I have been moving away from my domain name landing pages that have a Buy It Now price listed with a Make Offer field/link listed as well. I have seen some marketplaces and domain name sales platforms with this option, and I had a landing page created for Embrace.com to emulate this.
The thought process behind this type of landing page is that the domain registrant indicates what he or she believes is a fair price and that a negotiation is possible. The registrant doesn’t necessarily want to lose a sale because the asking price is too high, and allowing the prospect to make an offer can lead to a sale now or in the future. While I do not have statistically significant results to share, I have been moving away from this option because I don’t think it makes sense for me.
What got me thinking about this was a Twitter discussion between Dan.com and Rick Schwartz:
So here is what I see as a Flaw:
You have a BIN price and then “Make an offer” which completely makes BIN not so attractive. It cancels it.
You and your customers would be better served putting something like For Further info and other options which would be SO much better. imo pic.twitter.com/YX7Qt6Co2v
— Rick Schwartz 👑 DomainKing® (@DomainKing) October 21, 2019
I can only recall one sale of mine (I believe it was $5,000) that someone ended up buying a domain name for the listed price when there was a make offer option. In fact, with this particular sale, the buyer started by submitting a $250 offer and I stood firm with my price. Every other inquiry generated from my landing pages that have a BIN price with the make offer field had the prospect submit an offer rather than use the BIN option, and I only closed a few sales.
When I put myself in the buyer’s position, I need to ask why would I agree to pay the asking price when it is clear the seller would be open to consider lower offers. Put simply, if the seller is willing to at least consider a lower price, it doesn’t make sense to simply buy it now without a discussion. Of course, the risk is the seller may re-price the domain name or not negotiate.
Having a make offer field undermines the buy it now price. To combat this, I typically priced my domain names higher than I would have otherwise because I know people will just submit an offer rather than agree to the BIN. Having a higher BIN price might end up causing people to not inquire because they think the price is far too high.
I started taking down my BIN pages a few months ago, and my preference is to have a simple price request form on my landing pages. I do have a large percentage of my domain names listed via Afternic with a buy it now price, but that is to take advantage of the listings on GoDaddy and network partner websites.
My experience may differ from other people in a few ways. I almost never sell domain names for less than $1k because the money is not worth the time. In addition, I am not an expert at landing page design, so perhaps the design of my lander had something to do with the results. Finally, with fewer than 1,000 domain names, I have a relatively small domain portfolio.
I would be interested to hear from readers to see what they think.