VALUATION

Why a Domain Appraisal Should Be a Range, Not One Number

A single appraisal number creates fake precision. Here is why wholesale, retail and strategic value need separate ranges.

Automated appraisals are tempting because they can turn an uncertain asset into one clean number. The problem is that a domain name does not trade like a public stock. There is no order book continuously telling you the clearing price.

Three different markets can exist

An investor looking for resale margin, an operating business buying a useful name and a strategic buyer with unusually strong fit can rationally assign very different values to the same domain. Collapsing those contexts into one number hides the decision you actually need to make.

A range makes assumptions visible

A wholesale range tells you something about liquidity and downside. A retail range describes a patient end-user scenario. A strategic ceiling acknowledges that exceptional fit can produce an outlier without pretending every buyer will pay it.

Confidence should describe evidence

Confidence is useful when it measures evidence coverage: relevant comps, registration history, keyword economics and market pressure. It becomes misleading when it is presented as a probability that the domain will sell.

Better question: What price range is defensible, how strong is the evidence, and what acquisition price leaves room for error?

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