Mobile App Breakeven Analysis 5o2ni

Mobile App Analysis Development & design cost 500,000.00 Marketing & publicity cost 150,000.00 Total cost 650,000.00 Price per app:

In-app purch $ val. 50.00 -

2.99

In-app purchase # apps sold 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,000 500,000 550,000 600,000 3,300,000 3,350,000 3,400,000 3,450,000 3,500,000

Rev on app sale 299,000.00 448,500.00 598,000.00 747,500.00 897,000.00 1,046,500.00 1,196,000.00 1,345,500.00 1,495,000.00 1,644,500.00 1,794,000.00 9,867,000.00 10,016,500.00 10,166,000.00 10,315,500.00 10,465,000.00

D/L per day required to recoup costs Days # D/L per day 15 6,666.67 30 3,333.33 45 2,222.22 60 1,666.67 75 1,333.33 90 1,111.11 105 952.38 120 833.33

50 3,500,000.00 5,250,000.00 7,000,000.00 8,750,000.00 10,500,000.00 12,250,000.00 14,000,000.00 15,750,000.00 17,500,000.00 19,250,000.00 21,000,000.00 115,500,000.00 117,250,000.00 119,000,000.00 120,750,000.00 122,500,000.00

Conversion Rate

Approximate number of apps required to be sold 100,000

70% 0% 0% 0%

In-app purchases (IAP) 0 -

Target apps to sell over one year 140,000

0 -

Number of days required to recoup costs # D/L per day Num days 100 1000 days 500 200 days 1000 100 days 1500 66 days 2000 50 days 2500 40 days 3000 33 days 3500 28 days 4000 25 days 4500 22 days 5000 20 days

-

Tot. 0 in-app purch 3,500,000.00 5,250,000.00 7,000,000.00 8,750,000.00 10,500,000.00 12,250,000.00 14,000,000.00 15,750,000.00 17,500,000.00 19,250,000.00 21,000,000.00 115,500,000.00 117,250,000.00 119,000,000.00 120,750,000.00 122,500,000.00

5500 18 days 6000 16 days

ps required to be sold to generate a profit on expenses incurred

Gross rev App sale + IAP Apple cut Net Profit (Loss) 3,799,000.00 1,139,700.00 2,659,300.00 2,009,300.00 5,698,500.00 1,709,550.00 3,988,950.00 3,338,950.00 7,598,000.00 2,279,400.00 5,318,600.00 4,668,600.00 9,497,500.00 2,849,250.00 6,648,250.00 5,998,250.00 11,397,000.00 3,419,100.00 7,977,900.00 7,327,900.00 13,296,500.00 3,988,950.00 9,307,550.00 8,657,550.00 15,196,000.00 4,558,800.00 10,637,200.00 9,987,200.00 17,095,500.00 5,128,650.00 11,966,850.00 11,316,850.00 18,995,000.00 5,698,500.00 13,296,500.00 12,646,500.00 20,894,500.00 6,268,350.00 14,626,150.00 13,976,150.00 22,794,000.00 6,838,200.00 15,955,800.00 15,305,800.00 125,367,000.00 37,610,100.00 87,756,900.00 87,106,900.00 127,266,500.00 38,179,950.00 89,086,550.00 88,436,550.00 129,166,000.00 38,749,800.00 90,416,200.00 89,766,200.00 131,065,500.00 39,319,650.00 91,745,850.00 91,095,850.00 132,965,000.00 39,889,500.00 93,075,500.00 92,425,500.00

D/L per day to reach sales level over varying times (in months, assuming 30-day mo ROI 1 month 2 months 3 months 4 months 309% 3,333 1,666 1,111 833 514% 5,000 2,500 1,666 1,250 718% 6,666 3,333 2,222 1,666 923% 8,333 4,166 2,777 2,083 1127% 10,000 5,000 3,333 2,500 1332% 11,666 5,833 3,888 2,916 1536% 13,333 6,666 4,444 3,333 1741% 15,000 7,500 5,000 3,750 1946% 16,666 8,333 5,555 4,166 2150% 18,333 9,166 6,111 4,583 2355% 20,000 10,000 6,666 5,000 13401% 110,000 55,000 36,666 27,500 13606% 111,666 55,833 37,222 27,916 13810% 113,333 56,666 37,777 28,333 14015% 115,000 57,500 38,333 28,750 14219% 116,666 58,333 38,888 29,166

in months, assuming 30-day months) 5 months 6 months 666 555 1,000 833 1,333 1,111 1,666 1,388 2,000 1,666 2,333 1,944 2,666 2,222 3,000 2,500 3,333 2,777 3,666 3,055 4,000 3,333 22,000 18,333 22,333 18,611 22,666 18,888 23,000 19,166 23,333 19,444

Variables Development & Design Cost Marketing & Publicity Cost

In-app In-app In-app In-app

purchase purchase purchase purchase

Conversion Conversion Conversion Conversion

Rate Rate Rate Rate

Price per app

value value value value #1 #2 #3 #4

#1 #2 #3 #4

500,000.00 150,000.00

50.00 70% 0% 0% 0% -

Output s per day required to recoup costs in: Approximate number of Provider cut s Total in-app Gross revenue (Apple's or required to purchase (app sale + in- Google's 30% Return on Rev on app sale revenue Your Net Profit (Loss) 1 month 2 months 3 month 4 months recoup costs app purchases) cut). investment 100,000 $299,000.00 $3,500,000.00 $3,799,000.00 $1,139,700.00 $2,659,300.00 $2,009,300.00 309.12% 3,333 1,666 1,111

5 months 833

6 months 666

555

Documentation Welcome to the Mobile App Breakeven Analysis Workbook This documentation is meant to give a high-level overview of how this workbook functions.

Overview Mobile app developers often want to understand how many s and in-app purchases This workbook lets you calculate those numbers.

Explanation This workbook gives you a number of variables. These variables can be inputted in the Variables tab. Development & design cost Marketing & publicity cost In-app purchase value (USD). The workbook contains room for four separate in-app purc In-app conversion rate. This is the percentage of s who will purchase for each of the Price per app

What is calculated The following values are calculated and presented to the end in the Output Revenue from app purchase (this excludes in-app purchases) Revenue from in-app purchases Gross revenues Apple's (or Google's) cut. (Currently 30% of gross revenues.) Developer's net Profit (Loss) ROI s per day required to recoup costs over varying time periods (15 days, 1 mont Approximate number of apps required to be sold to generate a profit on expenses incurr

Things to be aware of This tool is a model. That means it's a best-guess approximation of the real world. As with fashion models, think of this as "photoshopped reality.: This means that your analysis is driven by your assumptions. Make good assumptions--the values you input in the "Variables" tab--and you will have g This workbook assumes you're distributing on Apple's OR Google's platforms but NOT bo There is a hidden sheet, "Detailed Data", which you can unhide if you want. It will allow The data in the Output tab are generated from formulas. Don't muck around with formu

w this workbook functions.

nloads and in-app purchases they need to generate in order to recoup money spent.

or four separate in-app purchase values. will purchase for each of the in-app purchase values.

r in the Output tab.

me periods (15 days, 1 month, 2 months, 3 months, 4 months, 5 months, 6 months) a profit on expenses incurred.

es" tab--and you will have good output. ogle's platforms but NOT both. de if you want. It will allow you to audit the workbook and see how you get from the Variables to the O n't muck around with formulas if you don't know how they work; otherwise you'll get errors.

money spent.

hs, 6 months)

ou get from the Variables to the Output. wise you'll get errors.