Pricing a website for sale is not easy, especially if you have never sold a site before. If you price it too high, no one might buy it. If you under-price it, you might end up losing out on the true value of your site. Therefore, pricing a site for sale should be a well thought out process. You should be able to explain to the potential buyer how you arrived at the price.
Here are some things you need to keep in mind when pricing your site for sale:
See also: How to Sell Your Website
1. Your site statistics
Your site statistics can give you a very good idea of how much you should sell your site for. Most website buyers will look at statistics such as page authority, domain authority, moz and page rank to ascertain if your site is a worthwhile investment. Here are some of the statistics you need to keep in mind when pricing your site:
- Page views – How many page views does your site receive daily, monthly or yearly?
- Unique visitors – Besides page views, how many unique visitors does your site receive?
- Number and quality backlinks – Backlinks refer to links pointing back to your site. They should not only be many, but they should appear on good quality sites.
- Visitor demographics – What kind of people mostly visit your blog? Young adults? Men? Women?
Other statistics that would be of interest include bounce rate, bookmarks, SERPs, conversion rates, organic and direct visitors, and repeating visitors.
2. Annual revenue
How much revenue does your website generate? Website buyers are looking for a site which has potential for making profits. Write down the different ways your website makes money. This could be through advertising, sponsored posts or other means. Take note of the amount of income that comes from each area. In many cases, websites are priced between one and three times of their annual revenue. Nevertheless, some people don’t consider direct advertising in the generated income since it is not sustainable.
3. The niche of the website
The niche of the website you are selling can also give you an idea of how to price it. Is it a site about parenting, home improvement, finance, blogging, mortgage, dating or something else? Prices of different websites vary depending on their niches. Carry out some research to find out the selling price for similar sites. You can find such information on website flipping sites such as Flippa.
4. The domain of the site
The domain name of your site can play a major role in determining its pricing. Consider the following:
- Extensions - Domain names with a .com extension are usually more valuable than those with extensions such as .net or .biz.
- Hyphens and numbers – A domain name containing hyphens and numbers is hard to remember, thus not very valuable.
- Keywords – A domain name with keywords relevant to your niche will boost its value.
- Memorability – Is the domain name short, easy to type and memorable?
- Uniqueness – Does your domain name stand out?
5. Operating costs
Different websites have different operating costs in terms of fees and time. Some are cheap to maintain and run, while others are quite costly. Knowing the operating costs for your site will give you an idea of how to price it. The lower your costs, the more you are likely to make from the sale.
See also: How to Get the Right Domain Name
Pricing your site doesn’t have to be a complicated process. The factors above will help you price your site for what it is really worth.