How To Easily Calculate The Profitability Of Your Subscription Business


TechCrunch has just published a handy guide on how to measure the profitability of your subscription business.

While subscription-based models have been at the heart of the dating industry for over 10 years, recently many more consumer businesses are looking towards subscription models for revenue.

YouTube is launching a subscription-based service, Apple launched its $9.99 Apple Music service and Microsoft is offering its cloud services for $199/month.

To help companies measure the profitability of their subscription business, TechCrunch gives an overview of the key inputs and outputs companies should track closely, which many dating businesses will be very familiar with.

These include monthly average revenue per user, monthly subscriber churn percentage and life time value.

Check the guide out here.