discuss Appraisals 2018 What do they mean? How can they help?

[ThatNameGuy]

I own about 1,850 domains of all kinds that appraise for a little over 1.5 Million dollars. I use a combination of appraisals from Go Daddy and Estibot to value my portfolio. What I find hard to believe is that I just found another company, Nokta Domains, that if I were to run all my domains through their appraisal program, I'm sure my portfolio would appraise for a little over 3 Million dollars.

I asked the question in the title of this thread...What do they mean? It's my opinion they mean very little, but I do find them good enough to rate or score my domains compared to others. Generally, the higher the appraisal from someone like GD, the better the domain

So how can they help?...if you're lucky enough to be able to meet and speak with a lot of end users, appraisals can be a powerful enough tool to help close a deal. How do I know? I'll tell you...but you know what I'll have to do if I tell you

Seriously, I was just telling someone who sent me a DM that end user "domain education" is, and will be the key to my success in this industry. I'm employing sales strategy and sales technique that have proven successful for over 100 years, and selling domains is absolutely no different than selling houses, auto's, boats, computers, B2B or B2C products or services. Common sense, and Sales and Marketing 101 is by far the best teacher.

How do you see industry appraisals helping you to make better buys?... better sales? Thanks, and have a great week. Cheers!

 

[ThatNameGuy]

My point exactly DN...thanks so much for your input.

 

[Ollie3000]

edit

 

[Andrew Knox]

@Kate so you don't even like GD for comparable sales? Why do domains sell?

 

[Kate]

Comps are certainly useful. Resources like DNJ or Namebio are essential.
Because some patterns tend to repeat, for example certain keywords may be sought after. But many sales are one of a kind too. Just because a specific name sold doesn't mean that variations of that name, or the exact same domain in a different extension is going to sell.
Domainers are making too many assumptions.

 

[eurorealtor]

zje dot com (domain I sold) estibot valuation: $62k / GoDaddy instant appraisal: $16k, choose one

 

[Andrew Knox]

zje dot com (domain I sold) estibot valuation: $62k / GoDaddy instant appraisal: $16k, choose one

Depends if I'm buying or selling :p

 

[ThatNameGuy]

zje dot com (domain I sold) estibot valuation: $62k / GoDaddy instant appraisal: $16k, choose one

I'll throw in another one for you....NoktaDomains $22,835 Eurorealtor, I guess that was your sale 10/30/2016 listed at Namebio for 60K? Nice!

I'll share a quick story...yesterday I joined a friend I hadn't seen for 50 years for a bike ride around Williamsburg. He just retired from a company called GL Communications. His company email address was, and still is; xxx.gl.com. Yes, his three initials, and gl .com. Before I met him for breakfast, I checked Estibot, and the appraisal for GL .com was $2,080,000. My friend was blown away when I told him this because he was real good friends with the founder of the company who just loved an old time movie from 1940 called Gaslight (thus the GL name). The founder recently passed away, but my friend who was senior management will share it with his former associates. I don't know if they know what they own in the way of a domain name, but I just found it to be an interesting story.

 

[eurorealtor]

I guess that was your sale 10/30/2016 listed at Namebio for 60K? Nice!

Yes, and that's where you should focus, instead of spending for hand regs. I know, it's just $1,99 to $10 per domain, but in 10 years you will figure out you've just flushed $50k down the toilet and made just peanuts.

 

[ThatNameGuy]

Yes, and that's where you should focus, instead of spending for hand regs. I know, it's just $1,99 to $10 per domain, but in 10 years you will figure out you've just flushed $50k down the toilet and made just peanuts.

Actually I disagree. I'm a big believer in diversification, and within reason, diversification has served me well in business. I've been told by more than two leaders in the domain industry that I'm a pretty innovative and creative guy, especially when it comes to "names". You might not think that my having started, named, bought and sold 25 plus businesses in my lifetime doesn't count for much, but I know better. I've made a lot of money in my lifetime, and I've lost a fair amount. However, in the big scheme of things, I've invested "peanuts" in a diversified portfolio that appraises for over 1.5M. I also know I'm a good enough sales guy that the return on my "peanuts" will be far better than your prediction. Stay tuned

 

[bmugford]

Actually I disagree. I'm a big believer in diversification, and within reason, diversification has served me well in business. I've been told by more than two leaders in the domain industry that I'm a pretty innovative and creative guy, especially when it comes to "names". You might not think that my having started, named, bought and sold 25 plus businesses in my lifetime doesn't count for much, but I know better. I've made a lot of money in my lifetime, and I've lost a fair amount. However, in the big scheme of things, I've invested "peanuts" in a diversified portfolio that appraises for over 1.5M. I also know I'm a good enough sales guy that the return on my "peanuts" will be far better than your prediction. Stay tuned

You say appraisals don't mean anything then at the same time constantly state them to justify the value of your portfolio.

If the appraisals are worthless why do you feel the need to mention them? It makes no sense.

Actual offers and sales are the test of true value, not some automated appraisals.

Brad

 

[ThatNameGuy]

You say appraisals don't mean anything then at the same time constantly state them to justify the value of your portfolio.

If the appraisals are worthless why do you feel the need to mention them? It makes no sense.

Actual offers and sales are the test of true value, not some automated appraisals.

Brad

Brad...seriously, why do you waster your time with me. I started this thread titled, "Appraisals 2018, What do they mean? How can they help? How many times have I said that appraisals in this industry are a joke? Then I've gone on to explain there's a "caveat" involving the joke....how many times have I said that? Do you know what a caveat is Brad? Now if you would like to contact me personally, I'd be more than happy to explain again to you how I'm exploiting the appraisal joke to sell domains. This apparently has gone over your head because others seem to understand. Cheers!

 

[JB Lions]

Brad...seriously, why do you waster your time with me. I started this thread titled, "Appraisals 2018, What do they mean? How can they help? How many times have I said that appraisals in this industry are a joke? Then I've gone on to explain there's a "caveat" involving the joke....how many times have I said that? Do you know what a caveat is Brad? Now if you would like to contact me personally, I'd be more than happy to explain again to you how I'm exploiting the appraisal joke to sell domains. This apparently has gone over your head because others seem to understand. Cheers!

I understand what you're saying, you're using appraisals to help get sales. People who have no clue about domains, might be swayed by seeing an appraisal by GoDaddy or another known name. It's like somebody wanting to buy a classic car but has no clue what they're worth. If they see some certificate or something from a Classic Car appraisal company, it might make them feel better in spending the money.

So I get that part.

The part where you say your portfolio is worth X, no. Because it's just not. Even moreso with domains you seem to be buying more of, new gtlds. Just look at the horse.vacations examples I used, crazy. There just isn't enough data (sales) for them to use on top of them not being that reliable in the first place.

And yet again, with industry leaders saying nice stuff to you and all that other stuff, just refer to previous posts. Get sales first. A simple:

I sold (insert domain) for $$$$, maybe a few sales first, then (this is how I did it) It would hold more weight. To this point it's all just marketing fluff, ideas that haven't been realized yet. To this point, you're basically just telling everybody how hard it is to sell new gtlds, the opposite of what you're probably wanting to do. I have all this past experience, yet I'm really not selling anything.

 

[ThatNameGuy]

I understand what you're saying, you're using appraisals to help get sales. People who have no clue about domains, might be swayed by seeing an appraisal by GoDaddy or another known name. It's like somebody wanting to buy a classic car but has no clue what they're worth. If they see some certificate or something from a Classic Car appraisal company, it might make them feel better in spending the money.

So I get that part.

The part where you say your portfolio is worth X, no. Because it's just not. Even moreso with domains you seem to be buying more of, new gtlds. Just look at the horse.vacations examples I used, crazy. There just isn't enough data (sales) for them to use on top of them not being that reliable in the first place.

And yet again, with industry leaders saying nice stuff to you and all that other stuff, just refer to previous posts. Get sales first. A simple:

I sold (insert domain) for $$$$, maybe a few sales first, then (this is how I did it) It would hold more weight. To this point it's all just marketing fluff, ideas that haven't been realized yet. To this point, you're basically just telling everybody how hard it is to sell new gtlds, the opposite of what you're probably wanting to do. I have all this past experience, yet I'm really not selling anything.

JB....are you Brad? Excuse me, but I NEVER said how much my portfolio is worth because honestly I don't know. I know how much I paid for it, and I I know how much it appraises for. And finally, I'm NOT trying to sell my domains to other domainers like you or anyone else in the industry. Unless you're afraid, send me a private message, and I'll share with you the domains I've sold to investors who have invested in me and my business. However, I don't expect to hear from you for obvious reasons

 

[JB Lions]

JB....are you Brad? Excuse me, but I NEVER said how much my portfolio is worth because honestly I don't know. I know how much I paid for it, and I I know how much it appraises for. And finally, I'm NOT trying to sell my domains to other domainers like you or anyone else in the industry. Unless you're afraid, send me a private message, and I'll share with you the domains I've sold to investors who have invested in me and my business. However, I don't expect to hear from you for obvious reasons

Why don't you simply reply with:

domain sold for $$$

Very simple. You don't talk about your past history and sales technique etc. in private.

As far as:
"And finally, I'm NOT trying to sell my domains to other domainers like you or anyone else in the industry."

That's most people. Most are not trying to sell domains to other domainers, end users would be their first choice, and many do. But domainers have money as well and buy domains for resell or even an end user themselves sometimes.

 

[ThatNameGuy]

Why don't you simply reply with:

domain sold for $$$

Very simple. You don't talk about your past history and sales technique etc. in private.

Ok...this should make you very happy....Bob Schaeffer, realtor bought two domains from me, H2OFrontRealty.com for $2,500 and SexSea.Realty for $2,500. Then Milt Martin, developer and investor bought FirstCarMemories.com for $2,500, and H2ODiet.com for $2,500. For any further information contact me personally. Very simple...there you have it....like it, or ???????????. Cheers!

 

[Josh R]

Ok...this should make you very happy....Bob Schaeffer, realtor bought two domains from me, H2OFrontRealty.com for $2,500 and SexSea.Realty for $2,500. Then Milt Martin, developer and investor bought FirstCarMemories.com for $2,500, and H2ODiet.com for $2,500. For any further information contact me personally. Very simple...there you have it....like it, or ???????????. Cheers!

I won't look at them all, but FirstCarMemories.com doesn't seem to have moved since you registered it last year.

You should get the buyer to update their contact details.

 

[ThatNameGuy]

I won't look at them all, but FirstCarMemories.com doesn't seem to have moved since you registered it last year.

You should get the buyer to update their contact details.

Hey there Tiger...would it make you happy if I did that? I think we're friends on Linkedin. I'd feel better sharing details of the transaction with you on Linkedin if you care to know. I might even provide you with snipets of information of the business model/plan to develop FirstCarMemories.com if you're real nice. Cheers!

 

[Josh R]

Hey there Tiger...would it make you happy if I did that? I think we're friends on Linkedin. I'd feel better sharing details of the transaction with you on Linkedin if you care to know. I might even provide you with snipets of information of the business model/plan to develop FirstCarMemories.com if you're real nice. Cheers!

That’s not necessary, but thank you.

Just helping out you and the buyer so that it’s properly transferred. Not updating WHOIS used to create a variety of problems. Now that GDPR is in place, that may no longer matter as much.

 

[Bob Hawkes]

I feel that there is value in Estibot and GoValue, but one must never regard them alone as an indication of even relative value. I feel that just because they are automated, does not mean that they are necessarily inferior to human estimates of worth. If you think about it, Google uses automated techniques to do many sophisticated things countless times every second, and we do trust them, for example, to point to the best search results or suggest the best bus or car route between two points. Modern ML/DL results from Google research and others have now become better than medical professionals in predicting certain health results.

So how should one use Estibot and GoValue?
*As a second opinion after your own analysis of the worth of a domain name using information such as inherent name quality, prior sales, search statistics, etc.
*As an easy way to get some of the search and advertising data (Estibot)
*As an easy way to get some related sales (GoValue) beyond those in NameBio, DNPric.es etc.
*As an automated order of thumb estimate that is not subject to your personal biases.

Many domain name buyers will never consider the automated appraisals, but in some cases the information may be helpful in convincing a buyer that the price requested is supported by a view other than your own. I think that by making GoValue openly available, GoDaddy have changed the landscape, and more and more end users are at least checking GoValue before or during negotiations.

Even if you hate automated appraisals (and I know only too well that many NamePros users do!), I feel that if you don't make yourself familiar with the main automated tools, you are missing information that you need to know to be a fully educated domain name investor.

Thanks for reading, and best of luck to you all in your domain investments!

 

[Beezy]

I can't wait until the next week's "Appraisal 2018 Week 26" thread.

This comes up literally every week.