Hi Guys,
A few corrections to make the arithmetic a bit more pleasant:
- Analysis show that during Black Friday sale-off, sales and revenue increased by more than 400% compared to those who didn't participate and to the sales before / after that period. It means that while the prices are 30% lower, you get 4 times more sales, which translates to 70% x 4 = 280%. In other words, if you got a sale during the holiday sales, it most likely because of the discounts. Let's be happy about it.
- When there is a discount, let's say 30%, CGTrader takes its share after that discount, which means that we do pay 30% together with you: 27% from discounted 70% = 18.9% vs normal 27% (CGT pays 8.1% from 30% in this case)
- VAT is only applicable to the non-company buyers from EU and it makes roughly 16% of all buyers. It means that on average VAT lowers revenue for sellers not by 20% but by 20% of 16% = 3.2%. Also we are considering to update the system in the near future so that VAT will not be deduced from sellers but buyers will pay it on top.
The idea of discounts is to motivate buyers to come here and buy your models where you can get 80%, which is the best royalty rate in the industry :)