How to negotiate this domainname?

[pingu]

I have a small one-man IT business running which I built up some years ago in parallel to my studies. The company name is a fantasy-word and I got the .net domain of this word. The .com domain was already registered back then and parked with generic parking sites (it always looked different when I checked it. Sometime there was some pseudo community portal, sometimes just some random advertisement links, but it was never used for real purposes as far as i can tell) and there was always some kind of note that the domain is for sale.
The word itself has no real meaning and when googling for it, my homepage and things related to me (where I used this name as username), are the only things that show up. I don't think it's a particularily great name, but so far I could live with it (it took me a long time to come up with something I found more or less acceptable as a company name). Now my studies are over and I need to decide whether to go on with this name or better to look for some other name. If I go on with it, I know I should get the .com domain. But ever since, the owner of it listed it for 3'000$, which is way beyond my budget. The absolute maximum i'd be willing to spend for it is 800$. So if I can't get it, I think i'll look for another name for my business. Can you give me tips on how to go into these negotiations?

thank you

 

[bmugford]

Well if they are asking $3,000, and you are willing to pay $800 there is quite a gap there.

With a gap like that is just comes down to the sellers motivation to sell, there is no magic negotiation tactic.

I would just make the offer and tell him that is what you are willing to pay.

Brad

 

[DU]

The word itself has no real meaning and when googling for it, my homepage and things related to me (where I used this name as username), are the only things that show up. I don't think it's a particularily great name, but so far I could live with it (it took me a long time to come up with something I found more or less acceptable as a company name).

To consider:

No real meaning - is this what you want from your business name (advantages in TM vs. disadvantages of meaningless)

Do you want your username history/business to be related ? I assume yes but unless you posted professionally and in a business manner I would think about it.

This is the killer. If it's not a great name and you can "deal with it" why commit to it? Why spend a lot of money (for you) on something you don't even really like?

That aside - it took you a long time to think of something that worked. You have the .net and you want the .com and you have a budget of $800.

I would, and this assumes you're ok with $800 (you could try lower).

I would go to Sedo.com and see if it's listed. If it is? Put in a bid of about $590 if you are allowed. Why $590? So that with commission it is $500+ ... and 502 looks better than 490. When they counter with $3K put $800 and with a note stating this is your final offer. Then wait. Don't budge on counter. (You can always bid again later etc.).

If email do the same kind of thing. Do NOT say you are a student. Do NOT tell them you have the .NET. Just make an offer with wriggle room. $500 say. When/If they counter say the most you can do is $800 or whatever and that is your final offer. Tell them you would appreciate an answer either negative or positive so you can start an alternative path.

If you don't hear from them in a week or so then just send a follow up indicating you are moving ahead with an alternative name and thank them for their time and consideration.
If you hear back - just state your prior offer again - or depending on language go up to your max amount and indicate this IS your max amount.

If things are falling apart negotiation wise you could tell them you have the .net and are likely the ONLY customer and see what that gets you. They probably hold the .com thinking eventually the .net holder will come running. If you are that and your top offer is what it is.. they may take it.

Hope you get your name.
DU.

Might be total BS but I figure may as well try and get NP talking again.

 

[pcp]

^ good advice from defaultuser.

you can read webconfs article, that give you all such factores.

How is this guy not banned already?

 

[pingu]

To consider:

No real meaning - is this what you want from your business name (advantages in TM vs. disadvantages of meaningless)

I work mainly as a freelancer for agencies I know well. I don't need to look for endclients, so it's alright if the word doesn't have a meaning. It however contains my real names initials, which is why I kinda like it.

This is the killer. If it's not a great name and you can "deal with it" why commit to it? Why spend a lot of money (for you) on something you don't even really like?

Well - I don't think it's a cheap name. It sounds nice and looks pretty on my business cards. The name was never so important for the work I do so far, but I want to look professional. I know I should come up with something better eventually, but I'm not particularily good at this and it took me long enough to find something i'm somewhat happy with.


Thanks a lot for all the tips! I will try to do exactly this

 

[alien51]

If things are falling apart negotiation wise you could tell them you have the .net and are likely the ONLY customer and see what that gets you.

This tactic will only work if you are dealing with a disillusioned domainer journeyman, gambling to see if he could get a big break.

Otherwise, such reply is more like a threat (somewhere along the line: "Are you threatening me?"). And telling that you are likely the ONLY customer, a seasoned domainer might even consider it an insult (which could propel the price tag to rise by 20%, which means you have to pretend to be a different buyer next time).

So at that point, you are now moving from "negotiation" to "preparing to burn the bridge".

They probably hold the .com thinking eventually the .net holder will come running. If you are that and your top offer is what it is.. they may take it.

You will now have a major dilemma down the road, when (and if) the .COM starts developing. It will confuse your customer to see the same brand with different extensions, appearing next to each other in Google. And the tragedy that people will trust the .COM website more than the other extension.

Negotiation-wise, you should consider that domain renewal is just 12 bucks a year (8 bucks with coupon). An expense of just 250 dollars (that's about 2 adsense payouts worth) continued renewal of the domain for the next 20 years. Fairly cheap if you want to slug it out with a brand competitor for that long.

 

[pingu]

You will now have a major dilemma down the road, when (and if) the .COM starts developing. It will confuse your customer to see the same brand with different extensions, appearing next to each other in Google. And the tragedy that people will trust the .COM website more than the other extension.

I'm aware of that, that's why I will go for another name if I can't get the .com. I think with 800$ and crowdsourcing I can get someone to come-up with an equally good name for me.

 

[alien51]

Yes, wide gap in price expectations between buyer and seller, is a negotiation killer.

Unless of course, as what defaultuser had said, you are negotiating with a journeyman. You could try to test the seller with those kind of tactics he had suggested. If he badly needs the money, he'll sell for 90% discount from his original asking price.

If he is a tough cookie, you can burn the bridge by giving a sucker punch reply. I had a buyer once who blew his top on me, because he was forcing me to negotiate on his terms, and i wouldn't budge. He could have simply walked away, but he felt he needed to hurl an insult before walking out the door as his parting shot. lol

 

[DU]

This tactic will only work if you are dealing with a disillusioned domainer journeyman, gambling to see if he could get a big break.

I should have been clear. This *assumes* that there has been no coming down of price and you're willing to just burn the bridge. If you hope to get the name in the future this may not work.

Otherwise, such reply is more like a threat (somewhere along the line: "Are you threatening me?"). And telling that you are likely the ONLY customer, a seasoned domainer might even consider it an insult (which could propel the price tag to rise by 20%, which means you have to pretend to be a different buyer next time).

Don't do it as a threat. You do it in a nice friendly manner. I don't suggest EVER being rude, ever being mean as you never know who you may come across in the future and in what context.

So at that point, you are now moving from "negotiation" to "preparing to burn the bridge".

Exactly and I'm glad you pointed that out - I just assumed that was obvious

You will now have a major dilemma down the road, when (and if) the .COM starts developing. It will confuse your customer to see the same brand with different extensions, appearing next to each other in Google. And the tragedy that people will trust the .COM website more than the other extension.

I don't feel as strongly about this as you do; however, unless the .net makes sense I would search out a .com or ccTLD (where you reside/do business)

Negotiation-wise, you should consider that domain renewal is just 12 bucks a year (8 bucks with coupon). An expense of just 250 dollars (that's about 2 adsense payouts worth) continued renewal of the domain for the next 20 years. Fairly cheap if you want to slug it out with a brand competitor for that long.

This is true also. What seems like a huge investment is not IF the name is worthwhile. Once you own the name it's less than $1 a month rent to keep it!

 

[pingu]

thank you for all the tips

the domain is listed on sedo.com for 3000$. If I make an offer (using an account with my real details) will the seller see my name or my e-mail address?

 

[bmugford]

thank you for all the tips

the domain is listed on sedo.com for 3000$. If I make an offer (using an account with my real details) will the seller see my name or my e-mail address?

No.

They can only see what country the buyer is located in and how long they have been a SEDO member.

Brad

 

[DU]

No.

They can only see what country the buyer is located in and how long they have been a SEDO member.

Brad

You will be known if the bid is accepted but not during offer.

If you setup an account they will assume you are an end user (vs. reseller who usually have an account).

Good luck