advice How do I handle this negotiation?

[Houssaine]

Hi everyone,

I received a couple days ago an offer for one of two word domain I own with strong keywords and need your advice to successfully close the deal.
The buyer made an offer of $500 and said he's wanting the domain for an education project. After some research I found his claim to be true and he has some websites in this niche but with ugly domain names.
Then I countered with $25,000 and didn't heard from him until I followed up asking if he still interested in the domain name, to witch he just answered " we are able to pay $1,000 for this domain". I countered with $23,000 and said some merits about the domain.
It's been two days now and didn't get any answer. How do I go from here? Do I have to wait some days or even some weeks before following up?

Thank you in advance for your valuable advices.

 

[NetworkPearl]

It would be better if you can post the domain over here. If you really believe the domain is worth $25k then ignore him.

 

[Retired555022]

Clear indication you've been overly optimistic, $24,500 difference in initial valuation is considerable.

Yes they could be playing hardball but when they graced you with a second response for $1000 after not replying you should know right then that you are miles apart, imo needing to either reassess your valuation considerably or walk away and let them chase in the future.

 

[Houssaine]

Thank you guys for your feedbacks. I priced it that way because I saw two similar domains been sold for 10k in the last two years at Uniregistry.

 

[Retired555022]

Thank you guys for your feedbacks. I priced it that way because I saw two similar domains been sold for 10k in the last two years at Uniregistry.

So you decided to ask more than double what the market rate has been over a 2 year period ( assuming the domains are in the same bracket ). Makes perfect sense :D

Greed shouldn't cloud a judgement of what you are prepared to accept for it and what someone is willing to pay.

If you knew 100% that $1000 would be their absolute maximum offer and you've not had any other interest in the past..............would you accept it or would you walk away hoping for a pay day a year or two down the line ?

That should give you the answer you are looking for.

 

[deez007]

I think it's a case of them actually wanting the domain but simply can not justify spending that amount of money on it or can not afford to spend that amount of money.

Have you done your homework with checking to see if it is an an established business that could be earning considerable revenue or if they are small operation?

Also, have you checked what similar domains are selling for on Sedo or what similar domains have sold for in the past on Namebio?

 

[Houssaine]

I asked the double so I could get to 10k after negotiation but to be honest I'd be happy with 5 to 7k.

 

[deez007]

I asked the double so I could get to 10k after negotiation but to be honest I'd be happy with 5 to 7k.

When you are negotiating via email as opposed to face to face, you do not have the luxury to be bold with your negotiations. Face to face gives you the luxury of an open communication channel so that you can still continue to negotiate until both parties are happy... with email negotiations, going balls to the wall like you did with your counter offer can instantly close the communication channel. If you were happy with 5-7 you should have countered with that amount.

 

[Retired555022]

I asked the double so I could get to 10k after negotiation but to be honest I'd be happy with 5 to 7k.

I can understand the inflated initial offer to gauge interest and potentially get a reasonable counter in return, but the second come back at only $2000 less is the confusing one.

Maybe give it a week or two and follow up again, if you are lucky enough to get a response, ask them to give you their max offer. If it gets close to what you would accept win win, if not then walk away.

 

[Houssaine]

I think it's a case of them actually wanting the domain but simply can not justify spending that amount of money on it or can not afford to spend that amount of money.

Have you done your homework with checking to see if it is an an established business that could be earning considerable revenue or if they are small operation?

Also, have you checked what similar domains are selling for on Sedo or what similar domains have sold for in the past on Namebio?

I checked all the websites linked to the email of the buyer and it seems they are in the education niche with several projects aiming to children education an de I do think they can afford a high x,xxx to low xx,xxx domain.
As I said Namebio reported two similar domain purchase for 10k, one last year and another this year and both at Uniregistry. In the reseller market similar domains went from $xxx to low $x,xxx.

 

[Name Trader]

I agree with @deez007. Your initial offer seems very high, if you'd be happy with 5k-7k. Then your counter at $23k was even more stupid. IMHO. If you has come down to $10k-$12k, you might still have been negotiating. Maybe not also. We cannot really tell, without knowing the domain name.

 

[DomainVP]

Ask for what you would be happy with, and take what you are okay with.

If you want $25k(c) then ask for it, if they can't pay that then they are not the right buyer for the domain.

If you really want $5k - $7k then have a conversation with them in a few weeks about meeting in the middle. If they can't do that either than just walk away.

However... if you are okay with $1k then just take it and stop delaying.

 

[johname]

he just answered " we are able to pay $1,000 for this domain". I countered with $23,000 .

Your counter pretty much will end the negotiations

unless you are thinking about taking the $1000 dont reply back.

Just wait. Really not much else you can do.

 

[Houssaine]

You get it right Johname!! After following up, the buyer let me know that $1,000 was his best offer. But I'm not willing to let this domain go for such a price.

 

[Lysted]

Keep in mind that $500 offer is just breaking the ice. We have seen $500 turning into $5000 sale, but not into XX,XXX sale.

 

[Houssaine]

Keep in mind that $500 offer is just breaking the ice. We have seen $500 turning into $5000 sale, but not into XX,XXX sale.

In my place how much would've you asked? Thanks

 

[LucidDomains]

No one can really answer this without knowing the domain name in question.

 

[Houssaine]

No one can really answer this without knowing the domain name in question.

The domain is Wealth/Boss/com and I had have another inquiry the same week on Wealth/Tank/com but this time from someone from USA meanwhile the former inquiry was from Canada.

 

[Haris]

Even though Wealth/Boss is a nice domain.. fair price would be low $xxxx .. imo..

I would do some research and see if there are multiple potential buyers for this domain, and if I can't find at least a few, I would try to get them up to $1500 and sell it.

 

[LucidDomains]

I would price them both at $3-5K.

You need to remember that Uniregistry has professional brokers that often call up wealthy companies and work leads up to the figures you see on namebio. It's not easy to get $10K in an email exchange if their first offer is $500.