Got a $500 offer, help me maximize this sale

[Deleted member 111831]

I just got a $500 offer from a WhyPark landing page link.

I paid 1xx for the domain a year or two ago in a drop auction and I consider $500 a fair offer.

I normally just accept in this situation but a lot of the time those people don't pay anyway. So I'd like to counter here (if it is wise) and try to get all I can for the domain.

I researched the buyer and he seems to be a technology industry big wig, serving as CEO of several companies and on the boards of others. I imagine he's fairly well off.

So what is my play? How do I reply to this offer? How much should I ask for and how do I justify that price?

Thanks!

---------- Post added at 04:59 PM ---------- Previous post was at 04:54 PM ----------

One company he was the CEO for was sold so he probably had a big payday there. The site of that company has a very high Alexa and does all sorts of internet stuff: video on demand, video conferencing etc - aimed at businesses.

 

[Onward]

I would do one of two things:
1. Send back a firm price I am happy with..
or
2. Don't reply. If they really want it...they will come back.

 

[Eraser]

1. Send back a firm price I am happy with..

Add 20% to that price to give some space for their counter offer

Best of luck

 

[Deleted member 111831]

I'm happy with $500. I want to get the maximum this guy is willing to pay.

Forget the money, this is an experiment.

 

[Onward]

Go with the second option or just say "no thanks" to his 500 offer.

 

[hugegrowth]

If it's an experiment, reply back and decline his offer, but let him know you are willing to sell, but his first offer is well below your expected price range.

If $500 is the first offer, I'd guess that $1000 to $1500 is doable. Beyond that who knows. He may be looking for a name for a new site, and your name might be just one he is considering. If you ask too much or get too difficult you might put yourself out of the game. Or, this might be the exact name he needs and is really willing to go up to $25,000. It doesn't seem like a category killer name, more like a name that could have lots of substitutes (SimpleVisit, EasyTrip, etc), so I wouldn't bet on the latter scenario. Good luck.

 

[bwhhisc]

If you don't need the money, try countering with $2400 and see what their response is.
You might end up splitting the difference and getting something in the $1500 range.

 

[hugegrowth]

Are you actually interested in making a sale? What if $500 is really the maximum he is willing to pay? It's possible, though a first offer is usually never the maximum.

 

[Deleted member 111831]

Are you actually interested in making a sale? What if $500 is really the maximum he is willing to pay? It's possible, though a first offer is usually never the maximum.

Yes I'm interested in making a sale but I'm more interested in learning the art of the deal. If I screw this deal up in the process I wont care.

Some good suggestions so far, please keep them coming. Particularly when xx,xxx is a part of your advice

---------- Post added at 06:19 PM ---------- Previous post was at 06:17 PM ----------

Somebody said wait 7 days and reply with $10,000, then edited it.

I think I like that option the best so far.

 

[hugegrowth]

If you don't make $xx,xxx part of your mindset, you'll never get $xx,xxx.

 

[Deleted member 111831]

If you don't make $xx,xxx part of your mindset, you'll never get $xx,xxx.

That is why I started this thread =D

Teach me!

---------- Post added at 06:31 PM ---------- Previous post was at 06:29 PM ----------

I read all of Rick Schwartz's latest posts about selling a domain. I believe he would send an insulting remark back at this stage and ask questions of the buyer. If you haven't read those posts I highly recommend it. He has a very unique approach.

 

[hugegrowth]

If you wait 7 days the buyer may lose interest or go with another name too.

Rick Schwartz treats every sale like a big end user sale because he has a great portfolio and can afford to do that. Yes that kind of approach can obviously work, but you might also lose sales you don't want to. He probably turns down lots of $5000 and $10,000 sales that many other would jump at. Nothing wrong with that, just everyone's different.

Personally I wouldn't wait 7 days, the guy is a potential customer so why play games, I would start some respectful dialogue sooner to at least get something going.

 

[Deleted member 111831]

Oh yes and Rick said to say no, no, no, no to everything. Just keep saying no and asking questions.

I want to play Rick this once and see how it goes. If he says no to $10,000 offers for $500 domains, he's doing it for a reason. Those $200k sales obviously make up for it.

I don't need the $500 or the $10k, I just want to learn.

---------- Post added at 07:01 PM ---------- Previous post was at 06:58 PM ----------

I just replied with "$10k" haha lets see how this goes

 

[hugegrowth]

please keep us updated, and for all we know the potential buyer is a member here.

the other thing I think Rick said, or maybe it was another domainer, forget where I read it, is to categorize your domains into bronze, silver, gold and platinum. The bronze and silver names you might take the $500, or try for a little more. The gold and platinum names you hold out for the best offer or end user. It isn't foolproof, no method is, but if you let a bronze or silver name go, you know you still have the golds and platinums for later.

 

[Deleted member 111831]

This would definitely be one of my bronze or silver names. I've many times regretted picking it up at auction, truth be told.

He replied with:

Sorry...Can only go up to..$1000..Thanks for replying

Well I've already doubled my money by creating this thread, normally I would have accepted the $500.

Is there any wiggle room here? Can I counter this? If I ignore or decline this offer, what are the odds he comes back again later?

 

[bgmv]

Yes, just say you would be willing to meet him half way at $5,000

 

[Deleted member 111831]

That seems a bit over the top to me, but this is new territory for me, so...anybody concur with the $5k counter?

 

[hugegrowth]

If this is an experiment to maximize the sale, either don't reply, or just reply with "ok, if you change your mind and can make a higher offer in the future, let me know".

Based on the start of your last post though (bronze/silver name, regretted picking it up), I would personally counter with 1500 or 2000, and see if he comes up. If not, then close on the $1000 if you think it's really a good price. Try Rick's method on one of your gold or platinum names down the road.

I was pretty sure if 500 was the first offer, you could get to 1000 or 1500 with little effort.

 

[Theo]

Yes I'm interested in making a sale but I'm more interested in learning the art of the deal.

Odd, I thought that from your persistent remarks you were an experienced seller, PokerPie Whatever happened to the "you can either drool over your portfolio or make a sale" part?

But here's a few tips to get you started.

1. Delete the name from this thread, it will come back to haunt you.
2. It's not a TM. Use that to your benefit. Realize that you are not at risk.
3. Other TLDs are taken. Use that as part of the negotiation. It shows popularity of the term, but only one can own the .com
4. Research the term using ZFbot.com - this way you can find out if similar domains exist. Maybe one of them is owned by your guy. This way you can gauge his intentions better.
5. Don't commit to discussing a price via email, seek a direct communication on the phone. Once you have a phone conversation, play hardball. Don't commit to selling right away. It's your asset. Your price. Offers come and go, you don't accept the lowest or the first.

I hope this helps.

 

[hugegrowth]

to answer the last question in your post we'd need a crystal ball.

---------- Post added at 05:54 PM ---------- Previous post was at 05:50 PM ----------

I like that idea of offering to meet halfway at $5000.