| Determining how much a domain name estimate is or
how much a domain name value is can be an interesting
task. Most aftermarket domain name companies offer a service whereby a
domain name owner pays a certain fee to get his/her domain evaluated. You
may ask yourself if this is a viable way of getting a good figure for your
domain name. Based on various opinions, you may find out that in some
cases, these estimates are right on target and some are way off target.
The reason being is that it is very hard to come up with an extact
estimate or value for a domain name these days. In the dot com boom, there
were many domain names that have been bought and sold for millions of
dollars. This can still happen today, but again, there is no way of
pinpointing what exactly a domain name would be or should be valued at. A
domain name is just like any other sort of item that can be bought or sold
in any market today. A value of an item, product, or name is determined by
how much that thing is sought after. It can be viewed as the supply and
demand theory with a twist. As an example, lets say that you currently own
a domain name that targets the printing category. That domain may be very
valuable to someone that is in that business and it looking for that exact
name to get his/her branding in action. On the other hand, that domain
name may not be valuable to that person at all and he/she would not be
willing to pay much for it. So, the real question is: "How
do I know how much my domain name is worth"? If you ever
bought any type of real estate, you would know that the way one values
that piece of real estate is by comparing like real estates in the area or
vacinity. You can use the same approach with a few more critierias to come
up with a range:
1) Investigate what other similar domain names to yours have been sold
for in the last six months
2) FACT: .com domain names are usually more desirable and have a higher
value
3) Domain names that contain dictionary words will be more disirable
4) The amount of traffic you have to the domain name would make a
difference for branding purposes
5) FACT: The shorter the domain name, the more value it would have (must
be meanigful) |