How do I estimate my domain name value?

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Decided to try your hand at the buying and selling domain names, or you has your website gone offline? You will first need to know the market value of the domain name.

We are all familiar with individuals who have registered the perfect domain name and then sold it for enough money to retire on. Others buy domain names that are misspellings of popular, trademarked domains and then utilize the traffic coming in through typos providing them with valuable advertising space. Some even buy countless domain names discounted rates or try to acquire expired names, in the hope that one might actually be worth thousands or even millions.

At the end of the day, your domain is only worth what your potential buyer is willing to pay for it. With just estimates and not actual formula to appraise a domain, how does one put a price tag on their domain. However, searching for a buyer is not as tough as it sounds, with the number of domainers increasing exponentially every year. There are some factors to consider that are commonly considered to raise a domain name’s value. Development and popularity of the name, length of name, prior interest, composition of name.

Development and Popularity of Name: A well established website will increase the value of the domain. Factors such as incoming traffic, age, number of back links, etc substantially increase domain value. An established website will typically have a higher number of back links raising your placement in search engine results. Your buyer will surely be interested in taking advantage of the traffic that your website has built up. More popular your website, the higher the bid.

Length of Name: Shorter domain names in theory have a higher value then the relevant longer counter parts. The same goes for correctly spelled common words in comparison to their obscure counterparts or misspellings. Since every domainer looks for domain names that are easy to say, spell, and remember and have easily identifiable meanings; they obviously have a value in the market. In short the more unmistakable and to the point the domain, the higher the value.

Prior Interest: If you happen to register a domain that someone is looking for, do not be surprised if they directly approach you for it. Based on the all the mentioned factors and prior offers if any, you should be able to estimate your domain worth. More offers! Do not hesitate to raise your price. Do not leave out the option of a domain auction.

Composition of Name: Experts recommend avoiding hyphenated names as domain composition too is taken into consideration when appraising a domain. Keep in mind that extensions do matter, a .com domain would definitely be worth much more than a alternative of the same domain. Shortened word forms and abbreviations are only valuable if they are well-known

I also recommend visiting domain auction websites and observe how the process is carried out and by how much most domains are selling for. Along with all this, keep an eye open for trends to help you estimate your domain. Understanding your market, gives you an edge over your peers. Remember to keep all these tips in mind and your sure to make a profit.

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February 27th, 2008 - Posted in Domain Name, Domain Sale | | 0 Comments

How to select the best Domain Reseller Program?

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As a highly profitable business, reselling domains has become one of the most popular online businesses. Registrars with reseller programs allow individuals to register domain names at extremely low prices and then resell them to their customers.

Initial registration will always take place at an ICANN accredited Registrar and individuals who have initially registered domains resell the domain, the same Registrar may handle customer service and registration issues. Registrar’s permit reselling of domains since it creates more business for the Registrar simply because the domain continues to be hosted and/or registered with the same company.

Issues such as automation, price, scalability, and the overall flexibility need to be taken into consideration before you chose a Reseller Program. Factors such as target market, global and local audience, upgrading the services, etc are extremely important before jumping into the Reseller Business.

Differentiating between your cost and selling price and setting up a competitive pricing strategy and still achieving profits that will keep your business stable. The competition is very intense right now with an extremely high large number of resellers popping up all over the internet. Resellers need to focus on reselling affordable web and email hosting to maintain a large profit margin.

An extremely wise decision would be to choose an ICANN accredited Registrar with a reseller program to partner with. An example of an extremely successful Registrar with a user-friendly reseller program ResellerClub. The resellers that work with this registrar are known for their great reputations and honest business practices, so this would definitely be the company to get into business with. ICANN accredited Registrars are always the best to deal with, otherwise you are putting yourself at a serious disadvantage in terms or pricing, support and overall customer satisfaction.

Registrars that offer you the flexibility that you need to get started along are the best to consider. If you are just starting out, the more support you have, the better. Some Registrars provide marketing content for you to offer to your customers along with promotions so that you can stay ahead of your competition. I’m sure you understand by now that reselling offers the ability for high profits and having the right registrar on your side can increase your profits.

ReselerClub.com has been the one of the best domain reseller company since 1998. Find a domain reseller and reseller web hosting company at http://www.ReselerClub.com

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February 8th, 2008 - Posted in Domain, Domain Name, Domain Reseller, Reseller, domain reseller program | | 6 Comments

How to appraise a domain to earn profits more effectively

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You’ve got a long list of domains in your portfolio. Collecting them since you first hopped onto the domain bandwagon. Now you want them appraised and you login to your favorite forum and all you get is negative feedback. You stick to your instincts and ignore all the comments on your precious portfolio. This article will point out why some domains are completely worthless and why some are worth millions. And by the end of this read you will be able to find great domains and purchase them at unbelievable bargains.

I’ve listed a couple of pointers that you need to evaluate before purchasing a good domain.

Revenue & Traffic:

Traffic is what is going to drive revenue. Domains with high traffic in a short period are extremely valued by the online community. The most popular way to collect revenue is through domain parking. On purchase, domainers pay the price of a domain along with 1 years revenue. For instance, movieclub.com was for sale. Lets say the price of the domain in the sellers eyes is $1,500 and is making $5 a day in revenue in parking. The domain would sell for $3,325 ($1,500 for the domain and $1,825 for the revenue.)

Keywords:

Keywords determine ad competition, popularity, and also search volume. Hence are extremely important when looking for domains to purchase. Keywords are the best source to judge the value of a domain. Good way to find out if a keyword is popular or not is to check their value through a Keyword Tool which basically reports search volume and ad completion. Lets take movieclub.com for instance if you do a search with the Keyword Tool for “movieclub” you can see that the Ad Competition and the search volume is pretty high. Look for keyword rich domains. Also make sure that the keywords go good with each other. If you have 2 really good keywords but are not related to each other, the domain may probably be worthless.

Back Links:

Back Links are a sign of a marketing that was done for the domain. Back Links are a common method to increase traffic onto a particular website. There are multiple websites that help you see if you have Back Links on major search engines for your domain.

Length:

The length of a domain is an important factor that needs to be taken into consideration. The shorter the domain the higher would be the estimated value. This does not mean that it will automatically be worth more if it is 7 characters in length. Keywords too need to be taken into consideration here.

Search Engines:

You will need to take into consideration all the popular search engines. Everyone wants to get their page ranked on popular search engines. Search engines add value to domains because they can increase exposure of your domain to a much higher proportion of users. The more the better.

Age:

Not playing an important role, age too needs to be taken into consideration while appraising a domain. A 3 year old domain has been estimated to be a bit more valuable that a domain that was just registered, simply as it has already been exposed to multiple users and has lasted for quite a while.

Page Rank:
I can also add here that PR (Page Rank) is important. If a domain has a good PR is will be worth more as well. This can also tell you if there was a site up on the domain as well. This is attractive for buyers because if a site was once up it could be still getting traffic.

Negative Keywords:

I have repeatedly mentioned that good keywords are extremely important. However, mismatched keywords, and other special characters can bring down the value of a domain such as “-”, Numbers, misspellings, and domains that just don’t make sense.

Evaluation:

Let me take you through a process of how I evaluate a domain.

movieclub.com is the domain I will evaluate.

Google: 257 Frequency:103 Backlinks:145 Ad Score for these 2 words together are zero. The search volume is pretty much non existant. Just over 2 months old. The 2 keywords do not fit together. There is a site up on it now but not bringing in much revenue. Length is kind of long for a domain like this. I would classify this domain as a Brandable. Which basically means for this domain to have any value it would have to be marketed and branded by a website. So as far as reseller value I would value this domain at Low $xx mark. For an end user it could be worth millions.

This article is to show people what a domain might be worth to a domain reseller. If you don’t think your domains are worth anything then try developing mini-sites for them. Making a good website always adds value to the domain name. Also this article is for .com’s but can also be applied to ccTLDs and other extensions.

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February 8th, 2008 - Posted in Domain, Domain Name, Domain Reseller, Reseller, make money | | 1 Comments