Scenario Payback
Show why 16 months, 20 months, and 28 months can all be true.
The payback changes based on total three-site pilot cost, added nightly premium, and booked premium nights. This page keeps the assumptions visible.
Scenario comparison
| Scenario | Total 3-Site Cost | Added Premium | Sites | Booked Nights / Site / Month | Monthly Premium Revenue | Annualized Premium Revenue | Simple Payback |
|---|---|---|---|---|---|---|---|
| Conservative | $50,000 | +$40 | 3 | 15 | $1,800 | $21,600 | 28 months |
| Base Case | $40,000 | +$50 | 3 | 15 | $2,250 | $27,000 | 18 months |
| Earlier 16-Month Case | $36,000 | +$50 | 3 | 15 | $2,250 | $27,000 | 16 months |
| Upside Case | $35,000 | +$60 | 3 | 15 | $2,700 | $32,400 | 13 months |
The earlier 16-month case assumed about $36K total buildout and +$50/night premium across 45 premium nights per month.
Formula
Monthly added premium revenue = 3 sites x booked premium nights per site x added premium per night.
Simple payback = total three-site pilot investment / monthly added premium revenue.
The conservative scenario uses a lower premium and the high end of the investment range. The base/upside scenarios assume stronger pricing or lower total pilot cost.