Question

All answers should have two decimal places and be labelled properly (with $ or %) 2,347,892 View Rates & Availability Review Itinerary Enter Guest Info Confirm Booking 367,495 103,471 72,498 $23,464,220.00 Revenue Room Nights 143,285 1. What is the overall conversion rate? 2. Calculate each micro-conversion rate from one step to the next. View Rates & Availability Review Itinerary Enter Guest Info Confirm Booking 2,347,892 367,495 103,471 % % 72,498 % 3. What is the average number of nights per booking? 4. What is the average revenue per booking?

Please help me figure out question number 7 and 8!!!

Answer 1

First 4 Answers are here :)

1. What is the conversion rate?

Confirm Booking / View Rates & Availability

72,498/2,347,892 = 3.09%

2. Calculate each micro-conversion rate.

Rates & Availability 2,347,892 367,495/2,347,892 = 15.7% Review Itinerary 367,495 103,471/367,495 = 28.1% Guest Info 103,471 72,498/103,471 = 70.1% Confirmation 72,498

3. What is the average number of nights per booking?

Room nights / Confirmed Booking

143285/72498 = 1.98

4.What is the average revenue per booking

$23,464,220/72,498 = $323.65

5. what would the conversion rate be If you could increase the percentage of those who reviewed the itinerary to 20%

Review Itinerary: 2,347,892 *.2 = 469,578

Guest Info: 469,578*.281 = 132,213

Confirmation: 132,213*.7007=92,637

Conversion rate: 92,637/2,347,892 = 3.95%

6. Revenue for above

92,637*$323.65 = $29,982,152

7.

Conversions: 2,347,892*3.5% = 82,176

Revenue per conversion: $323.65*.9 = $291.29

Revenue: $291.29*82,176 = 23,936,947.42

8.

Gross profit (before): 72,498*($323.65-$161.83) = $11,732,110

Gross profit (after): 82,176*($291.26-$161.83) = $10,638,643