advice Outbound email to end user has turned into potential brokerage opportunity -- How to proceed?

[Rothex]

Hey NP,

I sent out some emails yesterday afternoon to potential end users for one of my domains. One of the replies was "thanks for your email. That URL isn't the right fit for my brand, but give me a shout if you have ExactMatch.com". Currently they are using the .co.uk version of the domain and are interested in purchasing the .com, which I found is for sale through a Uniregistry lander.

So far I haven't responded to the end user/buyer yet or reached out to the owner of the domain they want to acquire. I'm trying to determine the best way to proceed. I can see two clear options, first I can offer to broker a deal between the buyer and seller. It's possible the buyer is unaware that the domain they want is for sale, or they have already tried to purchase it and were unsuccessful. There's also the risk of the buyer going straight to seller to try and purchase the domain once I offer to act as the broker for a flat fee.

Second option, I reach out to the seller and try to purchase the domain myself and immediately flip it to the end user. I can see this approach having a lot more risk in potentially purchasing a domain above reseller value and then having the buyer back out for any number of reasons. This approach would also yield the most return.

What do you guys think?

Thanks,

 

[Bonsu]

if it is owned by a domainer i'd chat him up and tell him about the deal and we split profit. I think a domainer on NP did that cant remember his name right now..... Also Ali followed same pattern a lil bit when he brokered freedom.com

 

[Haris]

This just happened with me a week ago, I started by asking what was the buyer's budget for the domain they wanted. They had already tried to purchase the domain. Anyways the current owner has whois privacy and no landing page, and is not replying to the emails sent to the privacy email.

I would only purchase the domain if it had at least a few more buyers than the one we are in contact with, so that if anything goes wrong I don't face any loss. Brokering is the better option.

 

[Rothex]

@Bonsu I just listened to that Domain Sherpa interview with Ali the other day was thinking leaning towards the same approach. The obvious reservation is the buyer going straight to the buyer, but then again they may have already tried that. Thanks for your input!

@Haris All great points. The risks are definitely higher trying to flip the domain and potentially getting stuck with it. I think many of the same end users I just reached out to for my domain though might be interested in this one as well. I may start by responding to the buyer and inquiring on their budget.

How should I initiate the conversation with the seller? As I stated they have a landing page so I can use that method. I looked the up whois information and it does have their contact info as well. I was thinking that sending them a direct email would be better, mainly so I can track the opens. Should I keep the email simple and just ask them what their price is or explain I can potentially broker a deal? I want to make sure everything comes off as legitimate offer or partnership and not some scam approach.

Thanks,

 

[Haris]

@Bonsu I just listened to that Domain Sherpa interview with Ali the other day was thinking leaning towards the same approach. The obvious reservation is the buyer going straight to the buyer, but then again they may have already tried that. Thanks for your input!

@Haris All great points. The risks are definitely higher trying to flip the domain and potentially getting stuck with it. I think many of the same end users I just reached out to for my domain though might be interested in this one as well. I may start by responding to the buyer and inquiring on their budget.

How should I initiate the conversation with the seller? As I stated they have a landing page so I can use that method. I looked the up whois information and it does have their contact info as well. I was thinking that sending them a direct email would be better, mainly so I can track the opens. Should I keep the email simple and just ask them what their price is or explain I can potentially broker a deal? I want to make sure everything comes off as legitimate offer or partnership and not some scam approach.

Thanks,

I would never mention that I am the broker during the initial emails. Just a simple how much is enough, no need to put much thought into it imo.

 

[Rothex]

Thanks @Haris! I'll proceed and reply to the buyer to ask what their budget would be and then also to the seller with a simple inquiry on the price. I'll update the thread as well once I hear back.

 

[Haris]

Good luck mate!

 

[1Darko]

@Rothex Thanks for sharing - I hope I'm the domain holder of the "exact match"

 

[Rothex]

Alright just got a response from the buyer on their budget. They said it's not a "must have" so probably only $120. We never got to the price on the domain I was trying to sell, but in my mind it's a high 4 to low 5 figure domain. The exact match domain for them is probably easily worth the same. Not sure what to say at this point. I still have an email out to the seller for a price, but I can almost guarantee it's going to be well over $120.

I'll at least wait a couple hours to see if the seller replies. I may just tell the buyer that it would take a 4 figure offer to acquire their exact match domain and see what they say. This may be why they haven't acquired the domain yet as well.

 

[D Haynes]

Yeah sounds like they are miles away from what the seller will be expecting although it's not unheard of for xxx openers to end in xxxx sales so who knows. It's always good to end any negotiation on good terms even without a sale as they may remember you if they ever want to spend real money on a domain name the future.

 

[Rothex]

Just sent a reply to the buyer... I'll update the thread once I hear back. No response yet from the seller on the domain. Tracking my email to the seller as well and so far it has not been opened.

"Hi <<Name>>,

I can understand the budget restrictions you have for this domain considering you already operate under the .co.uk extension. Acquiring ExactMatch.com would be a major investment in simply protecting your brand if nothing else. Have you inquired on this domain in the past?

I did some initial research and do see the domain's for sale. Not sure how far you’d be able to stretch your budget if I was able initiate a conversation with the seller. To be honest, it may require a four figure offer to obtain the domain though. I’d be happy to at least make a private inquiry on your behalf. Your identity could remain confidential. Depending on the seller's response we could discuss a flat fee for me to broker the deal. Or in the end simply find you and the seller are just too far apart. Either way it's no problem.

Thanks again for your time, <<Name>>!"

 

[JanO]

Just sent a reply to the buyer... I'll update the thread once I hear back. No response yet from the seller on the domain. Tracking my email to the seller as well and so far it has not been opened.

"Hi <<Name>>,

I can understand the budget restrictions you have for this domain considering you already operate under the .co.uk extension. Acquiring ExactMatch.com would be a major investment in simply protecting your brand if nothing else. Have you inquired on this domain in the past?

I did some initial research and do see the domain's for sale. Not sure how far you’d be able to stretch your budget if I was able initiate a conversation with the seller. To be honest, it may require a four figure offer to obtain the domain though. I’d be happy to at least make a private inquiry on your behalf. Your identity could remain confidential. Depending on the seller's response we could discuss a flat fee for me to broker the deal. Or in the end simply find you and the seller are just too far apart. Either way it's no problem.

Thanks again for your time, <<Name>>!"

Thanks for sharing this, I learn a lot from these examples since English isn't my first language. Would you mind also sharing your initial email to end users (if not public perhaps via PM)?

 

[Recons.Com]

Hey NP,

I sent out some emails yesterday afternoon to potential end users for one of my domains. One of the replies was "thanks for your email. That URL isn't the right fit for my brand, but give me a shout if you have ExactMatch.com". Currently they are using the .co.uk version of the domain and are interested in purchasing the .com, which I found is for sale through a Uniregistry lander.

So far I haven't responded to the end user/buyer yet or reached out to the owner of the domain they want to acquire. I'm trying to determine the best way to proceed. I can see two clear options, first I can offer to broker a deal between the buyer and seller. It's possible the buyer is unaware that the domain they want is for sale, or they have already tried to purchase it and were unsuccessful. There's also the risk of the buyer going straight to seller to try and purchase the domain once I offer to act as the broker for a flat fee.

Second option, I reach out to the seller and try to purchase the domain myself and immediately flip it to the end user. I can see this approach having a lot more risk in potentially purchasing a domain above reseller value and then having the buyer back out for any number of reasons. This approach would also yield the most return.

What do you guys think?

Thanks,

1. Try buying an option or even getting an option to buy for free.

Contact the owner directly, find out the lowest possible BIN and then, if you are fine with it, tell him you need him to take off the name from the market for 2 weeks with the exclusive right to buy during that period at the agreed price while you secure the finances.

If you manage this part, then contact the buyer and offer him the name at BIN+your margin.

2. Contact the buyer and ask what is his max budget for the name and then contact the seller and offer name minus your commission.

 

[Rothex]

Thanks for sharing this, I learn a lot from these examples since English isn't my first language. Would you mind also sharing your initial email to end users (if not public perhaps via PM)?

Here is my initial outbound email... This included a signature line with my business name, website, and full contact details.

"Subject: Opportunity to purchase DomainName.com

Hi <<Name>>,

I'm the owner of DomainName.com and was reaching out to see if you would be interested in purchasing the domain given its close relation to your current website and business. Please let me know if you would like any additional information regarding this opportunity.

Regards,"

 

[ScalableDomains]

Hello All,
I read some of the threads and the "need" sounds like a new business idea. Unless it is already being used.

The domain name owner lists the name then a domainer selects to name to broker. First person o bring a lead gets to broker the domain name.

What do you think?

 

[Rothex]

Hello All,
I read some of the threads and the "need" sounds like a new business idea. Unless it is already being used.

The domain name owner lists the name then a domainer selects to name to broker. First person o bring a lead gets to broker the domain name.

What do you think?

Sounds like a play on the Freelancer or Fiverr business model, but exclusively for domains. I think it would take some serious marketing efforts to educate end user sellers on the service. You would also want to screen "brokers" pretty thoroughly otherwise you'll never attract good sellers or high quality domains. An interesting idea though. My D/N/a/f/f/i/l/i/a/t/e/s .com domain might be a good name for the website

 

[Rothex]

Update:

The end user responded to my follow up email this morning simply stating, it's not enough of a priority at the moment and thanked me for getting back to them. They also advised they checked the exact match domain, but never inquired.

Here was my response...

"Hi <<Name>>,

Appreciate you taking time to discuss this over the last couple days. Should the need arise to acquire that domain in the future please do reach out. If you have other industry needs or would simply like a consultative opinion I'm available anytime to answer your questions.

Thanks,"

As @UniflexDomains mentioned, it's good to end any negotiation on good terms no matter the outcome. If nothing else comes out of this outbound campaign I at least connected with a great end user and laid the foundation for a possible sale or broker opportunity in the future.

 

[D Haynes]

Update:

The end user responded to my follow up email this morning simply stating, it's not enough of a priority at the moment and thanked me for getting back to them. They also advised they checked the exact match domain, but never inquired.

Here was my response...

"Hi <<Name>>,

Appreciate you taking time to discuss this over the last couple days. Should the need arise to acquire that domain in the future please do reach out. If you have other industry needs or would simply like a consultative opinion I'm available anytime to answer your questions.

Thanks,"

As @UniflexDomains mentioned, it's good to end any negotiation on good terms no matter the outcome. If nothing else comes out of this outbound campaign I at least connected with a great end user and laid the foundation for a possible sale or broker opportunity in the future.

Your reply looks spot on to me. Keep up the good work. Some positive domainer public relations for once lol.

 

[NameYourself]

I would have wanted exclusivity with the buyer before approaching the seller. The potential buyer seems inexperienced, and as they apparently mentioned it wasn't a big priority acquiring the .com or they would have already sought it out themselves either directly or through a service like the NetSol or GoDaddy Certified Offer services. Brokering was the way to go here though imo.