More on profit margin and business model as I understand it so far:
For comparison, Apples profit margin is about 38%. NexTech has a very sustainable profit margin.
And part of their business model is more, or less an subscription service that allows them do insert a line of code 1 time and charge $30(SKU) per month for that. And companies that sign deals with them will have multiple products they are paying for.
For more comparison, Nextflix has 150m subscribers charging around $15 per month, but the overhead is so high. Cloud space and making movies isnt cheap. So, Netflix brings in $3.3B in revenue, but only profits $186m.
For one last comparison, I'm using Amazon. Amazon profit margins is only 3.8%....
60% vs 38% vs 3.8%
Now, here is where its gets interesting imo. The cheapest offering (SKU) is between $20-$40 a month. Each deal they sign with a customer will have multiple SKU's. For each product, they want to have NexTech technological advantage, they have to pay that price. Not sure if I posted the PR here, but they also signed a deal with a Medical Device Co the other day. Before NexTech, this company would have to drag a huge 1000 pound machine from place to place to give demonstrations. Now, they can use this Tech to give virtual demo's to buyers from a laptop, or Phone. This service cost $500 per month. Now, its possible to have (many) more sellers flying all around the world, pitching their product.
And if you listened to the 11 min clip I posted, this isnt even the big money maker NexTech has lined up. That's still coming. $$$
For comparison, Apples profit margin is about 38%. NexTech has a very sustainable profit margin.
And part of their business model is more, or less an subscription service that allows them do insert a line of code 1 time and charge $30(SKU) per month for that. And companies that sign deals with them will have multiple products they are paying for.
For more comparison, Nextflix has 150m subscribers charging around $15 per month, but the overhead is so high. Cloud space and making movies isnt cheap. So, Netflix brings in $3.3B in revenue, but only profits $186m.
For one last comparison, I'm using Amazon. Amazon profit margins is only 3.8%....
60% vs 38% vs 3.8%
Now, here is where its gets interesting imo. The cheapest offering (SKU) is between $20-$40 a month. Each deal they sign with a customer will have multiple SKU's. For each product, they want to have NexTech technological advantage, they have to pay that price. Not sure if I posted the PR here, but they also signed a deal with a Medical Device Co the other day. Before NexTech, this company would have to drag a huge 1000 pound machine from place to place to give demonstrations. Now, they can use this Tech to give virtual demo's to buyers from a laptop, or Phone. This service cost $500 per month. Now, its possible to have (many) more sellers flying all around the world, pitching their product.
And if you listened to the 11 min clip I posted, this isnt even the big money maker NexTech has lined up. That's still coming. $$$