The ongoing credit crunch has had a negative effect on many industries. Though some may claim that the IT sector has taken the crisis well, we also need to adjust our game plan in order to fit in the current situation. In the case of domain name appraisal, we need to factor in previously ignored items.
In determining the value of a domain name, we now require to have a better understanding of the industry which it applies. This has been the disadvantage of automatic appraisal in that the results given look far too optimistic.
In performing a domain appraisal, it is important to include details such as if the name has any future developments. Do not put so much emphasis on the re- sale value. The development potential will give the domain name the value it deserves.
In the past, a three- letter domain was considered as a hard currency. If you could be able to acquire it at a certain price, you could sell it at a good one. The problem with these three- letter domain names is that they do not present any future developments. As can be seen, not many companies will have a three- letter domain name.
Running a free domain appraisal tool like Instica makes you realize that there are so many newbies venturing into this business with the hope of earning extra cash especially during this crisis. This crisis therefore has an advantage of making the internet larger. More people will get wired so that more newbies can spend time surfing on the internet. These newbies will therefore contribute to the pricing of the domain names by increasing the demand for mid- priced two letter names.
Current statistics show that domain name prices as well as the sales have generally fallen. Some may assume that it is stagnation but experts predict that it will not last long. This drop has however prompted low quality products to flood the market in large quantities. Most people are trying to get rid of ‘junk’ in order to get money.
Free domain appraisal can be got from a number of sites on the internet. This appraisal is necessary especially in this time of crisis. Increase in its versatility is also necessary which presents the industry with the advantage that it is seen to grow and develop. This is just a phase that the industry is going through though the market still exists and is pretty active. This should not be a hindrance to venturing into this industry.
With the right attitude and focus, it is not impossible to break through this industry. Experts can help you with the information that you require in order to establish yourself in this industry.