Find out how I come to price PalmCondos.com for $20,000+ and why that could be seen as a bargain! See my thought-process behind pricing such a domain name and perhaps you could apply something similar to help you price some of your valuable assets.
It’s tough putting a monetary value on domain names in general, but its even more so when the names appeal is based primarily on it’s ability to be a strong brand (“brandability”). This can apply to random five letter domain names such as Duppo.com or other made-up words, but in this article I use a more meaningful type of name which is made up of two real words.
Its Short!
Its quite a short domain name and is very easy to type. It’s not a mouthful to say either, try it. It just rolls of the tongue.
Looks Nice?
Yes! It looks nice.
PalmCondos
Just as a plain text font in two colors you can see how great it looks. All the letters actually look nice together.
Domain With Keywords?
“PalmCondos.com” is not only a brandable domain name but it also contains two words which go very well together. The name refers to a place/location ie. “Palm“ (as in Palm Springs, Palm Beach or Palm resorts in Dubai) and also contains the word “Condos“ (Condomonium) a popular term used describe a property (flat or apartment). People are using these keywords in phrases when they are looking for “Condo’s in Palm Springs” forexample.
So its Short & Brandable and Descriptive?
The two words are very
This domain name would be extremely valuable to real estate companies who deal with buying, selling, renting or developing “condos” within areas that are referred to as “palm” (see examples given above).
Real Estate is obviously a very big industry and a brandable, easy to remember name like this would be very appealing for companies that dealt within those areas.
But how do I put a value on something like this?
In this case, its very helpful to be able ot classify the name to a category .ie a business related industry (Real Estate). It is also a very specific name because of the word “Palm”. So what I do in this case is look at Real Estate – especially at Condo’s in places as mentioned above (Palm Beach for example). The industry is very strong and the companies that are involved in buying and selling Condos around areas called “Palm” are generally quite wealthy. But more importantly, I see that they spend large amounts of money on branding, marketing and advertising their existing websites and names (a lot of which are very poor btw). I look at possible companies that may be interested in such a name and I find quite a few property developers and future developments of large blocks of Condos.
After some reading around the topics I mentioned above, I put a value of around $20,000+ to an end-user.
That might seem like a lot… but think of it this way… if I were looking to buy a condo around Palm Springs or in Dubai and I searched in Google using a search string that contained the keywords “Palm” and “Condos” – if PalmCondos.com was to come up on the results and I ended up buying a property by being referred by the site – then that’s a potential $200,000 + sale. Just one sale! Even if someone didn’t make a purchase, they would still likely remember the name and return or mention it to a friend.
I see companies spend thousands of dollars on branding and marketing silly names like “beach-property-123.com” (just an example). They probably spend a lot more than $20k per year. But in most cases, these names are so poor and difficult to remember making the marketing twice as difficult and twice more costly than it should be.
Another thing I did, I looked at a few sales figures of similar (brandable) names. Not exactly for condo’s but within Real Estate – and I saw names of similar or even lesser quality being sold for $30k +
So… there you have it. Not really rocket science – nor nothing new… but that’s how I came up with the price. Thought I’d share it with you 😉
As always, feel free to leave your opinions – what do you think about this name? How much would you put on its head? Leave me a comment below.
One reply on “Pricing a Brandable Domain – PalmCondos.com”
Palm Beach real estate has always been in demand, and even during Florida’s real estate slump of 2009, it was the last market to feel the pinch and is now the first to jump back in, with strong numbers for both single-family and condominiums for sale. Based on figures reported in the Palm Beach Post, in 2010 single-family home purchases were up 40 percent and condominium sales grew 35 percent. Based on real estate trends, the market is expected to continue to climb throughout this year and into 2012. Homes and condominiums for sale in Palm Beach continue to outpace the national average, and that’s a trend that’s on the upswing.