Domain Manage

Mum.com

Discussion in 'Domain Appraisals' started by LastPost, Jan 16, 2010.

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  1. LastPost United Kingdom

    LastPost Active Member

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    I've developed Mum.com as a blog for mums and I'm planning to add a shop in due course. If a UK retailer expressed an interest in the domain, how much do you think it could be worth?

    Mum.com was registered in Oct 1994 so it's over 15 years old. Baby.com was registered in Apr 1995 and is owned by Johnson and Johnson. They had revenue of $64bn in 2008. Mom.com was registered in Dec 1994 and is owned by CafeMom.com. CafeMom.com is the 810th ranked site by traffic in the US according to Alexa. Mum.com gets about 20,000 type-ins per year.

    I've developed 2-3 sites before Mum.com and they have always fallen down on SEO and search engine traffic so I contacted a local company called ithinkMedia in the week who do the SEO for Mothercare and the Early Learning Centre.

    They said they couldn't do any SEO on the site because of a non-compete clause with Mothercare. I asked if they had a contact at Mothercare so I could speak to them about working together on Mum.com. Mothercare started a blog in Nov 09 at Mothercare Blog and I was thinking of turning Mum.com into a blog for celebrity mums.

    They said they were going to Mothercare's Watford office next week and would run it by them. They asked whether I was looking to become affiliated with Mothercare in some way or sell the domain. I said either, but that if I sold the domain I would be looking for around £150,000.

    The SEO guy said that was far too much for a domain with 20,000 type-ins. I said you couldn't value Mum.com on a multiple of type-ins because it had standalone value as a brandable LLL.com. I gave him the example of Fly.com selling for $1.8m in 2009 to TravelZoo. Fly.com wouldn't have massive type-in but if you wanted to advertise air travel it would stand out and stick in people's minds better than any other domain. I could have mentioned Guy.com selling at $1m or Men.com selling for $1.3m as further examples of the heights brandable and commercial LLL.coms can scale.

    He said for £150,000 he could get 1m targeted visitors for Mothercare. I said yes but once you had paid for the traffic it would tail off whereas as Mum.com would continue to get 20,000 type-ins a year. Plus since generic domains have resale value, he should be considering the cost of tying up £150,000 in a domain name rather than the initial outlay. Hence, if you assumed you could get 5% interest on the £150,000, it costs £7,500 per year for a company to own Mum.com which would work out to 35p per click compared to the 20p I pay Google Adwords so £150,000 wasn't outlandish.

    The SEO guy thought I would be more likely to get Mothercare's interest with a domain like PushChairs.co.uk. I said that was like comparing apples and oranges and if Google changed their algorithm tomorrow to eliminate the ranking benefit of a domain URL, domains like PushChairs.co.uk would lose value but Mum.com would retain it's value because you would get better value for money with TV, newspaper, magazine, radio, and billboard ads, because more people would notice Mum.com and remember it. Plus you have the 15+ years ageing and exclusivity of a brandable, commercial LLL.com.

    One thing I found from looking into this is there are 17,576 LLL.com permutations but only 1,012 meaningful 3 letter words according to the Scrabble dictionary. Here's a link;

    Two-Letter and Three-Letter Scrabble Words

    If you look through the list of Scrabble 3 letter words hardly any of them have any real commercial value so domains like Mum.com are very rare.

    Finally, he said people is the US use Mom so there would only be a handful of potential buyers in the UK. I said people in France use Mare and people in Italy use Mama, but that doesn't detract from the value of Mom.com. Mum is used in the UK, Ireland, Australia, New Zealand, parts of Canada, Holland, Singapore, and some parts of the US like New England so that's alot of mums.

    80% of women become mums and 80% of household expenditure is controlled by mums so they are a key consumer group for retailers. For example, Iceland use "Mum's gone to Iceland" as a slogan because mums are their key customer. One of the reasons they chose to use Kerry Katona in their ads was because she was Celeb Mum of the Year twice.

    I thought I'd post this because Mum.com is a domain alot of people can relate to, and it highlights some interesting domain issues like the trade-off between type-in and brandability, and the question of whether generic category domain ownership conveys market leadership or provide benefits beyond the type-ins they generate.

    If you were Mothercare and had £750m of turnover, would you give up 0.02% of it to buy Mum.com? Any views on Mum.com would be much appreciated.
     
    Last edited: Jan 16, 2010
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    Acorn Domains Elite Member

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  3. retired_member12

    retired_member12 Retired Member

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    I suspect from this comment alone that you're beefing up a domain name that needs no explaination. It's a cracking LLL.com, and I imagine what you need is someone capable of helping you get the most from it. The sad thing about your post is those lost years to be honest.

    A top, top domain name mate, I hope you find the help you need to push it forward.

    Sounds like a guy hoping to pick your pickets for the name himself. Couldn't blame him for trying!
     
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  4. pugyrob United Kingdom

    pugyrob Well-Known Member

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    If I owned it,it wouldn't sell for 150k.worth more IMO but like all names, in developed you are selling an uncut diamond.
     
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  5. retired_member13

    retired_member13 Banned

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    Great Domain.

    I think that focussing on type ins and / or traffic is a red herring when it comes to valuations tbh.

    Lets(.)com gets roughly twice the pure type ins that you're stating for Mum but I don't think that makes it twice as valuable.

    Undeveloped domains, regardless of their quality should be valued on their potential, not on their current traffic and or earnings from parking or the like.

    Domains I've set up in the last 6 months (.co.uk) that are incredibly niche comparatively get far more traffic from natural SERPs that Lets gets as type ins - but does that make them better than Lets?

    Arguing reasons for value with a buyer's agent is not a fruitful pastime IMHO - why not get a good broker(s) and see what they can do for you?
     
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    Last edited: Jan 16, 2010
  6. accelerator United Kingdom

    accelerator Well-Known Member

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    Here are my quick thoughts:

    - A valuation of £150k+ is not unreasonable, it's a cracking domain.

    - Some baby wear retailers have really tight margins / competitive operating environment, so companies like Mothercare aren't necessarily your best buyer. From a business point of view, the domain won't necessarily help a babywear retailer like Mothercare that much.

    - The site needs to be leveraged through social networking. Then it will appeal to media brands. That's where I see the money in this domain. Women will turn to the internet when they have a baby, so you have the chance to get them involved in a site and then have them for life.

    Rgds
     
  7. stevebrowne

    stevebrowne Active Member

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    great domain; £150k is the low end of value I reckon.
     
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  8. binny

    binny Active Member

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    Great name, send a letter offering the domain to Mothercare but 'mistakenly' put Mamas and Papas at the top of the letter whilst keeping Mothercare's address and referring to Mothercare through the body of the letter. Your mistake will remind them they aren't the only fish and see if it gets you anywhere. Maybe the thought of a major promo campaign from a competitor will seal it.
     
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  9. retired_member12

    retired_member12 Retired Member

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    Now I like that approach. Devious git! ;)
     
  10. philiporchard United Kingdom

    philiporchard Well-Known Member

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    Sweet name. One of the best I've seen on here for a while, although I liked isa.co.uk too :mrgreen:
     
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  11. fish United Kingdom

    fish Well-Known Member

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  12. julian United Kingdom

    julian Banned

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    id be surprsied if you got more than £40k for it
     
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  13. accelerator United Kingdom

    accelerator Well-Known Member

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    Personally though, I would prefer to own isa.co.uk than mum.com, as isa.co.uk would be easier for someone like me to monetise.

    Rgds
     
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  14. namealot United Kingdom

    namealot Well-Known Member

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    Good seo companies should be able to make a site list high on the search engine and natural type in traffic is important but not be all and end all... they buy a few names at a few k each and have higher natural type in… leaving more money from the clients budget for them? After all if they did such a wonderful job then why would the company need to use them again? Because it’s all black hat, dirty tricks, viral campaigns etc sorry as they say on there site ethical ;)

    If there not interested I wouldn’t give a toss there are endless things to do with it.. Even someone that doesn’t understand what it means will remember it ?

    Manufactures of items/products there are plenty out there and if they could get direct sales rather than sell through brand name stores etc especially the Chinese they wouldn’t give a toss..?

    Go to the big mother and baby fairs Düsseldorf, London etc walk up to mother care make yourself know then make sure they see you stroll off to there major competitions it’s amazing what the thought that they may buy it does even if they don’t want it they buy it to stop others using it ? Find out when companies start there campaigns and tout it with advertising companies what’s a 10 second advert on national TV cost more than £150.000 so instead of 10 adverts the company does nine and gets a web name and unlike the seo company the advertising company saves on the cost of air time so would be little difference to them

    Send your mum an eco friendly link to there mothers day card online… A few viral ads of some lady, drinking, farting swearing and smoking like a chimney through in a cute little kitten and stick your domain name in it with remember your mum this mothers day….
    How many clicks you think you would get then? It’s just a simple matter of converting them into cash….? The list is endless Its true that its only worth what someone willing to pay but set up correctly you could do very well without having to sell it … 40k ? think its better than OMG and that made $80.000
     
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    Last edited: Jan 18, 2010
  15. RSK3000 United Kingdom

    RSK3000 Active Member

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    I don't understand you people!!!

    This name is fantastic. Never mind the type in traffic. Look what you could develop on Mum.com! Even a reasonable sized company, with not that much effort, could market Mum.com so as its the first site new mothers think of visiting - shops, forums, newsletters, free samples, pregnancy advice, product reviews its a massive market.

    This name is priceless and in my opinion the name could make its owner £ millions. Sell by all means, but find a way to cut yourself a slice of future profits from that name, because its a great one.

    This is the sort of deal that Zappy Zapolin does (Beer.com, Computer.com, Music.com and more). For the second time today I am recommending one of OzDomainers podcasts - Domain Names Podcast Episode 13 with Zappy Zapolin InternetRealEstate.com | Domain Names - Domain Name News - Domain Names Podcast | OzDomainer.com for more info.
     
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  16. philiporchard United Kingdom

    philiporchard Well-Known Member

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    deleted post.

    Thought I'd found the perfect buyer, but since found they're a spammer too!
     
    Last edited: Jan 17, 2010
  17. newguy United Kingdom

    newguy Well-Known Member

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    What a domain. The sky is the limit with this one. There's no end to its uses. I think I agree with a previous comment about the ability to go viral with ths one, maybe around an event (mothers day perhaps). If you got the marketing just right on a social networking site for instance, thing could be massive.
     
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  18. redbird United Kingdom

    redbird Well-Known Member

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    Seconded, I can see me using that aproach in the future and if get no reply after a week or so maybe follow up with an apology (aka reminder).

    Cracking name though £xxx,xxx in my opinion.
     
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    Last edited: Jan 17, 2010
  19. expertc

    expertc Well-Known Member

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    What a name! One of the best I’ve seen here so far.

    Now back to business. It is definitely worth more than asking price. The only mistake – this is not a pure B2C type of venture, so accessing a single-stream income companies like Mothercare would not give you good result. This is typical B2B(C) domain, and your potential buyer is in a media industry. Your first stop should be approaching media holding companies that own Pregnancy, Parenting, Mother & Baby and similar magazines. Main income for holdings is from advertising, and if they brand the name, then in 1-3 months they would not only pay costs but start making hefty profit. Their margins is much higher than Mothercare or similar.

    Good luck!
     
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  20. scooter United Kingdom

    scooter Well-Known Member

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    You should give this lot a try. Would be a nice addition to their stable.

    We Buy Domains!

    .
     
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  21. bensd United Kingdom

    bensd Well-Known Member Exclusive Member

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    These were the guys who were bidding against toys r' us when they bought toys.com for over £5m
     
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