LLL value questions

[x11joex11]

I got a question, I'm working my domain appraisal program to assist me with better understanding the value of a TLD on a name. I've come up with the best method of finding the value your TLD has on a name is to look at what already clearly has value from demand, which is the LLL names. For example LLL.NET domains versus LLL.COM names, LLL ~ sell for $2500 according to 3character.com. The .NET for, $525, that is a difference of 79% in value between a LLL.COM and .NET, my theory is that given a name like dog.com, and dog.net the value difference is probably something similar? If someone has a better idea let me know, this is what I've come up with to try and get a more accurate measurement.

Now of course I have considered some flukes that may change the way this value method works which is part of why I want user opinions and ideas.

Say we had a name like channel11.com, and channel11.tv, which TLD would be worth more? Can the extention if used relevently be worth more then the .COM in this case? Or if not more, does the value of the .TV TLD in this case, lets assume it's 1.5% the value of a .COM with LLL's, I still have to find credible sources for .TV, but would the percentage value of the .TV go up, and if so, is there a way that we can quantify accuratly how much it might go up per say? I personally think it would go up but I'm not so sure how much yet, or how to figure this out.

Thoughts and comments?

P.S (Thoughtful comments will be rewarded ~)

 

[irishmat]

i would say the difference between .com and .net is greater for keyword names than lll as .net dont get half the type in .com get

sex.com sold for 12mill
sex.net sold for 445k

theres your difference

 

[quality]

Yep .com is worth 10 to 30 times the .net. Same with three letters .com may go for $5000 while the .net maybe $500. Of course no one can really devise an algorithm to value domains as there are just too many variables in play. Best you can do is give a low end high end range for most domains so appraisals of $3,000 to $15,000 for good quality domains etc....it all depends on the what the most interested buyer is actually willing to pay so don't get too carried away trying to devise a system.

 

[irishmat]

yep exactly, its about how much someone will pay and how much someone will sell for

 

[x11joex11]

My system is designed to allow for range values so that is what I'm looking for. I've actually created a system of basic concepts you can follow involving overture and google results and PR, to give you some basis of the value of your name, it's on http://dnfinder.net - appraisal guide. I'm going to have to play around with watching names sell and see how accuaratly I can predict the sale of a name in different extentions.

My value system tries to find the reseller price range, the price someone is willing to pay for resale of the name not the price an end user would pay, and that can be calculated, because and investor wants to see numbers that prove it's value (most of the time, unless you are a crazy/lucky speculator ^_^).

With this in mind, puting aside overture, google results, PR, in general there seems to be a good trend of .NET clearly being worth less, and .ORG less then that etc.. and so on, by looking at basic reseller demand from buying LLL's, I think you can get a general estimate of the value of a .COM name and a .NET name, except for EXTREME domain names, such as the holy grail words, sex, casino, poker. Those names are worth a lot more because of the speculative value that skyrockets them, in part to massive search results and bids for the terms advertisers will pay.

So again though, my question is can a .TLD be worth more then the .COM of the same name? I think it can sometimes, and I think there may be a way to quantify this using sales comparables where possible, by looking at similar sales comparables of names.

I know there is no way to exactly find a value on something, but I definently believe there is a way to get a range value on what it might be worth between and the minimum you should sell for, any thoughts?

 

[irishmat]

a .tld can never be worth more than .com, if you are comparing sales data of exactly the same name with differing extensions you have to think about the timescale on the sales

how can you ever think that another extension can be worth more than .com?

 

[x11joex11]

I'm going to say that 99% of the time .COM is always worth more then another extention even I won't argue that, but I have to account for all different types of situations, especially when making a computer program to assist the process, (I should note the program is impossible to automate and requires human responses and research).

Though beating .COM is rare, I'm talking about how a .ORG and be better then a .NET sometimes based on the use of the TLD, if a .ORG can beat a .NET, as in for example stopdrunkdrivers.org, versus .net, the .org makes more sense and is more reputable.

As for the rare names that do happen to sell more then .COM, though I don't remember them on hand, visit this site for sales comparables http://dnsaleprice.com.

They are hard to find, but after looking for a while you can find names for example travel.tv sold for $65,000. Time scale is important, while travel.info and other names may sell for more, how long will it take? Travel.TV has already sold.

Travel.pro sold for $3,900, while other extentions sell for considerbly less, I believe there is a factor involved with the extention that be huge sometimes for those special names they match for. Of course the chances of finding these names that beat other known higher paying TLD's may be 1 in every 1000 names you look through, but it's there I believe.