Quote:
Originally posted by Donnie Gangsta
The equation would be something like this:
N = Number of Sign Ups
R = Avg Number of Months Retention
C = Conversion %
T = Trial Price
P = Month Price (Conversion Price too)
A = Affiliate Pay per Join
(N*((P*R)*C))+(N*T) = Avg profit per sign up (Assuming you're not paying affiliates).. if you were paying affiliates, it would be:
[(N*((P*R)*C))+(N*T)]-(A*N) = Net Profit
As you can probably see, paying affiliates w/o shaving, it's hard to make money..... 
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word for word right from my economics book