Worked examples / Customers: sign-up, checkout and fees
A deposit or credit check
A deposit or credit check before service starts. 500 new customers a month, one in ten of whom would not pay. On these figures it pays for itself.
It pays for itself
It costs $7,400 a month and gets back $14,000.
It costs$7,400a month
It gets back$14,000what it stops, and any fee
- Of the 80 new customers it screens out each month, 45 are customers who would have paid: 56.3% of everyone screened out.
- Still getting through: 15 of the 50 customers who would not have paid.
- It costs the people going through it 125 hours a month, 20 of them from people who do not get through.
Put in your own numbers
This is a worked example with illustrative figures, not data about any real person or company. Change any of them in the calculator and the answer changes with them.
How this answer was worked out
| Step 1 | costs $7,400, gets back $14,000: +$6,600 |
Every formula is written out on the formulas page.
What the calculator asks you
- How many steps, and how many people arrive
- What each wanted person is worth, and the share each step turns away
- The share it is meant to stop, what each costs, and the share each step stops
- What a step costs the people going through it
- Any fee paid by those who get through
Open the calculator
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