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All the names offered
for sale on Tangy.com have been subjected to our valuation model, and aren't
listed above this price. To be able to feasibly do this we use a combination
of sophisticated proprietary software that has codified the science of domain
name pricing, giving us a price range that we adjust afterwards using our
experience and judgment; what we call our 'name craft'. Producing this valuation
model has been no mean task (and its full details are commercially confidential).
However we will let you in on the 'broad strokes'. We do this because domain
valuation has remained an occult area for too long, one of the major issues
preventing the domain reseller market from maturing as an industry. |
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The basic fact
is that, as with any market, domain name values are determined by shortage.
The four main elements of this shortage have been well established by the
domain reseller community: Dot Com, character length, generic term, and
industry size (see for instance the valuation model used at greatdomains.com).
Under this four part domain name valuation model it can clearly be seen
that a name of the quality of say, cars.com is very valuable indeed. This
is because of the extreme rarity of such short, commercial industry specific,
generic, Dot Coms. However, the bulk of domain names that change hands by
resale are nowhere near this quality, and cannot be classified neatly by
this four part criteria, yet also happen to be scarce and thus in demand.
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Almost all previous publicly
accessible discussions on domain pricing have added little to this Short+Generic+IndustrySize+DotCom
formula. This lack of analytical tools is surprising considering the significant
revenues generated for 'medium quality' domain name re-sales. This reflects
the extreme newness and uncertainty surrounding the domain name industry.
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Attention
to the details of any domain's value attributes will be necessary to construct
a more broadly useful valuation model----> |