Howdy CGTrader Community! I've been working on a formula so that I could perform my own "analytics" on my models and sales. I'm mostly using this to predict how new models affect my monthly sales. The formula could also be reversed to predict how many models you need to add to reach a certain monthly sales threshold. The equations are fairly simple, but putting them together may require some time. If you're new or only have a couple models, this will be a lot easier for you. If you have lots of models, this may be a bit of work, and I don't know how useful you'll find this. I put all this information into a spreadsheet, and if you're interested, I recommend you do the same for ease of use.
Terms:
- Model Count(Mc): The number of models you have for sale on the site.
- Price Cap(Pc): The total $Dollar amount of all your models. (5 models at $6 = $30 Price Cap)
- Average Product Price (PP) : Price Cap / Model Count ($30 / 5 = $6)
- Average Monthly Sales (AMS) : Find the Average amount of sales you make per month. (Total Sales / Amount of Months)
- Average Monthly Earnings (AME) : Find the Average amount you earn per month. (Total Earned / Amount of Months) This number is available on the CGTrader dashboard.
- Sale Price(Av$): The average amount you make per sale. (Earnings / Sales or AME / AMS)
- Conversion Rate (Cr): The rate at which you sell models. (AMS / Mc)
- Royalty Rate (RR): This is your royalty percentage. (75% royalty = 0.75)
- Discount(Ds): The Discount rate you offer on the site. (30% 40% or 50% = 0.3, 0.4, 0.5)
Let's make this information useful. For example, what if we plan on adding 1 new model at $50 and want to see how that will impact our monthly sales. We have to determine our new Average Monthly Sales(AMS) and we have to find our adjusted Average Monthly Earnings. To do so, we first start by adding the new model to our Price Cap and our Model Count.
- (Pc + $50) / (Mc + 1) = PP | (Price Cap plus new model cost) divided by (Model Count plus new model) equals average Product Price.
Now that we've added 1 new model to the site, our Average Monthly Sales is likely to go up, so here's how to find that number:
- MC * Cr = AMS | Model Count multiplied by Conversion Rate = Average Monthly Sales.
If our Average Monthly Sales goes up, and we have a new model available, our Average Monthly Earnings will rise too. Here's how to find the Projected Average Monthly Earnings (PAME):
- AMS * PP = X | Average Monthly Sales multiplied by Avg Product Price = Result X
- X * RR = Y | Result X multiplied by your Royalty Rate = Result Y
- Y * Ds = Z | Result Y multipled by Discount rate = Result Z
- (X + Z) / 2 = PAME | (Result X plus Result Z) divided by 2 = Monthly Earnings. It's unlikely all sales will be discounted, this adjust for variance.
Bam! You now have an equation to predict the affects of adding new models! If you want to make sure the PAME is as close to accurate as possible, here's how to do it. Run the equation without any new models added. This number should be close to the original AME (Monthly sales / Amount of Months) If the PAME is not close to the AME, then your discount percentage may be wrong.
Hopefully all this made a little bit of sense, and hopefully you fellow 3D modelers can find some use out of all this. Obviously, I'm just some random guy on the internet so there's no way that any of this is %100 accurate, so please take this for what it is. I found this to be useful and accurate to my own numbers, but others may not find it to be. If you are better at math than me, please feel free to point out my mistakes.
In order to post an answer, you need to sign in.