I have been a big fan of NameBio for years. If you don’t know what NameBio is, it’s a completely free tool for searching past domain sales. They have done a great job of putting every sale they can find into the database along with the details on how much it sold for along with when and where it sold. Having this data at your fingertips is a very powerful tool when you’re negotiating a domain deal, particularly with an end-user who might not know anything about the space.
Think about buying a house. Most people want to know what other houses in the neighborhood sold for. If you’re paying $1.2M for a 3 bedroom 2 bath house in a neighborhood where similar houses sell for $800K you want to see some upgrades that would justify the price. At the same time, if you find that similar houses are selling for $1.2M then you know you’re getting a fair deal, if they sell for $2M you might be getting a great deal. The point is, buyers like comparable sales.
I have used NameBio in many negotiations and it helps out a lot and gives context to a price that a buyer might think is unreasonable at first.
You can search by keyword and TLD and it’s easy to filter by sale price and domain length. I often try to find domains with similar keywords, in the same TLD that sold recently since these are the most relevant. Let’s walk through an example. Suppose I’m talking to a potential buyer about a Diamond-related .COM domain name. I can type the word “diamond” into the search box under keyword and then select .COM as the TLD.
The results will automatically show up listed by date which I’ve always found is important since quoting a sale from five years ago might not carry too much weight with buyers.
As you can see from the listings above there are some great comparable sales you could show a buyer so that they can see that a $200 offer for your prime keyword two-word diamond .COM isn’t going to fly. Without data like this though you don’t really have a leg to stand on. People are used to buying physical property, they aren’t used to buying virtual property. Given the data that NameBio provides you can help them see the real value in the domain and brand you are selling.
In case you were wondering NameBio is not a sponsor of this blog nor have they paid me to write this post, in fact, they don’t even know I’m writing this post! I’m writing this because it’s a tool I use myself, it’s free, and it kicks ass, simple as that. Happy Friday and happy negotiating!