View of accuracy of Afternic appraisal..

[JohnnyNight]

Hi All,

Wondering if anyone has a view on the real world accuracy of an Afternic domain appraisal.

Was interested in a domain and the seller has ordered an appraisal from afternic so I'm a little skeptical of what he'll get from them.

I've not been involved in actual appraisals from afternic or any other company, so don't know what to expect.

It's the first time the seller has gotten one from afternic too.

Thanks

 

[Kate]

Forget about appraisals. Automated appraisals are worthless. Paid, human appraisals have a different problem: they will always be tailored to please the client.
Imagine a paid appraisal telling you that your domains are worth shit and will most likely never sell. Would you order more appraisals ? Of course not. A fortune teller isn't getting paid for telling the truth, but what the client wants to hear.

Anyway, an appraisal is always a best-case scenario.
The actual value of the domain is what an end user is willing to pay.

If you don't agree to pay the suggested amount, then the appraisal is worthless, unless another buyer shows up later and agrees with the seller on value. My suggestion is to make a bona fide offer, look at comparable sales where applicable. If you are going to use the domain name for business, try to make a projection of how many sales/years it would take to recoup the cost of buying the domain.
If you think the asking price is excessive, then it does not matter if you are right or wrong. The domain is worth what you or somebody else will pay.

 

[JohnnyNight]

Hi Sdsinc,

Yeah, my opinion is the same as yours based on everything I've read over the years that appraisals are basically voodoo science.

Just wondering if afternic had any type of reputation that may make their appraisals any better than some others.

He is getting it appraised by a real person as far as I know.

Thanks

 

[BrandChimp]

I will never pay for an appraisal. The buyer make the price.
You can set your minimum offer price by looking at google trends, namebio, what others are selling and sold.

Its not like selling a old furniture..

Everyday I'm reading about domaining and there is no good comments on paid appraisal and even free site. The free sites are good in certain way... stats. I never sold a domain at appraisal price.

don't put your reserve to low and work on negotiations.

We have all different opinions. This is mine.

 

[FPForum]

This topic has been asked numerous times on the board. Allot of people (myself included) would recommend staying away from the appraisal stuff. As everyone else has said, it's important to look at your potential buyer and try to come up with appropriate amount for them. Otherwise, let them throw some numbers at you and see if you can reach an agreement. Forget appraisals, you should be able to get a broad idea yourself.