Register on the Brandcounter website and you will have access to new reports for your site.
Reports are built using the API to your Yandex Metrika counter data.
New reports show the dynamics of your resource value change:
1. Free and Brand user traffic
2. Conversion of New users to brand
3. User retention
4. User cost, LTV
5. Cost of your site, DCF
Using a real site as an example (demo-site.com), without registration, you have access to the full functionality of Brandcounter reports. By changing the financial settings, see the corresponding changes in reports #5, #6 and Calculator
#1 Traffic: Free and Brand users
Traffic segmented by user type:
- Free users — visit the site 1 day
- Brand users – visit the site > 1 day
Brand users — make up a regular audience, which is the main value of your site.
β = Brand/(Free+Brand)
The higher the share of branded users β in traffic, the more valuable your site is.
Segmentation into Free and Brand users clearly shows more valuable traffic (see fig.)
The larger the brand share β, the more valuable the site traffic is
#2 Conversion: of New Users to Brand
metric: conversion rate, α — the most important indicator responsible for the share of New users who converted to Brand users (see fig)
α = Brand users/New users
Monitoring the indicator (α) helps to evaluate the quality of your brand promotion
There is no more valuable event than repeated day of site visit of user.
(don`t confuse with second session within day)
Conversion rate formula α
#3 Retention: α and ω web analytics
α and ω are basic user retention metrics on your site.
Product [α x ω] — brand markup, responsible for the amount of premium (brand) traffic on site.
Daily traffic DAU (Daily Active Users):
DAU = Free + Brand = New(1+αω)
Freg retention, ω — avg number of days of user visit during lifetime on the site
Example. For your site: α=50% and ω=50, then the brand markup (αω)=25. Thus, one purchased user will visit your resource 25 more times (days) during lifetime and, accordingly, will bring you additional income of 25*ARPU (Avg Revenue Per User)
Impact of retention parameters α and ω on traffic. For all sites New users=100.
Calculator: DAU, Revenue, LTV, DCF
Successful promotion of your resource is the result of effective work:
- Acquisitions of new users
- Retention of new users
The calculator will help you choose between promotion strategies (see p.1 and p.2)
Let’s rewrite the DAU formula as follows:
DAU = New(1 + α T1/T2 )
where ω = T1/T2 is defined through the lifetime T1 and the visit period T2 of the user
Varying parameters T1 T2 α and New in the Calculator and using Revenue settings you can see how the key indicators of your resource change.
One click in the menu and you have access to the full functionality of the Calculator without registration
By varying the parameters achieved on your resource using the (+-) buttons, see how the key indicators change: DAU, Revenue, LTV and DCF
#5 Cost user: LTV
Lifetime Value: LTV — user revenue during their lifetime on the resource
LTV= ARPU0(1+αω)
- ARPU0 — avg revenue per New user
- αω — brand markup to ARPU0
#6 Cost site: DCF
The cost is calculated the Discounted Cash Flow method (DCF):
DCF = DCF0(1+βω)
see perpetual annuity formulas
- DCF0 =Profit x n0 — value of a unbranded asset. Default payback period n0=1yr
- βω — brand markup to DCF0
Yuri Ryazanov, Dec. 2020