I receive many inquiries from people who specify that they want to buy a domain name for personal usage. I am not sure why they feel the need to tell me this, but I assume they think they might get a better price if they are using it in a non-commercial manner rather than if they are going to use it for commercial purposes. Suffice to say, it doesn’t matter how the buyer is going to use the domain name, the price will not change.
A couple of weeks ago, I had a prospective buyer offer $500 for one of my valuable domain names. He told me he was going to use my domain name for a non-profit idea he had, and he couldn’t pay the asking price range. Perhaps this is true, but I felt the need to explain to him why it doesn’t matter how he planned to use the domain name.
I’ve probably shared this example before, but it seems to be effective so I will share it again. I told him to imagine he was trying to buy a piece of real estate in New York City. I told him the owner of the land is not going to give him a special deal because he wants to build a small business on it. The price will be expensive because it is the perfect location for a skyscraper or even a parking garage.
People tend to get it when I explain the situation in that manner. I suppose it was helpful that this person was an executive at a real estate firm in his area before leaving his job, and it was also helpful that this was a one word .com domain name rather than something more obscure.
My example varies based on the buyer and their location. I’ve talked about oceanfront real estate or property in Monaco, depending on the audience. I feel like if I can make the parallel between domain names and something the prospective buyer would surely understand, it might make more sense to that person.
Sometimes I feel the need to educate someone using a non-domain name example because people tend to understand those more. I can’t recall it ever leading to a deal, but at least they are a bit more educated than they were before inquiring.