Sulake made $74 Million from you last year...

[AgnesIO]

Yeah, but how much really would it take to run a 17 country hotel online business? It's free to do all the furni, just have to pay for domains and servers, plus the staff. I'd say they're making about 40-50M a year off us.

If you insist Ill take it all!

[brandon]

I feel so silly now

[AgnesIO]

I feel so silly now

Why didnt we think of it before?!

[Jonster]

There's more than just 2-3 costs involved...

- Headquarters/Offices
- Heating/Lighting/Water bills
- Travel (meetings)
- Advertisement/Promotions
- Staff Wages
- Servers
- Domains
- Hosting
- Programs
- ...

I could go on...I can imagine that Sulake struggle to make profits. Each piece of furniture designed may seem free, but there are costs tagged along with it. Firstly, the software used would need to be payed off, then theres staff wages (per/hour) costs, etc etc, and so will require X Habbo's to purchase this piece of furniture.

[Laggings]

Ok, here's the list of costs:
- Headquarters/Offices (5M)
- Heating/Lighting/Water Bills (1M)
- Travel (meetings) (200,000)
- Advertisements/Promotions (10M)
- Staff (15M)
- Servers (2M)
- Domains (About 5,000)
- Hosting (500,000)
- Programs (Probably designed by their own IT people...?)

I'm sure they design their own furniture by being paid by the hour, normal wages, and don't require a new program for every new furni Lol.

Above is just an estimate from what I have seen.

[Invent]

Ok, here's the list of costs:
- Headquarters/Offices (5M)
- Heating/Lighting/Water Bills (1M)
- Travel (meetings) (200,000)
- Advertisements/Promotions (10M)
- Staff (15M)
- Servers (2M)
- Domains (About 5,000)
- Hosting (500,000)
- Programs (Probably designed by their own IT people...?)

I'm sure they design their own furniture by being paid by the hour, normal wages, and don't require a new program for every new furni Lol.

Above is just an estimate from what I have seen.

It's probably roughly like...
- Headquarters/Offices (5M)
- Heating/Lighting/Water Bills (10M)
- Travel (meetings) (200,000)
- Advertisements/Promotions (10M)
- Staff (50-100M)
- Servers/Maintenance/Licenses (5M?+),
- Domains (About 5,000)
- Programs (100,000+)
- Software development (10M)
- Equipment (5M)

[Laggings]

I'm guessing they HAVE their own programs, and don't need to continally buy some.

[Jonster]

I never said they continuously purchase them. When you buy something, you often make money to pay it off/back. You'd be surprised how little money they make per each sale of furni. You'd think they would make a vast amount of profit, but I can imagine it would be very little.

For designing furniture - I would very much doubt they designed their own program in order to do this - they probably use photoshop or some other advanced graphic software.

[Laggings]

You must be funny. Anyways, they don't get 1 red cent when they sell furni. They make money when you buy credits.

[Jonster]

The company itself won't make much money from credit sales, though. Yes, a lot of its profit comes from credits, but remember, the $74 million in revenue isn't profit - infact, it's far from it.

For every credit purchase you make, if you purchased through an SMS - mobile operators take a sum of that money, if you purchased online via PayPal (if Habbo accept this) then they will also take a sum of that money - etc. There are then other costs involved with this, meaning that when you pay £10 or so for credits, they only make a little amount - remember, they pay for advertisement, staff wages, ...

Let me put it to you this way - if Sulake were making vast amounts of profit, why do you think they've made various moderators redundant recently and had to close I think 2 hotels? The article said so itself - "It was even slightly profitable on a net income basis as well."