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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? |
hah hopefully a lot less
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I reach break even after 8h of the beginning of each month ... I love it !!
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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.:thumbsup
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. |
Clearly, TGP's owners don't have to worry much about bandwidth, so this question was directed mostly to paysite owners, gallery makers etc.
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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. |
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