Is every domain worth over $5,000 or what?

[Rob J]

Domainers and the get-rich-quick attitude which seems to be prevalent among them is really starting to tick me off.

I've been looking for 3 domains for some new projects, so I shot off emails to about a dozen parked domain holders, and I received 8 replies ranging from $5,000 to $25,000 . Now I think I have a decent grasp of domain valuation, on a good day these domains would be appraised in the high $xx to low $xxx , and i'm willing to negotiate and even overpay for a domain that I like, but all these ridiculous responses just translate to "THIS DOMAIN IS NOT FOR SALE" for me.

I ended up with 3 fresh regs that i'm happy with for a total of $21, which leaves a lot in the budget for development. Three nice domain sales were thwarted by greed. I know not everyone does business like this, there are a few honest domainers out there, but maybe the rest of you can learn a lesson from this, don't treat your potential customers like suckers and you may make a sale now and then.

 

[gazzip]

..... Now I think I have a decent grasp of domain valuation.

Don't we all...however, it would be very easy for 99.9% of us to be proven very wrong in our appraisals


Afternic/Buydomains seem to have proved that the "sweet spot" for end user sales often lies between $2,000 to $4,000 so starting at $5,000 may not be such a bad idea.

End users always have other options, ie: like you, make a fresh reg for $7

yes, all my domains are worth at least that. but sorry, all of yours are only reg fee.

:lol: ..sounds about right - One of my "reg fee" names made me over $300 in PPC last year :tri:


.

 

[teabag]

there is only 1 keyword.com name and domain owners may set whatever price they wish.

At the same time, those name owners may start a thread about "damn lowballers"

If they "overprice" their names as you think - they probably have no financial probs
to hold on that name otherwise they would sell it for regfee.

 

[squid]

I contacted the owner of a domain, the domain was the .com of my .net. The domain itself would NEVER get type-ins and was currently a blank page. I was willing to spend $50ish. He replied to me offering $500, seriously.

$500 for a domain that got 0 typeins, would never make anything parked and had 0 keywords.

I hate it when people do that.

 

[Dimester]

I contacted the owner of a domain, the domain was the .com of my .net. The domain itself would NEVER get type-ins and was currently a blank page. I was willing to spend $50ish. He replied to me offering $500, seriously.

$500 for a domain that got 0 typeins, would never make anything parked and had 0 keywords.

I hate it when people do that.

I don't buy domains for type-in. I buy domains that make sense and provide a good foundation for an internet business or money making website. If it is worth building the website it is worth paying at least $500 for the domain. At least this is my philosophy when pricing names.

I get low ball offers of $100 for quality names that end up selling for $1200 - 3500. Why would anyone think a name is worth buying and only offer $100?

If a domainer wants to buy a name for a lower price, I think they should expect to buy a quanity of names to get a wholesale price as in most other industries. Otherwise I try to sell to end users.

 

[metronome]

looking at the comments at this thread so far. I think the on going price that and end user should be ready to pay for a .com is.... around 4000 and up?

@dimester

"worth buying" means it(the domain name) has to be 1000 USD and up?

 

[Dimester]

looking at the comments at this thread so far. I think the on going price that and end user should be ready to pay for a .com is.... around 4000 and up?

@dimester

"worth buying" means it(the domain name) has to be 1000 USD and up?

Buy for at least $500

Otherwise why buy the name?

Note: This is for names used for business or money making website names.

I have owned several brick and morter stores. They cost a lot to open. Lease, shelving, signs, legal, utilities, product, advertising, etc. Anyone starting a business on the internet should expect to pay money to become sucessfull. $500 min is a small price to pay for a name that will bring in income every month. If it is not worth it, is the business website worth building?

Hobby or interest names names can be any price.

 

[xman]

I don't buy domains for type-in. I buy domains that make sense and provide a good foundation for an internet business or money making website. If it is worth building the website it is worth paying at least $500 for the domain. At least this is my philosophy when pricing names.

I agree with that philosophy.

A good foundation is the key in an online business.

 

[mcgauley10]

Edit

 

[yilduz]

There is a domain I really, really want that the owner won't give up for less than "several thousand dollars." I've asked several domainers what the domain is worth and I've been told every time that it's worth low $xxx if the owner gets lucky.

It's a domain I really want, but can't get.

 

[VisualArtistFrankBonilla]

Domainers and the get-rich-quick attitude which seems to be prevalent among them is really starting to tick me off.

I've been looking for 3 domains for some new projects, so I shot off emails to about a dozen parked domain holders, and I received 8 replies ranging from $5,000 to $25,000 . Now I think I have a decent grasp of domain valuation, on a good day these domains would be appraised in the high $xx to low $xxx , and i'm willing to negotiate and even overpay for a domain that I like, but all these ridiculous responses just translate to "THIS DOMAIN IS NOT FOR SALE" for me.

I ended up with 3 fresh regs that i'm happy with for a total of $21, which leaves a lot in the budget for development. Three nice domain sales were thwarted by greed. I know not everyone does business like this, there are a few honest domainers out there, but maybe the rest of you can learn a lesson from this, don't treat your potential customers like suckers and you may make a sale now and then.

See there, you saved yourself money,and found out you didn't need those $XXX domains!
Frank

There is a domain I really, really want that the owner won't give up for less than "several thousand dollars." I've asked several domainers what the domain is worth and I've been told every time that it's worth low $xxx if the owner gets lucky.

It's a domain I really want, but can't get.

If a person doesn't need the cash right now, he can bide his time, and wait until he gets what he wants for it. If he needs the money, he will come down in price.Your guy apparently doesn't need the cash at the present time.

Frank

 

[Keral_Patel]

Not telling anyone in particular but there are 2 sides of coin.

When we go for buying a domain we want $xx
When we are asked about selling a domain we want $x,xxx

 

[AdamWestdomains]

Agreed

I agree there is disparity between pricing, as Ive gone through the same ordeal as Rob J, having had an x,xxx price placed on a domain that later dropped, It does appear that when interest is expressed the price is inflated, and like mentioned, perhaps thats just a part of domaining. These are intangible "digital goods" that are hard to price. As far as im concerned, only domains that are core generics, or short domains retain their value, while others tend to be inflated.
A strategy is to solicit the owners of about 10 of the domains that match what you're looking for, and give an offer, making each party aware that youre looking elsewhere also, pressuring the owner to accept or loose the possibility of a sale.

Overall i cant hold too much malice against moderate price inflation, as this is a business, and its supply and demand. If you control a supply, it should be monetized..(within reason)