The Domain King aka Rick Schwartz isn’t a man to mince his words… He tells you exactly what is on his mind and in a recent tweet and subsequent tweet where Rick has stated that he may retweet every day about the automated appraisals that EstiBot.com & GoDaddy.com currently offer to the market, that they need to be removed.
Rick feels that these automated appraisals are hurting our domain name industry, and gives a great example of where GoBet.com which recently sold for $850,000 USD by Rick, has an estibot automated appraisal of $7,100 USD, and GoDaddy values it over $25,000 USD.
I myself use Estibot appraisals in our Dynadot Domain Name Auction Lists and GoDaddy GoValue Estimates too when I publish our daily posts, some might say am I being hypercritical posting this here when using both, but please note these aren’t my words this is what Rick has said and I would love to hear what you think? The thread at NamePros already has 23 comments, so will you give yours?
Have your say? I have started a thread over at NamePros
retweet by Rick over on twitter.
I think they both do damage, so is DomainGang because what Gang is it?
I don’t see how DomainGang.com is any threat to our industry being honest,I think Theo does a great job with his blog and brings some joy and laughter at time to situations.
The only thing we stopped buying on GoDaddy expired auctions about 30-45 days after godaddy started to publish govalues as people took it heart and bid up everything we bid on to over $100, our AVG price went from 20-30 daily purchases from $50-60 range to over $100 … unacceptable for our business model which is long term holds. An extra $1k a day is $30k a month which is $360k a year would kill profits as we don’t flip in 30-60 days ..
What I can tell you for fact this is was/is a huge profit maker for GoDaddy as any decent domain is found and bid up now, before the diamonds in the ruff could hide and people would say that domain isn’t worth much and pass, now bid watchers say, hey that looks not good but govalue says it is worth $2k lets bid it up to $100+. THIS IS GREAT MONEY For godaddy.
If I was godaddy, there is ZERO chance of this value going away it is a huge money maker for them.
I base my “fact” statement on how my costs increased, not based on inside information.
Thanks, Domain Admin for your comment, Definitely would agree if you are adding $1K per day to your acquisition costs that is a substantial amount of value over 12 months, You must have a large portfolio if you were buying nearly 30 domain names per day?