Hey guys, I just wanted to let you know that we're doing a fundraiser at 99designs to help those affected by the earthquake in Christchurch.
We'll be donating 100% of our profits from today to the Christchurch Earthquake Appeal.
We'll be donating 100% of our profits from today to the Christchurch Earthquake Appeal.
economics of a fundraising, random numbers but you can scale them up or down easily.
assuming you usually have $10k daily profits, and today you got even only $15k that's still 5.000$ / 50$ (average profit for you on a $500 project or whatever is an average project) = 100 new people that'll try you out. So total cost = $10k with no other costs (a part from fixed ones: hosting & support)
If just half of these 100 people will do another project on average in their lifetime cycle you already have covered your costs and make some good profits (100 / 2 * 500$ = $25k)
Without even counting all the free press! let's say $10 CPM and 200k people reached, that's a nice $2k of bonus
A few of the guys on the 99 team are from New Zealand and their friends and family have been affected by this. It's a pretty big deal for us.
In fact, I called you smart, not "trying to be greedy", I agree it's a win/win/win (well, except for your competitors :)
If they'd termed it as 1/365 of gross annual turnover then it would be a different undertaking but without such an analysis this is not clear.