This is a guest post from Jason Miner, who oversees Afternic’s Sales, Business Development & Customer Service departments while also guiding the Product and Development teams. With over 6 years at Afternic and more than 15 years of senior management experience, Jason brings adept leadership skills to the helm of Afternic.
Online Pricing Models: Auction/Un-priced vs. Buy it Now
For over a decade, online companies including eBay and Amazon have experimented with “buy it now” (BIN) pricing vs. auction/un-priced listings. The auction/un-priced model may be falling by the wayside though, as online shoppers have come to expect that websites will offer the ability to make online purchases instantly. This only makes sense since the majority of ecommerce sites are set up like this.
One major indicator that online shoppers prefer “buy it now” (BIN) pricing is that eBay – the world’s most famous online auction platform – dedicated a large portion of its marketing budget in 2011 toward a “Buy it new. Buy it now.” marketing campaign; and, in 2011, 62% of eBay listings were BIN prices vs. 43% in 2008!
Why Choose Fixed Prices for Domains?
Web design best practices include limiting the number of actions a visitor must take to accomplish a purchase. Requiring a potential buyer to bid or request a price before they can make a purchase just adds an extra step to the purchase process – one that some customers may not be willing to take.
This is one of the main reasons why priced domains sell faster and for higher average sales prices. Pricing your domains up front makes transactions faster and easier for both parties because priced domains meet domain buyers’ expectations for a smooth, fast purchase process.
Fixed Prices Mean Higher Sales Prices
Buyers are always looking for a deal. If there is no price, you are likely to get an offer far below the figure or threshold you have in mind. This is why setting price expectations by setting a fixed price usually eliminates the need to entertain lowball offers.
When the price is set by the seller, the buyer understands the expectations and will usually make a more reasonable offer, resulting in better negotiations and eventually a higher sales price.
Fixed Prices Give You a Larger Audience
Afternic’s Domain Listing Service (DLS) offers domain sellers the largest audience for their names. Only priced domains are eligible to participate in Afternic’s Premium Promotion program, however. Premium Promotion puts your names in front of over 35 Million potential buyers per month across a network of partner sites.
This unmatched exposure to buyers who are actively seeking for domain names, greatly improves the chances that your domain will sell faster.
Send an email to Afternic to learn more about how to price your domains.