What's a healthy bandwidth consumption to revenue ratio? - GoFuckYourself.com

Drake · 06-15-2003, 12:21 PM

Curious as to how much % you guys pay for hosting (primarily bandwidth costs) to how much revenue you generate from those sites.

Does it take %50+ of the revenue you generate, more or less? As far as 'overhead' goes, bandwidth is our industries overhead. With restaurants the average is %75 goes back into costs of running the business. Is this ratio as high for most of you in adult or much less?

detoxed · 06-15-2003, 12:22 PM

hah hopefully a lot less

funkmaster · 06-15-2003, 12:22 PM

I reach break even after 8h of the beginning of each month ... I love it !!

Drake · 06-15-2003, 12:28 PM

Yeah, that's what I figured. You should be able to clear bandwidth cost within the first 3 days or so. Wow, 8 hrs....now that I know it can be done, I'll strive for it.

I suppose it also depends upon the type of marketing you do. Galleries can cost you.....still if galleries are expensive for you and you make say %50, it's still better to make %50 of 100k (for arguments sake) that it is to make 99% of 10k.

Drake · 06-15-2003, 12:30 PM

Clearly, TGP's owners don't have to worry much about bandwidth, so this question was directed mostly to paysite owners, gallery makers etc.

besterman · 06-15-2003, 12:42 PM

think of it like this.

Say your estimated bandwidth is $6 per 1000 uniques and since it is NOT a tgp, let's say conversion rate is a respectable 1:250. Then that's 4 members per 1000. Say you get ~ $12 on a partnership, that's $48. So bandwidth is 13% of revenue.
Everything depends upon the crucial conversion rate IMHO.

06-15-2003, 12:21 PM	#1
Drake Hello world! Industry Role: Join Date: Mar 2003 Posts: 12,508	What's a healthy bandwidth consumption to revenue ratio? Curious as to how much % you guys pay for hosting (primarily bandwidth costs) to how much revenue you generate from those sites. Does it take %50+ of the revenue you generate, more or less? As far as 'overhead' goes, bandwidth is our industries overhead. With restaurants the average is %75 goes back into costs of running the business. Is this ratio as high for most of you in adult or much less?

06-15-2003, 12:22 PM	#2
detoxed vip member Join Date: Jan 2003 Posts: 17,798	hah hopefully a lot less

06-15-2003, 12:22 PM	#3
funkmaster So Fucking Banned Join Date: Sep 2001 Location: shell beach Posts: 7,938	I reach break even after 8h of the beginning of each month ... I love it !!

06-15-2003, 12:28 PM	#4
Drake Hello world! Industry Role: Join Date: Mar 2003 Posts: 12,508	Yeah, that's what I figured. You should be able to clear bandwidth cost within the first 3 days or so. Wow, 8 hrs....now that I know it can be done, I'll strive for it. I suppose it also depends upon the type of marketing you do. Galleries can cost you.....still if galleries are expensive for you and you make say %50, it's still better to make %50 of 100k (for arguments sake) that it is to make 99% of 10k.

06-15-2003, 12:30 PM	#5
Drake Hello world! Industry Role: Join Date: Mar 2003 Posts: 12,508	Clearly, TGP's owners don't have to worry much about bandwidth, so this question was directed mostly to paysite owners, gallery makers etc.

06-15-2003, 12:42 PM	#6
besterman Confirmed User Join Date: Jan 2003 Posts: 623	think of it like this. Say your estimated bandwidth is $6 per 1000 uniques and since it is NOT a tgp, let's say conversion rate is a respectable 1:250. Then that's 4 members per 1000. Say you get ~ $12 on a partnership, that's $48. So bandwidth is 13% of revenue. Everything depends upon the crucial conversion rate IMHO.