Need your help.

[ekman77]

I have contacted a well know comapany about buying one of my domain names. I had set a 7 figure price in the email. I got a response from this company and they believe my sale price exceeds the amount the domain is worth. It also says if I would entertain a lower offer then contact them back. Now I am fairly new in the domain industry. I have never sold a name over x,xxx. Now we are talking about a name that could get me a lot more than that. Do I email them back and tell them to send me their best offer? Or do I set a lower price and see what they say? Any help here would be awesome! Ideas? Comments?

Also should I just pay for someone to broker this deal and have them contact them since I am not good at negotiating.
David

 

[randomo]

Is it really, truly, honestly a 7-figure (or high 6-figure) type of domain? If so, that might affect the type of advice people would give you here.

 

[ekman77]

I would say to this particular company it would be worth mid-high 6 figure. With me knowing the size and wealth of this company I added a 7 figure number in. If they werent interested at all I do not believe they would have even responded to me back. This being said this company is prob in the top 25 in the world.

 

[Theo]

What is the domain? Watch how fast this 7 figure self-valuation bubble bursts. If they told you that your asking price was unreasonably high, they did you a favor. Come down to more earthly prices and you might land a comfy 5 figure sale.

 

[theinvestor]

What is the name actually worth ?

 

[ekman77]

@ Acro - They never said "unreasonably high" Just said it exceeds what they believe its worth. I never expected to get 7 figures for it. Although in the last few years they paid almost 7 million for a name.

@theinvestor - I dont know. The lowest i would take would be low xxx,xxx for it. The problem is they may see it as mid to high so I don't want to scare them off but I also do not want to jump the gun here.

Please understand I cannot state the domain becasue then you would figure out the company right away.
David

 

[Theo]

Fair enough. If their response was about you entertaining a lower offer, then solicit an offer from them; this way you would have to decide if it's good enough after they make it.

 

[Gerry]

Every domain name is overpriced according to the buyer.

Let them come back to you.

 

[theinvestor]

I think you are making things more complex than they have to be. I'm just trying to understand if your name is actually worth what you're asking.

You said you haven't sold any names before that are higher than $x,xxx. Is that because your names are lower quality or is it because you don't sell ?

Anyways here is my advice on the very little information you have provided. You contacted a company and you gave them a price that they rejected and told you it exceeds the value (this tells me you are overpricing your name). So, ask them to make you a counter offer and that you are flexible.

If they don't come back, they were never interested. If they do come back.. then you can go from there when you see the offer.

Keep in my mind the situation changes if the name is actually worth 7 figures, but you are leading me to believe it isn't.

 

[ekman77]

@ Acro - Here is my possible response:
Sir/Ma’am,<?xml:namespace prefix = o ns = "urn:schemas-microsoft-comfficeffice" /><o></o>
I will entertain a lower offer. Please send me your best offer.<o></o>
Thank you,<o></o>

I figure that is short and to the point like they were. At least this way they may send an offer back. I just dont want to show any weakness in my responses.

 

[theinvestor]

Every domain name is overpriced according to the buyer.

Let them come back to you.

Although this may be true, there are many end users these days who are educated. So if they have purchased a domain for nearly 7 million, like the OP is suggesting. I assume they understand somewhat of what has value.

 

[silentg]

Make sure these guys get their 5% commission (each)

 

[theinvestor]

@ Acro - Here is my possible response:
Sir/Ma’am,<?xml:namespace prefix = o ns = "urn:schemas-microsoft-comfficeffice" /><o></o>
I will entertain a lower offer. Please send me your best offer.<o></o>
Thank you,<o></o>

I figure that is short and to the point like they were. At least this way they may send an offer back. I just dont want to show any weakness in my responses.

Your first weakness was contacting them. Your second weakness is asking them to make an offer on a name you just listed the price to. You lost all your power!

 

[Theo]

Sir/Ma'am?

Sorry but if you can't tell them apart, it's a lost game already.

 

[ekman77]

Hold on guys. I didnt send the email yet. The sir/Ma'am was for the email is to respons their general email address that I recieved the response from. I thought emailing end users does not mean you lost the game but you are inserting yourself into it. I have not gotten an email from a particualr person. They are masking their response with a general email address.

 

[theinvestor]

Anytime you contact an end user you are on the other side of the bargaining table.

You contacted them. They never made the initial move to contact you. This is why this is so interesting. I am not sure if you realize this but not many names sell for 7 figures. Let alone by when you contact a company. If i contact Bill Gates i expect 7 figures but that does not mean that's what my name is worth.

If Bill gates contacts me... he's lucky if he doesn't pay 8 figures even if the name is worth $xx.

All i know is that if your name is worth XXX to a reseller, and you make initial contact with a company don't expect to sell much higher than what it is actually worth. Just because a company is worth a lot of money does not mean they are willing to give it away to anyone who contacts them.

 

[Onward]

Did you hand reg this name in the last couple years? or - Did you buy it on the aftermarket?

does this name make sense for anyone other than this entity you contacted? Really, there are not that many undeveloped domains people are going to spend 7 figs on...or anything close to that. there are some...but if you had one...you would be getting an inquiry a day...

It is going to be hard to help you here without knowing the details. If you want to PM me the details, I will give you my opinion and will respect confidentiality.

 

[Theo]

Whatever happened to the "Like" feature? theinvestor said it all.

 

[ekman77]

@ theinvestor - Very well said. I do understand that and that is why i havent sold a name for more than mid-high x,xxx. This is a learning process for me and I really appreciate the insight you guys are giving me. Sometimes there are instances that the end user may not know that a particular name is right for their company. I was saying that I think my name is something they now want since I contacted them. I now see that this doesnt always happen. In this particular instance they are gonna want this name. Do you think by them contacting me back means they are interested in it?

@ Onward - I don't feel comfortable at this time revealing this to anyone. I hope you understand. I will say though that I am being geniune about this post.

 

[theinvestor]

The most difficult thing to do when contacting an end user is talking to the person that is actually capable of closing deals. I'm not even sure who you emailed. Some of these companies gets hundreds if not thousands of emails a day. They will reply, don't expect a reply to mean they are interested.

Short answer to your question is No. Most companies play it nice and will reply. That doesn't mean they are interested. Now, if they counter offered you that signifies interest. Just be careful whatever you choose to do. I know you stated if you mentioned the domain that it is a giveaway to the company, which to me means that it is most likely a TM. For your sake i hope this is not the case. As emailing them can open their eyes.