One of the most difficult aspects of domain name sales is that many people still have no idea how much a domain name is worth. It is always a bit humorous to receive a $100 offer shortly after receiving a 5 figure offer for the same domain name. Although it can be slightly frustrating to deal with uneducated offers, it comes with the territory. If there was a pricing model for domain names, it would be more difficult to get good deals, so I will take the uneducated “lowball” offers.
I thought I would share a typical response to lowball or uneducated offers for domain names. Most of the time, prospective buyers take this good-natured rebuke in a positive way, although there is always the potential for someone to get angry about it. After all, many prospective buyers will think I (or you) own a domain name they can use and I (or you) are not using the domain name in a productive way. This is obviously flawed thinking, but it is how many people think. I often wonder if they would think the same way about undeveloped property owned by a private investor, but that is a different story.
Here’s a response I give to people who make a lowball offer:
If you can go back in time to the 1990s, you might be able to get a one word domain name like [Redacted].com for $80 🙂
You should probably have a look at the DNJournal year to date sale chart with public domain name sales to help set your expectations: http://www.dnjournal.com/ytd-sales-charts.htm As you can see, meaningful one word .com domain names sell for tens of thousands of dollars to millions of dollars.
I think you would be hard pressed to buy any decent domain name – even in a non-.com extension – for $80 these days.
Good luck with your search.
This may have been adapted from seeing various other responses over the years, but it seems to be a friendly response to help set expectations since many people don’t have a clue about the value of domain names. This saves some time negotiating with someone who is clueless and it really helps to show what domain names are worth. I have probably closed a few decent deals that started at low 3 figure offers, but for the most part, my response is an attempt at being nice but telling the prospect that they have zero chance of acquiring a decent domain name for such a low budget.