Evaluation of a Domain Name

Valuation of a Domain

In order to determine the value of a domain, we must first understand what a domain is and why it is so important for a business.

What is a domain? What is a web domain?

Every Internet server has a unique numeric code called the IP address. The IP address allows certain browsers, with which we browse to target specific hosts (addresses) and make their web page content accessible. Since IP addresses are very long and not easy to remember (, they are not used in practice. Instead, an alphabetical address is used to point to such an IP address, the domain.

Can I sell a domain?

Domains are limited like gold, bitcoin or real estate, i.e. the demand is always greater than the supply. As soon as a company wants to operate internationally, it needs the .COM domain. And why? At the Superbowl, the most expensive advertising spaces are due. The biggest crowd in the world notices your offer at that moment in the scarce attention economy and should remember it. There is the example where a company advertised with a .cc domain. The company lost 32% of traffic because users switched to a .com domain. The fact is that from 2021 to 2026, the number of companies will increase fivefold. And the shift from offline to online will continue to grow as the number of quick-to-implement store solutions like Shopivy increases exponentially, and the number of people with Internet access will also increase six-fold by 2030. Demand for .com domains in particular will increase sharply.

How much is a domain worth? How much are domains worth? What is a domain worth?

Two-character .COM domains are always worth over $5 million, three-character .COM domains between $150,000 and $1 million, depending on whether they correspond to an abbreviation (e.g. for a company) or represent a short word (Bet.com).COM domains with up to five characters are the most valuable. The following applies: the shorter the domain, the more valuable it is; it must be easy to remember, it must be pronounceable by a child, it must have funk potential (Hair, Her, Here), it must not contain umlauts, no hyphens, no special characters, should correspond to one or two short words that make the content of the domain directly clear. By the way, be careful with domains that companies have registered as trademarks, here it often happens that the companies sue. This is then decided in the UDRP procedure at the CAC. When determining the domain value, it is often estimated incorrectly, so you should have the domain value determined. For this purpose there are services on the Internet, which check your determined domain value or our service, which determines the domain value.

Indicators for calculating a domain value:

- Length of domain (Finance is shorter than Fin but not valuable)

- Number of words and Variations (Shop, Shopping, Shopper)

- Number of syllables

- Hyphens included

- Umlauts included

- Easy to remember

- Do you understand the content? Bitcoin.com

- Can you mishear: Here, Hair, Her

- What domain extension is present (.com | .net and .org about 5 - 10 % of the .com Price | Best: com, net, org, io, co, ai, xyz, vc, cc

- Brand domain? Geographic domain?

- Category killer? Finance.com

- Numbers included?

- The number of TLDs in which the domain name is registrated is important. The best is more than 50. 

- Good Hype Words (singular, plural): Car, job, Domain, Media, Group, Law, Travel, Home, Care, Online, Digital, Meta, Art,Dao, Defi, Haptic, Smart, XR,Vr, AI, Insurance, Poker, Casino, Health, Visit, All Towns, Pharm, Money, Payment, Buy, Pay, Card, Broker, Bank, , Shop,Tele, Virtual, Nft, Rental, Vacation, Electric, Auto, Automated, Voice, Sex, Porn, Hotel, Coin, Crypto, Rate, Asset, Loan, Token, Decentralized, Food, Local, Law, Lawyer, Finance, Cloud, Comput, Deep, Work, Wallet, Game, Resort, Report, Property and so on... 

- Free Domain Extentions: If you want Visiter.net, the domain is more valuable if the .com and .org is off the market and there is a business. If the domains free too and the price is lower than yours, your sale must be waiting

- Singular is more valuable than Plural, but not always!

- Person Names: Short Names are very good like my Name: Tom.com sold for millions, but tom.xyz is valuable too 

- Acronyms: Hard to sell, but if you sell, its  a good deal. Like NFT, DeFi oder DAO

- Number of extensions

 - Niche Mismatch: The extension .io and .ai will be use for Technology and Crypto Startups. Tshirt.io is not valuable. UX.io is. 

- Certain countries: German Conpanies only uses .de Domains and not .com Domains. So the .de Domain could be more valuable as the .com Domain. 

- Amount of CPC, CTR and direct traffic

- Previous offers and sales

- How are similar domains currently traded

- Backlinks

- Age of domain | age of use

- Does the domain appear on spam lists

- GeoDomains: Could be valuable. DogGroomerLosAngels.com is not, but LALawyer.com is

- Prominent keywords?

- Super Hype Names: Like Crypto and Metaverse. Check here the Glossary like the founder Satoshi.com was sold for 25 Million, Genesis.com, SnowCrash.com...

- Adult Names: I know, many Domain Investors dont like that, but i think, that they are most valuable, because it is the biggest Internet Industry and they are the first in trends like 2000 Geo-Targeting "Katja from XY likes you". Two of the top 10 Sales in History are Adult Names and VirtualSex.com is still a seven figure name...

- Hype topic?

- Avoiding negative Words like bad, jung and so on. The Word "No" could be good like NoSugar or NoCo2

- Avoiding Numbers like SEO360, SEO247, SEO123

- 2 Word Order: Better SEOWorld.com as WorldSEO oder WorldofSEO

- Brand words: My, Your, Guru, Country, X

and much more...

Is it possible to calculate the domain value?

Experts calculate it by a formula, which consists of single
variables. Our algorithm does the same. Here, a potential CPC (Cost per Click) is attested as a thesis, the Direct Tipper is taken into account, the value of an inquiry for the customer, and so on. However, for domain valuation we would always recommend our service or that of another expert. As described above, the value of a domain also depends on other factors, the last one being supply and demand. If you are more interested in this: Horatius Formula.

Is it possible to estimate the domain value? What is a good domain worth?

There are free tools like "Estibot" and "GoDaddy" (Google for domain value GoDaddy), so called domain value checkers. These are simple tools,
i.e. domain value calculators, which fall back on historical data and evaluate the length domain as well as the extension, causally determine the domain value online. One sees however always with the historical sales a large
delta between the actual sales value and the domain value estimate. Therefore, the real value is usually 3-10 x the prediction. The GoDaddy domain value is in my opinion only good for a first estimate and to view similar domain sales. If you wonder how much my domain is worth, use additional information. For an exact domain value determination use the offer of an expert who estimates the domain value with his experience.

Is it possible to increase the domain value?

Not directly, but the value depends on supply and demand.
If the domain has a lot of backlinks, has not appeared on spam lists so far
and already very old, then the value will automatically increase.

What is the value of a three-digit domain?

It depends on the extension. A three-digit .com domain has never been
never sold below 100,000 USD in recent years, more likely at 250,000 USD.
Source: Namebio.com

How much is a .de domain worth? What is a .de domain worth?

The same parameters apply here as for the .com calculation. According to experience a .net domain is worth 20 % of the .com domain value, a .org
valued, a .org 15 %. We rank a .de domain similar to the .net domain.

Is it possible to get a domain value estimate?

Yes, with our domain appraisal for example. We have done this hundreds of times for our customers. Not only for sellers, but also as buyer protection or during a due diligence. If desired always with NDA.

Search the domain value Youtube or Sedo domain value?

These are potential options, but we recommend secondary. With Youtube, someone will not be able to determine a precise individual value. This is because the price can fluctuate on a daily basis. NFT.COM is worth millions, at least as long as digital art is hype. You can also ask a Sedo expert for a valuation, but here we point out that there are
However, we would like to point out that conflicts of interest may exist, as the platforms earn from sales fees depending on the amount of the sale.

How can I make money with domains?

Basically, the law of the merchant applies here, i.e. of the
trade. You can register domains by hand (Hand Registration), e.g. if you are early on hype topics (NFT), you can buy them at auctions, buy or re-register Expending Domains (cancelled domains) before they become free, buy domains on marketplaces like Sedo, Dan or Afternic (BIN: Buy it Now or Make Offer) or find and acquire existing domains yourself. Afterwards I can also sell the domains in an auction or offer them for sale on a platform. Good domains generate on average 10 to 1000 times (ROI: Return on Investment).

What is the best way to sell my domain? Who can sell domains?

What is the best way to sell my domain? How can I sell my domain? I would always advise beginners to put them on marketplaces. Where can I sell a domain and how can I sell a domain? I recommend Dan.com, Sedo.com, Afternic.com and GoDaddy. Should you position yourself on brand domain names, i.e. domains that are particularly well suited as names for startups, then I still recommend Brandbucket.com and Squadhelp.com. For domains with a sale value below 25,000 USD, you should transparently deposit the price directly and thus use the Buy It Now option. For domains above 25,000 USD I would set the domain with "Make Offer" and then set a minimum amount for bidding. Furthermore, I strongly advise you to use the sales pages of the providers. So that the platforms know that you are really the owner of the domain, you have to deposit a code with your registrants. You will be guided through this process. If you are wondering "What is the value of this domain?", use our service to find out the value of your domain.

What does it mean that the domain is for sale?

It means that the domain is already registered and in use.
in use. The seller has put the domain up for sale. The sale pages are primarily offered by the domain marketplaces. You can usually buy the domain directly through this sales page, make an offer or contact a sales consultant of the platform. Alternatively, you could identify the owner via a free "WHOIS" query and contact them that way. If you need help with this, feel free to contact us via the contact form.

How do I find out how old a domain is?

There are many tools for this. A small list of useful tools for
tools for domain investors will follow soon.

How important is the domain name for Google?

According to SEO experts and Google itself, domains with identical keywords equal to the search phrases no longer have an advantage for the influence of the rankings. But they do have one huge advantage. The CTR (Click Trough Rate). According to measurements and statistics, this is significantly higher, since the domain corresponds exactly the search intention and therefore one assumes to find the right solution on the website right solution by information or transaction.

Is there a domain selling value guide, respectively domain selling value procedure?

If your domain is listed on one of the platforms mentioned above
then the buyer can purchase the domain via direct purchase. The platform will then guide you through the process. This is very easy and can be done by
anyone. You need a number, which you can find at your registrant, and is very fast. Alternatively, you can sell without a platform and use a service in the form of Escrow.com. They act as an intermediary or trustee. You give them the numerical code, the buyer transfers the money and when both are there, the system forwards the data.

Domain valuation for free? Domain valuation for free?

This is possible with our Share Deal. Determine domain value online by domain quick valuation of our experts and by our algorithm, deposit links
and pay only when the domain is sold. So the domain
value is free of charge in the first step.

Final words:

No matter if GoDaddy domain valuation, Adresso domain name valuation or
Domain appraisal, the important thing is that you have a closer look at the value of the domain. Everything has its advantages and disadvantages. The
Domain valuation of Sedo is extremely good, but perhaps not completely neutral. A domain valuation is therefore more suitable for buyers than for sellers. I would always do a free domain valuation with the tools mentioned. For a domain appraisal the information you found here is sufficient. The domain sale price is like a house. The minimum selling price is the previous purchase price or investment. The maximum selling price depends on the demand. With the domain sale price, you should definitely get the opinion of an expert. With the house one can be supported also by a local broker or?