The document discusses factors that determine the value of websites when being sold, including traffic, profit, niche, and domain name. It provides examples of past website sales ranging from $1.3 million to $100 million. There are two main types of website buyers - strategic buyers that place higher values based on vertical scope, and investment buyers that typically value websites as a multiple of 1-3 years of gross revenue. Common metrics used to determine value include revenue per unique visitor, page rank, domain authority, and social media followers. The value is ultimately what a buyer is willing to pay and terms of sale can range from 6 months to 6 years of profit.

1. Website Valuations
By: David Gass

2. • Examples of Website Sales
• Determining Value
• Companies Buying Sites TODAY

3. What Is a Site’s Value?

4. Whatever Someone Will
Pay For It!

5. Two Types of Buyers:
Strategic
Investment

6. Strategic Buyers Typical Place
Higher Values on Sites

7. Vertical
Scope

8. Escalate Media

9. Internet Brands

10. Investment Buyers Typical Buy
Based on Specific Multiples
1-3 Years x Gross Revenue

11. Examples Of Site Sales
2009 - $1,300,000
2007 - $1,300,000
2007 - $8,000,000

12. Examples Of Site Sales
2010 - $30,000,000
2008 - $30,000,000
2008 - $30,000,000

13. Examples Of Site Sales
2007 - $100,000,000
2007 - $90,000,000
2007 - $33,000,000

14. Determining Value
• Age
• Traffic
• Profit
• Niche
• Analytics
• Domain Name

15. Irrelevant In Determining Value
• Sunk Costs
• Perceived Potential By Seller

16. Assigning Value
• It’s not the Price it’s the Terms
• Multiples Range from
6 months to 6 years profit

17. Values on Flippa.com
• Analyzed 50 Blogs
• Avg. Unique Visits Per Month 67,946
• Avg. Revenue Per Month $1,521
• Avg. Price Sold $22,592
• Price Per Unique Visitor - $1.66
• Multiple 29 (2 years and 5 months)

18. How to Increase Value
• Valuable Content
• Increase Traffic
• Properly Monetize the Site
• Perceived Value vs. Actual Value

19. Key Metrics for Buyers
• Revenue Per Unique Visitor
• $15,000 Revenue Per Month
• 30,000 Unique Visitors Per Month
• $15,000 / 30,000 = $.50 RPUV

20. Key Metrics for Buyers
• Page Rank
• Domain Authority
• Page Authority
• Social Followers

21. Three Attributes to
Determine Value
• Domain Authority
• Total Page Views
• Revenue Per Unique Visitor

22. My Contact Information
David Gass
david@davidgass.com
www.DavidGass.com
www.linkedin.com/in/davidgasslasvegas
www.facebook.com/businesscredit