If a domain could bring you 30 new customers a week, how much would you pay for it?

[16k_zx81]

A question for those of you who are established, cashed-up, and ready to grow your business:

Lets say a domain was available to you that was getting 500 hits per week specifically from the highest-traffic keywords for computer repair.

The conversion rate potential of the domain is good with the right advertising copy, and, conservatively speaking, there's minimum 30 contacts per week coming through.

To take ownership, all that is required is a transfer to your name, and some minor copy changes to incorporate your logo and business contact details.

What would you pay to buy this domain, and be up and running within a week, with 30 contacts from new business each week?

Your assistance with valuation would be greatly appreciated

 

[cmonova]

Hmmm...Very interesting question. Being someone that has bought domains in the past I think it really really depends on the site and "exactly" how established it is. Now if it was 30 "continual" then that is rather big...

So just a generic question or do you have something?

 

[Jory]

It's really about the quality of the contacts, and the length of time this magical website has been sustaining that volume. If a high percentage is converting into sales, and has been generating that many hits for a year or two then I'd be willing to pay quite a bit.

If you run ad's through google you could always figure out what you're averaging in cost per actual sale, and then use a conservative guesstimate as to what percentage of those contacts would result in sales. Then multiply the numbers together and you have a baseline to work with.

 

[16k_zx81]

It's really about the quality of the contacts, and the length of time this magical website has been sustaining that volume. If a high percentage is converting into sales, and has been generating that many hits for a year or two then I'd be willing to pay quite a bit.

If you run ad's through google you could always figure out what you're averaging in cost per actual sale, and then use a conservative guesstimate as to what percentage of those contacts would result in sales. Then multiply the numbers together and you have a baseline to work with.

Nothing magical about it. The measurements are easily established. Just need some assistance to figure out the market value.

So whats your estimate of its worth? (Im not asking to sell it to you, just for a valuation in your opinion).

 

[16k_zx81]

So just a generic question or do you have something?

Well its both What would you place the value at?

 

[Paul Rodgers]

Well its both What would you place the value at?

I would have to see what domains with similar qualities have sold for.

 

[Corbin]

Well If you get 30 continuous clients every week, and you make on average lets say $80 a client. That is $2400 a week on just 30 clients with 52 weeks a year that is $124,800 a year, subtract over head and tax. So what would you value it at?

But it all depends on the name and how I can market it to increase that number of clients.

 

[BryanVest]

YOu would probably be looking close to $3000 if it brings in continuously that amount however if it is it brings me to ask why would they sell if it is targetted traffic.

 

[cmonova]

Ok i'll pay $2,000 and that is based on a "hypothetical" with no known url or proof of stats

 

[JosephLeo]

Keyword: contacts

A contact is useless without some sort of business. I can pay an advertising company $500 for a list of 50,000 contacts (In fact, I have done this before for my fathers business- legal since it was B2B, don't worry)

Now, if I'm getting a steady hit count of 500 uniques per day with a 6% VISITOR-TO-CONTACT rate (6% of 500 = 30) and a 6% conversion rate of CONTACT-TO-CLIENT (6% of 30 = 1.8) then I would be willing to pay what I can make for 1.8 customers per day in 6 months.

Let's say I make around (being conservative here) $50 per customer. I'm getting 1.8 customers per day * 182 days (6 months) * $50 = $16,380.

If this was guaranteed income, I would be nuts not to pay the $16,000.
A domain can be registered for a maximum of 10 years at a time for around a hundred bucks. I can also re-register the domain name as much as I want. I'll be making my money back in a mere 6 months, and double it in 1 year- again in another, and yet again in 2 years.

In 5 years a domain I payed $16,000 for would have make me $163,800 that I wouldn't have had if I didn't have the domain. Of course- who's to say I wouldn't barter a little bit. $16,000 isn't exactly chump change and $15,000 sounds nicer, $10,000 sounds even better.

Again though, this is only if GUARANTEED or if there is some sort of proof.

 

[BostonGeek1]

There isn't that much traffic in any local geographic area in United States even if you have #1 ranking for a lot of keywords with a built out places listing. You might get that in New York City or Los Angeles, but all the good exact match domains for those cities are bought out (good luck without that), and all the other cities get very low traffic. To do that in New York or Los Angeles, you'd have to rank for all the suburbs as well, and for all the major keywords; probably 15-20k in SEO costs AT LEAST, WITH a monthly upkeep.....you can bet in the major cities other people are doing seo work.

use majesticseo.com to see if your competitors are building backlinks.

 

[vdub12]

A question for those of you who are established, cashed-up, and ready to grow your business:

Lets say a domain was available to you that was getting 500 hits per week specifically from the highest-traffic keywords for computer repair.

The conversion rate potential of the domain is good with the right advertising copy, and, conservatively speaking, there's minimum 30 contacts per week coming through.

To take ownership, all that is required is a transfer to your name, and some minor copy changes to incorporate your logo and business contact details.

What would you pay to buy this domain, and be up and running within a week, with 30 contacts from new business each week?

Your assistance with valuation would be greatly appreciated

Personally with my demographic I could not get 30 new customers a week if someone was holding a gun to there head. I service 2 counties and I am lucky to get 2 to 4 new customers a week. That's with #1 on Google places for computer repair. I don't see how I could do any better then that with the population the way it is. The two counties I service are rural and there are not enough people to bring in that much bang.

 

[jdpetrov]

A question for those of you who are established, cashed-up, and ready to grow your business:

Lets say a domain was available to you that was getting 500 hits per week specifically from the highest-traffic keywords for computer repair.

The conversion rate potential of the domain is good with the right advertising copy, and, conservatively speaking, there's minimum 30 contacts per week coming through.

To take ownership, all that is required is a transfer to your name, and some minor copy changes to incorporate your logo and business contact details.

What would you pay to buy this domain, and be up and running within a week, with 30 contacts from new business each week?

Your assistance with valuation would be greatly appreciated

For me, a guaranteed 30 customers per week would be crazy. 30 per week with an average $90 repair bill is $2,700 PER WEEK! If business was THAT guaranteed I'd easily pay $10,000 to $25,000 for the domain name. Assuming 50% net profit on the $2,700 I could recoup costs in 7.5 to 19 weeks. Of course the real problem is coming up with the cash outlay to buy the thing in the first place. I would think that with the right circumstances you could work out a monthly payment agreement with the owner that in the long run gives the domain owner more money, allowing you to start using the name right away.