I was looking at NamePros this morning when I saw a thread started by Raymond Hackney that discussed changing GoDaddy Appraisals. You should have a look at Raymond’s article and the entire NamePros thread to get some background. Personally, I think automated appraisals should regularly change as comparable sales are indexed. Domain name values are dynamic in nature.
Shortly after launching its GoValue Appraisal tool, GoDaddy added an Estimated Value figure on each auction it runs. NameJet does the same thing, although it shows the Estibot value, which is operated by a third party automated appraisal tool. Observationally, adding this estimated value figure has increased the number of auctions that receive bids, and I believe auctions have also been achieving higher results.
I can’t say that the addition of the Estimated Value has been the reason for increased sale prices, but I believe it does influence the bidding. In fact, I use the Estimated Value as a filter when I search for auctions myself.
NamePros member Silentptnr published a post on NamePros about a specific domain name in auction today at GoDaddy. According to him (and double checked by me), DamIt.com is in auction at GoDaddy Auctions today and is listed with an “Estimated Value” of $11,188. If you look at the GoDaddy Appraisal tool, the GoValue appraisal is $7,887.
I wanted to dig in a bit further, and I compared the Estimated Value shown on auctions with the GoValue Appraisal for the top 10 names on my primary search filter at GoDaddy Auctions:
- DamIt.com – Estimated Value: $11,188 GoValue Appraisal: $7,887
- BlockchainBroker.com – Estimated Value: $8,791 GoValue Appraisal: $7,241
- ZBAY.com – Estimated Value: $8,162 GoValue Appraisal: $7,702
- Alcore.com – Estimated Value: $5,964 GoValue Appraisal: $5,493
- BlockchainCommunity.com – Estimated Value: $5,882 GoValue Appraisal: $3,907
- BlockchainProject.com – Estimated Value: $5,606 GoValue Appraisal: $3,061
- CoinSurge.com – Estimated Value: $5,198 GoValue Appraisal: $4,679
- CapitalP.com – Estimated Value: $5,182 GoValue Appraisal: $5,546
- YAlert.com – Estimated Value: $4,999 GoValue Appraisal: $2,411
- Turel.com – Estimated Value: $4,938 GoValue Appraisal: $4,111
With the exception of CapitalP.com, the other 9 domain names have a higher Estimated Value than the value shown on the GoDaddy GoValue Appraisal page. A couple are substantially higher. I trust that GoDaddy is not “juicing” the Estimated Value on the auction pages, but it’s peculiar that the Estimated Value differs from the GoValue figure on nearly all.
I believe this is an issue of timing, and I believe the Estimated Value is from when the auction starts and the GoValue is more real time. To confirm this, I looked up 5 domain names from the Most Active list with 9+ days remaining in the auction to see if the Estimated Value aligns with the GoValue figure. Here’s what I found:
- 59990.com – Estimated Value: $3,880 GoValue Appraisal: $3,880
- 13391.com – Estimated Value: $2,730 GoValue Appraisal: $2,730
- 19128.com – Estimated Value: $5,782 GoValue Appraisal: $5,782
- CouponDepot.com – Estimated Value: $5,286 GoValue Appraisal: $5,286
- GLX.net – Estimated Value: $5,814 GoValue Appraisal: $3,513
It looks like 4 of the 5 domain names had the same Estimated Value and GoValue figures. The exception was GLX.net, which had a pretty big gap between the two.
If people use the Estimated Value as a measurement against what they might expect to achieve from a subsequent sale, they may be in for a surprise if the value has changed. This is amplified if the GoValue figure went down by a considerable amount. As you may know, the GoValue value is shown when GoDaddy customers search for domain names to register.
In my opinion, assuming it is an issue of timing, GoDaddy needs to do a better job of ensuring these two numbers align throughout the auction process.
I reached out to a GoDaddy representative to ask for a comment about this issue, and I will share an update if/when I receive a comment.