get into that, let’s start with the two truths you should know.

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Two things you should know about fees

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When you know these two truths about speaking fees, it can take a lot of pressure off your back.

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Truth #1: It’s NOT about you, it’s about your speech.

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Many speakers unknowingly link their self worth to their speech’s dollar value. This turns negotiation into absolute torture. That’s why you should always remember this simple truth: you are not your speaking fee.

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Your speaking fee is based on your speech, not your value as a human being.

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This is actually great news for you. Why? Because there are specific performance techniques, rehearsal methods, and speech-writing strategies you can use to improve your speech and make it more and more valuable. And if you constantly iterate your speech, it will increase in value every time you deliver it.

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Truth #2: Your fee depends on perceived value.

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Understanding that your speech is what determines your speaking fee is only a piece of the puzzle. It’s also essential to realize that it’s not about how much you think your speech is worth, it’s about the perceived value of your speech.

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The dollar amount that you’re able to quote to event organizers does not depend on how many times you’ve spoken on the keynote stage. It doesn’t depend on how long you’ll be speaking. And it doesn’t depend on the event organizer’s budget either.

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It’s not even about how valuable you think your speech is. It’s all about how valuable the market thinks your speech is.

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This is key—value is in the eye of the beholder. Of course, there are certain factors that influence the perception of value a speech or a speaker might have.

Full Transcript

Don't

base your speaking fee on audience size, your personal interest in the event location, or how many times you’ve spoken before.

use deep market research to calculate your speaking fee.

Step inside an event planner’s mind

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When event planners are looking for speakers for their events, they want people who will fill the auditorium, craft exciting and memorable moments, and inspire and educate their audiences.

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After years of research and investigation into the nuances of the speaking business, Michael Port and I have discovered three factors that event planners take into consideration when hiring a speaker for an event:

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Fame
Entertainment
Expertise

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We call these the FEE Factors. These three components are essential for determining the perceived value of your speech (as we explained in our book, The Referable Speaker). The more famous you are, the more you entertain your audience, and the more expertise you bring to the table—the higher your quotable fee can be.

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The first factor—fame—is worth three times more than the other factors. Why? Because actors, athletes, and astronauts fill seats. Some audience members will attend the event only to see them speak. That’s why a speaker like Serena Williams can command a very high speaking fee—even without as high of an entertainment or expertise factor as other speakers.

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Now, fame is relative. Even if your name is not immediately recognized by the general public, if you have a high level of domain fame, your name might be easily recognized by people in your industry or your specific knowledge sphere.

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And even if you aren’t world famous, you can increase your perceived value by looking at the other two factors—entertainment and expertise.

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How to use the FEE Factors to calculate your speaking fee

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Your quotable fee needs to be based on research—deep, thorough, and honest market research. And the FEE Factors can guide you as you evaluate your speech and compare it with those of other speakers in your industry. Here’s how it works:

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Step 1: Choose three speakers in your industry.

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To accurately evaluate your speech’s value in the market, you need to know what’s in the market. Choose a few speakers who speak at the same type of events that you do. They should be people in your industry and people who speak about as often as you do.

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For example, in my list, I’d include speakers like Marcus Sheridan, Jay Baer, and Ann Handley. Many of the event organizers who contact me have also contacted them to speak at events, and we all have about the same level of worldly fame.

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It can feel weird comparing yourself to other speakers, but remember, this is about perceived value. It’s not about how “good” or “bad” I am as a speaker compared to other speakers. And I don’t think of these incredible speakers as competitors (in fact, some of them are close friends).

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In my FEE Factor analysis, I’m not comparing my value as a person to theirs. Instead, I’m using research and specific factors to determine my fee—as honestly and objectively as I can.

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Step 2: Figure out their speaking fee.

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Often, with just a quick Google search you can find a speaker’s fee. Most speaker bureau websites have fee ranges listed for the majority of speakers. If you’re close to the speakers you chose, you can even send them a quick email and ask them if they’d be willing to share what they’re charging.

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Make sure the speakers you choose are speaking about as often as you. This will prevent a skewed final calculation.

Don't

choose to analyze a speaker who’s speaking much more frequently (or much less frequently) than you.

research how often they speak by looking up agendas, recent appearances, or social media calendars.

Step 3: Rank them on the FEE Factor scales.

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Now it’s time to do some research. Remember, the quality of research will affect the accuracy of your FEE Factor analysis. The better the research, the more clarity you’ll have about your speaking fee.

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For each of the three FEE Factors, evaluate each speaker on a scale of 1 to 10.

How famous are they? A ranking of 1 means they are unknown, while a 10 means they’re celebrity famous.
How entertaining are they? A novice presenter would earn a 1, while a transformational performer would earn a 10.
What’s their level of expertise? A ranking of 1 would be a subject matter expert and a ranking of 10 would be visionary leader status.

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Now, each of these three FEE Factors has specific subfactors that you can use to assess yourself and other speakers on as well (we talk about these same subfactors in The Referable Speaker). Including these factors in your research will give you an even more accurate analysis and final fee calculation.

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Step 4: Rank yourself on the FEE Factor scales.

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Ranking other speakers on the FEE Factor scales is often much easier than ranking yourself. I know you want to be as accurate as possible, but don’t get caught up in the nitty-gritty. Try to be as objective as possible and be reasonable. Then, just pick a number and move on (you’ll get better at this the more you use the FEE Factor analysis).

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For example, Jay Baer and I probably have about the same level of fame, so I’d rank him at a 5 and myself at a 4. When it comes to entertainment, Jay has a fantastic signature bit and consistently and reliably delivers a transformational experience—and I do too! So I’ll give us both a 9. As far as perceived expertise, Jay Baer is a New York Times bestselling author of seven books. I’ve got a few books up my sleeve, but not as many as Jay, so I’ll give him a 9 and myself an 8.

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The FEE Factors fringe benefit

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After you’ve thoroughly researched the speakers you’ve chosen to analyze, you’ll realize that you’ve learned quite a bit about them and their speeches.

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This not only allows you to accurately compare yourself to them on a dollar basis, it also lets you get to know your market better. These speakers are in your industry, speak at the same events you do, and often work with the same event planners.

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They can be a huge help to you (and you to them) as you advance in your speaking career. Now that you’ve researched them, you’ll have so much more to talk about when you meet them—it’ll be easier to begin a conversation and a business relationship.

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The more speakers you have in your circle, the more opportunities you’ll have for referrals and the more you’ll be able to help each other. Remember, the speaking business is all about relationships, and other speakers can be your most valuable asset!

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There’s a better way to calculate your fees.

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Now, this short introduction to the FEE Factors has been a 10,000-foot view of this important market research process. Each of the three factors can be subdivided into other related aspects within that category that you can use to compare your speech (and increase your value).

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There’s even a handy-dandy spreadsheet you can use to easily compare yourself with other speakers in your industry and actually calculate your fee—based on the FEE Factor research you’ve done.

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With this FEE Factor spreadsheet calculator, all you have to do is input the speaker’s fee and the different rankings for the FEE Factor values, and it automatically calculates your speaking fee. It’ll take an average of the results from the three speakers you analyzed and show you the dollar value of your speech.

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You see, it takes more than just a nine-minute read to fully comprehend and apply this powerful fee analysis, which is why we spend a whole week diving into this process in GRAD | Speaking Business Mastery.

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In this 12-week program, you get the full explanation of the FEE Factors, lifetime access to the FEE Factor spreadsheet, and we’ll walk you through, step by step, how to research, compare, and calculate your speaking fee. And that’s just a sliver of the program. There’s much, much more.

Don't

"I just landed my first big gig... above the fee I calculated in week 2. They wanted a speech and a deeper dive 'workshop-style' training. I quoted a higher fee, negotiated, and got a signed agreement with full payment for $8,500. I can't thank y'all enough for leading me to this!"

Rich Ingram

Professional Keynote Speaker

When you first start using the FEE Factor analysis to calculate your speaking fee, you might feel insecure or uncomfortable. But if you can push through the awkward beginning, you’ll find that this analysis gives you the confidence to negotiate successfully and transparently with event organizers.

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If, after doing your calculations, your fee isn’t as high as you expected it to be, don’t be discouraged. Start testing your fee, booking gigs, and getting the momentum you need. As you keep refining your speech and earning more stageside leads, you’ll be able to consistently build your value and increase your fees.

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So many speakers unknowingly slow down their progress by asking for high fees—without having the value or momentum to keep booking at that high rate. They often don’t realize that having the wrong quotable fee is one of the most foolproof ways to lose a gig before negotiations even begin.

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When you have the right fee, you’ll have the confidence to negotiate better, overcome objections easily, and provide value to your clients. You’ll know exactly what you can do to increase your value and raise your fee. And you’ll win more gigs and speak more often because of it.

Don't

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Helpful Links

Get the FEE Factor Spreadsheet Calculator

GRAD

|

Speaking Business Mastery

Step-by-step instructions to research, calculate, and use your new speaking fee. Building a sustainable speaking business has never been more simple.

Learn more

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Step inside an event planner’s mind

‍

When event planners are looking for speakers for their events, they want people who will fill the auditorium, craft exciting and memorable moments, and inspire and educate their audiences.

‍

Fame
Entertainment
Expertise

‍

And even if you aren’t world famous, you can increase your perceived value by looking at the other two factors—entertainment and expertise.

‍

How to use the FEE Factors to calculate your speaking fee

‍

Step 1: Choose three speakers in your industry.

‍

In my FEE Factor analysis, I’m not comparing my value as a person to theirs. Instead, I’m using research and specific factors to determine my fee—as honestly and objectively as I can.

‍

Step 2: Figure out their speaking fee.

‍

Make sure the speakers you choose are speaking about as often as you. This will prevent a skewed final calculation.

Dont

choose to analyze a speaker who’s speaking much more frequently (or much less frequently) than you.

research how often they speak by looking up agendas, recent appearances, or social media calendars.

Step 3: Rank them on the FEE Factor scales.

‍

For each of the three FEE Factors, evaluate each speaker on a scale of 1 to 10.

How famous are they? A ranking of 1 means they are unknown, while a 10 means they’re celebrity famous.
How entertaining are they? A novice presenter would earn a 1, while a transformational performer would earn a 10.
What’s their level of expertise? A ranking of 1 would be a subject matter expert and a ranking of 10 would be visionary leader status.

‍

Step 4: Rank yourself on the FEE Factor scales.

‍

The FEE Factors fringe benefit

‍

After you’ve thoroughly researched the speakers you’ve chosen to analyze, you’ll realize that you’ve learned quite a bit about them and their speeches.

‍