A lot of entrepreneurs are confusing value with how much work or money they put into something.
The amount of work or money you put into something is irrelevant to the value of it. It doesn't determine the price AT ALL. This befuddles most people.
"Well, I've already got $10k into my site, so that's the least I could sell it for"
Just because you spent too much money on your site doesn't mean it's worth anymore than the $200 it's actually worth.
Here's an email I got yesterday for a domain I was trying to purchase:
Let's try it again. NO! Our one-time cost is NOT going any less!
Did you bother to go to XXX.com(x'ed out) ?
Wow, XXX.com(x'ed out) is available to purchase at another dealer for only $2,388. Offer them your stupid idiotic amount!
The amount of work or money you put into something is irrelevant to the value of it. It doesn't determine the price AT ALL. This befuddles most people.
"Well, I've already got $10k into my site, so that's the least I could sell it for"
Just because you spent too much money on your site doesn't mean it's worth anymore than the $200 it's actually worth.
Here's an email I got yesterday for a domain I was trying to purchase:
[FONT=Helvetica, Arial, sans-serif]That's our special sale price Bill. Considering how much just the registration fees alone have been paid for over 15 years, our one-time cost is a bargain.
Also, XXX.com(x'ed out) is a developed site.
P.S. XXX.com(x'ed out) just SOLD 5 weeks ago for $3,800!
They start off with a weak sales pitch about the current price being a 'special sale price'. They follow it up talking about all the money they've spent on the domain. They finish with another weak sales pitch comparing to random domains that supposedly sold for higher trying to justify their high price.
Recap:
Step 1: Weak sales pitch
Step 2: Talking about the money they've spent on it
Step 3: Weak sales pitch close
I followed up on the email saying I could spend X on the site. This was their response:
[/FONT]
So you want to domain for LESS than it costs. What a fool. Guess XXXs(x'ed out) previous answer was not clear... Also, XXX.com(x'ed out) is a developed site.
P.S. XXX.com(x'ed out) just SOLD 5 weeks ago for $3,800!
They start off with a weak sales pitch about the current price being a 'special sale price'. They follow it up talking about all the money they've spent on the domain. They finish with another weak sales pitch comparing to random domains that supposedly sold for higher trying to justify their high price.
Recap:
Step 1: Weak sales pitch
Step 2: Talking about the money they've spent on it
Step 3: Weak sales pitch close
I followed up on the email saying I could spend X on the site. This was their response:
[/FONT]
Let's try it again. NO! Our one-time cost is NOT going any less!
Did you bother to go to XXX.com(x'ed out) ?
Wow, XXX.com(x'ed out) is available to purchase at another dealer for only $2,388. Offer them your stupid idiotic amount!
[FONT=Helvetica, Arial, sans-serif]They followed up with anger because it was 'less than cost', followed by the same strategy of trying to compare sites that are asking even higher priced amounts as if that will justify their overpriced amount.
I looked around and there's similar responses from this seller to others. He's a very stressed out guy.
He'd save a lot of stress if he realized the money he has into it does not determine the value. The actual value determines the value.
Many wantrepreneurs run into the same issues: determining value by effort/cost, rather than what something is actually worth. Followed by the need to attempt to justify the worth by giving unsold comps as "proof" that it's worth a certain price.
Don't get caught in this trap.
As you can tell, if you don't figure this out early, you may spend 15 years using the same strategy. Don't end up stressed out like this guy.
[/FONT]
I looked around and there's similar responses from this seller to others. He's a very stressed out guy.
He'd save a lot of stress if he realized the money he has into it does not determine the value. The actual value determines the value.
Many wantrepreneurs run into the same issues: determining value by effort/cost, rather than what something is actually worth. Followed by the need to attempt to justify the worth by giving unsold comps as "proof" that it's worth a certain price.
Don't get caught in this trap.
As you can tell, if you don't figure this out early, you may spend 15 years using the same strategy. Don't end up stressed out like this guy.
[/FONT]
[FONT=Helvetica, Arial, sans-serif]
[/FONT]
[/FONT]
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