Valigara-logo-clean--1440x360px(4to1ratio)
Log in
Request A Demo
Valigara-logo-clean--1440x360px(4to1ratio)
Request A Demo

VALIGARA's ROI

or How Do I Make Money with Valigara?

What is Return on Investment (ROI) in a jewelry software?

“Is Valigara good for my business?” ,”Isn’t it too expensive for me today?” ,”How do I return the money I put in Valigara subscription?”  

When allocating a budget on a business software, you’re making an investment, and you have to know it’s going to be profitable. The Return On Investment (ROI) is a performance measure used to evaluate the efficiency or the profit of an investment made. After seeing hundreds of different jewelry businesses using Valigara, we wrote down the common cases. 

 

ROI = Net Profit / Cost of Investment

ROI example: Retailer, no online presence

Approach: Convert an existing sales team member to eCommerce &  utilize free time of store sales people


    1. Current B&M store turnover, monthly: $100K
    2. eCommerce sales share, after 1 year: 20%
    3. Standard revenue rate: 30%
    4. Yearly Valigara package: $7,300 (Silver package: $399/month + setup $2500)
    5. Initial social advertising budget / month: $1000
    6. Online Sales Revenue, Net Growth: $100K*12*20%*30%=$72000
    7. ROI = (100K*12*20%*30%)
                    (7300+1000*12) =       373%
ROI=373%

ROI example: eCommerce: Single website / marketplace

Approach: Use Valigara automation to reduce costs of eCommerce operation (content generation, listing, channel & orders mgmt)

 

  1. Valigara saves 80% of cost of eCommerce operation
  2. eCommerce operator monthly salary: $3000
  3. Valigara package (for eCommerce sellers), monthly: $630
  4. ROI = (3000*80%) / 630 = 380%
Approach: eCommerce growth due to improved processes
  1. Current eCommerce volume, monthly: $50K
  2. eCommerce growth rate, after 1 year: 20%
  3. Standard revenue rate: 25%
  4. ROI = ($50K*20%*25%) / 630 = 397%
 
ROI=777%

ROI example: eCommerce: Website / marketplace: inventory not online

Issue solved:

Large part of the inventory is not online

 

Approach: Use the automation to upload the inventory online, to generate more sales.

  1. 50% – 80% items are not online
    1. Sales growth: 100% – 400%
  3. Opportunity loss:
    1. low: $50K*100% = $50K
    2. high: $50K*400% = $200K
  4. Current monthly sales: $50K
  5. Standard revenue rate: 25%
  6. Average Valigara package (for eCommerce sellers) $630
  7. ROI
    1. low: $50K * 25% / 630 = 1980%
    2. high: $200K * 25% / 630 = 7900%
HIGH ROI=7900%
LOW ROI=1980%

ROI example: eCommerce: Website / marketplace: eCommerce team’s full capacity

Issue solved:

Growth limit due to eCommerce team’s full capacity

 

Approach: Use Valigara automation to expand to additional sales channel, while using the same team

  1. Automation increases team’s capacity by 2 channels
  2. Each channel sales addition, after 1 year of operation: 30% – 200%
  3. Valigara cost (3 channels): $500
  4. Standard revenue rate: 25%
  5. Current monthly sales: $30K
  6. ROI
    1. low: $30K * (30%+30%) * 25%/ 500 = 900%
    2. high: $30K * (200%+200%) * 25% / 500 = 6000%
HIGH ROI=6000%
LOW ROI=900%

ROI example: eCommerce: Amazon seller

Issues solved:

 

  1. underused Attributes -> mappings -> 30-200% visibility , 25% CRO
  2. non formatted descriptions / EBC / A+ content -> CRO increase: 10% for fashion, 20% for fine and loose
  3. non-seasoned titles & faster update rate -> increase up to 25% in sales
  4. not optimized titles -> visibility : up to 50%
  5. missing/not optimized bullets -> CRO : up to 30%
  6. no promotional images -> 10% CRO increase
  7. wrong formats / variations -> 30-100% CRO increase
 

ROI calculation:

  1. Sales growth, brutto
    1. low: 0.3+0.25+0.1+0.25 +0.5 +0.3 +0.1 +0.3 = 210%
    2. high: 2+0.25+0.2+0.25 +0.5 +0.3 +0.1 +1 = 460%
  2. Current Monthly sales: $50K
  3. Revenue rate, low: 20%
  4. Valigara cost, average (for eCommerce sellers) $630
  5. ROI
    1. low: ($50K*210%*20%)/630 = 3330%
    2. high: ($50K*460%*20%)/630 = 7300%
HIGH ROI=7300%
LOW ROI=3330%

ROI example: eCommerce: eBay seller

issues solved:

 

  1. underused Item Specifics (recommended, custom) -> mappings -> 30-200% visibility , 25% CRO
  2. non formatted descriptions -> increase CRO (conversion), 10% for fashion, 20% for fine and loose
  3. non-seasoned titles & faster update rate -> increase up to 25% sales rate
  4. not optimized titles , below 73 chars -> visibility : up to 50%
  5. no promotional images -> 10% CRO increase
  6. wrong formats -> 30-100% CRO increase

     

ROI calculation:

    1. Sales growth, brutto
      1. Low: 0.3+0.25+0.1+0.25 +0.5 +0.1 +0.3 = 180%
      2. High: 2+0.25+0.2+0.25 +0.5 +0.1 +1 = 430%
    2. Current Monthly sales: $50K
    3. Standard revenue rate: 25%
    4. Average Valigara package (for eCommerce sellers) $630
    5. ROI
      1. low: ($50K*180%*25%)/630 = 3570%
      2. high: ($50K*430%*25%)/630 = 8530%
HIGH ROI=8530%
LOW ROI=3570%

Our customers would love to tell you how Valigara grew their business and simplified their work:

Play Video about Innovation Diamonds - Testimonial Video
Play Video about yossi polnauer leibish and co.
Play Video about Amazonian - Testimonial Video

Request a Demo

What makes Valigara a leading jewelry eCommerce software? 

  • TOP-100 clients on eBay, Amazon, and Etsy 
  • Saving up to 80% of the time and 20X growth 
  • 8530% hard-to-believe Return On Investment (ROI)

Schedule a 1-on-1 demonstration of Valigara with our jewelry eCommerce specialists. Find out how we can help you grow online.

90 seconds about Valigara

Play Video

Call us, anytime:

2022 © Valigara Online Ltd.

Subscribe to our newsletter:

Social networks

Linkedin Facebook Youtube Twitter Instagram

You can find us here:

2021 © Valigara Online Ltd.

Subscribe to newsletter:

Social networks

Linkedin Facebook Youtube Twitter Instagram

Let’s talk Jewelry eCommerce.

We’d love to talk, learn about your business and needs, and show you exactly how Valigara can work for you, make your life easier, while growing your online jewelry business.

Fill in your details and our Jewelry eCommerce Specialists will contact you to schedule your demo: