Switch from BIN to BIN+MO on Afternic Custom Lander?

[markfromslo]

I currently have 6,000 domain names with GoDaddy, parked with BIN landers at Afternic. Over the years, I’ve been pleased with the sales performance, consistently selling names every week. Yesterday, Afternic announced the option to use a Custom Lander that displays both the BIN price and a Make Offer option.

My domains are priced fairly, with most in the $2K-$5K range and some between $5K-$50K. I’m comfortable with BIN pricing at these levels. Occasionally, I receive lower offers through Afternic, and I’m usually willing to accept about 10% off the listed price, though I rarely go lower.

I’m considering switching to the Custom Lander with both BIN and Make Offer options. However, I’ve read research suggesting that BIN performs best in this price range. My concern is that adding a Make Offer option might signal to buyers that I’m not firm on my BIN price. How could they not think that?

I still wonder how well this approach would work, since I'm willing to take 10% off if someone negotiates. However, it seems likely that most offers would be lowball, and once a low offer is made, the buyer might struggle to accept just a 10% discount. On the other hand, there’s a possibility that I could engage buyers in negotiations who might have otherwise passed on the BIN price, potentially bringing them up to a decent offer. But I'm just not sure.

I’ve thought about raising prices by 10-20% and then negotiating down 20-30%, but I’m concerned that a higher BIN price could turn off buyers. For example, a $1,888 price point sounds more appealing than $2,288.

I’m at a loss on how to proceed. Does anyone have any insights or opinions on this?

 

[Kyle Tully]

I personally don’t like to mix the two.

You’re basically inviting a lower AOV for your BIN names in the *hopes* of increasing STR enough to cover the loss.

Either lead gen or BIN. Never the twain shall meet.

You can always list on another platform with make offer to handle those scenarios where someone really wants the name enough to track that option down.

 

[GoDaddy]

I currently have 6,000 domain names with GoDaddy, parked with BIN landers at Afternic. Over the years, I’ve been pleased with the sales performance, consistently selling names every week. Yesterday, Afternic announced the option to use a Custom Lander that displays both the BIN price and a Make Offer option.

My domains are priced fairly, with most in the $2K-$5K range and some between $5K-$50K. I’m comfortable with BIN pricing at these levels. Occasionally, I receive lower offers through Afternic, and I’m usually willing to accept about 10% off the listed price, though I rarely go lower.

I’m considering switching to the Custom Lander with both BIN and Make Offer options. However, I’ve read research suggesting that BIN performs best in this price range. My concern is that adding a Make Offer option might signal to buyers that I’m not firm on my BIN price. How could they not think that?

I still wonder how well this approach would work, since I'm willing to take 10% off if someone negotiates. However, it seems likely that most offers would be lowball, and once a low offer is made, the buyer might struggle to accept just a 10% discount. On the other hand, there’s a possibility that I could engage buyers in negotiations who might have otherwise passed on the BIN price, potentially bringing them up to a decent offer. But I'm just not sure.

I’ve thought about raising prices by 10-20% and then negotiating down 20-30%, but I’m concerned that a higher BIN price could turn off buyers. For example, a $1,888 price point sounds more appealing than $2,288.

I’m at a loss on how to proceed. Does anyone have any insights or opinions on this?

Hi @markfromslo
The launch of Make Offer on the Custom Lander was highly anticipated, since it was once of the most common pieces of feedback from the original Custom Lander launch.

Make Offer is often a way to increase the engagement rate from potential buyers heading to your lander, where more leads and discussions can be captured, which could turn to sales over the medium-longer term.

If price dilution is a concern, you could consider increasing your minimum offer value to a higher percentage of your BIN price. Ultimately, testing on your own portfolio is going to give you the best insights.

 

[NameGroove]

I personally don’t like to mix the two.

You’re basically inviting a lower AOV for your BIN names in the *hopes* of increasing STR enough to cover the loss.

Either lead gen or BIN. Never the twain shall meet.

You can always list on another platform with make offer to handle those scenarios where someone really wants the name enough to track that option down.

Exactly how I feel. If you want to offer a little deal, put it up on Sedo for 10% less. But as soon as you offer BIN and MO, you are never going to get BIN. How could you? How much is this sir? $1,000. But make me an offer. Who is going to say $1,000 at that point?

 

[markfromslo]

Exactly how I feel. If you want to offer a little deal, put it up on Sedo for 10% less. But as soon as you offer BIN and MO, you are never going to get BIN. How could you? How much is this sir? $1,000. But make me an offer. Who is going to say $1,000 at that point?

But what if you increase the BIN price by let's say 50%, and then negotiate down 30-40%, letting the buyer think they got a deal. And my names are priced very reasonably in the first place, with room for raising prices. Why not just raise the prices anyway, and stay BIN? Too high a BIN price might lower sales.

For example, if I have a name selling for $2,000 at BIN, I can raise it to $3,000 BIN+MO and let the buyer think he won a negotiation to $2,000. Which of those is more likely to sell.? I don't know. But I think I could make a case for the latter.

 

[NameGroove]

But what if you increase the BIN price by let's say 50%, and then negotiate down 30-40%, letting the buyer think they got a deal. And my names are priced very reasonably in the first place, with room for raising prices. Why not just raise the prices anyway, and stay BIN? Too high a BIN price might lower sales.

For example, if I have a name selling for $2,000 at BIN, I can raise it to $3,000 BIN+MO and let the buyer think he won a negotiation to $2,000. Which of those is more likely to sell.? I don't know. But I think I could make a case for the latter.

I think the same thing occurs if you raise BIN... too high (even with MO) and it makes buyers think you're crazy and they shy away. But at the low $2k-$3k range you're describing that isn't as much an issue imo

 

[biggie]

If price dilution is a concern, you could consider increasing your minimum offer value to a higher percentage of your BIN price.

Hi

the suggestion above is good alternative.

i've been using BIN with make offer option at sedo, but most don't have a minimum.

it's all about the roi that you need to receive for each name
and whether the need to sell is imperative or not.

if you want to be seen as flexible, then always leave room to negotiate down.

@GoDaddy can you address?
afternic is strange, because if you use "cash parking" page and visitor clicks on banner link to buy the domain,
it resolves to the "Request a Price" page, instead of the "Buy it Now" page, when that name has a BIN price.
ie: eism.com
sorry to jack the thread, but that bug needs to be fixed.

imo....

 

[Kyle Tully]

But what if you increase the BIN price by let's say 50%, and then negotiate down 30-40%, letting the buyer think they got a deal. And my names are priced very reasonably in the first place, with room for raising prices. Why not just raise the prices anyway, and stay BIN? Too high a BIN price might lower sales.

For example, if I have a name selling for $2,000 at BIN, I can raise it to $3,000 BIN+MO and let the buyer think he won a negotiation to $2,000. Which of those is more likely to sell.? I don't know. But I think I could make a case for the latter.

You’ve also then got to think about the effect on reg path sales. If raising your BIN by 50% moves it to another pricing bracket it may impact those sales.

 

[markfromslo]

You’ve also then got to think about the effect on reg path sales. If raising your BIN by 50% moves it to another pricing bracket it may impact those sales.

That's a very good point, because a reg path would only show the BIN price without the MO option there.