- Impact
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I know it might sound counter-intuitive for many, but this is what I have been doing this year.
And I'm not going back.
Reason:
I've discovered that using min offer does NOT increase my revenue. At all. It probably won't improve yours as well, unless you are really unsure about the price and you just don't want to lose the sales by overpricing. I always know what the price needs to be. I also do test pricing a lot on different names.
Still, I suggest using BIN only. (note; I make my min offer the same as BIN).
So what happens when I use min offer?
1) Min offer makes impulse buying far less frequent. That's bad. My domains get snatched fast if there's no min. I use decent pricing usually (not expensive, not dirt cheap), so there's no other option left but to buy or go away. Does not leave them time to think. They have to snatch it now.
2) If they offer less money and I accept, I end up eating a 25-50% loss. Why would I do that? This actually kills all the margin in most domainer portfolios, due to renewal cost.
3) 3 out of 4 of the cases when I accept, get unpaid. You just give them more time to think over. Don't give them time to think over. Ever.
4) Buys under 3k are impulse buys anyway. I want that. I want them to have buyers remorse tomorrow morning after they bought the domain already, have no problems with that.
5) Above 3k, it is said you should use min offer but again I see this as pointless. There you either use BIN or don't use BIN at all. Cause they will contact the brokers via Afternic phone number anyway; and ask for a lower price anyway if they want to . Otherwise they just buy via BIN and that's what I want.
6) Edit: It also gives buyers the opportunity to get it cheap, especially to those that would have paid the full price anyway.
For $10k+ domains only, I'd recommend having just a min offer so you can do some research before replying to them and up the price accordingly.
TL;DR; Ever since I switched to BIN only and no min offer, my conversions have increased a lot, no more unpaid purchases to get you aggravated and no hassle.
Good luck selling!
And I'm not going back.
Reason:
I've discovered that using min offer does NOT increase my revenue. At all. It probably won't improve yours as well, unless you are really unsure about the price and you just don't want to lose the sales by overpricing. I always know what the price needs to be. I also do test pricing a lot on different names.
Still, I suggest using BIN only. (note; I make my min offer the same as BIN).
So what happens when I use min offer?
1) Min offer makes impulse buying far less frequent. That's bad. My domains get snatched fast if there's no min. I use decent pricing usually (not expensive, not dirt cheap), so there's no other option left but to buy or go away. Does not leave them time to think. They have to snatch it now.
2) If they offer less money and I accept, I end up eating a 25-50% loss. Why would I do that? This actually kills all the margin in most domainer portfolios, due to renewal cost.
3) 3 out of 4 of the cases when I accept, get unpaid. You just give them more time to think over. Don't give them time to think over. Ever.
4) Buys under 3k are impulse buys anyway. I want that. I want them to have buyers remorse tomorrow morning after they bought the domain already, have no problems with that.
5) Above 3k, it is said you should use min offer but again I see this as pointless. There you either use BIN or don't use BIN at all. Cause they will contact the brokers via Afternic phone number anyway; and ask for a lower price anyway if they want to . Otherwise they just buy via BIN and that's what I want.
6) Edit: It also gives buyers the opportunity to get it cheap, especially to those that would have paid the full price anyway.
For $10k+ domains only, I'd recommend having just a min offer so you can do some research before replying to them and up the price accordingly.
TL;DR; Ever since I switched to BIN only and no min offer, my conversions have increased a lot, no more unpaid purchases to get you aggravated and no hassle.
Good luck selling!
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