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Break Even Averages (BEP) for rented referrals

Started by ashi_junior11 2014-09-30 at 13:59
ashi_junior11
Wooden
Posts: 387
Received: $21112.850000
Balance: $0.0000000000
Referrals: 0
I have noticed a lot of members get confused regarding the averages being made by their RRs to put them onto the profitable side.I have made a list of Break Even Averages or Break Even Points(BEP) for all membership types with different extension periods.BEP is basically the minimum average that you must have out of your RRs to make profit.This will give you a clear picture that where you will stand at the end of each month.Do correct and edit if am wrong.
Including membership type and number of referrals, here are those averages that you need to break even at the end of each month.
As we know that RRs are productive for Higher Membership so it's advisable for all Wooden members to upgrade to BRONZE or SILVER to start getting good out of RR. For wooden members its practically impossible to make money out of RRs.
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.
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.
As we all know that we get the credit only out the Standard advertisement clicks from RRs.
BEP is inversely proportional to rental days. To reduce BEP extend the renewing period of RR before expiration date and make most out of it.

SO LETS START THE TABLE:

BEP for BRONZE - 2.56 ( first month)
BEP for SILVER - 1.33 (first month)
BEP for URANIUM - 0.83 (first month)
BEP for GOLDEN - 0.55 (first month)

To decrease the BEP its advisable to extend the RRs to the maximum time you can afford. These averages are excluding the membership cost you paid.

BEP for BRONZE //
*First renting month : 2.56
*Renewing for 30 days : 2.43
*Renewing for 60 days : 2.30
*Renewing for 90 days : 2.05
*Renewing for 150 days : 1.92
*Renewing for 240 days : 1.80
*Renewing for 365 days : 1.67

BEP for SILVER //
*First renting month : 1.33
*Renewing for 30 days : 1.27
*Renewing for 60 days : 1.20
*Renewing for 90 days : 1.07
*Renewing for 150 days : 1.00
*Renewing for 240 days : 0.93
*Renewing for 365 days : 0.87

BEP for URANIUM //
*First renting month : 0.83
*Renewing for 30 days : 0.79
*Renewing for 60 days : 0.75
*Renewing for 90 days : 0.66
*Renewing for 150 days : 0.62
*Renewing for 240 days : 0.58
*Renewing for 365 days : 0.54

BEP for GOLDEN //
*First renting month : 0.55
*Renewing for 30 days : 0.53
*Renewing for 60 days : 0.50
*Renewing for 90 days : 0.44
*Renewing for 150 days : 0.41
*Renewing for 240 days : 0.39
*Renewing for 365 days : 0.36


Hope this table helps to achieve your goals.
To sum up, upgrade your membership and extend RRs to maximum days to make decent profit.
« Last Edit: 2014-09-30 at 19:38 by Admin »
Admin
Admin
Posts: 1153
Just fantastic. I funded your purchase balance. Go and buy something
kamankappa
Wooden
Posts: 84
I think different amount of Rented referral should have different BEP.

Please use 1000rr or 2000rr sth to make a caculation
ashi_junior11
Wooden
Posts: 387
Received: $21112.850000
Balance: $0.0000000000
Referrals: 0
Quote: kamankappa
I think different amount of Rented referral should have different BEP.

Please use 1000rr or 2000rr sth to make a caculation


BEP is dependant on the quantity of RRs only at the time of initial renting and not the renewing. For every threshold of 250 RRs crossed, initial rent goes up by 1 cent.Increasing of decreasing the RRs will change the volume of your clicks per day but will just have a negligible impact on BEP. I have clearly mentioned that the BEP i outlined is not inclusive of the membership packs you paid. If you wanna calculate the exact profit you make per day after paying the membership cost then use this formula.

Daily membership cost (A) =Cost of membership pack DIVIDE by Number of days offered

Daily profit excluding membership cost(B)= Composite average - BEP multiply by Click value Multiply by No of RRs

Daily Net profit = B minus A
« Last Edit: 2014-10-02 at 00:51 by ashi_junior11 »
ashi_junior11
Wooden
Posts: 387
Received: $21112.850000
Balance: $0.0000000000
Referrals: 0
Quote: kamankappa
I think different amount of Rented referral should have different BEP.

Please use 1000rr or 2000rr sth to make a caculation


BEP will only go higher if you have to pay some surcharge or have to use rental queue at the time of initial renting. As i have noticed that the initial renting price goes up by 1 cent for every crossed ceiling of 250 referrals so you can expect BEP to go up by a negligible amount. This 1 cent hike is fair enough as admin have to put his best in to deploy the most active of the RRs for us and anyhow with more RRs we will be making more so it can be accommodated easily.Moreover this 1 cent hike will only affect the initial renting and not the renewing.Efforts of our admin Eduardo are highly appreciable in this regard.

Use the formula for BEP

BEP= A divided by B
where:
A=Cost of renting
B=Per click value multiply by days of renting

Any more doubts feel free to ask?
« Last Edit: 2014-10-02 at 00:47 by ashi_junior11 »
Pecunia
Golden
Posts: 1230
Received: $10452.770000
Balance: $35.2067600000
Referrals: 6756
Hey, I wanted to say thank you for going to all of the work of putting up those charts. They are very useful and have saved me quite a bit of work over the months. :)

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