Created by Pete Skalla

http://www.linkedin.com/in/peterskalla

Copyright Qbillion, Inc. 2010-2011. Some rights reserved.

Promoting the Qbillion.com Site:

Objective: Drive site visits from interested users resulting in "Happy 1st Visit"
Purely hypothetical assumptions

Direct Outreach Channels

Type

Twitter
WSJ story
Y! Finance Chat Rooms
Y! Finance news story
SeekingAlpha
LinkedIn CFA group

tweet
post
post
comment
?
post

YouTube
YouTube

video
promoted video

Google AdWords

ad

Avg. expected
views / message

Clickthru Non-Abandon
Rate
Rate

Happy 1st
Visit Rate

500
100
200
75
200
500

2.0%
2.0%
2.0%
2.0%
2.0%
2.0%

70%
70%
70%
70%
70%
70%

40%
40%
40%
40%
40%
40%

100
1,000

10.0%
10.0%

70%
70%

40%
40%

10,000

0.50%

40%

40%

1,000
2
5,000

5.0%
50.0%
4.0%

70%
75%
60%

60%
70%
40%

153,950

1.6%

6.2%

5.0%

Indirect User Reach:

Blogger widget
User email to colleague
Trade press story

widget
email
widget

Hourly rate:
$
75

Happy 1st
Visits

$$ Cost /
Click

Time Cost
$$Cost of
Cost / / Message
Message Happy 1st
(min.)

2.80
0.56
1.12
0.42
1.12
2.80

$
$
$
$
$
$

$
$
$
$
$
$

$
$
$
$
$
$

2.80
28.00

$
$

0.25

$
$

25

$
$

8.00

1.50

75

21.00
0.53
48.00

$
$
$

$
$
$

117.15

5
5
5
5
20
10

Time $$
Cost Total Cost Cost / Visit

$
$
$
$
$
$

6
6
6
6
25
13

$
$
$
$
$
$

6
6
6
6
25
13

$
$
$
$
$
$

1
3
2
4
6
1

120 $
120 $

150
150

$
$

150
175

$
$

15
2

120 $

150

225

$
$
$

0 $
0 $
0 $

$
$
$

$
$
$

Total $Cost /
Happy 1st

$
$
$
$
$
$

2
11
6
15
22
4

$
$

54
5

20

$
$
$

Frequency Total Hard Total Time Total / Total

/ Month
Cost
Cost
Cost

100
30
100
30
50
10

$
$
$
$
$
$

Total Site
Hits

$
$
$
$
$
$

625
188
625
188
1,250
125

$
$
$
$
$
$

625
188
625
188
1,250
125

1,000
60
400
45
200
100

7 $
3 $

750

$
$

1,050
450

$
$

1,050
1,200

70
300

6 $

450

900

1,350

300

5,400

6,600

2,475
1.6%

n/a
n/a
n/a

153,950

n/a
n/a
n/a

1,200

Total
Doesn't Happy 1st
Abandon
Visits

700
42
280
32
140
70
49
210
120

280
17
112
13
56
28

1,643
66.4%

657
40.0%

20
84
48

5. Qbillion Conversion Model (w/ churn)

Promotion
Potential
Potential
Users
Users

Search

1st Visit
Day 1

Referral

(X%)

Doesnt Abandon
(views 2+ pages/tabs, stays 15+ sec, 2+ clicks)
Day 1

(X%)

F
Ina

Happy 1st Visit

(views 3+ pages/tabs, stays 1.5+ min., 3+ clicks)
Day 1

Day 1-3

urn
ch

(X%)
(X%)

Active Un-registered User

(msg. signup & 1+ visit / qtr.)

Referring User

Day 3-frwd.

Refers 1+ who visits site

(X% immediate & X%/mo.)

(X%)

Active Registered User

(registration & 1+ visit / qtr.)

(X%/mo.)

Paid Pr
Use

David McClure
"Startup Metrics for Pirates: AARRR"
http://500hats.typepad.com/500blogs/2007/09/startup-metrics.html

(w/ churn)
1st Visit
Day 1

(X%)

ks)

Former Users &

Inactive Registered
Users

cks)

(>90 days)

churn

urn
ch

Day 3-frwd.

mo.)
(X%/mo.)

Paid Premium
Users

Startup Co.

2012

2013

2014

2015

2016

Revenue Model (,000)

Year

Year

Year

Year

Year

In THOUSANDS except as noted

Summary
Avg. Active Users (,000)
% Paid Subscribers
Avg. Paying Subscribers (,000)

20

131

472

0.8%
0.2

2.1%
3

3.6%
17

1,258

2,582

5.2%
65

6.5%
168

Avg. Monthly Subscription fee (1's)

months/year

19.94
7

22.01
12

22.67
12

23.21
12

23.70
12

Subscription Revenue

38

722

4,612

18,226

47,831