Pricing traffic domains

[Chappy]

Does anyone have any guidance on what represents fair value for a traffic domain? For example, if the seller claims the domain is generating $10 per month - is the "fair value" to the buyer deemed to be based on 12 m revenue? or a different period.

Do people find the "traffic" claimed by sellers is often inflated?


Thanks

 

[fonzie_007]

It depends. Some people sell for as little as six months of revenue (I consider these people nuts, but I would love it if they sold to me...) to 36 months or more (if it is a generic name). The standard seems to be about 12-24 months of revenue for typos (on final sale prices). However, it truely depends on the name. If generic, its value could be worth much more. It doesn't hurt asking for 36 months of revenue if you are the seller. Make sure to give reasons for the price you are asking.

 

[Chappy]

How can you verify the traffic that sellers are claiming is true, sustainable traffic?

 

[fonzie_007]

A lot of times you can't. You can ask them for a screenshot of the traffic and the IP addresses; however, if someone really wants to fake traffic to a domain, it is pretty hard to tell just by looking at screenshots (if they know what they are doing).

 

[allinone]

A lot of times you can't. You can ask them for a screenshot of the traffic and the IP addresses; however, if someone really wants to fake traffic to a domain, it is pretty hard to tell just by looking at screenshots (if they know what they are doing).

But also you would be able to tell a bogus traffic name from a regular name. Obivoulsy delll.com is going to be earning alot more than say helllo.com so you have to use common sense at the same time.

 

[Chappy]

Hmm...seems like a lot of trust is involved. If someone claims to have $100 per month in revenue then that name is going to go for $x,xxx. Seems too easy to 'fake' the revenue stats (or screenshots) and the buyer has no recourse.

 

[JMJ]

If you are in doubt ask to "try before you buy." But then again even that can get you. Best rule of thumb is to know who you are dealing with I guess.

 

[allinone]

If you are in doubt ask to "try before you buy." But then again even that can get you. Best rule of thumb is to know who you are dealing with I guess.

True. But there is really no way for someont to just give you access to their parked account.

 

[JMJ]

You have them change the nameservers or redirect to whatever/whereever you wish. Again this can still get screwed which is why you need to consider many other factors. OV results, linkpop, etc.

 

[holeinone]

One unusual way is to ask them to add a lil script for a freely available tracker s on the web. SO, since you have the USER/PASS for the tracker you can very well chek out the stats if they are indeed genuine.

 

[snoop]

Does anyone have any guidance on what represents fair value for a traffic domain? For example, if the seller claims the domain is generating $10 per month - is the "fair value" to the buyer deemed to be based on 12 m revenue? or a different period.

Do people find the "traffic" claimed by sellers is often inflated?


Thanks

For true generics, 5-10 years+, though the drop market seems to be far higher than that. Of course most of the traffic names for sale aren't really natural type in names and deserve far lower multiples.