Domain Name Appraisal

How much is your domain name worth? It’s a question asked by thousands of people daily. The answer is not as simple as you may think.

While there are many automated tools that provide “appraised values,” the most important factors for domain name valuation are usually not measurable by an algorithm.

Every domain name is unique and primary valuation factors are often intangible, tied to the unique needs of both a buyer and seller.

What are The Intangible Factors?

Everybody has heard a story of a domain name selling for tens (or hundreds) of thousands of dollars. Surely, yours (which is not as good) must be able to fetch a fraction of that, right?

Not Necessarily.

There are well over 150 million domain names registered, and the turnover in aftermarket sales is a fraction of one percent of the total domains registered. That is still a lot of data to help develop appraisal valuations; however, intangible factors play a huge role. Some of these factors include personal desires, the relative value of money, a seller’s need, a buyer’s budget and more.

Furthermore, many high-value domains are acquired from desire and not because of their value. We could name hundreds of privately acquired domains which have little standalone resale value (but have tremendous value to the one particular brand who purchased the domain name).

Domain names that do sell typically fall into one of three categories:

  • Investment Grade
  • Premium Short Domains
  • Specific Needs

Valuating a domain name is part science and part art. The X factor to form a reasonable foundation of value is experience, and we have over 20 years and $50 million of it.

Domain Name Value Opinions – a NameCorp® Service

When we provide a value opinion, we break down the value of the domain name into several different categories, including:

  • Wholesale Value
  • End User Value
  • Brand Value

We also look at time frames including the time we believe it would take to turn the asset into cash, and at which price points. We evaluate a number of other metrics, including:

  • Trademark overview
  • Current use of other extensions
  • Size of potential buyers
  • Profile of potential buyers
  • And more

Wholesale Value

The value of a domain name to domain name investors.

End User Value

The value of a domain name to developers or small businesses that have a use for the domain.

Brand Value

The value of a domain name to a brand.

Why Should You Get a Professional Opinion?

Brands need a professional domain name opinion for many different reasons. We help by providing a comprehensive report detailing market prices, market data, value ranges and more. Our valuation opinion reports provide not just an opinion of value, but also enough data for a domain name owner to understand the broader complexities of selling a domain. You get the guidance needed to analyze which avenue may best fit your goals.