How To Calculate my Domain Name’s Value

[neckozenica]

hi,

domain name is worth whatever a buyer is willing to pay for it... how I will check what is my Domain Name’s Value??

 

[Asfas1000]

It is very simple if you are a programmer :

FUNCTION GetDomainValue(DOMAIN_NAME dn)
{
    INTEGER CurrentBestOffer = 0;
   
    FOR_EACH (Individual I on Earth)
    {
        INTEGER  ThisOffer = ASK_WHAT_IS_YOUR_BEST_OFFER(I, dn);
        VERIFY_TRUTH(I, dn, ThisOffer);
        IF (ThisOffer > CurrentBestOffer) THEN CurrentBestOffer = ThisOffer;
    }
   
    RETURN CurrentBestOffer;
}

 

[DzAH]

We also have estibot.com

I apprised a domain just now. The value of the domain is, according to
estibot: $ 15
me: $ 7000

 

[maxtorz]

"a domain name is worth what the market is willing to pay for it"
"The market determines the price by what it's willing to pay."
"use estibot to value domains"
"You should wait/ask for the buyer to make an offer first"
"A penny saved it's a penny earned"

All of the above is garbage nonsense!!!
You(the seller) should always price Your domain and You the seller need to be able to support your valuation when the buyer asks for discounts and makes lowball offers!

Waiting for the market or some external source to dictate your pricing is silly.
I ALWAYS want to be transparent in ALL my deals!
"This is the price for this domain. There are many factors and criteria to my valuation. Let's discuss"
If the buyer doesn't want to discuss and offers me $100 on a domain I quoted $6000 then they are not serious. I will followup with them and try to reach them on the phone. For me this is not a game, I am serious and I expect the same in return.
I got $100 offer, $300 offer and $900 "our final offer" for S/I/M/P/L/I/I dot com and sold for $4000 months latter to the same buyer;
I got $200 offer for HempS/Y/N/E/R/G/Y.com and sold for $4500 a few weeks latter;
NO I was NOT going to drop my price to $XXX for any buyer!
I don't discount more then 20% my quoted PRICE EVER, and that's only if I absolutely have too!
The buyers, the market, Estibot, the economy will never set the price for my domains....

 

[Hypersot]

by negotiating with the buyer you mentioned

 

[thevictor]

hi,

domain name is worth whatever a buyer is willing to pay for it... how I will check what is my Domain Name’s Value??

Namebio is a good start - Good luck with your ventures!

 

[biggie]

hi,

domain name is worth whatever a buyer is willing to pay for it...

who told you that?

and which buyer, determines the domains' value?
does the first buyer who offers $10 set value

or the person they resell it to, for $2,500, set the value?

and if that same name is sold again for $25,000 two years later, then what was, or is, it's true worth?

think.... don't just repeat and proceed on the notion.

just saying

imo...

 

[Bob Hawkes]

I have played a fair amount the last week with GoValue from GoDaddy vs Estibot. I will probably write up a more full analysis somewhere if I get around with it, but thought these perceptions might be helpful.

1. I agree with those who say that no algorithm based evaluation should be your only source of value information!
2. Overall, I think GoValue is better than Estibot (I know many will disagree with that). It seems to me that Estibot is inappropriately extreme - it sets many to $0, but others way more than obviously worth.
3. It is clear that Estibot mainly emphasizes search popularity, while GoValue primarily previous sales in closely similar domain names. Their huge database helps do this fairly well, and in general I find their comparators to be meaningful (Estibot less so).
4. I find that GoValue tends to over value most domains, so while it is a good starting point, I doubt that you can get what it says (the exception is really high value domains, that may well be undervalued). For example they show almost any meaningful (or even non meaningful!) .com as about $1000 and clearly lots don't sell for that as Namebio reminds us every day!
5. GoValue also overvalue domains where the name is good, but within new gTLDs GoValue seems to largely ignores the extension. If one extension, like com or net, sold for more than $25k they will make the other extensions, even when not meaningful, as moderately valuable (many hundreds to thousands of dollars). The user needs to evaluate which of these extensions make sense!
6. Both have biases with respect to extensions. For example Estibot seem much kinder to .top than GoValue do, but some of the newer gTLDs Estibot make even great appropriate words $0. Almost every top I tried in Estibot I feel is way over valued. For example, I own kindness.top, which I like as a name, but I don't think I will get near the $3400 that Estibot list it at.
7. To some degree both, but especially Estibot, seems clueless with respect to new developments in science and technology. For example CRISPR was the science breakthrough of the year more than two years ago, has huge search volume and lots being written, but enter it in Estibot and it doesn't even interpret the word right - it thinks it is crisp and r as a separate keyword. GoValue does better, making most of the new extensions from $600 to $900 recognizing that CRISPR.com sold for more than $25000. This is just one example, but Estibot is in my opinion almost worthless for new science and tech.

Anyway, I may make a more formal posting with quantitative data, but thought this might be useful. If both list a domain name as almost worthless (GoValue have the lowest category listed as <$100), or if both are consistent in a high value, I would have more confidence.

Best of luck valuing, and especially selling, everyone!

Bob

 

[Bullock]

@neckozenica

Keep in mind that...

 

[KhaledA]

The value of a domain name depends on many factors like:
- The quality
- Easy to remember,pronounceable
- The extension (.com , .net,.org ........)
- Age
- The length
- Keywords
- ....other factors
It is better for you to compare your domain to close similar domains sold on Namebio.com
and Dnjournal.com
Best of Luck !!!

 

[PoliticalVII]

so if I say now that my domain is worth $ 100 000 000, then it is worth $ 100 000 000 ?

No, it means you need medications.

 

[Asfas1000]

Value can not be defined in a vacuum. Proper form IMO is "Value of domain X to the entity Y". The same domain will be valued differently by different persons/companies. My surname in .com is worth something to me and to other people with the same surname, but probably 0ish to everyone else.

Sellers say "it's only worth what someone is willing to pay for it", but buyers often think "what the seller asks for it". Also, "owner" is not the same as "seller". Owner may be unwilling to sell the domain.

The owner is in the best position to know what kind of demand exists for a domain, and if it is worth more to someone else than it is to himself.

 

[DzAH]

Seller determines the price.

It is not a counter argument, it is a fact

Seller set price (and can freely change it at will). Buyer agree or disagree. They BOTH make a deal, or not, by agreement, or disagreement on price, set by the seller. It's all up to the seller.

More generally speaking.. If sellers decides they really don't want to sell then supply goes down. Values of domains goes up, but number of sales goes down. Btw seller/nations etc. does this to drive prices up (like oil prices)

Obviously, if "the market" determines (and I agree with you), market isn't only buyers, but sellers also. The all/both contribute. Therefor it's true when people say sellers determines, and it's also true when people say buyers determines.

That's how I see it.

Would love to hear a counter argument to this.

me too !

 

[frank-germany]

The market determines the price by what it's willing to pay. Would love to hear a counter argument to this.

I tell you what:
if you don't sell at the price the other party is offering
there is no way that the other party can set the price

 

[Joe N]

"a domain name is worth what the market is willing to pay for it"
"The market determines the price by what it's willing to pay."
"use estibot to value domains"
"You should wait/ask for the buyer to make an offer first"
"A penny saved it's a penny earned"

All of the above is garbage nonsense!!!
You(the seller) should always price Your domain and You the seller need to be able to support your valuation when the buyer asks for discounts and makes lowball offers!

Waiting for the market or some external source to dictate your pricing is silly.
I ALWAYS want to be transparent in ALL my deals!
"This is the price for this domain. There are many factors and criteria to my valuation. Let's discuss"
If the buyer doesn't want to discuss and offers me $100 on a domain I quoted $6000 then they are not serious. I will followup with them and try to reach them on the phone. For me this is not a game, I am serious and I expect the same in return.
I got $100 offer, $300 offer and $900 "our final offer" for S/I/M/P/L/I/I dot com and sold for $4000 months latter to the same buyer;
I got $200 offer for HempS/Y/N/E/R/G/Y.com and sold for $4500 a few weeks latter;
NO I was NOT going to drop my price to $XXX for any buyer!
I don't discount more then 20% my quoted PRICE EVER, and that's only if I absolutely have too!
The buyers, the market, Estibot, the economy will never set the price for my domains....

No need to insult everyone. You're saying the same thing as everyone else... that the buyer paid you what they were willing to pay you... And you took what you were willing to take... That's the market, my friend.

You have a good handle on how to price your domains and negotiate with buyers. That's great. But at the end of the day, you're not selling your names for anymore than a buyer is willing to pay.

 

[biggie]

the statement:

a domain is worth what a buyer is willing to pay.

is false

why?

because a domain may have value to more than one buyer

and.....

a domain may have value, above what buyers are willing to pay and therefore, it may never get resold.

ie: a domain currently earning ppc, where the income is more, than the "multiples" being offered for it.


imo....

 

[frank-germany]

hi, thanks for answers ...

but I'm still confused.... there is no some rule to determining the real value?

there is no such thing as "real value"

 

[Joshua Harding]

lol

I just wrote a little post that will hopefully allow you to better understand the associated factors in (albeit roughly) determining the value of a domain name.

Find it here: https://www.availdomains.com/value-domain/

Let me know what you think, as it's still in rough form.

 

[BuyBrandWeb.com]

hi,

domain name is worth whatever a buyer is willing to pay for it... how I will check what is my Domain Name’s Value??

There is no exact answer for it...
Deals will be closed at where buyer is satisfied with your asking price.

Note : Most of the times, one has to reduce to the exceptions to the complete sale! (Seller or buyer)

 

[Bullock]

hi,

domain name is worth whatever a buyer is willing to pay for it. ...??

Or,... depending on how much you need the money more than you need the domain.

 

[Bob Hawkes]

I think it is helpful using tools such as Estibot and GD's GoValue (nice now open to all in beta) to get a couple of estimates, that often will vary by many orders of magnitude.

It is, as others have said, helpful to look at what somewhat comparable names have sold for on Namebio and DNPric.es (among others).

Of course a person can usually do better than any of the automated tools, so you can ask on here and elsewhere.

Ultimately it depends on what someone is willing to pay for it, and how long you are able/willing to wait for a sale.

Good luck!

 

[erchaman]

My advice in case of not knowing a domain price
Set to MAKE OFFER
and wait... wait....lye down, have a coffe.

Step 1////
1 year or 2year with no offers? Let drop it.

Step 2/////
Still trust in your domain criteria? Wait 1 - 2 year more.still no offers? Drop it.

Then go to step 1- 2 again

 

[Joe N]

Seller determines the price.

It is not a counter argument, it is a fact

Seller set price (and can freely change it at will). Buyer agree or disagree. They BOTH make a deal, or not, by agreement, or disagreement on price, set by the seller. It's all up to the seller.

More generally speaking.. If sellers decides they really don't want to sell then supply goes down. Values of domains goes up, but number of sales goes down. Btw seller/nations etc. does this to drive prices up (like oil prices)

Obviously, if "the market" determines (and I agree with you), market isn't only buyers, but sellers also. The all/both contribute. Therefor it's true when people say sellers determines, and it's also true when people say buyers determines.

That's how I see it.



me too !

There you go. Well said.

 

[Joe N]

let get a little more congrete then
today if we as domain owners would all add a zero to the BIN price
prices would be tenfold from now on

Do you know that for sure?

Of course average asking prices would see a massive increase, but how can you know that aftermarket sales would continue on par? They could completely drop off the map!

Maybe new registrations would increase as a result.

Maybe ngTLD take-up would increase dramatically.

Maybe the entire "middle class" of domain buyers/sellers would cease to exist, leaving only room for the Mike Manns and Rick Schwartzs to make aftermarket sales.

 

[maxtorz]

No need to insult everyone. You're saying the same thing as everyone else... that the buyer paid you what they were willing to pay you... And you took what you were willing to take... That's the market, my friend.

You have a good handle on how to price your domains and negotiate with buyers. That's great. But at the end of the day, you're not selling your names for anymore than a buyer is willing to pay.

Hey Joe, my post and every post I put out on this forum is intended to help others.
If my grit and commitment to domain investing comes of as insulting, I take full responsibility for that.
I am not saying what everyone else is saying.

Am I the only one that gets $100, $200, and $300 offers and "$xxx is our final offer"?
95% of ALL inbound offers I got this year are $100-$300 offers. So the market says I should sell my names at an average price of $200 and be happy with it because that's what the market dictates.

I guess I could, but we live in a world that is fueled by money and capital gains and I am shooting for financial freedom.

 

[Joe N]

Hey Joe, my post and every post I put out on this forum is intended to help others.
If my grit and commitment to domain investing comes of as insulting, I take full responsibility for that.
I am not saying what everyone else is saying.

Am I the only one that gets $100, $200, and $300 offers and "$xxx is our final offer"?
95% of ALL inbound offers I got this year are $100-$300 offers. So the market says I should sell my names at an average price of $200 and be happy with it because that's what the market dictates.

I guess I could, but we live in a world that is fueled by money and capital gains and I am shooting for financial freedom.

But that's not the market. Those are potential buyers. And those offers are not what the buyers are willing to pay, they are a starting point. It's up to you to find the middle ground that makes you both happy.

Another poster summarized quite nicely how market pricing is determined.

And your grit and commitment is totally fine. It was calling everyone's opinions garbage that seemed a bit over-the-top and insulting.