Yesterday morning, I wrote an article discussing that an updated valuation tool was being released by GoDaddy in conjunction with expiring domain name inventory coming up for auction at GoDaddy Auctions. The refined domain appraisal tool takes the Afternic sales database into account and predicts the retail value based on its proprietary algorithm.
I think it will be helpful for domain owners to find “hidden” inventory by performing searches based on valuation, and I also believe this will become a revenue driver for GoDaddy.
One thing you will notice is that when you hover over a valuation, GoDaddy displays the following disclaimer to ensure that people understand what the valuation is and what its limitations are:
“These valuations are based on an algorithm that utilizes data GoDaddy has available to it to help identify predicted sale prices of domains. We make no guarantee or promise as to any results that may result from your purchase or sale of any domain. You are responsible to independently assess and determine the value of any domain you purchase or sell and we will not be liable for any losses you or anyone else suffers as a result of your reliance on these valuations”
Obviously it is a bad idea to bid on an auction solely because of the (automated) valuation listed by the auction house. GoDaddy isn’t the only domain auction house to share an appraisal within the auction page. NameJet added Estibot appraisals to its auction pages in October of 2015.
With the appraisal / valuation tool now rolled out to GoDaddy Auctions visitors (from what I can see), I am curious what you think about the valuations. I haven’t really had a chance to look closely yet, but I am curious what you think so far.