67

ROI CALCULATION FOR SEO PRODUCT: Crowdfunding service As stated before, one of the main assets for a crowdfunding platform is how many people can be reached, that is, how many investors end up on the website. To do so, SEO tools are very useful. Quantity of new customers acquired via SEO that convert into a sale, during the month Average net profit from each crowdfunding consumer (enterprises that publish their projects Total net profits from the newly acquired organic search customers Average number of projects, per newly acquired customer, over a lifetime Monthly marketing budget (expense) Total projected lifetime profit roi 500 63 31,500 2 3,000 63,000 21% On average, a crowdfunding platform has between 1,000 and 3,000 visitors to the website every month. This is why SEO is so important, as 500 visitors are typically obtained through it. Moreover, assume 50 projects are published per month on average, and they raise €7,000 on average, but only 30% are successful. Therefore, from €105,000, a 2% commission and 1% from credit card fees totals €3,150 per month. Dividing by 50 (number of projects) results in €63 per successful project published. On average, each crowdfunding campaign lasts 35 days; as one campaign ends, a new one can begin, making the community larger. The ROI on SEO tools is 21%, that is, every euro invested earns €21. ***All data was collected from different websites that are quoted in References, Crowdfunding Data (end of report) 67

68 Online Touch Home


You need flash player to view this online publication