sales Tammy Phan, CEO of the Luxury Goods Company Bought LDJ.com For $80,000 USD

[silentg]

Luxury goods seller Luxe Du Jour started in Canada with the domain name LuxeDuJour.ca.

It sounds like the business is going well. But the company ran into a hitch when it expanded to the United States: its .ca domain wouldn’t cut it anymore.

Luxe Du Jour buys 3-letter domain for less than full brand name price - Domain Name Wire | Domain Name News
TikTok Embed


The seller of LDJ.com left money on the table.

 

[AEProgram]

80k is very low for that

 

[LH1]

Hello 911 Id like to report a robbery.

 

[branding]

80K... Win for both maybe? In hindsight, could've (might have) gotten more but it's not a bad number for any given LLL.

 

[MKA]

80k is very low for that

No it's not. It's perfectly reasonable. It's a CCC.com domain with some of the most undesirable letters. In fact I would go so far as to say that he overpaid for it. But it's not that big of an issue because it matches his brand, but it's definitely an end-user price and not a reseller price.

Reference, recent CCC.com sales:

 

[AEProgram]

No it's not. It's perfectly reasonable. It's a CCC.com domain with some of the most undesirable letters. In fact I would go so far as to say that he overpaid for it. But it's not that big of an issue because it matches his brand, but it's definitely an end-user price and not a reseller price.

Reference, recent CCC.com sales:

Show attachment 253102

sorry but namebio distorts the difference between end user sales and domainer buys. This is also an issue with appraisals. Appraisals and price comps should be separated for what it should go for wholesale vs. to end users.

Domaining is the only industry that messes this up. If you go to Amazon and see speakers for 100 bucks and Amazon gave you an appraisal that included what they go wholesale, you will only want to pay 5 bucks. The same with auto sales.

I don't have time to go through that whole list but the most expensive name on it (hdl) was purchased by an active end user from people that understand how to price and negotiate.

 

[pb]

I know it's a LLL but it's not that great, J is not a very popular starting letter (in English it's only 0.84% words, half as frequent as V). For the seller it might have been: sell for $80k or take it to the grave. A good broker might be able to get 3-4x more but not everyone knows domain brokers even exist. All in all it's not a great price but it's not terrible either.

 

[MKA]

I mean, what else do we have to go by other than sales?

Most of these domains are for sale because CCC.com are generally not that desirable.

Luxe Du Jour didn't even want LDJ.com they settled for it, they wanted LuxeDuJour.com, in fact they offered $100,000 for it, but it was rejected.

So let's say the owner of LDJ.com wanted $200,000. Presupposing the company could afford it, they would've first have reached out to the owner of LuxeDuJour.com with that same offer. And if accepted, the owner of LDJ.com wouldn't have been able to sell the domain.

 

[pb]

sorry but namebio distorts the difference between end user sales and domainer buys. This is also an issue with appraisals. Appraisals and price comps should be separated for what it should go for wholesale vs. to end users.

It's not always obvious if a given sale is d2d or to the end user, but at least filter out expired auctions ffs...

 

[AEProgram]

It's not always obvious if a given sale is d2d or to the end user, but at least filter out expired auctions ffs...

a ton of 3l are purchased by domainers, nothing to do with expired

 

[MKA]

To be clear, LuxeDuJour.com isn't more valuable than LDJ.com. LDJ.com is far more flexible, and could be used for other businesses.

But LuxeDuJour.com would be the better choice for Luxe Du Jour. Because now they might have to rebrand, and LDJ.com doesn't sound as fancy (or as memorable).

 

[pb]

a ton of 3l are purchased by domainers, nothing to do with expired

Sure but I mean it would be a significant effort to filter them out from the aggregation. Excluding/separating expired auctions would be absolutely trivial.

 

[silentg]

in the Tik Tok video I linked above, Tammy Phan said she was willing to offer LuxeDuJour.com $150k USD. Budget of $150k usd and she got the LDJ for nearly half the price. This is where the seller left the money.

 

[Mister Funsky]

But LuxeDuJour.com would be the better choice for Luxe Du Jour. Because now they might have to rebrand, and LDJ.com doesn't sound as fancy (or as memorable).

Just like the mess at weightwatchers...they spent tons of money on ww and more tons on advertising trying to get the ww rebranding 'accepted'.

Now they have all but dropped the ww and gone back to one of the most recognized two word phrases due to YEARS of ingraining.

 

[MKA]

Just like the mess at weightwatchers...they spent tons of money on ww and more tons on advertising trying to get the ww rebranding 'accepted'.

Now they have all but dropped the ww and gone back to one of the most recognized two word phrases due to YEARS of ingraining.

I don't think it's because Weight Watchers were ingrained into people's mind. In fact I would go so far as to say that WW would not have worked as well as a brand.

Weight Watchers is category-defining, even if you've never heard of the brand before you're going to recognize its purpose from simply hearing the name of the brand. But WW? It's soulless, it lacks identity.

The main strength of 2L and 3L domains is their flexibility for resellers. Because there can only ever be one Weight Watchers, but there can be many WW.

That said, I think it's in the best interest of Weight Watchers to acquire ww.com to secure the brand. But for them to try to rebrand into WW sounds terrible. Heck, even the syllable count becomes longer "dub-bull-yoo-dub-bull-yoo" that's six syllables, "weight-watch-ers," is three.

 

[Mister Funsky]

But for them to try to rebrand into WW sounds terrible.

It was/is. I haven't spent any time looking at numbers (got some name culling to do this morning) but between what they paid for ww and the money spent on commercials (that did not even mention the phrase 'weightwatchers') it would be in the millions.

There is so much information and knowledge here (nps) I often wonder if the threads are ever checked prior to making a name purchase...sometimes people have deep pockets and shallow foresight.

 

[johnn]

Whatever is sold - It's cheap
Whatever is not sold - It's overprice

 

[Zilla]

the full name is much powerful then the 3L in this case..rebranding will be a big issue（or the customer already prefer use LDJ as an alternative?）

lets see whether the buyer will buy that full name in future...

 

[domains12345]

No it's not. It's perfectly reasonable. It's a CCC.com domain with some of the most undesirable letters. In fact I would go so far as to say that he overpaid for it. But it's not that big of an issue because it matches his brand, but it's definitely an end-user price and not a reseller price.

Reference, recent CCC.com sales:

Show attachment 253102

What is this tool please?

 

[pb]

the full name is much powerful then the 3L in this case..rebranding will be a big issue（or the customer already prefer use LDJ as an alternative?）

lets see whether the buyer will buy that full name in future...

I'd say the LDJ branding will make it a bit easier to expand. Canadians should have no problem with spelling LuxeDuJour but for other Americans it's a bit more exotic. LDJ is LDJ. Yves Saint-Laurent uses YSL.com for similar reason.

 

[manuelbroker89]

LLL asset... with 5 figure deal..

Definition of robbery & flipping purchase

Congratulation for both side!