In a world where rights managed and royalty free stock images compete for a graphic designer’s attention, it can be tricky deciding which license is the best option. Here are the definitions of each license and guidance on when to purchase RM and RF.
Rights managed images are considered as the "traditional" way to purchase photography. The images are essentially rented from the photo agency or individual photographer and a price for a specific use is negotiated. An additional fee will be added to the cost of the image rental if it is used for any other purpose.
When purchasing rights managed images, the designer or agency is paying an extra cost to have the photographer or photo agency "manage" who has the "rights" to the image. This option provides extra comfort knowing that a direct competitor or any other industry won't be plastering the same images on their campaigns.
Royalty free essentially means the borrower of the image does not have to pay royalties to use the image, but only a one time fee and they image is theirs to use as they wish for as many projects as they want.
Royalty free images are purchased by image size (the smaller the size, the cheaper the cost) or as part of a bulk album without a price negotiation or any knowledge of how the image will be used. Although royalty free images seem to give the designer more freedom they still have limitations.
Rights managed images will contain "more bang for your buck." There will be relatively little editing needed for these images and they are shot to tell a story and be the main visual within the graphic design project. It makes sense that the main attention-grabbing image is the one a company wants to protect from their competitors.
Royalty free images are more "tools" for designers with a lot of room for manipulation. Since they can be bought in bulk or for a low price, designers can use these images in many different creative ways and in a sense put their own stamp on an image that may be used over and over by other companies and designers.
Usually royalty free licensing is cheaper than rights managed. However, if the design campaign requires one or two strong images, paying several hundred dollars for a bulk stock CD when only one image is needed may not be the cost efficient option.
Rights managed images cost more because they are supposed to protect other designers from staking claim to images already spoken for. The American Society of Media Photographers shows an example on their website where Dell and Gateway used the same cornerstone image in both their campaigns. Depending on the scope of the design campaign and an inability, either through budget constraints or lack of time, to purchase custom images, this precaution is necessary and worth paying for.
If the project is smaller, or will contain many different images, royalty free is the way to go, but if the project becomes larger than originally expected, for example, the run goes from 100 prints to 5,000, the original royalty free contract may need to be revised and the stock company may ask for higher compensation for the images.
While there is normally a distinction between these two types of stock, a designer should carefully examine each stock agency's contract before purchasing. Dan Heller, photographer and photography business analyst, says on his photography business blog that the lines between RM and RF are not as distinct as they used to be. Therefore, assuming that because the agency says the image is royalty free does not mean the guidelines for distribution will be as flexible as the common definition states.