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opinion You're Underselling Your Domain names

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Lox

_____Top Member
Impact
9,262
It's great that your prospects are happy but please don't think short-term. There are 100s reasons why it might feel uncomfortable to promote "yourself" (*not your domains) but to undersell (panic attack) in order to get something; Wrong move.

Let Domains reach its true value "potential".

Do your due diligence and research each prospect/competitor carefully to be sure the domain name is a good fit for them. Follow & let them GROW bigger, better, stronger = price accordingly. And if there are any issues with your domain/s, you'll be able to learn everything about the 5W.

Do not destroy domain name reputation by posting (Pr0$stituting) on soc. media or s/pam. Promote "yourself - your knowledge".

Seriously!

Regards
 
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jhm

Top Member
Impact
11,591
I agree with some of those points. Overall, I believe the right price is the price you're happy with, than the price you'd maybe get, if you held on...even if that involves some short-term thinking, some of the time. Everyone has a different life situation, perspective or agenda. IMO
 
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Lox

_____Top Member
Impact
9,262
I agree with some of those points. Overall, I believe the right price is the price you're happy with, than the price you'd maybe get, if you held on...even if that involves some short-term thinking, some of the time. Everyone has a different life situation, perspective or agenda. IMO

Happy Price is the minimum amount - for a slice of bread.

Situation ... ; Don't let your current circumstances dictate your future. Don't panic!

Regards
 
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jhm

Top Member
Impact
11,591
Happy Price is the minimum amount - for a slice of bread.

Situation ... ; Don't let your current circumstances dictate your future. Don't panic!

Regards
Mmm, yeah. I'd suggest current circumstance can dictate what you're going to do. Becomes a question of do you need the money today? Or not. Can be hard to fight certain needs when it comes to lifestyle choices, bills, reinvestment of capital in other domains...you name it. Isn't necessarily black and white. What you're happy with, is ultimately what counts
 
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VadimK

Top Member
Impact
3,358
@jhm I totally agree, it's very much relative. One can sell the name that you think as ''awesome'' for cheap (also for you), but simply because he has 1000 other names that he believes are a better quality, and he needs to keep them alive (and maybe buy 100 more that he believes will be better) - how can we say he is thinking ''short term''? It's exactly the contrary.

Other situation - for whatever reason or maybe some critical situation in life you just need money here, now and fast. It happens in life. What can we say? ''think long-term''? ''F you'' will be the answer.

On top of all that - what's long term? A year, 5, 20?

When to sell and for how much depends entirely on one's strategy, and strategy depends on countless factors - portfolio, experience, tactics, goals, financial situation, level of involvement in industry and many other things.

No general ''right'' rules can be applied here.
 
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biggie

GreenFriendly.comTop Member
Impact
15,054
Happy Price is the minimum amount - for a slice of bread.

Situation ... ; Don't let your current circumstances dictate your future. Don't panic!

Regards
Hi

if-
one already has loaves of bread and blocks of cheese
then-
their situation is much different...

compared to-
one who only has a couple slices left, and no cheese.

when both have to put food on the table:
which situation is more likely to be happy getting an extra slice today,
than waiting so see if they will get a bigger slice in the future?

but i do get the point, of letting your domains mature and getting to know them.

often with newbies, they are full of high expectations and wanting quick results.
they have a "flip" mentality but want to be investors.

it takes time to make the mental transition,
as a newcomer needs the sale to keep them motivated and inspired, which marks the happy box.
if success continues, and knowledge/experience increases,
then their situation changes.

now they got bread, cheese and wine!

imo...
 
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branding

Private InvestorTop Member
Impact
9,528
I don't think there's anything wrong with underselling as long as you're aware and comfortable with underselling.

One bird in the hand is better than ten birds on the tree.

Underselling may actually accelerate your business growth if you know what you're doing. Profit matters but long term, boosting revenue and settling for lower margins can easily add up. Underselling (parts) of your portfolio should be calculated into your business strategy.
 
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johnn

WeSellName.comTop Member
Impact
9,596
Don't look back - Look ahead.
No one will know the price of a domain so I am not concerned about anything as long as I make money.
KISS - Keep It Simple S...
 
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HotKey

Made in CanadaTop Member
Impact
10,673
I think the main point Lox is making is being missed.. take second gander at it. But I do think many solid domains will eventually find their right buyer regardless of the effort one puts into building status behind it.

Certainly doesn't hurt to do so though, often we don't know we want something until it's presented to us.
 
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VadimK

Top Member
Impact
3,358
I think the main point Lox is making is being missed..
No, it's not being missed. No one is arguing with the fact that the longer you wait, the more chance that you eventually sell the name and for a higher price.

But OP claims in the header ''You are underselling your domain name'', and I simply pointed in my comment that there is no such thing as ''underselling'' (with the exception of the cases when you by error typed a wrong, much lower price that you wanted and forgot about it).
 
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HotKey

Made in CanadaTop Member
Impact
10,673
Maybe @Lox can clarify then, but I'm reading something along the lines of building value behind your long-term domains.
 
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Lox

_____Top Member
Impact
9,262
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Lox

_____Top Member
Impact
9,262
No, it's not being missed. No one is arguing with the fact that the longer you wait, the more chance that you eventually sell the name and for a higher price.

But OP claims in the header ''You are underselling your domain name'', and I simply pointed in my comment that there is no such thing as ''underselling'' (with the exception of the cases when you by error typed a wrong, much lower price that you wanted and forgot about it).


This year I'm seeing many more underselling (lack of knowledge/info or easy-peasy attitude)... They have lost one-time opportunity to pocket 4 or 5 fig - just because ... it's okay to okay

Prospect: "We really like the domain name, but $5K ... it costs too much."

(My answer: 1 Great reason to skip vacation.)

Regards
 
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Lox

_____Top Member
Impact
9,262
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zomainhacks

Top Member
Impact
2,610
This year I'm seeing many more underselling (lack of knowledge/info or easy-peasy attitude)... They have lost one-time opportunity to pocket 4 or 5 fig - just because ... it's okay to okay

Prospect: "We really like the domain name, but $5K ... it costs too much."

(My answer: 1 Great reason to skip vacation.)

Regards
You don't know the deals/sales one can make with XXX proceeds. What I mean is that it makes sense in the overall investing perspective. Uner 2K-3K domains if you want constant cash flow you gotta undersold something IMO
 
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Lox

_____Top Member
Impact
9,262
You don't know the deals/sales one can make with XXX proceeds. What I mean is that it makes sense in the overall investing perspective. Uner 2K-3K domains if you want constant cash flow you gotta undersold something IMO

I know what you mean. :)

I free myself to focus on growing DNI business (1+1=2, next, 2+2=4, next, 4+4=8,...) rather than fighting the constant/consistent cash flow... in order to know whether i'm winning or losing.

Regards
 
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HighPointGuy

Established Member
Impact
159
It is okay to undersell to establish cash flow. One could say that selling a domain that could potentially retail in the XXXX range for high XXX is not a horrible thing. Rather than wait years for a sale, quick wholesale-type sales allow for somebody to scale their business and acquire better assets. As somebody with limited funds to acquire domains, this is how I have grown over the past couple years. My sales are very small, but my portfolio has slowly improved and I have been able to funnel money into aftermarket auctions and backorders rather than (relatively useless) hand regs.
 
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Recons.Com

Top Member
Impact
18,447
What matters is the overall profitability of your business and its survivability.

You try to maximize your profitability. For the short term outlook, i.e. the current year, you just focus on the price point where STR x portfolio size x average price provides the most $. For the long term, you could also do the projection what you think the prices for similar names would be in 5, 10 years.

For the survivability, the cash flow is important. Your financial projections might look great, but even short term cash flow starvation might kill it before it gets there. At this point, of course, your undersells are well justified to keep it going.
 
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iTesla

Established Member
Impact
773
Underselling is also when one does not know the importance of domains they hold.
Let's take Swetha as an example, she have undersold a couple of such domains, let her sleep further.
 
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visualwebindia

Established Member
Impact
−2
Nominal cost is good for right domain
 
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Lox

_____Top Member
Impact
9,262
Rather than wait years for a sale, ...
For example

Domain acquisition: $5K
10+10 Y renewal: $400
------------------------------------
Total: $5400

16 Y later, Domain sold for $132.000

or

Domain hand reg: $10
10+10 Y renewal: $300
------------------------------------
Total: $310

5 Y later, Domain sold for $6.200

or

Domain hand reg: $10
2 Y renewal: $20
------------------------------------
Total: $30

1 Y later, Domain sold for $500

ROI

An investment is made when you know ... the end of the road (Investors maintain “long” positions).
Seller or Broker engages in offering (pushing the sale - "short-term" position).

Regards
 
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branding

Private InvestorTop Member
Impact
9,528
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Lox

_____Top Member
Impact
9,262
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Lox

_____Top Member
Impact
9,262
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Revisiting

Established Member
Impact
326
I always tend to associate discussions around underselling with the large portfolio holders. There's been quite a few posts of a similar/same topic over the years. And I can't help but associate it with those that fear the general resale market dropping. The scenario being - I (topic starter) hold thousands of domains at my probably quite inflated (to my mind) prices. Therefore, I don't want my potential buyers seeing bargain prices (their valuation) from other sellers , It's undermining my selling strategy..
 
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