Godaddy appraisal for domain value is less irrelevant

Godaddy appraisal is relevant or not, when you are looking for a value domain name for a website, or if you want to invest in domain names, it can be difficult to figure out what to register based godddy appraisal. There are so many domain name extensions on different godaddy value.

What is a domain name extension? A domain extension, or tld (top level domain), is the final part of a domain name, the part that comes after the dot on the right. Examples of common domain name extensions are .com, .net, .org, .info, and .biz. These are also called gtlds (generic top level domains). So, for example, with the domain name somename.com, somename is the name and .com is the domain extension (tld).

Godaddy appraisal for domain value is less irrelevant : Domains are intangible brand assets, and as such, it is often hard for entrepreneurs to put a value on them. Automated appraisal tools are often a quick fix for that. We’ll go over the most popular solutions and explore how they work.

We will use the same domain names as an example to run on all and see how the estimated valuations compare. We chose CARS.COM. The reason for that is that similar to it being hard to value a name when you are considering investing in purchasing it, it is hard to put an exact value on it once you own it. Michael Syger did a great analysis of CARS.COM’s IPO, which gives an insight of how valuable the name proved to be for the business after the acquisition. So let’s see what automated appraisal tools “ think “ of it.

The format we chose is the following:

Overview — Short description of the service/s offered

Disclaimer — We read the small print since we know it is the part people skip (and shouldn’t!)

Our test — What the tool estimated CARS.COM to be valued at

Conclusion — This one is self-explanatory

Estibot.com

Overview

Established in 2007 by a member of the NamePros and DNForum communities, Estibot is no doubt one of the most popular tools out there for anyone looking to put a number on a domains.

They base their valuations on over one a mix of internal and external domains attributes. Internal attributes include information like domains length, extension, word count, pronunciation, and other characteristics directly linked to a specific domains. External attributes refer to third party data such as a domain’s search popularity, type-in rank, age, and much more. The data is then compared to previously sold domain names and the valuation is based on that comparison.

Estibot offers a range of other services, like Portfolio Monitoring, Market Research, Expiring Domains lists, etc. — all tailored for Domain Name Investors. There is a limit for daily free searches per IP and three paid plans with different extras and the number of lookups per day and month.

Disclaimer

The creators note that “All information is provided for research purposes only. Domains valuations and dollar values should not be taken literally. The valuation data is simply an aggregated summary of the various metrics associated with a domain or site.”

Our test

Estibot put a value of $10,399,000 on CARS.COM

Conclusion

The tool is user friendly, has a free version with paid plans and extra services, mostly targeted at domains name investors (Domain categorizer, Bid tool, DNS checker, and many others).

Godaddy.com

Overview

Godaddy is the world’s largest domains registrar, so no surprise they have an automated appraisal tool too.

As per the description of the service on their site, their valuation is based on an exclusive algorithm that combines machine learning with real-market sales data compiled from their 20 years of experience. You can download the valuation they provide for free along with comparable domains and their valuation.

Disclaimer

“ The estimated value may or may not rely upon this particular domain’s sales data, as the domain may not have previously sold. Sellers may ask, and you may ultimately settle, for a price below or above this estimated value. “

Our test

Godaddy put a value of $25,000 + on CARS.COM

Conclusion

Easy to use, free and without limitations on number of estimations you can get. You can also hire a Godaddy agent to enquire after the domain on your behalf for a fee of $120.

Sedo.com

Overview

Sedo doesn’t offer a free appraisal, pricing starts at $99. As per their description, the valuations they provide are “ scientifically backed “. Their analysis is based on 10 factors, such as search engine suitability, advertising effectiveness, language complexity, length among others. Once you complete the payment you receive your appraisal within 3 business days.

Disclaimer

We could access Sedo’s appraisal disclaimer for free, which states that “ An online appraisal is largely based on critical assumptions, any of which, if proven to be incorrect, could render the value conclusion inaccurate. You agree to assume the risk of such appraisals and shall hold Sedo free of any form of liability in providing the appraisal. “.

Our test

Not available since the service is paid

Conclusion

It is a paid service, there is a free valuation for domains submitted for sale.

FreeValuator.com

Overview

FreeValuator offers an appraisal for free that is based on factors like domain age, TLD, keywords, website rankings among others. You can also order a paid appraisal for $69, done by an expert appraisal specialist. This covers the evaluation of the domain, linguistic analysis, trademark analysis, list of comparable sales, and a certificate for the estimated value. There is a limit on daily lookups, you can sign up for a free account and get 3 appraisals per day or get a paid subscription for $5.79 per month for unlimited lookups.

Disclaimer

FreeValuator states that “ All services are fully automated and are provided AS IS and AS AVAILABLE without warranty or guarantee of any kind. “ and ask you to “ …acknowledge that you have been warned and understand that purchase and sale decisions should never be based solely on appraisal information or other information provided on our site or by an Free Valuator employee. “.

Our test

FreeValuator put a value of $135,043.50 on CARS.COM

Conclusion

The interface is a bit outdated otherwise a simple to use service with a lot of extra related services (Alexa Rank check, Domain generator, Crowd appraisals, and many others).

Epik.com

Overview

Epik is a domain registrar and host founded in 2009. They offer a free appraisal tool among other services. The estimation gives you information such as keywords, Alexa ranking, Search results and competition, other TLDs taken, and many others. They also offer a Professional Appraisal for $395 and a free option called “ Fairness option “, for when you are contemplating a transaction (we presume that means with Epik involved in the transaction). For the paid option, you will receive a report completed by a domain industry expert within 7 days of your order.

Disclaimer

“ Due to the automated nature of this appraisal, it is not recommended as a definitive basis for valuation but only as a guide. “

Our test

Epik valued CARS.COM at $10,370,000

Conclusion

The free appraisal is simple to use and gives a fair amount of information. They don’t explain what the process of valuation is based on exactly, other than “ several factors including the domain extension, number of characters, keywords, domain age and the sales of similar domain names sold in the past “, so it’s hard to know how they get to that value. Then again, the same applies to most tools we analyzed.

Domain Price check

(operating on pc.domains, owned by Internetx.com)

Overview

The tool is based on AI, analyzing previous domain sales. It provides you with some extra information like TLD facts, keywords, Google trends and other parameters. You can check just the value estimate for free, to access the other details you need to register (for free and limited access) or get a subscription — Business for $19.95 or Advanced for $799.00

Disclaimer

“ The prices shown are non-binding estimates. (Related to the domain value of a domain). “

Our test

Domain Price Check estimated CARS.COM value at $163,000

Conclusion

Simple to use, most features are paid to access but equally they are more targeted at domain investors or larger corporations with bigger domain portfolios (Compare domains, Watchlist, Pricing models etc.), so the free information is likely sufficient for a simple valuation check.

DomainIndex.com

Domainindex.com is a public service free of charge provided by Domainindex SARL corporation to the domain and the financial industry. Domainindex.com is calculating price indices for domains to track the development of price levels in the domain space. They provide a set of preset indices of the most important domain areas — Global Domain Index, popular TLDs, type, industry, etc., and you can also set your own, more specific settings. The valuation gives you a lot of details on similar domains, trademark risks, and similar trademarks, traffic estimates, and even acronyms. There is a limit for free lookups, you can sign up for free and get 7 appraisals a day or get some of the other plans, starting at $39/month.

Disclaimer

The company has a disclaimer, stating that “ The Content should not be relied on and is not a substitute for the skill, judgment and experience of the user, its management, employees, advisors and/or clients when making investment and other business decisions. Domainindex.com opinions and analyses do not address the suitability of any security. Domainindex.com does not act as a fiduciary or an investment advisor. “.

Our test

DomainIndex.com valued CARS.COM at $22,500,000

Conclusion

The site looks a bit archaic but provides a very detailed free analysis along with the value estimation.

So it looks like automated appraisals can be based on many different types of data elements — domain name age, keywords, extensions, publicly reported domain sales among many others. In reality, we all know of examples for brand names that fail all appraisal comps but still played a huge role in their owners’ success.

It is also worth noting that reported sales are those of domain names sold in market places, where the average sale price is in the couple of thousand USD. When a domain sells as a brand asset, those transactions rarely get reported as there is no incentive or interest for buyers and sellers to report any details. Valuation is also subjective, you can see how Godaddy’s automated appraisal for a name they own and sell is different (by far) from the asking price they have on it, for example.

Ultimately, as with any decisions that will affect your business for its lifetime, it is best to conduct your own research and audit and make decisions based on your personal situation, risks, and benefits that are specific to your brand. You can check our resources for some tips or explore the experience entrepreneurs share with their brands in our interview series.

There are also country code top level domain extensions (cctlds). Some examples of these are .us (USA), .cn (China), .in (India), .es(Spain), and .co.uk (UK). .TV (Tuvala) is also a country code extension but it is often sold as a general tld.

The most common appraisal and well known tld is .com. .Com vakuewas the first extension to be used extensively by businesses online. It is considered by many to be the king of all tlds because of how appraise it is, the clout it’s use offers and because it is the godaddy appraisal extension most likely to be typed-in (people will actually type the .com domain name in their browsers to go directly to the site even if they are not familiar with an actual site that may be there – this is free traffic in a sense).

This can occur because people may assume all sites end in .com or that .com somehow is part of any name or it can occur due to “bleed” from other tlds – people see a name with some extension and when they go to look for it or type it in, they put .com instead. For many, .com truly is the internet.

.Net has generally seen less use than .com, but many still consider it to be the second most valuable extension. Many isps do use it. .Org is used by many non profits, various organizations and government related sites. Considered by some to be the second or third most valuable tld, in terms of recognition and resale price level. .Com, .net and .org are the original general use internet tlds. They are sometimes collectively referred to as CNO. They have been with us since the mid/late 80’s.

New tlds were released starting in late 2001 with .info. This was soon followed by .biz. .Info, like the previously discussed tlds, is a general use tld that can be registered by anyone without restrictions. It is considered by many to hold great promise (in terms of it gaining recognition with internet users), because of the concept that it represents, information, which is a big part of the reason the internet exists, as a medium to transmit and retrieve information. It has seen some early success in terms of use and resales. A domain name resale is a domain sale by a registrant usually for much more than the registration fee.

.Biz was created with the goal of having an extension explicitly for business. It has the restriction that it only be used for bona fide business purposes. Some people are less enthusiastic about .biz, feeling it is slangy, while others feel it will do well in time because of its specific desigation as the business tld. It is seeing growing use and even some good resales.

CCTLDS were recently made available at the second level with three major countries – the USA, China and India (.us, .cn and .in). These were all previously heavily restricted or only available at the third level. Of these, .US does require us citizenship or a presence in the us for registrants.

Many feel these extensions will do very well in time because of their indentification with the country they represent. One cctld, .de, has been extremely successful, with registrations rivaling .com and seeing some very high priced resales. Some feel these other cctlds could also do well in time.

Which domain extension should you choose and register? Most would recommend .com, and if it is avaliable in the name you want, .com should be the tld you get. If the name that you want is not available in .com, then you may want to consider the other extensions such as .info, .biz or one of the cctlds. Some feel that other extensions in time will develop .com-like recognition and be typed-in and be well known as they are advertised by businesses that start to use them.

Others feel that this is unlikely to happen to any great extent due to the strength of the .com brand. In any event, it is a good idea to register the .com (if available) even if you want the new tld name (and it is available) because some people may make a mistake and go to the .com (as previously discussed). If you register the .com, you prevent someone from registering it and profiting from this traffic.

As far as the actual name goes, it may be good idea to get a name that describes your business in the shortest way. It ideally should contain a keyword related to your business. This way it may be easier for people to remember your site.

In addition to registering new domain names, you can also register expired domains using a domain drop catching service or you may be able to buy a domain name from a registrant through a domain name broker serviceArticle Submission, if not directly.