Domain Valuation based on the weight of keywords, and then a reported sale

Over the past year, thousands of elite domain names have changed ownership. Domain valuation tools such as Estibot keep track of the reported sales. Most of the time you can find a reported sale displayed below the extension list. The .co and .me domain names haven’t caught up in value unless there was a reported sale.

For example, a —-.co name is only worth $15. After selling in an auction, the domain is now worth the amount of the reported sale. This valuation strategy is attributed to the market. PRresumes.com appraises for $750, but PhotographerResume.com only produces a $450 appraisal. I favor PhotographerResume.com more because the keywords are searched more than 1,000+ times a month. Both domains can produce a sale.

I own SuisunCityHotels.com, which appraises for $1600. The keywords are searched over 1,000 times a month. In addition, I also own SuisunHotels.com. The domain barely generates an keyword stats, pulling in at a $5 appraisal. SuisunHotels.com receives more ad clicks and traffic, as opposed to SuisunCityHotels.com, the valuable domain. If I sell SuisunHotel.com for $1000, and the sale is reported, the domain will then appraise for $1,000.

The market valuation is a good tool, even though a random domain with no value can be appraised at $2,000. Suisun City only has one hotel, but many people search for hotels because they plan to visit relatives or friends. The surrounding cities, Fairfield and Vacaville, have a combined 210,000 people. When a person looking for a hotel in Suisun City types in the keywords in the search engine, a list of surrounding hotel will appear. There is value in owning both SuisunCityHotels.com and SuisunHotels.com. In my opinion, SuisunHotels.com is a good type-in domains to target hotels in the Solano County area. Hotels that operate in the area will benefit from owning such a domain.

The weight of the keywords, average keyword results, popular searches, Google Page Rank, Alexa, overture, CPC competition and amount, and the type of keywords targeting a niche are important factors in assessing a domain. Most elite domainers own so many domains, there is no possible way they can develop them all. Over time, many generic domains are assigned a Google Page Rank and an Alexa rank. They also generate unique traffic, as well.

A reported sale is an easy approach to increase the value of a domain name. Whereas, taking into account all the performance and keyword factors is better option to determine a domain’s worth. You can sell a $5 domain today for $1,000 at Sedo. That domain will be reported as a sale, which it will then be worth $1,000. Would I consider that an accurate valuation? In my opinion, a reported sale is an inaccurate way to assess the value of a domain name.

There is no accurate way to assign a value to a domain value. That is the reason reported sales are considered an obvious form of value. A home that sales in a particular neighborhood will set the tone for other homes also selling there. An owner selling a home for $500,000 will not attract value if other owners are selling their home in the same area for $200,000. Even such homes may have more than what the more pricier home is offering.

Domain names follow the same pricing method. It will take time for .co and .me domains to be assigned an accurate value. Many domain owners are turning down high offers on domains that be only worth $500 in the domain valuation. They’re experienced enough to know better to let these domains go for little money.

In assessing the .me market, the Sedo auction, private and public sales are helping .me to increase in value. That’s good news for my only .me domain – Spirituality.me. The Sedo .co auction a week after the Superbowl will likely further increase the value of the .co. Whereas, the .co land rush auctions already established a value on many generic .co domains. Mesothelioma.co captured a nice sale at $70,000. The one character .co names are more so for domain investors and companies that pre-qualify to meet auction standards.

The only .co domains I own are ResumeServices.co, Aesthetician.co, QRT.co, Suisun.co, BryantPark.co, and Pier39.co. I favor Aesthetician.co, and then ResumeServices.co. You have to be the judge of the assessing the market to determine an appraisal value. Even a paid appraisal is not always going to be accurate. Every company bases the valuation on different standards.

Go Daddy provided me with 5 free domain appraisal ($15 version). The reported generated a $50,000 value on MobileMovies.info and a $40,000 value on Suisun.org. I would like to believe that, but I know better. MobileMovies.info does generate consistent traffic. I may look to test the market on the domain. I think a good price, what Sedo recommends, is $1500. Mobile movies has high popular monthly search, both locally and globally.

Suisun.org will be worth a god amount to the community organization in Suisun City. The domain appraises on Valuate and Estibot for $1300. I think a fair price for the domain is $1600. I will probably never sell the domain for that amount because Suisun City only has a population of 30,000. As their market grows, so will my GEO domain name such as SuisunCityHotels.com, SuisunCityApartments.com, SuisunCityRentals.com, SuisunCityRestaurants.com, Suisun.biz, SuisunHotels.com, Suisun.org, SuisunJobs.com, and CityofSuisun.com.

In the meantime, every Suisun City domains already scored ad clicks and traffic. All the domain names are brandable to capture traffic in the surrounding Solano County cities (total population 450,000). I also own AmericanCanyon.info, AmericanCanyonJobs.com, FairfieldCaJobs.com, VacavilleJobs.net, SFJobs.info, and VacavilleCAHotels.com. I’m confident ValenciaJobs.org can make some revenue, as well as SantaBarbaraCaJobs.com. GEO hotel domains that have over 1,000 popular searches can capture traffic. Such hotel names like SantaMargaritaHotels.com, NewhallHotels.com, StevenRanchHotels.com, CanyonCountryHotels.com, QueensHotels.net, and GilroyHotels.net have a chance to produce a sale. All it takes is for me to convince a hotel property that acquiring the hotel domains will reduce advertising costs, and lead sales agreement established with other companies.

Know that a domain’s true valuation is what a buyer is willing to pay for the domain. Valuation tools help to assign a value on the domain, which then a buyer and seller can negotiate to find a median price. For the most part, reported sales are treated as value. Many generic domains have value because they are generic, cover a large market spectrum, are brandable, have many average keyword results and popular searches, have a GPR, Alexa traffic rank and unique traffic. Some may not have any backlinks, or performance stats, but another company has a plan to develop the domain into a popular product or service website. In the end, you will determine the value of your domains. Valuation tools will be there to help you to make a buying and selling decision.

Good luck.

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