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Should you price a domain based on the buyer

Labeled as debate in General Domain Discussion started by xynames, Jun 15, 2018.

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  1. xynames

    xynames XYNames.com PRO VIP

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    I recently sold a domain where the intrinsic value of the domain was low four figures. However, I googled the name and reasoned that the buyer was a multinational corporation and needed the domain for a particular purpose. I just couldn't see why anyone else would want it. I set the price at mid to high four figures and waited.

    About a month and a half later they bought it for nearly the full asking price, and above my floor price.

    I could have asked for even more, but I know how corporations operate and they will balk if being extorted vene if they need something. On the other hand, to get my domain they had to pay a premium.

    Knowledge can be power.
     
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  2. sircc

    sircc Established Member ★★★★★★★★★★

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    Absolutely, you should. I will even jack up the price when I receive inquiries coming from obscure hotmail or gmail accounts.

    Last week I received an unsolicited email asking if one of my domains was for sale. The guy had a gmail account I couldn't link to anyone, so I replied, "what's your budget?" Never heard from him afterwards. lol
     
  3. hookbox

    hookbox Active Member VIP

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  4. xynames

    xynames XYNames.com PRO VIP

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    Of course I am feeling like a king right now collecting what the domain was truly worth by having done some research before quoting the price, but at the same time...quoting more just because the inquirer is using an anonymous email...that makes no sense to me.

    In this case too
    https://www.namepros.com/threads/ha...cant-sales-via-outbound.1042253/#post-6412464
    I quoted low to mid five figures, and got it!, after I assumed that the domain was being sold to a celebrity (even though, ironically, it ended up sold not to the celebrity but to a Hollywood producer who is using it for I don't even know what yet but apparently nothing to do with that celebrity).

    If I quote more it will be only because my independent research shows that the domain has some specific use for a corporation celebrity etc. NOT just because the inquirer is anonymous!

    I mean if you are going to quote high just because the inquirer is anonymous (in other words, for no reason at all), you might as well just quote high all the time!
     
    Last edited: Jun 15, 2018
  5. sbweb

    sbweb Active Member VIP ★★★★★★★★★★

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    Yes, I think you played it perfectly.
     
  6. golan

    golan Leo.Domains Gold Account VIP

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    I can never understand some guys here who promote an idea of "equal price for everyone" and say that setting higher price for deep pockets is unethical.
     
  7. stub

    stub Top Member PRO VIP ★★★★★★★★★★

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  8. LeapNames

    LeapNames LeapNames.com Gold Account

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    I kinda tried this recently when I got an inquiry for a name. The guy who emailed me sent it from a school email address claiming he wanted the domain name for an arts related website. The name is related to entrepreneurship...so I smelled BS.

    He had a uniquely spelled name and I looked him up and found him on an entrepreneur podcast saying he makes over 6 figures from his social media marketing company. I didn't reveal that I saw this to him until he pretty much low balled me 4-5 times in a row and in one message wrote: "I'm a poor college student. I need money for ramen noodles."

    I told him I saw the podcast he was on and I knew he wasn't some broke college kid. He didn't even deny it and wrote "haha you did your research I see!"...and then he upped his offer by only like 5%. I told him no and just raised the price of the listing. This is going to sound stupid, and I know I shouldn't even care, but I honestly don't even want the guy to have it in a way. He sounded like such a dbag on the podcast and just tried slimy tactics in the emails. I know the guy has money, and after acting the way he has the price just went up. I'm fine holding the name for years and paying the renewals if needed.
     
    Last edited: Jun 15, 2018
  9. w3names

    w3names Established Member

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    As others said, you absolutely should price based on the type of buyer!

    Many buyers will actually be doing the same thing to their own customers. All those SaaS pricing pages you see that ask you to call for a price are an attempt to size you up before giving you a price. Why shouldn't they get the same treatment?
     
  10. frank-germany

    frank-germany F1lter.com xpired domain search engine Gold Account VIP

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    renew it for 10 ýears and forget it
     
  11. frank-germany

    frank-germany F1lter.com xpired domain search engine Gold Account VIP

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    if you quote a to low price the other party will assume the name is worthless
    you do them a favour in quoting more
    as you help them to get the right name
     
  12. MasterOfMyDomains

    MasterOfMyDomains Top Member VIP ★★★★★★★★★★

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    Thats like the buyer researching the domain, profiling the seller, and offering peanuts because thats what was paid for it, because he found the purchase price here. But we don't like that when the buyer finds out info, we should block that.
    But if they block info, we raise the price.
    Lets keep it all in the open, buyers and sellers equal opportunity. It's inevitable

    Of course we find out all we can about a prospective buyer, anything and everything to justify asking more.
    I sold a guy 2 drone names years ago for his kids school projects, they went immediately to sedo. I was never fooled
    They were stellar, and are still parked. He who knows the most wins
     
  13. frank-germany

    frank-germany F1lter.com xpired domain search engine Gold Account VIP

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    they are always asking for a nonprofit purpose
    for their kids or just for fun or a hobby

    never ever a huge company that wants to become even more huge
    with the help of the domains in question
    have ever ask for a domain name
     
  14. xynames

    xynames XYNames.com PRO VIP

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    Just did it again - successfully. Sold a domain that probably in a vacuum was worth high three figures, for low four figures. Not as dramatic a mark up, but something, and again based on research.

    If you somehow figure out that someone really needs your domain, you are able to get more for it.
     
    Last edited: Jun 24, 2018
  15. Smiles76

    Smiles76 Established Member

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    Because it its. Domainers love to compare domains to real estate. Yet, in real estate, the property is based on it's value not the buyer. So, should Bill Gates have to pay $10,000 for a bottle or water because he's rich? Does a $1 million house suddenly become worth $100 million because the buyer is wealthy? At the same token if you have a name worth $5000 do you sell it for $50 because the potential buyer doesn't have a lot of money?
     
  16. frank-germany

    frank-germany F1lter.com xpired domain search engine Gold Account VIP

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    no its not

    as there is no objective value of a domain name
    and there is no liquid market and stock quotes for a name

    its all about negotiations
    beween buyer and seller
    and thats why its different

    and depending on the buyers pockets
     
  17. TLDN

    TLDN Established Member

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    For sure, people do get turned off when pricing it higher from an original price. That's why I always check my landing page, sedo, flippa, and afternic prices. The domains that I'm willing to hold on to for a long time, I price it what I think a large corporation would pay.
     
  18. DotComWriters

    DotComWriters Established Member

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    There is nothing wrong with it and that's what the domain game is all about. If someone like a tech startup with millions of dollars in capital backing them up is interested in my domain, I would expect that they can pay a few grand extra without flinching.
     
  19. sircc

    sircc Established Member ★★★★★★★★★★

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    We compare domains to real estate but only in a lyrical sense. In reality, they have very little in common.

    Domains are worth a lot more to certain people than others. It's up to you to find out who is who.
     
  20. xynames

    xynames XYNames.com PRO VIP

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    The price I quote is the original price. I get it right the first time, or try to anyway.

    My discussion above refers to pricing it higher than the value of the domain in a vacuum, after receiving an inquiry or price quote request, when independent research shows that the domain is needed by a specific buyer.
     
    Last edited: Jun 25, 2018
  21. lock

    lock Traffic.tools VIP

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    Sure every domainer that messages me tells me they are a college student on a budget . Everytime I hear it these days i am reluctant to even reply it happens so often. If you get a chance to go the other way then do it.
     
    Last edited: Jun 25, 2018
  22. bluemeteor

    bluemeteor Established Member

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    didn’t know student price is lower than domainers’. Shouldn’t whole sale price be 1/10 of retail price? Even for students, I would still charge higher than to domainers
     
  23. lock

    lock Traffic.tools VIP

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    Some will try anything in hope for a discount the student thing is bs but seems an angle domainers are exploring perhaps working for them.
     

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