[Need Advice] Is it worth continuing the negotiation?

[Fuadiansyah]

Hi Everyone,

I need some suggestion from everyone here who successfully sold by outbound effort.
I am in the middle of negotiation with this family-owned business in US.
I have this domain, let say *TwoWords*.com
They currently own this website, let say *TwoWords*+brand.com. Yes, with "brand" word at the end of the domain.

I've tried to reach out to them and offer them my domain.
They promptly answer back with this:

Hello.
We are *Two Words* Brand.
Yes, having *TwoWords*.com would be nice but I don’t see it as crucial to our business.
If you own that domain, let me know what you have in mind.

I don't want to be rushed in this negotiation.
So, if that's the reply, is it worth to continue the negotiation? If so, what should be my next step?
Thank you.

NB: After trademark checking, they don't hold any trademark for that two words name.

 

[boker]

Hi Everyone,

I need some suggestion from everyone here who successfully sold by outbound effort.
I am in the middle of negotiation with this family-owned business in US.
I have this domain, let say *TwoWords*.com
They currently own this website, let say *TwoWords*+brand.com. Yes, with "brand" word at the end of the domain.

I've tried to reach out to them and offer them my domain.
They promptly answer back with this:



I don't want to be rushed in this negotiation.
So, if that's the reply, is it worth to continue the negotiation? If so, what should be my next step?
Thank you.

NB: After trademark checking, they don't hold any trademark for that two words name.

Of course it's worth continuing negotiations...you are in a strong position. It's normal for them to say that it's not crucial for them, but I think that they made a mistake recognizing that it will be nice to have the name.

Just go ahead and depending on how niched is the name and how many end users it could have, make a fair price for both of you.

 

[arzidan]

It's a good start for negotiation. Most of them will not reply if they are not interested. Based on my experience, at least.
Good luck!

 

[Kate]

Since you are contacting them you should quote a price and take it from there.

 

[garptrader]

From their response you are more likely looking at a low $xxx sale. They see no need for the name - just nice to have.

 

[Fuadiansyah]

Since you are contacting them you should quote a price and take it from there.

From their response you are more likely looking at a low $xxx sale. They see no need for the name - just nice to have.

One thing that worried me if I pick the price too high off their budget and they run away at last. At this point, I still don't know their financial power, but it seems a bit low since they are not a big corporate.
What if I let them quote the price first to make sense of their current budget?

 

[disaac81]

It is a typical response. They want to appear to be in the driving seat. If they said the domain will strengthen the brand and is exactly what they need, they would be on the back seat in the negotiation process.

Good luck!

 

[Cdomains]

It's normal for them to say that it's not crucial for them

I hear this a lot. They could really mean this if they might really like the name but are trying to make you think otherwise.

Since you are contacting them you should quote a price and take it from there

Good Idea.

It is always good to give a price when contacting them.

You contacted them, and asking for a offer in this circumstance is weird.

From their response you are more likely looking at a low $xxx sale. They see no need for the name - just nice to have.

They may want it badly now that they know about it or they could be telling the truth about not really needing it.

You never know.

Price it what you think it is actually worth, but not too high since you contacted them.

 

[boker]

One thing that worried me if I pick the price too high off their budget and they run away at last. At this point, I still don't know their financial power, but it seems a bit low since they are not a big corporate.
What if I let them quote the price first to make sense of their current budget?

Their response could be exactly so that you don't quote a big price. I think that it could be anywhere from low xxx to low xxxx. It's always hard to make the first price, so that it's not to high or not to low...Try to think what you could take the lowest and a fair high price you could get and make a price in the middle.

 

[Kate]

Without knowing the actual domain, I see one possible problem: they might be the only obvious end user for this domain. And they probably know it. If you don't have any other possible end users, your hands are pretty much tied. You're not in a strong bargaining position. Then, don't be greedy.
Again, I could be wrong.
But if what I'm saying is correct, you should never buy domains that have only one 'obvious' end user away.

 

[Cdomains]

Without knowing the actual domain, I see one possible problem: they might be the only obvious end user for this domain. And they probably know it. If you don't have any other possible end users, your hands are pretty much tied. You're not in a strong bargaining position. Then, don't be greedy.
Again, I could be wrong.
But if what I'm saying is correct, you should never buy domains that have only one 'obvious' end user away.

@Kate makes a good point.

Since we don't know the name we can't help you any further.

 

[slimjim270]

@Fuadiansyah -

A couple suggestions for you...

1) Get on the phone with them and don't hide behind email.

2) Do you know if your domain receives type-in traffic? If so, ask them if type-in traffic is important to them. After their response, then respond. Do NOT spout it out prior to asking first. Buyers want to "feel" they are in control of the conversation. LET THEM "BUY", LET THEM SELF-CONVINCE, do not pitch like a desperate panda throwing monkey shi* (tech babble) at them.

3) Ask good qualifying questions and do NOT jump the gun and spiel off a bunch of statistics (and bury them in technical crap). Repeating theme here.

4) The goal of the phone call is to qualify your lead. You do that best by asking solid (respectful) questions and lead them to the table to drink.

5) This is a sales call to a "prospect" (pre-qualified buyer). Your goal is listen, learn, and help the buyer identify value through their own eyes and in their own words (develop their thirst).

6) Have a price in mind, but do not lead with it. That's price selling... and you will lose. It is better to get them to verbalize why they might be interested and support their view. Individuals buy emotionally, and justify intellectually. Get them emotional, get them to want... then... support their decision with statistical/industry info. Too many inexperienced sales reps get this backwards.

7) End the conversation early. Yup, you be the one to say "I have a meeting to attend, can I call you back later this afternoon?" This technique avoids the (all famous) "let me think about it" and that deafening (click).. and then you never hear from them again. If they are (even slightly) interested, they will agree to schedule that next call.

8) Always end a call with a "Next Step" call to action.

Ultimately, the call should be an exchange of information, not a tennis match of quick yes-no responses. You are trying to develop a mutual exchange, not a loft of a cannonball via a bow shot (via email) and hope for the best.

I hope the suggestions are helpful...

-Jim

 

[arzidan]

@Fuadiansyah -

A couple suggestions for you...

1) Get on the phone with them and don't hide behind email.

2) Do you know if your domain receives type-in traffic? If so, ask them if type-in traffic is important to them. After their response, then respond. Do NOT spout it out prior to asking first. Buyers want to "feel" they are in control of the conversation. LET THEM "BUY", LET THEM SELF-CONVINCE, do not pitch like a desperate panda throwing monkey shi* (tech babble) at them.

3) Ask good qualifying questions and do NOT jump the gun and spiel off a bunch of statistics (and bury them in technical crap). Repeating theme here.

4) The goal of the phone call is to qualify your lead. You do that best by asking solid (respectful) questions and lead them to the table to drink.

5) This is a sales call to a "prospect" (pre-qualified buyer). Your goal is listen, learn, and help the buyer identify value through their own eyes and in their own words (develop their thirst).

6) Have a price in mind, but do not lead with it. That's price selling... and you will lose. It is better to get them to verbalize why they might be interested and support their view. Individuals buy emotionally, and justify intellectually. Get them emotional, get them to want... then... support their decision with statistical/industry info. Too many inexperienced sales reps get this backwards.

7) End the conversation early. Yup, you be the one to say "I have a meeting to attend, can I call you back later this afternoon?" This technique avoids the (all famous) "let me think about it" and that deafening (click).. and then you never hear from them again. If they are (even slightly) interested, they will agree to schedule that next call.

8) Always end a call with a "Next Step" call to action.

Ultimately, the call should be an exchange of information, not a tennis match of quick yes-no responses. You are trying to develop a mutual exchange, not a loft of a cannonball via a bow shot (via email) and hope for the best.

I hope the suggestions are helpful...

-Jim

Great advice. Totally agree

 

[arzidan]

masalahnya bro @Fuadiansyah harus siap modal pulsa nih

 

[Fuadiansyah]

Itu dia masalah paling krusial @arzidan
Plus kalau ngomong english nya belepotan malah jadi boomerang

 

[TDM]

@slimjim270 pretty much gave awesome sales advice (not only good for domaining but also in general)


Maybe I would find out their take on social media and online marketing.. to see if they got budget and know-how.

Then try to find out what benefits they could possibly gain (try to evaluate into $$ and status, fame, etc..)

Maybe they already know about that (= pure negotiating) or else you could draw a picture of benefits all higher than the cost of acquisition.

A general rule is about 1:10 of cost:benefit


From your above quote.. to me it reads like they may not know about the benefits of your name.

 

[DomainVP]

Nobody picks up a phone anymore!

Pick up the phone to make that call.

Have a conversation, be friendly, and highlight all the benefits for owning the domain.

Also take your time and be patient.

 

[Nattydomain]

If this domain can really only be of use to this ONE company then set a realistic BIN for them because if they don't take it and it is a perfect fit for them then it may never be a "perfect fit" for someone else. Sometimes a domain may be only worth low $XXX but if it is you take it and don't lose out

 

[Internet.Domains]

1. You have already passed the first hurdle, you have their interest. Congrats!
2. It's hard to establish a price point based on the little information you have shared regarding the domain.
3. Are they the only end users that can use this name?...That must be considered when you reply with a price.
4. As mentioned in comments above, use the phone to get passed the rest of the hurdles. The finish line will become closer by doing so.
5. If there is no agreement, stay professional. Very often domain investors are too sensitive and emotional to get rejected. Try to understand from their position. (I may start a thread on this subject)
6. If rejected, be patient...Days, months or years from now they may be back.
Good luck and best to you!

 

[slimjim270]

I agree with @Nattydomain

Cash in hand is a whole lot better than waiting for a 2nd unicorn ride to stardom!!

Cash is great... flash and greed is for amateurs!

Make it a good / fair transaction... and don't be shy afterwards to ask what other lines of business they have and see if there is an opportunity to bring additional value to them.

Seriously though... always strive for repeat buyers. They increase your profitability through efficiency.

-Jim