A revenue share is worth very little in month one and a great deal in year two. This projects the curve from your own cohort, your own net-revenue assumption and the horizon you think your players will stay.
Currency
players
EUR
%
months
Projected earnings
Per player, per month€70.00
Whole cohort, first month€7,000.00
Per player, over the horizon€840.00
Often called player lifetime value, though here only over the months you entered.
Total over the horizon€84,000.00
Accrues month by month, not up front.
The percentage is not the whole deal
Two revenue shares at the same headline rate can be worth very different amounts, because the base they are calculated on is not standardised. A 45% share of a heavily-deducted net revenue figure can pay less than a 35% share of a lightly-deducted one. Bonus costs are usually the largest deduction and the one that varies most.
The second clause to read is negative carryover: whether a losing month is wiped or carried forward into the next one. It is one line long and it can be the most expensive line in the contract.
Common questions
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