Usage fee
In principle, we differentiate between the dependent on circulation (licenses, royalties) and the independent of circulation (performance-related usage rights) transfer of works for use. Both variants are described and critically evaluated below.
Granting of usage rights
Design works are made available to the customer for use. This means that designers and potential users agree on the way in which the work may be used by users. They are guided by the principle of copyright purpose transfer, which states that only the rights that users actually need to achieve the contractual purpose are transferred. Therefore, it is strongly recommended from the designer's point of view to formulate the contractual purpose regarding the intended use as precisely as possible. This calculation is usually based on this matrix of usage factors:
Detailed information in the webinar: "How do I determine the appropriate usage factor in times of digitalization?"
Determination of the usage fee
The usage fee can be individually determined based on the usage factors. Intermediate levels are also possible. The total usage factor can range from 0.5 for minimal usage to 6.0 for maximum usage.
The usage factors result from the sum of the individual factors: user group, usage area, duration of use, and scope of use. They depend on the extent to which the work is made available for use, rights are granted (exclusive users or non-exclusive user groups), the area (e.g. regional, national / a language area, D-A-CH etc., multiple country / language areas, worldwide), the duration (e.g. one year, several years, unlimited), and the agreed scope of use (e.g. type of media, circulation, online reach).
Example
https://www.landmetzger-schiessl.de
It is about designing a website for a small, private butcher shop in the Bavarian Forest on the border with the Czech Republic. It is a simple site with three subpages that should present the business, its owner and philosophy, and the main products.
| Design | 2.000,- € |
| Utilization factor 4.1 1,3 | 2.600,- € |
| Additional services | 1.000,- € |
| Total | 5.600,- € |
|---|
https://www.landmetzger-schiessl.de
This seems like a lot for a small butcher shop in Bavaria on the border with the Czech Republic, but a globally available online shop with German sausage specialties can quickly achieve a turnover that can absorb such a price with good design and marketing. In addition, there is the possibility to agree on a compensation model with the butcher, where he does not simply pay an invoice amount. Installment payments, turnover or revenue sharing are conceivable.
| Design | 2.500,- € |
| Utilization factor 4.1 | 10.250,- € |
| Additional services | 1.000,- € |
| Total | 13.750,- € |
|---|
This seems like a lot for a small butcher shop in Bavaria on the border with the Czech Republic, but a globally available online shop with German sausage specialties can quickly achieve a turnover that can absorb such a price with good design and marketing. In addition, there is the possibility to agree on a compensation model with the butcher, where he does not simply pay an invoice amount. Installment payments, turnover or revenue sharing are conceivable.
Utilization factor 0 = Compensation without use (design service)
The factor 0 is to be applied when only the design fee is incurred, that is, when a design service is not used, and no rights of use are granted to the clients or users.
More in the webinar: "How can my client and I regulate the price through the rights of use?"