Every developer knows that a domain name simplifies the complex internet addressing scheme represented in numbers. Instead of typing in a long IP address such as 220.127.116.11 to find a website, we can type in BigBazaar.com, which is much easier. As more and more people worldwide search the web to seek information, learn new things and buy unique items, website domains are becoming part of everyday living. What you may not know is that there is a way to determine domain value.
Domain name is in the virtual world like how equipment and products are in the real world. As more and more people use the web for meeting their needs, your business’s focal point of connecting with visitors — the domain — gains value. In fact, your business domain name is an asset that can be sold along with the business.
How the investors assign domain value depends upon:
- How appealing it is to a particular target audience.
- How it will help identify and differentiate goods and services in the marketplace.
- How much traffic it is attracting on the internet.
In general, domain names which are short, catchy and have high-recall potential can be of great value.
Factors influencing domain value
The domain value depends on a variety of factors, some of which correspond to measurable parameters. Factors include:
Top Level Domain (TLD) used
TLD is the part that appears to the right of the dot. The most valuable domains use .comTLD and for good reason. It is a common tendency among all of us to look for any website by adding .com to the business name. What’s more, .com has been around the longest and is considered the global domain. Of course, there are many other TLDs — .in, .net, .org, etc. — but none as valuable as .com.
- The radio test
- Web traffic
- Adding numbers
Your domain really worth?
Finally, the answer to the question, ‘How much is my domain worth?’ Amazort launched a domain value service to give you the most accurate estimate available. Their algorithm combines machine learning with real-market sales data compiled from 20 years of experience to appraise your domain name.
Increase your domain’s worth
Search engines determine website worth based on how relevant or useful it is to the searcher’s query — and the first indicator of relevance is the domain name. You can increase the value of your domain name by using it to launch a website or blog you promote. Offer useful information on it and in time the people will come. This will not only benefit your business by bringing in new customers but enhance the domain value.
In summary, your domain is an important strategic asset and has the potential to multiply the overall valuation of your firm. Tend it with care.