One of the best things about having my blog is that I can interact with other domain investors. This business can be a bit isolating since there aren’t many people who do it, and it’s always good to speak with likeminded people who invest in domain names for a living.
By the same token, one of the worst things about having a domain blog is that many people email me and expect that I will spend my time giving them advice, especially as it relates to the value of their domain names. I don’t have any interest in becoming a domain consultant (paid or unpaid).
In the past, I would often reply to people and give a quick answer, but lately, I’ve stopped replying to questions about valuation unless they are looking to sell a domain name that I am interested in buying.
There are many factors that contribute to the domain name’s selling price. Cost basis, need for liquidity, buyer’s interest, buyer’s funding, market conditions, keyword searches, and cost per click are just a few things that go into determining the value of a domain name. As you can see, the majority of those factors would be unknown to me, and it would be silly to think I can give a fair valuation, especially if that is being used to come up with an asking price. I am also not going to spend time doing research for someone else, when I have plenty of other things to do.
To take this a step further, a few times in the past and recently, people who have asked me haven’t been happy with the answer I gave. They send what they believe are comparables and other information to me to try and sway my opinion, as if my opinion would contribute to increasing the value of their domain name. Some people get defensive, and by getting defensive, some people become offensive. Why would I want to become entangled in a long, fruitless discussion with absolutely nothing to gain? I don’t.
When it comes to valuing domain names, I think appraisals are worthless, and I am no longer going to give my opinion on what your domain name is worth.