Remove Acquisition Remove Cost Remove NPV Remove Revenue
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The art and science of valuing websites

The Next Web

This approach is based on the belief that revenue matters most. It calculates value on the bases of revenue that the buyer can expect to earn from the site, taking into account the risks that are involved in operating it. Primary drivers include site revenue and site usage. The quality, reliability and cost of site traffic.

Valuation 128
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How to create a profitable Freemium startup (spreadsheet model included!)

andrewchenblog.com

To become profitable using a freemium business model, this simple equation must hold true: Lifetime value > Cost per acquisition + Cost of service (paying & free) Said in plain english, the lifetime value of your paying customers needs to be greater than the cost it took to acquire them, plus, the cost servicing all users (free or paying).

CPA 51