Plain and simple: If you set a price on your domain, it’s far more likely to sell.
So, why don’t more domain owners set prices on their domains? Unlike the housing market, even if you compare sales to similar domains, domain sales are a completely different animal.
The value of your domain is whatever it sells for today. That’s it. Fair domain prices are subjective. If someone is willing to pay your price, it’s worth the price he or she pays. Many domain owners sit on their domains, holding out for that big pay day. There’s no telling what the value will be as a domain is only worth what someone will pay for it. That’s the deciding factor and it completely depends on the buyer.
Comparing Like Domain Prices
If you own a domain name that is similar to other domains sold with the same keywords, you can figure your domain will sell for a price that falls within the low and high range of those sold. Let’s say similar sites are selling for between $5,000 to $15,000. You’ll want to price your domain within that range. You’ll have a harder time moving your domain for $25,000. DNSalePrice.com is a good source to check the prices of recent domain sales.
But, domain sales are not home sales. Domain sales depend far more on the buyer’s budget and perception of the domain value. Home buyers won’t pay more than the going price for homes in a certain area and the housing market determines the price. Like home sellers, though, you can negotiate the price down from what the seller offers it for.
Domains that move on the market today are usually within the $2000 to $4000 range. If your domain isn’t a premium domain name, chances are you will wait longer to sell if your price is far off this range.
50% of domain sales occur on impulse. The buyer has to have the domain. How badly the buyer wants it determines the price paid. If the domain name fits the buyer’s business to a tee, the buyer is going to be more motivated.
There are two lines of thinking about pricing domains. There are die hard believers in not pricing a domain. Realistically, this makes sense when the domain is a premium domain meriting a high price tag. The problem is an unpriced domain will receive low-ball bids. Since domain value is so subjective and most don’t know a fair price to offer, a domain owner expecting $50,000 for his/her domain could end up with a $500 bid. It happens all the time. Then the domain just sits unsold. Fewer people inquire about unpriced domains.
Getting Your Domain Sold
Most inquiries come from the buyer typing a url in the search and coming across a domain for sale. If your domain forwards to a website, the buyer won’t be aware it’s available. The best way to get your domain sold is to park it and have the page indicate that the domain is available for sale.
Theresa Happe works with Afternic.com, a business specializing in domain sales. If you need help setting your domain price or are looking for the best place to sell your domain, our experts are eager to help you and our worldwide reach assures your domain gets noticed.