Calculation of the Payback Period for "PremiumFlying.com"
Calculation of the Payback Period for "PremiumFlying.com"
To calculate the payback period – the time it takes for the investment in the domain of $95.4 million USD to be recouped through revenues – we need as realistic an estimate as possible of the annual revenues directly attributable to the domain.
Note: All information is provided without guarantee. The calculation is not based on company profit (e.g. EBIT, pre-tax profit, etc.), but solely on the achievable revenue through ticket sales that could be generated via the domain. The pre-tax profit is a figure that describes the profit of the entire company (e.g. an airline), not directly of the domain. If pre-tax profit is included in the calculation, that would be incorrect, because this analysis concerns the direct revenue attributable to the domain, not the total company profit.
Given:
Domain purchase price: $95.4 million
Aircraft: 219
First-class seats per aircraft: 8
Flights per year: 730 (2 flights/day × 365 days)
Seat load factor: 78.9%
Annual first-class seat offers: 1,278,960
Seats sold/year: 1,009,399
Price per seat: varies (see below)
Price per Seat (USD) | Annual Revenue (USD) | Share via Domain (1%) | Amortization Time (Years) |
---|---|---|---|
$6,000 (€6,480) | $6.54 billion | $65.4 million | ~1.46 years |
$12,000 (€12,960) | $13.08 billion | $130.8 million | ~0.73 years |
$61,000 (€66,480) | $66.48 billion | $664.8 million | ~0.14 years |
🧮 Scenario: Amortization through First-Class Sales
Domain Purchase Price | $95.4 million |
---|---|
Number of Aircraft | 219 |
First-Class Seats per Aircraft | 8 |
Flights per Year (2/day × 365) | 730 |
Total Seat Offers per Year | 1,752 × 730 = 1,278,960 |
Seats Sold (Load Factor 78.9%) | 1,009,399 |
Average Price per Seat (USD) | $6,480 |
Total First-Class Revenue per Year | ~$6.54 billion |
Share of Bookings via Domain (1%) | $65.4 million |
⏳ Amortization Time | ~1.46 years |
Note: With only a 1% channel share, the domain would be amortized in approximately 1.5 years.
All figures are based on assumptions. No guarantee.
🧮 Scenario: Amortization at €12,000 per First-Class Seat
Domain Purchase Price | $95.4 million |
---|---|
Number of Aircraft | 219 |
First-Class Seats per Aircraft | 8 |
Flights per Year (2/day × 365) | 730 |
Total Seat Offers per Year | 1,752 × 730 = 1,278,960 |
Seats Sold (Load Factor 78.9%) | 1,009,399 |
Average Price per Seat (USD) | $12,960 |
Total First-Class Revenue per Year | ~$13.08 billion |
Share of Bookings via Domain (1%) | $130.8 million |
⏳ Amortization Time | ~0.73 years (≈ approx. 8.7 months) |
Note: Even with just a 1% channel share, the domain would pay for itself in under a year.
All values are based on realistic assumptions. No guarantee.
🧮 Scenario: Amortization at €61,000 per First-Class Seat
Domain Purchase Price | $95.4 million |
---|---|
Number of Aircraft | 219 |
First-Class Seats per Aircraft | 8 |
Flights per Year (2/day × 365) | 730 |
Total Seat Offers per Year | 1,752 × 730 = 1,278,960 |
Seats Sold (Load Factor 78.9%) | 1,009,399 |
Average Price per Seat (USD) | $65,880 |
Total First-Class Revenue per Year | ~$66.49 billion |
Share of Bookings via Domain (1%) | $664.9 million |
⏳ Amortization Time | ~0.14 years (≈ approx. 51 days) |
Note: With a very high ticket price of €61,000 and only 1% booking share via the domain, amortization would be achieved in under 2 months.
This calculation is based on idealized assumptions. No guarantee.
If you are interested in the domain "PremiumFlying.com", whether for direct purchase, leasing, lease-to-own model, or partnership, please contact us:
Secure purchase, leasing, or lease-to-own model recommended via Dan.com, Escrow.com, or Sedo.com.
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