Where Do Some Sellers Get Their Valuations From?

[domaintrades]

We all know a domain is only worth what someone's willing to pay for it, but where do some people come up with asking prices in auctions?

I just saw one domain with a minimum price of $100, and a reserve of $500. The BIN price is an unbelievable $7,500!

I checked Estibot, and it appraised this domain at $0!

I'd never buy a domain without first getting at least a rough valuation, and I can't see anyone paying that sort of money for this one. So why would any seller ask ridiculous prices, unless of course he really believes that the domain is an investment that's likely to rise in value (I seriously doubt this one will).

 

[mr-x]

We all know a domain is only worth what someone's willing to pay for it, but where do some people come up with asking prices in auctions?

I just ask more than anyone is will to pay and hope the market improves.

 

[DomainVP]

True, but Estibot is probably the nearest thing to an accurate automated valuation we have at the moment, unless someone can point me to something better.

Stick around for a while, and then come back to this thread and be embarrassed by this statement.



Most appraisals are garbage. Someone will pay what they feel is a good price based on the value that it brings to them in their business.

That's all there is to it.

 

[Cal2]

And on the second point, I'd love to know of any domains that Estibot valued at $0 that sold for $20,000 plus. But, again, I'm happy to be enlightened if you know of just one.

Just had a sale that's getting into that neighbourhood - a zero Estibot valued domain that I sold for just under 20k (CDN), and was a 2 year old hand reg. And just got a 1.5k US offer on a 2 year old hand reg that Estibot says is worth 45 US.

If I'd given some value to what Estibot said...

I do think Estibot is a great tool if one wants help with losing money.

 

[ezee]

So, please enlighten me.

There's no point in saying that Estibot isn't the nearest thing to getting an accurate automated appraisal, then not saying which other company you know of which gives better results.

I'm not saying that Estibot is 100% accurate by any means, merely it's about the best on offer at this moment.

And on the second point, I'd love to know of any domains that Estibot valued at $0 that sold for $20,000 plus. But, again, I'm happy to be enlightened if you know of just one.

Instagram.com Estibot Value 0

 

[urlurl]

sold a name for $3900 a little while ago - just checked estibot and the value was only $150 for it...

also - the comparables were not even close to the name i had, so what's the point!

 

[.X.]

I remember the exact day that estibot went into Beta and people here were getting to test it out, the initial algorithms that estibot used when created, Weren't bad at all, Actually the valuations were pretty close to sales taking place in the market, but , the accuracy depended on similar names sold, that was my perception of how estibot was doing valuations, i may be totally wrong, but that was the conclusion i came to. as @Kate said, It can't appraise brandables, it is a bot that is calculating similar name sales along with using search terms and ect as it's calculation for the $$ value of the total valuation of a name.

although estibot can give some insight on a names stats, similar names, to the name being valuated sales figures, there is no way estibot, or any other valuation tool can put a real $ figure on a domain name.

Wanna see, Check this out, put your name in this OLD domain appraiser, I used to bask in my glory back in the day using this one LOL
https://www.noktadomains.com/valuation.html

 

[Marshall]

Instagram.com Estibot Value 0

LOL


The thing is if you're selling a domain (most probably on NamePros) that you know isn't gold and won't sell for much
though it got some nice Estibot value then you can slide it in to make your domain look better.
That's the only use of Estibot I can think of...

 

[domaintrades]

Stick around for a while, and then come back to this thread and be embarrassed by this statement.



Most appraisals are garbage. Someone will pay what they feel is a good price based on the value that it brings to them in their business.

That's all there is to it.

I don't really have anything to be embarrassed about.

Unfortunately the Estibot haters are using selective reading.

I have not said that Estibot is perfect, and some of you have given examples of where it has been way out on its valuations to prove the point.

All I have said is that some sellers are asking extraordinary amounts for domains that to most people just don't make sense.

I think some of you should take a look at some of these auctions where sellers have come along thinking they are going to be overnight millionaires, with totally unrealistic expectations. And most are living in cloud cuckoo land.

Coming back to Estibot, I still maintain that it provides a fair amount of helpful data, and from that point of view is useful. And it is still probably the best automated appraiser, despite all its flaws. No one has actually come up with a better alternative....yet.

Now if the argument is that only human appraisals should be trusted that's a whole different topic, but that isn't what this thread is about.

 

[karmaco]

I don't care about estibot and neither does at least half the people domaining and probably less than that of true "end users". I've seen some lame names priced super high and I also price some names high that others might think are not good. The only ones who seem to qualify everything with it are domain investors.

I don't question anyone else's price tag just like me they are allowed to ask whatever they want for it. One thing is for sure you never want to underestimate a name so the buy it now should certainly be higher than the lowest you are willing to take.

As stated above, estibot uses generic terms and doesn't seem to have any valuation factoring for brandables.I personally think its outdated and close minded.

I feel the same way when people deride hang regs. How many 10-20 year old names never sell but to another investor yet they are superior? Age is not as important as the name. if I couldn't sell a name after ten years I would drop it too.

 

[domaintrades]

I don't care about estibot and neither does at least half the people domaining and probably less than that of true "end users". I've seen some lame names priced super high and I also price some names high that others might think are not good. The only ones who seem to qualify everything with it are domain investors.

I don't question anyone else's price tag just like me they are allowed to ask whatever they want for it. One thing is for sure you never want to underestimate a name so the buy it now should certainly be higher than the lowest you are willing to take.

As stated above, estibot uses generic terms and doesn't seem to have any valuation factoring for brandables.I personally think its outdated and close minded.

I feel the same way when people deride hang regs. How many 10-20 year old names never sell but to another investor yet they are superior? Age is not as important as the name. if I couldn't sell a name after ten years I would drop it too.

Yep, it's a free market.

 

[coconut]

If you can't sell the name then multiply the total by 0 (zero)
If you get an offer then multiply the total by zero and add the offer to the total

Words of wisdom from johnn

 

[Kuffy]

I've been checking the calculated values of a recent drop catch name of mine - SaveOldCars.com, and they all come out at $0, even though someone is asking $690 for Save Old Books. I want to keep this name, as I hope I can help to stop the switch to inconvenient and environmentally damaging electric vehicles. With the increasing political activity that these changes are generating, I would have thought that the name would be worth low $xxx at the moment. Once the public becomes aware that the electric car rulings are designed to boost the German car industry, and not to help the environment, I think names like this will increase in value. It is not possible for an automated valuation service to take account of political changes.

 

[Kate]

I think some of you should take a look at some of these auctions where sellers have come along thinking they are going to be overnight millionaires, with totally unrealistic expectations. And most are living in cloud cuckoo land.

It is true that many domain owners are delusional, and I guess some of their zany asking prices may be based on estibot precisely. Relying on automated appraisals is a telltale sign of noobness

Coming back to Estibot, I still maintain that it provides a fair amount of helpful data, and from that point of view is useful. And it is still probably the best automated appraiser, despite all its flaws. No one has actually come up with a better alternative....yet.

The only alternative is called your brains (and your personal circumstances).

Now if the argument is that only human appraisals should be trusted that's a whole different topic, but that isn't what this thread is about.

There cannot be an accurate system, even involving humans, for obvious reasons. Domain sales are unpredictable. And each domain is unique, like a piece of artwork. What is the price of a Picasso ? How would you appraise it, other than looking at comparable sales (other Picassos), but what if there are no comparable items ? Even an average painting from an obscure artist can sell for a big sum once in a while, just because somebody liked it, and had the budget.
The market for domain names cannot be compared to real estate or stocks because it doesn't have the liquidity. The vast majority of domain names have no liquid value, so there isn't an efficient market that could support more or less scientific valuation methods.

 

[Thirwell Castle]

Instagram.com Estibot Value 0

I swear I had to confirm this to make sure it was not a typo, $0 .
Alright I am done lol

 

[domaintrades]

Better still, Facebook.com and Twitter.com are appraised at $0.

I've got some domains valued by Estibot at between $2,000 and $3,000. Will I achieve that kind of figure for them? Love it if I did, but I highly doubt it.

Conversely, some domains I have are worth virtually nothing according to the appraisals. I'd like to think though that I might get a decent figure for some, by someone who happens to really want them.

Not sure there's a lot more to add to this thread.

 

[Kuffy]

Instagram, Facebook and Twitter have got trademarks associated with them. Names that incorporate their trademarks may well be unusable, and therefore have a $0 value. I think Estibot takes this into consideration. The names themselves may well have no value outside the business, and a buyer would need to purchase the business and not just the name.

 

[Kate]

estibot.com is appraised at $0 by estibot.com, so at least we can agree on something.

 

[Kuffy]

Never forget that the asking price also reflects the business activities of the owner. Every name has it's price - for example, I don't have a name that I wouldn't sell for $1million, but I have some names that I am reluctant to sell, or have a planned use for them. Saveoldcars.com is one such name. I put a price of $2,000 on it because I really want to keep it, and I don't think it is worth that YET.

I'm having a tidy up of my portfolio, so I've started to list names at low $xx. If they don't sell, then I'll put a few pages of text on them, and use them as feeder sites. They may well be worth more, but I'm having problems developing the names I've got at the moment.

 

[anantj]

There's no point in saying that Estibot isn't the nearest thing to getting an accurate automated appraisal, then not saying which other company you know of which gives better results.

There is a point in saying that Estibot isn't the nearest thing to getting an accurate automated appraisal - and the point is that it isn't accurate, or nearest to accuracy. This does not mean there IS an accurate automated appraisal tool. The inaccuracy of one does not imply the accuracy of others.

Appraisals are, for various reasons, not at all easy to "implement" in an automated manner. There can be several reasons why a domain is far worth more than it is appraised for through algorithms. One of the most important factors is actual and accurate traffic stats which might not be visible or available to parties besides the domain owner. Another reason can be the brand name associated previously with a domain.

 

[Want2learn]

True, but Estibot is probably the nearest thing to an accurate automated valuation we have at the moment, unless someone can point me to something better.

If Estibot appraises a domain at zero, is it really likely that the domain is going to sell for $20,000 upwards?

Stopped reading after the bolded part.

 

[biggie]

There is a point in saying that Estibot isn't the nearest thing to getting an accurate automated appraisal - and the point is that it isn't accurate, or nearest to accuracy.

This does not mean there IS an accurate automated appraisal tool. The inaccuracy of one does not imply the accuracy of others.

damn @anantj !

that was heavy duty science you just dropped

i'm impressed


imo....

 

[Kuffy]

Domain Details:
Domain: oildrum.com SLD: oildrum
Keywords:oil drum
Language: English - 92%
Category: Recreation -- Musical Instruments

Appraisal Overview:
EstiBot Value: $ 8,900 USD

Are they a Nigerian company? I love the music from steel bands, but musical instruments are not the first thing I would think of related to oil drums.

 

[johnn]

MessMeBot?

 

[Lyle]

If you want to sell a domain name at a decent price, you have to be a sales man/woman.

It's all in the pitch, contact businesses that might be interested, call them or write a good email. Don't sound like you're just trying to bluff your way into a sale, you have to sound professional and treat it as a legitimate business, even if you're in your underwear at 1:30pm
I know it's weird, but sometimes when on the phone with a potential buyer I would play a sound file in the background recorded from a business (phones ringing people talking and the like), psychology is a good motivator.

One good sale could pay your months bills or more, so just keep trying.

If it's not a 4 letter name or less, the valuation is really up to how you pitch it to the potential buyer.

And yes of course there is luck.

 

[Haykay2005]

Above all, end users determine the price.