Pricing a domain name

Are you curious about the value of your domain name? There are formulas listed on the Internet that are incorrect or questionable. There are some important factors when it comes to the value of a domain name that these formulas do not meet. So your domain name may be worth more or less than you are told. We list some of the factors to consider if you want to buy or sell a domain name.

Personal value

First, a domain name is something personal. The owner values the name. So it will vary from person to person how someone views that. Person A can charge more for the domain name than that person B.

Potential vs. current value

Certain domain names can make a lot of money. This is because the name is short and easy to remember or a family name, for example. If there is good money to be made from the domain name, more will automatically be asked for it.
If the domain name currently already attracts many visitors due to a good reputation because, for example, there has been a lot of marketing activity around the brand name/domain name, then it is worth more.

Place of sale

Where you buy or sell your domain name matters a lot for the price. A dealer will charge less for the name than an individual.

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The trader places less value on the name if he only owns it for a short time and wants to get rid of it quickly. The merchant can charge more, however, if he has built a brand around the domain name. A private individual may place more value on the name and thus will be able to charge more for it.

Seller and buyer

If you sell your domain name, you need to know who is trying to buy the name from you. If a multinational company with a large marketing department wants to buy your domain name, it is obviously useful to know if you can bet higher. The company has a higher budget and may be willing to spend it faster than someone with a lower budget. Also note the above if you want to buy a domain name yourself. Don’t let on that you might pay much more than is asked, for example.
Let’s take as an example that a reputable brand wants to expand and purchase your domain name. Then it is a smart move to ask for more money for the name because there is a greater chance that you will get that amount.

Value varies by TLD

Each TLD has a different value. For example, a .com is worth more than a .frl. This is because .com has fewer names available than .frl. The .com TLD is more internationally known and this also makes this TLD more valuable.

Hopefully we have given you enough information about buying and selling a domain name. Please feel free to contact us if you have any further questions.

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