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Domain Appraisal


Understanding Domain Appraisal: How much is your domain worth?


Understanding domain appraisal is important because domain names are a crucial aspect of almost any type of endeavor. A domain name can help define a business; it can be synonym for people looking for a particular niche. Using the right word or phrase to describe a venture is, in many ways, an art form in itself. It requires in-depth knowledge and vision of what it is you’re trying to achieve with it. For this reason, certain domain names can become very valuable.


Domain appraisal basically refers to how much a domain is worth. The value of a domain will ultimately be determined by how much others are willing to pay for it. However, there are a number of traits that will usually help determine if a domain name is valuable. These include its length (shorter names are usually preferred), language, extension (.com tend to be the most sought after), and other factors. 


If you own a domain that you think may be valuable to others, it can be challenging determining its retail price. Certain companies will pay up to six-figure amounts to acquire a domain name that suits their business profile, so how can we determine the appropriate value of a domain?


A common way to do this is through domain appraisal services; a popular site is Domainindex.com. The site allows users to submit domain names, providing an estimate of how much the domain may be worth. Domainindex.com is a free of charge service that uses algorithms to determine a domain’s Alexa rank, keywords, number of searches, and various other characteristics that help evaluate the domain’s financial worth. The site also includes numerous tools for domainers and webmasters, as well as information on the domain market.  Domainindex.com also allows users to search for mass appraisals of domains with over 100 TLDs. 


As mentioned earlier, the .com extensions are often preferred and tend to be the most valuable domains. Regional TLDs such as .uk or .ca may also become sought after, but nevertheless the number of potential buyers will be significantly limited.  Short domains are also considered valuable. Usually, the shorter the domain name, the most valuable it will be. Effective and to-the-point keywords can also be a strong factor in determining the value of a domain name. A domain titled “organicfoods.com” would likely be preferred over “organicproduceandmeats.com”.


Ultimately, you need to understand how your potential buyers think in order to understand your domain’s value. You need to understand their field, their market, their potential buyers and audiences. Finally, knowing how much related domains are priced at will help you determine your domain appraisal value.

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