There are many times when the valuation of a domain name my company owns is far greater than what a prospective buyer thinks it is worth. Usually these people simply disappear when they realize the price is beyond what they are willing or able to spend. Sometimes, these people are persistent and won’t give up. These prospects may feel the need to argue with my valuation or try to convince me I am wrong.
When someone disagrees with the valuation of one of my higher value domain names, I will sometimes recommend that they connect with an unaffiliated domain broker to get some additional insight from someone who is unaffiliated with the domain name. A broker, working on commission, will let that person know their opinion on the valuation of the domain name and may even educate the buyer about why the domain name is valuable.
In essence, I am pawning off the prospective buyer onto someone else, but I think it is a good way for a buyer to understand their budget is insufficient from the perspective of a third party. This allows me to disengage with the prospective buyer. If the broker can successfully educate the buyer – and that buyer has the funds to pursue an acquisition, we can have a future discussion.
I am unable to say if this tactic has ever helped me close a deal. My inclination is to say it has not helped since I don’t recall closing a deal with a previously spurned buyer who then acquired the domain name via broker. I do think it can help validate the pricing and valuation of valuable domain names and drop an uneducated prospect without the need to escalate the discussion.
Agreed.
In rare cases referring a buyer prospect to a buyer-broker is a good tactic to educate the prospect.
Unfortunately, some end users still fight the educative process and lose out.
I can unequivocally say from experience that in some (but not all) cases this strategy will get a deal across the finish line. But it won’t be successful if the buyer is stubborn or doesn’t listen to good advice or has a chip on their shoulder about those ‘damn domain hoarders’. *sigh* As a domain buyer broker, I am used to educating and qualifying potential buyer clients on what is — and is not — a viable acquisition budget for their target domain. Some people respond positively to that education, and some people don’t. I preface a lot of my messages with “don’t shoot the messenger”… LOL.
I will also note here that most buyers have no idea of the concept of payment plan deals for domain names, and therefore offering a payment plan deal to a potential buyer can be ‘the thing’ that gets a deal closed, assuming seller is OK with payment plan, of course.
I received an offer of 1 K this week for a domain that is listed at over 80K and it has received over 100 offers in the last 2 years
I countered with the BIN price
He responded angrily, and called me “greedy”
I replied by sending him the same exact one word in .io that was sale at 12 K
and .co that was listed at 8 K and the .ai that was listed at 24 K
i should have never even replied or countered — if they’re not even in the ballpark, I’ll go back to my old, just don’t even reply