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Old 22-06-2011, 07:25:59 PM     #1 (permalink)
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A question about domainer etiquette and appraisals at large

Hi guys,

To paint a picture, I am starting to sell domains that I have amassed, some are developed and earning reasonable income from affiliate marketing (95% Amazon) and Google Adsense.

The theme here and on the other forums I have been digging around is that it is a game of "how long is a piece of string" but the general consensus I seem to be seeing is that a developed domain is worth around 15-30 x monthly earnings... and that the value of an undeveloped domain is very much driven by local monthly search stats from Google KW tool (haven't been able to find a "formula" as such for local searches multiplied by x = value as the general theme is that each domain can only be valued on its own merit)

So... my question is - in a nutshell is the above loosely correct as a general rule of thumb? And if one had a number of domains to sell (all .co.uk between 100-1,600 monthly exact match searches) and they were looking to offer it to the acorndomains community would it be poor etiquette to stick up a thread with a table containing urls, keywords and subsequent search volumes?

The domains have just been added to Sedo, and although I am not looking for a "quick sale" per sé it would be more than likely more convenient to sell in bulk (There are 40 or so) rather than through Sedo or similar.

Also what bearing would a good search engine position have on the value? I have a domain which has 880 exact match searches per month, and is number 1 on Google for that phrase?

Great forum guys keep up the good work.


Liam
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Old 22-06-2011, 07:40:17 PM     #2 (permalink)

 
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If you can add supporting search data to your sales threads, I would say people generally appreciate it, and it can help with the sale.

Another source of data is an AdWords account, as you can then see PPC spend on a given term.

Yes, revenue generating websites can be valued on a multiple of revenue. It's an easier investment proposition than domain alone. Sorry, I don't know what the current ratios are but I'm sure they could be found by searching.

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Old 22-06-2011, 07:43:21 PM     #3 (permalink)
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Thanks for that, helps didn't know whether it would be too brash to add a table of data in... thanks for the feedback!


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Old 22-06-2011, 07:48:00 PM     #4 (permalink)
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As a rule of thumb you're about right, although there are many other variables and for websites many people won't even pay as high as 15 months income (obviously depending on the website).

For domain value, local exacts only matters to a certain point and again it also depends on things such as how lucrative the niche is, product/service value etc.

With regard to your own domains, just put a thread up in the portfolio sales forum, that's why it's there.
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Old 22-06-2011, 07:48:15 PM     #5 (permalink)

 
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Nicely worded request Liam.

I'm not a domain developer but, The nature of the product or service each domain refers to has a big influence on multiples. though your 15 - 30 looks about right for general developed domain guidance
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Old 22-06-2011, 07:50:49 PM     #6 (permalink)
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Great, thanks again chaps... It's off to the portfolio forum I go


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Old 22-06-2011, 08:45:43 PM     #7 (permalink)
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By the way I did ask the question about what effect Google postition has on the value, wondered if anybody had any thoughts on that.

For example, I have a domain which has 880 exact match searches per month, is number 1 for the phrase and which earns £30-40 per month. The domain is the thefullphrasewhichcarriesthesearchvolume.co.uk (not that exact domain of course but hopefully you see what I mean

Edit: I need a few more posts before I can submit to the domain sales forum, so will stick around for a while!

I have a nice table to put in there now anyway. 38 domains with a total exact match search volume of 17,438. all .co.uk with no hyphens etc. 6 of which are developed, all ranking and earning with over 100 visits per month. Can send list by PM to anybody who is interested!


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Old 23-06-2011, 08:19:18 AM     #8 (permalink)

 
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The thing with position in Google and other SEs, is that it's subject to change at any moment. Also, how much effort was required to attain that position and keep it?

GKWT figures also don't necessarily translate into traffic either.

You can't beat type-in traffic - Google positioning, page rank and KT all hint at potential traffic, whereas type-ins are the real deal. I'd take a domain that gets 20 type-ins a month over one with 2,000 local exacts every time.

That said, I'm not a buyer of sites and don't have the SEO skills required to maintain sites - others will have different priorities.
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Old 23-06-2011, 12:52:44 PM     #9 (permalink)

 
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I'd say 15-30 months revenue is rather low.

Depending on the domain, the untapped potential, how likely it is to continue earning the same amount - it can easily be valued higher (or slightly lower for that matter).

With regards to search engine positions, make sure to check where the current backlinks come from. If a majority of the backlinks to the domain and being send from his own network, and might be removed as soon as it's sold - you’re in trouble. So make sure to include a clause for backlinks.
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Old 23-06-2011, 03:34:30 PM     #10 (permalink)
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Thanks again guys!

Well for interest I uploaded the portfolio anyway for public view... so happy to speak to anybody that is interested in the domains. Shows search volume and current traffic numbers, most in the top two tables rank for their phrase.

FYI the 3 best performing sites make an average of £56 per month combined... averaged for the last 3 (proven with screenshots) earnings.

Here's the link: https://viewer.zoho.com/docs/zhRcz


Liam

Edit: Oh, also... links obtained for rankings occur only from social media bookmarking, and no more than 10 links per site ... that is to say there is no cross-site/network linking.
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