A Website’s Return on Investment – A Case Study for a 360% return
With most purchases people make in their day to day lives some form of return is expected. This return could be a tangible or intangible return. A businessman might buy the latest shoes in the store so he can look better in front of his clients or feel comfortable walking around all day on his feet from office to office. A tradesman might buy the latest drill, although expensive, to save himself time and effort whilst doing his work. A housewife might buy herself a high tech 2 in 1 washing machine and dryer to save herself some time.
So all in all a form of return is typically expected when people purchase products or services. Businesses might do an entire analysis to work out if that purchase is worthwhile especially when it comes to large purchases.
Hiring someone to design and develop a website for you or your business is also a purchase from which a return should be expected. But how much, you may ask? The breakdown below can help you understand things a little bit better.
Taking an expensive website package for a small business as an example can help us understand the expected return on investment for such a purchase:
|Expensive Website Package||$2,000|
|# of Visitors to the website(per month)||300||this number is fairly low and can easily be optimised to increase the visitors|
|% of interested visitors (per month)||10%|
|# of interested visitors (per month)||30|
|# of customers (per month)||3|
So if you sell an average product or service for $200 the return on investment in that month would be $600 in revenue. Multiply that by 12 months that gives you $7200 a massive 360% return on investment per annum. Not 5%, 10% or even 50% but a massive 360% p.a.
Now I have used fairly conservative estimates to prove the point since returns of 1000%+ could easily be reached. For example here at Cheap Website Designs we design and develop professional websites starting at $500 which can get you results such as the scenario mentioned above. With the base cost of $500 and a projected profit of $7200 gives us a return of 1440%. Now that is a generous return! The website can help your potential and existing customers know a lot about you and give them the comfort that they are working with someone concerned about their image, someone professional.
So jump on to our web design packages section at cheap website designs to choose a suitable package for you then email us or give us a call and we’ll help you get started in no time!
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Phone 049 010 6633