I took a Financial Accounting course my first semester of sophomore year in college. I don’t remember much from the class except for one thing the professor told us that I will paraphrase: “accounting is more of an art than a science.” I think the same thing can be said about the pricing of domain names on the aftermarket.
I don’t regularly see large companies looking to sell excellent one word .com domain names, so I thought I would share a sale listing I recently noticed. Swirl.com has gone up for sale via MarkMonitor and Sedo. The domain name currently hosts an inquiry form to get in touch with a broker from the brand protection service where the domain name is registered.
A little over a month ago, I reported that Namecheap acquired Cluster.com for $150,000 in a private transaction. The acquisition was made by the company “as a brand asset for a future product,” according to Namecheap CEO Richard Kirkendall. I recently learned that Namecheap has acquired two additional high value domain names: IZ.com and Poke.com.
When I am discussing the sale of a domain name with a prospective buyer, I let them know that the domain name is subject to repricing. This not only serves as a warning to a prospective buyer who might be surprised when they return to a domain name that has gone up in price, but it is also a tactic I employ to close a deal promptly. Prospective buyers don’t want to hem and haw over a domain name purchase for days or weeks and find out the price went up.
According to this tweet from SquadHelp, announcing “Automatic Price Increases” on a domain name landing page is a tactic the platform uses on some domain names in order to improve the sell through rate (STR):
Over the years, I’ve been asked by a number of people how to sell a domain name. Most of the people who have asked are friends or friends of friends, and they are not involved in the business of domain investing. I also saw a tweet from someone this past week asking the same type of question, and I thought I would expand on this.
If I was not a domain investor but owned a domain name that has value and wanted to sell it, here are the steps I would take:
This morning, Monte Cahn responded to a comment on my blog about the status of the Right of the Dot auction results. As far as I am aware, finalized results have not yet been reported by Right of the Dot founder Monte Cahn. Apparently, that is because he is continuing to work on closing additional deals.
In the comment Monte posted, he revealed that he “resold Tattoo.com for over $800,000,” and Names.com was sold for $300,000. From what I recall, Tattoo.com had been sold during the live auction for $750,000. I do not believe Names.com was sold during the live or silent auction, so this is an additional sale.
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