Subscription Cost Calculator

Formula

The formula to calculate the subscription cost is:

\[ SC = \frac{DMR}{AU} \]

Where:

$ SC $ is the Subscription Cost ($).
$ DMR $ is the Desired Monthly Revenue ($).
$ AU $ is the Average Number of Users.

Example

Let's say the desired monthly revenue ($ DMR $) is $5000 and the average number of users ($ AU $) is 200. Using the formula:

\[ SC = \frac{5000}{200} \]

We get:

\[ SC = 25 \]

So, the subscription cost ($ SC $) is $25 per user.

What is Subscription Cost?

Subscription cost is the amount charged to each user for a service, calculated by dividing the desired monthly revenue by the average number of users. This calculation helps businesses set pricing strategies to meet revenue goals while considering the user base.