Raising the Price After Passing on an Offer

Earlier this week, I received an offer for one of my domain names via broker. The domain name was listed for sale with a BIN price, and the offer came in at a little more than 50% of the BIN price. Not only did I pass on the offer, but I opted to raise the BIN price.

When I buy an inventory-quality domain name and decide to list it for sale, I generally set a BIN price based on how I feel at that time. I don’t spend as much time as I should repricing this inventory. Once in a while, I may see a name or two and opt to reprice them, but in general, my pricing stays pretty consistent.

When I receive an offer for a domain name, it is then that I pay more attention to it. At that point, I may come to the realization that the price is too low and raise it. The price increase is typically modest, but I want to ensure the price is in line with my own valuation at that particular time.

It is wise for domain brokers to warn their clients that an offer below the BIN price may cause the domain name seller to increase the price. This is not always the case, but when I think a domain name is underpriced or I am not in a selling mood, I will definitely consider raising the price in the middle of a negotiation.

That being said, if the broker comes back with an offer that is equal to the previous BIN price, I would certainly give strong consideration to accepting it. I think the perception can be that it’s an asshole move to raise a price like this, so if the broker is able to convince the buyer to pay the previous asking price (within a reasonable amount of time), I would probably accept it. That is how I would want to be treated if I was on the other side of the table.

Elliot Silver
Elliot Silver
About The Author: Elliot Silver is an Internet entrepreneur and publisher of DomainInvesting.com. Elliot is also the founder and President of Top Notch Domains, LLC, a company that has closed eight figures in deals. Please read the DomainInvesting.com Terms of Use page for additional information about the publisher, website comment policy, disclosures, and conflicts of interest. Reach out to Elliot: Twitter | Facebook | LinkedIn

1 COMMENT

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Recent Posts

Negotiating Too Hard on a Domain Name Sale

1
We've all been there before. Your asking price out of the gate is much higher than a buyer is willing to spend. Maybe you're...

Bid to Be Lead Sponsor of our PMC Jersey

0
John Berryhill and I are riding in this year's Pan-Mass Challenge to raise funds and awareness for Dana-Farber Cancer Institute. Each year we ride,...

Domain Finance Calculator Offered by Catchy.com

0
Francois Carrillo is best known for his Domaining.com industry news aggregator. He also owns Catchy.com, a platform for selling domain names. Francois emailed me to...

GoDaddy Verification an Unnecessary Speed Bump

1
I won a domain name at GoDaddy Auctions on April 18, and it was delivered to my GoDaddy account this morning at around 4am....

Ask Platforms to Reconnect on Failed Deals

1
I've had many agreed upon deals die at the finish line. The buyer agreed to purchase a domain name - sometimes after a lengthy...