Ok, that's useful - it will come in handy in a minute (you'll see)
Ready to crunch some numbers? If you don't want to discuss specific numbers pertaining to your business, you can just make up some hypothetical ones; the calculation stays the same.
First, we need to know what margin we have to work with. For the sake of this calculation, I'll assume 50%. You can substitute your own margin and recalculate if necessary.
Then we need to know the average order value. Looking at your range, shall we take a guess with £30? Again, you can tweak this.
Let's also assume you're running this in your spare time, from home, so you have no overheads at all. You just buy stock, then send it. You have some packaging costs, and Royal Mail costs, and that's about it.
So in order to clear your £1000 profit, based on the above, you're going to have to turn over say £2400 a month. Sound about right?
On a £30 order value, that's 80 orders a month, or just under 3 orders a day.
You should be able to convert around 1%-1.5% of your visitors without too much trouble. So to get your 3 orders a day, you need 200-300 visits a day.
Is this achievable within 9 months? Sure. Can you do it on £3000? Probably, if you make the right decisions and spend wisely.
Do all these numbers look about right?
