Are you looking to start an online course business? Teachable is a popular platform to create and sell courses. However, calculating revenue from your sales can be confusing for beginners. In this article, we'll break down revenue calculation in Teachable into digestible sections. Whether you're a beginner or an expert, this guide will help you understand how Teachable calculates revenue, and how to set up and track your revenue effectively.
Understanding Teachable Revenue
Before we dive into calculating revenue, let's first understand what Teachable is and how it calculates revenue. Teachable is an all-in-one platform that allows you to create and sell online courses, membership sites, and coaching services. When you sell a course on Teachable, you will receive money from students who purchase your course. However, Teachable takes a percentage of your revenue (depending on the plan you choose) as a transaction fee. This fee is automatically deducted from your revenue, and you will receive the remaining amount in your Teachable account.
What is Teachable?
Teachable is a cloud-based platform where creators can create and sell courses, memberships, and coaching services. The platform offers various features that enable course creators to design their online school, market their courses, and manage their students. Teachable offers customizable themes, quizzes, certificates, and several other tools to enhance the learning experience for students. Additionally, Teachable provides creators with the ability to track and manage their revenue.
Teachable is designed to be user-friendly, making it easy for creators to set up their online courses and start selling them in no time. The platform offers a drag-and-drop course builder that allows you to create your course content quickly and efficiently. You can add text, images, videos, and quizzes to your course, making it engaging and interactive for your students.
Teachable also offers a variety of marketing tools to help you promote your courses and reach a wider audience. You can create sales pages, opt-in forms, and email campaigns to attract potential customers. The platform also integrates with popular marketing tools like Mailchimp and ConvertKit.
How Teachable Calculates Revenue
Teachable calculates revenue by taking into account the amount of money you receive from student payments upon purchasing your courses or signing up for your membership plans. Teachable automatically deducts its transaction fees and any other expenses you may incur. The remainder of the revenue is then deposited into your Teachable account, which you can withdraw to your bank account or use for advertising.
Teachable also provides creators with detailed revenue reports, which allow you to track your earnings and identify areas for improvement. You can view your revenue by course, by month, or by student, giving you a comprehensive overview of your earnings.
Overall, Teachable is an excellent platform for creators who want to create and sell online courses, memberships, and coaching services. With its user-friendly interface and powerful marketing tools, Teachable makes it easy for creators to build their online schools and start generating revenue.
Setting Up Your Teachable Account for Revenue Tracking
Now that you understand how revenue is calculated in Teachable, it's time to set up your account for revenue tracking. Here are a few steps to follow:
Choosing a Pricing Plan
The first step is to choose a pricing plan that best suits your needs. Teachable offers a range of plans to choose from, including the Free plan, Basic plan, Professional plan, Business plan, and High Volume plan. Each plan offers different features and a varying transaction fee percentage. The Free plan is suitable for those who are just starting and have a limited budget. The Basic plan is ideal for small businesses that want to test the waters and experiment with online courses. The Professional plan is perfect for established businesses that want to take their online courses to the next level. The Business plan is suitable for large businesses that require advanced features and customization options. Finally, the High Volume plan is designed for businesses that have a high volume of students and require enterprise-level features.
Ensure that you choose a plan that offers the features you need and matches your revenue goals. Take the time to evaluate each plan and determine which one is right for you.
Connecting Payment Gateways
After choosing a pricing plan, connect your payment gateway to your Teachable account. Payment gateways are online services that enable you to receive payments from your customers. Teachable integrates with several payment gateway options such as PayPal, Stripe, and Shopify. Setting up a payment gateway is essential to receive payment efficiently from your customers.
When choosing a payment gateway, consider the transaction fees, payment processing time, and security features. It's important to choose a payment gateway that is secure and reliable to protect your customers' information.
Setting Up Taxes and Fees
Setting up taxes and fees is important when calculating revenue in Teachable. Taxes and fees vary by region, and it's important to ensure that they are set up correctly to avoid errors in revenue calculation. Teachable provides you with the ability to set up taxes and fees in your account settings, and you can set them up for each course or membership plan.
When setting up taxes and fees, consider the tax laws in your region and the type of product or service you are offering. It's important to ensure that you are charging the correct amount of tax to avoid any legal issues.
By following these steps, you can set up your Teachable account for revenue tracking and ensure that your revenue is calculated accurately. Remember to regularly check your revenue reports and adjust your pricing and marketing strategies accordingly to maximize your profits.
Calculating Revenue from Course Sales
Selling courses is one of the primary revenue streams on Teachable. Here's how to calculate revenue from your course sales:
Identifying Your Course Pricing Structure
Before selling your courses on Teachable, identify your course pricing structure. Will you price your course based on value, or will you price it based on competitor prices? It's important to price your course appropriately to gain traction and ensure you make the revenue you need.
Tracking Sales and Refunds
Tracking the sales and refunds of your course is critical in calculating your revenue. Teachable provides an intuitive dashboard that enables you to track your course sales. You can also see the total revenue generated, transaction fees paid, refunds made, and net revenue received. This tracking allows you to see your revenue progress and identify your best-selling courses.
Analyzing Revenue Trends
Getting insights into your course sales trends is key when calculating your revenue. Teachable provides the ability to analyze your sales and revenue trends through its revenue analytics feature. This feature allows you to track your revenue by course, date, and region. By analyzing your revenue trends, you can identify areas for improvement and optimize your revenue generation.
Calculating Revenue from Subscription and Membership Plans
Subscription and Membership plans are another popular revenue stream in Teachable. Here's how to calculate revenue from your subscription and membership plans:
Setting Up Subscription and Membership Pricing
The first step in calculating revenue from your subscription and membership plans is to set up the pricing structure. Teachable's pricing options vary depending on the plan you choose. Ensure that your pricing is suitable for the value of your content and matches your revenue goals.
Tracking Subscriber and Member Payments
Tracking the payments made by subscribers and members is important to invoice them accurately and calculate your revenue correctly. Teachable provides an easy-to-use dashboard that enables you to track your subscriber and member payments, view their invoices, and see when they have been charged. This information helps you understand your revenue progress and identify issues with payments.
Managing Cancellations and Refunds
Managing cancellations and refunds is essential when calculating revenue from subscription and membership plans. Teachable provides a management dashboard to handle cancellations and refunds efficiently. This dashboard allows you to see when a cancellation is requested, freeze subscriptions or memberships, and process refunds. Handling cancellations and refunds accurately ensures that revenue calculations are correct.
Conclusion
Calculating revenue in Teachable can be challenging for beginners, but with the right tools and guidance, it can be easy to navigate. Understanding how Teachable calculates revenue, setting up your account, and tracking your revenue ensures that you can plan your budget better and set realistic goals. By leveraging the features in Teachable, such as revenue analytics, tracking sales and refunds, and managing cancellations, you can optimize your revenue progress and enhance your course business. Follow this guide, and you'll be on your way to mastering revenue calculations in Teachable!