Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - EDIETS COM INC | d8k.htm |
 CONFIDENTIAL
25
$3.0 Million Investment in Advertising
$3.0 Million Investment in Advertising
(assume advertising investment turns 10X annually)
(assume advertising investment turns 10X annually)
Copyright 2010 eDiets.com, Inc. All Rights Reserved
Meal Delivery Business Model
$ Millions
Ad Spend Scenarios (TV + Online)
$30.0
$30.0
$30.0
$30.0
Revenue/Ad Spend Ratio (revenue /
advertising)
2.00
2.50
3.00
4.00
Implied Revenue
60.0
75.0
90.0
120.0
Variable Cost of Food and Fulfillment
52.0%
(31.2)
(39.0)
(46.8)
(62.4)
Variable Cost of Acquisition
Advertising
25% -
50%
(30.0)
(30.0)
(30.0)
(30.0)
Call Center, Promotions
6.0%
(3.6)
(4.5)
(5.4)
(7.2)
Fixed Cost of Staff and Other Expense
(1.0)
(1.0)
(1.0)
(1.0)
EBITDA
($5.8)
$0.5
$6.8
$19.4
EBITDA Margin
-9.7%
0.7%
7.6%
16.2%
Ad Spend Working Capital Investment
Required, assuming 10 turns per year
$3.0
$3.0
$3.0
$3.0
Exhibit 99.1 |