How is a class’s Profitability calculated?
By looking at the class’s Earned Revenue minus the Teacher’s Payout for that class. (both will show on the class details page)
How is the Earned Revenue calculated?
From drop-in payments and subscriptions used to register for the class.
How is Earned Revenue calculated when Subscriptions and Packs are used?
If you have a $100 package of 10 credits, each credit is worth $10. This is the value of a booking from this customer using the package to book, even if the drop-in price of the class is $25.
So in a class with 10 spots available with $25 drop-in and the teacher has 70% revenue split lets say we have the following bookings:
- Logan with a credit from my 10 pack
- Marcy with a Drop-in
- Pedro with a Drop-in
- Luc with Monthly Unlimited - his 2nd booking this renewal
Revenue from each booking is as follows:
- $10 ($100/10)
- $25 ($25)
- $25 ($25)
- $25** ($130/2)<≠25** With an Unlimited Membership, booking revenue is calculated as the price paid for the membership / the number of bookings this renewal -- and cannot go below the drop in price.
In other words, as more bookings occur, this figure will continue to divide down by the number of bookings until it gets to the drop in price. Then, every booking after that (within the renewal period) will result in a payout of the drop-in price and no lower.
So Luc's booking is $25 of revenue So at a 70% split, the teacher goes home with $85 x 0.7 = $59.50
Where can I see which pay rate is assigned to a class and how that pay rate works?
To view the pay rate assigned, from the class’s Details page, click Actions > Edit this class > scroll to Studio Settings.
To look at how each pay rate works, click Studio Setup > Pay Rates. To learn more about Pay Rates here.