2010/10/11 at 23:09
schen2000 edited message on 2013/02/07 at 06:47
BREAK EVEN AVERAGEbreak-even point (BEP) is the point at
which cost or expenses and revenue are equal:
there is no net loss or gain, and one has "broken even".
A profit or a loss has not been made, although
opportunity costs have been paid, and capital has
received the risk-adjusted, expected return.
Basically if your break even avg is 1.4
For example:
With 20 rented referrals you will need
an average of 28 clicks every day to break even.
(28 / 20 = 1.4)
With 20 referrals that means an average
of 28 clicks or more from your referrals
each day you're in profit for the days
owning the refs.
2010/01/25 at 14:18
GrTaMaster edited message on 2011/07/23 at 11:46
Including
membership type and number of referrals, here are those averages that
you need to break even at the end of each month(s) or after 15 days. You
can find calculations for Standard, Golden, Ultimate, Sapphire and
Diamond membership (Emerald and Platinum are the same as Sapphire and
Diamond, except the monthly payment discounts).Computation methods can be found under the examples to calculate individual cases, follow them separately and sequentially or you might get false values.
Don't forget, while the break even averages can give you a base to efficient recycling, don't just rely on these. The past behaviour of the referrals are also as important as their averages.
Important: First renting is for 30 days without the 5% discount, which is gained by the 30-day renewals. In short: renewing for 30 days is cheaper than renting. To calculate the averages needed for the first "renting" month, just skip point 2. everywhere.
______________________________________________________________________________________
Standard members: - 1-250 referrals
*Renewing for 15 days:.....1,333
*First renting month:........1,333
*Renewing for 30 days:.....1,267
*Renewing for 60 days:.....1,200
*Renewing for 90 days:.....1,089
*Renewing for 150 days:...1,000
*Renewing for 240 days:...0,933
- 251-300 referrals
*Renewing for 15 days:.....1,467
*First renting month:........1,400
*Renewing for 30 days:.....1,333
*Renewing for 60 days:.....1,267
*Renewing for 90 days:.....1,156
*Renewing for 150 days:...1,053
*Renewing for 240 days:...0,983
Note: The break even average for standards is the same from 1-250 and also the same ($0,01 higher) from 251-300 referrals (as there is no membership cost involved).
Computation method for Standard members
Average needed to break even:
1. Check the cost of 1 referral (in cents) for your number of referrals on the Help page (for example: 20 cents between 0->250)
2.
Divide by 2 if renewing for 15 days,|
multiply by 0,95 (5% discount) if renewing for 30 days,|
multiply by 2 and 0,9 (10% discount) if renewing for 60 days,|
multiply by 3 and 0,82 (18% discount) if renewing for 90 days,|
multiply by 5 and 0,75 (25% discount) if renewing for 150 days,|
or multiply by 8 and 0,7 (30% discount) if renewing for 240 days.
Round the number you got to an integer if needed (for example 11,5 -> 12, 54,12 -> 54)
3. Multiply by 2 (as a standard, you recieve 0,5c after a referral click)
4. Divide by 15/30/60/90/150/240 depending on your renewing
______________________________________________________________________________________
Golden members: (including the yearly golden price)
- 200 referrals
*Renewing for 15 days:.....0,790 (0,667)
*First renting month:........0,790 (0,667)
*Renewing for 30 days:.....0,757 (0,633)
*Renewing for 60 days:.....0,723 (0,600)
*Renewing for 90 days:.....0,668 (0,544)
*Renewing for 150 days:...0,623 (0,500)
*Renewing for 240 days:...0,590 (0,467)
- 500 referrals
*Renewing for 15 days:.....0,783 (0,733)
*First renting month:........0,749 (0,700)
*Renewing for 30 days:.....0,716 (0,667)
*Renewing for 60 days:.....0,683 (0,633)
*Renewing for 90 days:.....0,627 (0,578 )
*Renewing for 150 days:...0,576 (0,527)
*Renewing for 240 days:...0,541 (0,492)
- 1200 referrals
*Renewing for 15 days:.....0,821 (0,800)
*First renting month:........0,821 (0,800)
*Renewing for 30 days:.....0,787 (0,767)
*Renewing for 60 days:.....0,737 (0,717)
*Renewing for 90 days:.....0,676 (0,656)
*Renewing for 150 days:...0,621 (0,600)
*Renewing for 240 days:...0,579 (0,558 )
- 2000 referrals
*Renewing for 15 days:.....0,946 (0,933)
*First renting month:........0,912 (0,900)
*Renewing for 30 days:.....0,879 (0,867)
*Renewing for 60 days:.....0,829 (0,817)
*Renewing for 90 days:.....0,746 (0,733)
*Renewing for 150 days:...0,686 (0,673)
*Renewing for 240 days:...0,641 (0,629)
Lowest possible average needed with the number of 500 referrals.
Computation method for Golden members
Average needed to break even:
1. Check the cost of 1 referral (in cents) for your number of referrals on the Help page (for example: 20 cents between 0->250)
2.
Divide by 2 if renewing for 15 days,|
multiply by 0,95 (5% discount) if renewing for 30 days,|
multiply by 2 and 0,9 (10% discount) if renewing for 60 days,|
multiply by 3 and 0,82 (18% discount) if renewing for 90 days,|
multiply by 5 and 0,75 (25% discount) if renewing for 150 days,|
or multiply by 8 and 0,7 (30% discount) if renewing for 240 days.
Round the number you got to an integer if needed (for example 51,66 -> 52 )
3. Multiply by your number of referrals
4.
Add 369,86 (half of the monthly cost of golden membership in cents) if renewing for 15 days,|
add 739,73 (monthly cost of golden membership in cents) if renewing for 30 days,|
add 2*739,73 if renewing for 60 days,|
add 3*739,73 if renewing for 90 days,|
add 5*739,73 if renewing for 150 days,|
or add 8*739,73 if renewing for 240 days.
5. Divide by your number of referrals
6. Divide by 15/30/60/90/150/240 depending on your renewing
______________________________________________________________________________________
Ultimate members: (including the yearly golden+ultimate price)
- 1000 referrals
*Renewing for 15 days:.....0,935 (0,667)
*First renting month:........0,935 (0,667)
*Renewing for 30 days:.....0,902 (0,633)
*Renewing for 60 days:.....0,868 (0,600)
*Renewing for 90 days:.....0,813 (0,544)
*Renewing for 150 days:...0,768 (0,500)
*Renewing for 240 days:...0,735 (0,467)
- 2500 referrals
*Renewing for 15 days:.....0,907 (0,800)
*First renting month:........0,907 (0,800)
*Renewing for 30 days:.....0,874 (0,767)
*Renewing for 60 days:.....0,824 (0,717)
*Renewing for 90 days:.....0,763 (0,656)
*Renewing for 150 days:...0,707 (0,600)
*Renewing for 240 days:...0,666 (0,558 )
- 4199 referrals
*Renewing for 15 days:.....0,864 (0,800)
*First renting month:........0,864 (0,800)
*Renewing for 30 days:.....0,831 (0,767)
*Renewing for 60 days:.....0,781 (0,717)
*Renewing for 90 days:.....0,719 (0,656)
*Renewing for 150 days:...0,664 (0,600)
*Renewing for 240 days:...0,622 (0,558 )
Computation method for Ultimate members
Average needed to break even:
1. Check the cost of 1 referral (in cents) for your number of referrals on the Help page (for example: 20 cents between 0->250), and deduct 3 cents above 20 cents (renewing discount for ultimates, for example if you have 1700 referrals (26 cents), calculate with 26-3 = 23)
2.
Divide by 2 if renewing for 15 days,|
multiply by 0,95 (5% discount) if renewing for 30 days,|
multiply by 2 and 0,9 (10% discount) if renewing for 60 days,|
multiply by 3 and 0,82 (18% discount) if renewing for 90 days,|
multiply by 5 and 0,75 (25% discount) if renewing for 150 days,|
or multiply by 8 and 0,7 (30% discount) if renewing for 240 days.
Round the number you got to an integer if needed (for example 51,66 -> 52 )
3. Multiply by your number of referrals
4.
Add 4027,40 (half of the monthly cost of golden+ultimate membership in cents) if renewing for 15 days,|
add 8054,79 (monthly cost of golden+ultimate membership in cents) if renewing for 30 days,|
add 2*8054,79 if renewing for 60 days,|
add 3*8054,79 if renewing for 90 days,|
add 5*8054,79 if renewing for 150 days,|
or add 8*8054,79 if renewing for 240 days.
5. Divide by your number of referrals
6. Divide by 15/30/60/90/150/240 depending on your renewing
______________________________________________________________________________________
Sapphire members: (including the yearly golden+sapphire price)
- 400 referrals
*Renewing for 15 days:.....0,927 (0,667)
*First renting month:........0,927 (0,667)
*Renewing for 30 days:.....0,894 (0,633)
*Renewing for 60 days:.....0,860 (0,600)
*Renewing for 90 days:.....0,805 (0,544)
*Renewing for 150 days:...0,760 (0,500)
*Renewing for 240 days:...0,727 (0,467)
- 1200 referrals
*Renewing for 15 days:.....0,887 (0,800)
*First renting month:........0,853 (0,767)
*Renewing for 30 days:.....0,820 (0,733)
*Renewing for 60 days:.....0,770 (0,683)
*Renewing for 90 days:.....0,720 (0,633)
*Renewing for 150 days:...0,660 (0,573)
*Renewing for 240 days:...0,624 (0,538 )
- 2500 referrals
*Renewing for 15 days:.....0,908 (0,867)
*First renting month:........0,908 (0,867)
*Renewing for 30 days:.....0,875 (0,833)
*Renewing for 60 days:.....0,825 (0,783)
*Renewing for 90 days:.....0,753 (0,711)
*Renewing for 150 days:...0,695 (0,653)
*Renewing for 240 days:...0,650 (0,608 )
Lowest possible average needed with the number of 1000 referrals.
Computation method for Sapphire members
Average needed to break even:
1. Check the cost of 1 referral (in cents) for your number of referrals on the Help page (for example: 20 cents between 0->250), and deduct 1 cent above 20 cents (renewing discount for sapphires, for example if you have 1700 referrals (26 cents), calculate with 26-1 = 25)
2.
Divide by 2 if renewing for 15 days,|
multiply by 0,95 (5% discount) if renewing for 30 days,|
multiply by 2 and 0,9 (10% discount) if renewing for 60 days,|
multiply by 3 and 0,82 (18% discount) if renewing for 90 days,|
multiply by 5 and 0,75 (25% discount) if renewing for 150 days,|
or multiply by 8 and 0,7 (30% discount) if renewing for 240 days.
Round the number you got to an integer if needed (for example 51,66 -> 52 )
3. Multiply by your number of referrals
4.
Add 1561,64 (half of the monthly cost of golden+sapphire membership in cents) if renewing for 15 days,|
add 3123,29 (monthly cost of golden+sapphire membership in cents) if renewing for 30 days,|
add 2*3123,29 if renewing for 60 days,|
add 3*3123,29 if renewing for 90 days,|
add 5*3123,29 if renewing for 150 days,|
or add 8*3123,29 if renewing for 240 days.
5. Divide by your number of referrals
6. Divide by 15/30/60/90/150/240 depending on your renewing
______________________________________________________________________________________
Diamond members: (including the yearly golden+diamond price)
- 600 referrals
*Renewing for 15 days:.....0,932 (0,667)
*First renting month:........0,932 (0,667)
*Renewing for 30 days:.....0,898 (0,633)
*Renewing for 60 days:.....0,865 (0,600)
*Renewing for 90 days:.....0,809 (0,544)
*Renewing for 150 days:...0,765 (0,500)
*Renewing for 240 days:...0,732 (0,467)
- 1700 referrals
*Renewing for 15 days:.....0,893 (0,800)
*First renting month:........0,893 (0,800)
*Renewing for 30 days:.....0,860 (0,767)
*Renewing for 60 days:.....0,810 (0,717)
*Renewing for 90 days:.....0,749 (0,656)
*Renewing for 150 days:...0,693 (0,600)
*Renewing for 240 days:...0,652 (0,558 )
- 3000 referrals
*Renewing for 15 days:.....0,920 (0,867)
*First renting month:........0,886 (0,833)
*Renewing for 30 days:.....0,853 (0,800)
*Renewing for 60 days:.....0,803 (0,750)
*Renewing for 90 days:.....0,742 (0,689)
*Renewing for 150 days:...0,680 (0,627)
*Renewing for 240 days:...0,636 (0,583)
Lowest possible average needed varies on the term of renewing.
Computation method for Diamond members
Average needed to break even:
1. Check the cost of 1 referral (in cents) for your number of referrals on the Help page (for example: 20 cents between 0->250), and deduct 2 cents above 20 cents (renewing discount for diamonds, for example if you have 1400 referrals (25 cents), calculate with 25-2 = 23)
2.
Divide by 2 if renewing for 15 days,|
multiply by 0,95 (5% discount) if renewing for 30 days,|
multiply by 2 and 0,9 (10% discount) if renewing for 60 days,|
multiply by 3 and 0,82 (18% discount) if renewing for 90 days,|
multiply by 5 and 0,75 (25% discount) if renewing for 150 days,|
or multiply by 8 and 0,7 (30% discount) if renewing for 240 days.
Round the number you got to an integer if needed (for example 51,66 -> 52 )
3. Multiply by your number of referrals
4.
Add 2383,56 (half of the monthly cost of golden+diamond membership in cents) if renewing for 15 days,|
add 4767,1233 (monthly cost of golden+diamond membership in cents) if renewing for 30 days,|
add 2*4767,12 if renewing for 60 days,|
add 3*4767,12 if renewing for 90 days,|
add 5*4767,12 if renewing for 150 days,|
or add 8*4767,12 if renewing for 240 days.
5. Divide by your number of referrals
6. Divide by 15/30/60/90/150/240 depending on your renewing
______________________________________________________________________________________
Discounts given by Admin Have you just used a discount, and would like to know your new break even average?
* Renewal discount:
Check point 2. in the calculation methods, for example:
"multiply by 0,95 (5% discount) if renewing for 30 days,|"
If you had a discount of 8%, instead of 0,95, multiply by 0,92 (1 - 0,08 = 0,92).
* Membership discount:
If you check point 4., you can see the monthly cost of golden membership (+golden pack) in cents, according to the original prices. To get the new one, grab the new price of the membership in cents (for example, 8000 cents (80$)), divide by 365 (21,918 ), then multiply by 30 (657,534) and add that in the proper step instead of the old value (so in the case of a 10$ discount on golden membership, use 657,534 instead of 739,73).
______________________________________________________________________________________
Calculate mixed averages: Yes, all these calculations are nice, but what if there are users renewing for different terms? I will try to show you by an example.
First you need to know the break even averages for all the terms you renew according to your total number of referrals. Let's say you are a golden member with 200 referrals, and you renewed 150 referrals for 90 days, and 50 referrals for 150 days.
The break even averages are 0,668 and 0,623. The ratio of the renewed referrals is 150:50 (3:1). Multiply the averages with these, then divide by the sum of the ratio elements (number of referrals you have):
(0,668*150 + 0,623*50)/(150+50) = 0,657
So, as a golden member with 200 referrals (150 renewed for 90, 50 renewed for 150 days), you will need an average of 0,657 to break even.
There is a catch, though:
these mixed averages will be only valid until your referrals drop out of the proper renewing term. In our example, it's the first referral(s) who have his/their 90 days expired.
In this case (and we are still at our example), there are 3 ways to go:
* Don't renew your referrals, so you will need the break even average of the 150 days renewal plan (at least for the referrals you still have in the renewal "pot")
* Renew them for 90 days again, thus keeping the same needed average (and the same goes later for the referrals who were renewed for 150 days)
* Renew for another term, therefore you will need a new average until the first ones expire again (remember, under "expire" I mean that they ran out of the selected amount of days - for example if you renewed them with 5 days left for 90 days, when those 90 days expire you will still have your referrals, just doesn't count them in the specified renewal pot)
______________________________________________________________________________________
Notes:
- Most of the averages are rounded
- Autopay not included
- I used "," as the decimal point (as there are countries using "." instead), just to avoid confusion
- Daily prices of memberships are always included
- Values in brackets are the needed averages excluding membership prices
- If you want to exclude the price of golden membership/golden packs, just skip point 4 in the calculation method
- Take a notice that first the rentings are always for 30 days
- Feel free to translate
- There are great programs on the forum that can calculate your break-even average automatically, but I prefer using my head to understand the reasons behind, rather than just watching numbers that I don't know how to get
- Sorry for my English
(yeah, topic name was also a direct translation 
)Advantages of Golden membership:
- $0.01 per referral click (standard exposure).
- Guaranteed 9 fixed ads to click per day.
- You can rent up to 2000 referrals.
- Extra graphs/stats to help you manage your account.
- More slots available for direct referrals.
- More bonuses in your second consecutive year as a golden member.
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