21 July 2010 ~ 16 Comments

Domain Sweetening

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The Domain name offer can come in from the cold with the new era of blog databases and instant websites. A template or open source application used for an existing domain’s website means that any buyer can take advantage of premium content original to that domain name as part of the purchase price. This can be termed a “domain sweetener”.

Adding sweetener to your domain can be as simple as allowing the buyer to utilize the current hosting where the domain is lodged. Server information is generally given with the WHOIS record.  The WHOIS record must always be accurate for this reason. Unless a Privacy option is purchased at the time of the domain name creation, the registrant’s name phone number address and fax number is visible to the public. And even Privacy entailed records have bid or offer links at the lookup point.

What functions as a sweetener? Bundled domains with other sub-TLD’s, Emails with the domain or a free renewal might be other domain sweeteners. The ability to transform a nibble of interest into a successfully executed domain sale may take some sweetening on the seller’s part. The trick is knowing when to add the sweetener. Only the seller knows how motivated they really are to get some cash out of the deal.

Domains will attract lookups and type in interest form time to time. the record of these lookups can be tracked by referrer traffic form the WHOIS. This can be viewed from the statistics utility in the web hosting menu. The concept of the WHOIS lookup concedes that a likely buyer is checking out who owns the domain name, how long they have owned it, where it is hosted, and what the owner is doing with the domain.

A domain buyer will check out whether or not the current owner has a lot of time or investment put into the name. The theory is that a domainer will sell a name more cheaply if they haven’t developed it themselves.  Or the prospective buyer may want to see if the domain name is parked and thus assess its potential value as a parked revenue generator. The offer for the domain name may include the content seen online.

Existing content in the form of databases or text files can also function as a domain sweetener. If the domainer has invested in domain development at all, these files can be furnished with the domain name sale as a sweetener. The incentive should be communicated that valuable planning and effort are attached with the domain purchase price. The sweetener should be signalled when the buyer has had enough time to consider an offer.

For this reason, domain name offers to buy should have a deadline and a “window of opportunity” attached. This way the prospective buyer has to evaluate how motivated they are. The domain name price will not be a given with a horizon of forever, but an opportunity to buy the domain name at the stated price within a secured period of time. The communication regarding the sweetener should come from a motivated seller near the end of the offer period.

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