When to Re-price a Domain Name

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For the time being, I no longer allow offers for my domain names listed for sale at Dan.com. This doesn’t always stop people from making offers to me since it’s easy to see that I am the registrant.

Yesterday afternoon, someone emailed me to make what I would deem a wholesale-level offer to buy one of my domain names. The offer was slightly less than half of the price listed on Dan.com. I passed and told the prospect that he can choose a payment plan if that helps with his budgetary needs.

When I was doing a bit of additional background research to ensure the price was still correctly set, I realized the domain name was priced at GoDaddy for more than 2x the price at Dan.com. I think the GoDaddy price is more in-line with its retail valuation, and I told the prospect the price will likely be adjusted in the near future.

I did not hear back from this prospective buyer, and I am debating when/whether to adjust the price on Dan.com. On the one hand, if I adjust the price right away, the prospect can still request to get the lower price if he replies to my email. On the other hand, the prospect may assume I am trying to gouge him by jacking up the price in the middle of the negotiation. That’s not what would be happening, but that might be how it appears to him.

While I can easily explain the rationale behind the higher price if asked, there is always the risk that the prospect will simply walk away. There is also a risk of getting a negative review somewhere, and that could be harmful in a future negotiation.

This domain name will almost certainly be re-price soon, and it’s just a matter of figuring out the right time to do it. When would you update the price?

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 sold seven figures worth of domain names in the last five years. 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 | Email

13 COMMENTS

  1. Thanks Elliot for sharing! Wrt your question, I would give 7 days before reviewing the price. In addition, I would inform the prospect of my plan and give a deadline for him to react or set a timeframe to conclude the negotiation.

  2. I would use the matter as a reason to touch bases with the prospect. Let the prospect know that you would honor the price they saw on Dan but that you would be *correcting* the price on Dan inline with what is on other marketplaces. You could even thank them for the matter alerting you to the *mistake*.

    • Pricing is arbitrary. While I think the current price at Dan is below market value, it would still be an exceptional ROI.

  3. It sounds like you’re fine with Dan’s price, why double the price then? Why do you have to go for “Exceptional roi” x2?

    • I’d rather sell it for the higher number, but I won’t lose any sleep if the prospect buys it for the lower number.

      • Based on what you’re saying, you feel the price is fair on the lower end and already provides a great ROI for you. If your buyer is reading this thread, how are they suppose to comprehend your price raise other than pressure tactics?

  4. Update it whenever you like, most buyers will think it is price gouging no matter when you do it or what you say. 90% of the time if the price goes up the buyer will walk.

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