Getty announced pay cuts for editorial contributors and when PDN asked them if that was because they needed to lower their prices (here):
Asked whether Getty has found itself unable to compete for low-priced business without asking for concessions from suppliers, agency spokesperson Jodi Einhorn said, “No….[W]e are developing new ways for customers to use more of our content and as a result, new ways to pay contributors must be created in these situations.”
And exactly how will contributors benefit?
Getty is “making changes and improvements around how we share and license our content, which will benefit our photographers,” by providing more exposure and more potential for sales of their images.
Potential sales and exposure… photographers love that.
I don’t want to beat a dead horse over here… there’s a long thread of comments over on the PDN Pulse blog, but last time I brought up the Getty contract changes photographers found the discussion useful.
There’s no doubt that Getty has found a sweet spot in sales with their subscription model, unfortunately that means contributors are seeing lots of images sold for $5. I often get asked why someone doesn’t step in and create an agency with a better cut for photographers. Truth is, the higher priced sales are very labor intensive and require insurance. Given the choice between selling a handful of images for a million dollars and a million photos for a dollar, stock agencies will take the latter, because it can be done by a computer at no cost and no hassle.