What is reseller pricing? Give me an example of a reseller price vs. a domains value.

[Premium-Domain-Names]

What is reseller pricing?

A lot of buyers in the Domains Wanted Forum specify that they are looking for "reseller prices".

Please help me to see what that means, so that I (and others) can go make some money!

Give me some examples of reseller prices as you see them vs. the domains' actual values as you perceive them to be.

I want to make money, but I need to know the difference first, so I can ask for prices that will sell.

Please feel free to weigh in with actual domains you own (or made up names) and what you think they are worth, vs. what you think they will sell for. No adult or trademark examples please.

Thank you in advance.

 

[bmugford]

Reseller pricing is generally the liquid value the domain would sell for to another domainer.

For instance the "reseller" value of an average quad premium LLLL.com might be $150 - $200, but to an end user it has the potential to sell for much more.

Brad

 

[gpmgroup]

Checkout http://www.3character.com and their "minimum wholesale" price guide http://www.3character.com/priceguide.html

 

[Premium-Domain-Names]

Thank you for your responses, but that isn't what I was asking for.

I really want to hear peoples personal opinions of what the difference is, since so many people who responded to my last thread (about lack of response in the Domains Wanted Forum) said that domain offers were often priced too high, which is why they ignored them.

I actually posed this question in that thread, but my question went unanswered, so I decided it was a subject for a brand new post.

 

[johname]

Spent some time in the appraisal section looking though old appraisals, that would be a quick study in the type of names a person would pay low xx on a forum but ask for xxx or better to end users. Also just assume there no endusers on here just fellow domainers to liqudate too on the cheap. Goodluck

 

[wot]

Reseller prices- I want it cheap, I don't want to pay much, please help me I am a student.

 

[bmugford]

I really want to hear peoples personal opinions of what the difference is, since so many people who responded to my last thread (about lack of response in the Domains Wanted Forum) said that domain offers were often priced too high, which is why they ignored them.

You can make the analogy from a domain reseller to a pawn shop.

A pawn shops only real interest in an item is making money. Therefore they are not going to pay collector (end user) prices. There needs to be a margin.

There are a couple major differences though -

1.) Most domain names don't have a liquid value. They are not easy to liquidate for a set price.

2.) There is also no domain price guide. Many tangible goods have a set price range. A domain could be worth $0 to one person and $10,000 to another.

Brad

 

[Premium-Domain-Names]

These are all good answers and good ideas and resources.
Thank you all.

I guess end-users must be approached via phone or email or in person, and that is where the big bucks really are.

I don't mind making a few dollars or a few hundred dollars here in the forums however.

Much quicker turnaround, you would think, and almost everyone takes Paypal.

But I'm still looking for examples.

OK, I'll go first.
I own uunm.com (UUNM.COM).
I think it's a great domain name.
A pronounceable, 4 letter, LLLL dot com domain. One of the best domains I own, although I have one or two LLLLs that are even better.

What is the end-user value, the liquid value, and the reseller (or low-ball) value?
What would someone in a forum be willing to pay, and what could I sell it to XYZ Corp. for?
(Note: this isn't a sale offer, just a real example for discussion's sake.)

 

[bmugford]

OK, I'll go first.
I own uunm.com (UUNM.COM).
I think it's a great domain name.
A pronounceable, 4 letter, LLLL dot com domain. One of the best domains I own, although I have one or two LLLLs that are even better.

What is the end-user value, the liquid value, and the reseller (or low-ball) value?
What would someone in a forum be willing to pay, and what could I sell it to XYZ Corp. for?
(Note: this isn't a sale offer, just a real example for discussion's sake.)

The end user value is what an end user is willing to pay. The amount they would pay depends on how motivated of a buyer they were.

There are $5,000 sales weekly on domains that would not sell for $100 on a forum.

A random quad premium LLLL.com might sell for $150 - $200. A motivated end user would likely pay $1,000 - $5,000 for it.

Brad

 

[Premium-Domain-Names]

Thank you Brad, for your responses in both threads. I think I have a better idea of how this all works now.

I'm just trying to create a middle ground between buyers and sellers here, where we can all come out ahead, and where everybody gets what they want. Sellers want quick money and buyers are looking for resale value (like a pawn shop) or something for website development.

It seems like a war out there in the WTB forum, and that's not how it should be.

"Why can't we all just get along?"
-Mars Attacks

Any other examples are still welcome and appreciated.

 

[bmugford]

I'm just trying to create a middle ground between buyers and sellers here, where we can all come out ahead, and where everybody gets what they want. Sellers want quick money and buyers are looking for resale value (like a pawn shop) or something for website development.

The problem is these are not tangible goods. If you buy an ounce of gold you have a general idea what it can be sold for.

Domain value is highly subjective.

Brad

 

[DU]

Literally it means -

I want to buy it for what I can sell it for (without trying) again tomorrow.

or

I want to buy it for the absolute least you would ever consider selling it for - even if you were short of cash.


I would imagine that in most cases it's likely to be less than 10% and closer to less than 5% of a potentially realizable value. It also depends a lot on the extension. Reseller value on a .US and a .ME, for example, seems to almost always be $10 and under unless you're on a great name.

Some names have more obvious liquid value (LLL.com, good keyword .COMs., great keyword .US) but there are some that have a higher reseller value than perhaps they should (random LLLL.coms, interesting hacks ) because domainers seem to have an affinity for them.

All IMHO.

---------- Post added at 12:28 AM ---------- Previous post was at 12:24 AM ----------

I do not like it when people say a name is pronounceable when it's four letters... how would you say UUNM? OONUM? U-U-N-M? It IS telephone friendly but not pronounceable imho.

Just opinion - as people seem to value that property as a value adder.

 

[GiftedDomains]

I'm just trying to create a middle ground between buyers and sellers here, where we can all come out ahead, and where everybody gets what they want. Sellers want quick money and buyers are looking for resale value (like a pawn shop) or something for website development.

It seems like a war out there in the WTB forum, and that's not how it should be.

"Why can't we all just get along?"
-Mars Attacks

Any other examples are still welcome and appreciated.

first of all, not all sellers are looking for quick money. there are domainers who are just buying and buying and buying since years and rarely sell anything, unless they get an offer they can't refuse. they have a vision and they have the money and they are not dependent on quick sales.

then again, others have other business models.

second, you should also be prepared for some weird things in domain biz.

for instance, you could offer a name on a forum for 10 bucks. nobody is interested.
you don't get a simple reply, even after 10 bumps. so you think your name is crap and don't renew your name. later you see your name on an expired auction site and some bidders are fighting over it and it sells for xxx.

or

you post a name with 2 hyphens for appraisal and everybody says its the most disgusting name they have ever seen. you should grace delete and read about domaining first. then, before deleting you make a last attempt and send an email to somebody (enduser) and he replies with "why not" and you sell that crappy name for xxx.

or

all domainers tell you how great your name is and you could get xxxx from endusers,,,,,,after 5 years of sending emails and after nobody buyed that name, you drop that name.

or ..... or ..... or.....

honestly, if you want too look to domain biz like any other biz and want to have some guideline and security, then you could be dissapointed.

there is also A LOT of psychology and also a lot of "gambling" involved. highly speculative biz and sometimes totally unpredictable things could happen to you (both negative and positive).

with names which have traffic and continous revenue, or with lll, llll, etc. its a bit different and maybe there could be some price guideline in reseller market.

just my 2 cents

 

[Venga]

Reseller pricing is when somebody who keeps boasting about "end-users" "who just don´t get it" expects you to negotiate for an afternoon his $10 offer on a domain "you only paid $8 for" (and therefore "you make a nice profit").

It has become a habit to expect "reseller pricing". Now, how do I know I am dealing with a "reseller" and not an "end-user"? How do I know that "domainer" is not in fact buying that domain for himself?

In the real world, resellers buy potatoes in big bags, pallets or containers. Can´t remember anybody demanding an automatic discount on a single potato just because that single potato could end up in somebody else´s frying pan.

 

[Rajnish Prasad]

I think there is no Exact defination of Reseller Pricing atleast in Domaining industry...

For ex- A 4 Letter Domain can be sold for 3 digits and the same can be sold for 4-5 digits depending on the requirement..

What is most surprising and Annoying is that some of the Selfish Domainers have Stereotyped this Marketplace calling it as "Reseller Forum".

I will explain why?? Most of us would have seen or faced this:

"When you price to sell a domain for example in 3 digits, the prospective buyer (Domainer) comes back and says "This is not a reseller price and this is not the enduser forum to list domains at this high", and later if you price the same domain for 2 digits that selfish domainer if anyhow manages to buy the domain for 2 digits, will immediatley place the same domain for sale in other marketplace for 4-5 figures asking price..so to summarise, just to fulfill their own needs for making big profit and showing high level of selfishness these domainers play a very Diplomatic selfish game and Blame the Forum or Marketplace if being a Reseller forum which is not in reality..."

In my previous expereince it happened exactly when one of the domain suggested to lower the Bid price as it not worthy of selling at this high..Later he bought the domain for starting 3 digits price and within 1 hr i saw the same domain listed at another marketplace for sale at an asking price of 5 digits..

My suggesting to other domainers would be to be realistic in pricing but at the sametime dont fall prey to these kind of selfish domainers. DO NOT get into what is Reseller or Enduser because sometimes You never know the buyer is a Reseller or Enduser or a Broker. Just listen to your gut feeling and market your domains efficiently to Make more profit...

 

[Name Trader]

Wow Rajnish. You just resurrect a thread which is almost 7 years out of date. Some of the members replying in the thread don't even visit NPs anymore.

 

[Rajnish Prasad]

Wow Rajnish. You just resurrect a thread which is almost 7 years out of date. Some of the members replying in the thread don't even visit NPs anymore.

I hope this is still in Context

 

[bmugford]

Wow Rajnish. You just resurrect a thread which is almost 7 years out of date. Some of the members replying in the thread don't even visit NPs anymore.

I am still here

Brad

 

[Rajnish Prasad]

I am still here

Brad

 

[Name Trader]

I am still here

Brad

A miracle! Would your advice today be the same as 7 years ago? Or has it improved or changed?