Morning Folks!!
This is how it works. You want something that is not for sale. But you still want it. But it is not for sale. How do you motivate somebody to change their mind? MONEY!!!!
"Zuckerberg paid different prices for each home, shelling out more than $14 million for one 2,600-square-foot dwelling. A local real estate agent called the amount "absurdly high," even for that pricey neighborhood. But James Yang, an agent with Sereno Group who focuses on Palo Alto and neighboring towns, said the price is less surprising "if somebody wants to buy a property and the sellers don't want to sell."
In this story Zuck bought the adjacent properties to his home. One owner did not want to sell. Until $14 million hit the sweet spot.
That's $5384/ft.
Many times the market price. But guess what? Market price means NOTHING!!!
Zuck had a need. Yes? Yes!
Zuck had a want. Yes? Yes!
Zuck had a desire. Yes? Yes!
Zuck cared about Value. NO! NO!
Need, want, desire are the keys to sales. And when you have a UNIQUE ASSET, like a DOMAIN NAME, that need, want and desire is MAGNIFIED. If you don't get that part, you are screwing up! You are leaving fortunes on the table. Life changing fortunes.
Also, a little proof who controls the sale. Only the seller can pull the trigger.
Rick Schwartz
Homero A. Gonzalez
Yes, money the great motivator… Everything is for sale; “At the right price!!”
UFO
One question that someone might be able to answer, is there any seriously credible private equity types looking to enter into the TLD space? By this offer registry services and everything that flows from that?
Quite sure I can get the ear of a CIO of a global financial company to listen to a pitch, so what I’d need is all the back end covered off and I could provide the strategy etc. We’d need to undertake realistic costings so they could present to the board. They would likely give me consultancy work to work it all up and it would then likely become a template for other approaches.
I need someone like Marchex that has enough credibility that a world class global giant will take what we pitch seriously. I know other contacts that would open doors in other similar large global corporates.
Nb: I still don’t think .com is a ‘done dog’ but there are some angles that I can see a very positive spin on and it will basically come down to the run cost of a TLD.
Homero A. Gonzalez
Rick, I think Zuckerberg did not care about price, but of course the property had value for him. He needs, wants and desires it!. There’s a difference between value and price. For John Doe, the property Mark Zuckerberg, paid a lot of money for, has zero value. He does not need, want, or desire it… so no sale!
Ramahn
Exactly. Take pets…dogs…Tibetan Mastiff to be specific. These rascals average $40-50-90k, with some being sold for over 7 figures. For a dog.
Need, want, desire…..intimidation! LOL
<img src="http://factslist.net/wp-content/uploads/2013/02/Red-Tibetan-Mastiff.jpeg"
Homero A. Gonzalez
Rick, I had a friend who said people buy for one of three reasons; Fear, Need, or Pleasure. What do you think about that? Need, Want, Desire, or Fear, Need, Pleasure?
Rick Schwartz
I think they are all kissin’ cousins. :-)
Jeff Schneider
Hello Rick,
It is impossible to put an intrinsic $ value on a one of a kind word creation. Words elicit emotions and emotions trump logic every time. Anyone who fills an emotional need, usually gets the SALE.
Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)
UFO
Whatever he paid for the home and land there is some synergistic appreciation in price for a larger lot. However, I’d say that Facebook shares were far worse value for money than the property he bought… and he sold far more of those shares.
It’s all monopoly money to him. Even if the virtual world melts down he’ll stall have a physical asset.
Red
You taught me this over the past year…you are correct…thank you. Seems obvious…but not to most people including myself.
LSM
Those are freak situations.
If that strategy were correct, everyone could just price everything at some absurdly high price and hope someone came along willing to pay it.
YEAH WELL MAYBE THIS HOUSE IS ONLY WORTH $500 GRAND FAIR MARKET BUT I’M ASKING $10 MILLION FOR IT BECAUSE WHAT IF MARK ZUCKERBERG MOVES IN NEXT DOOR AND IS WILLING TO PAY IT?
Completely retarded strategy. Lottery mentality. Waiting for lightning to strike. Winds up leaving $5 on the table for every $1 it takes off, since a human lifetime isn’t 500 years long.
Kassey
I think you said it a few years ago. “The seller sets the price and the buyer sets the value.” Zuckerberg may value his privacy a lot now, so he’s willing to pay whatever price to get what he wants.
Jeff Schneider
” The seller owns the Value and the buyer must pay it in order to get the value ”
Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)
tcr
As Zuckerberg stated privacy was his motivation, its ironic that privacy is a growing concern with facebook members as facebook is starting to monetize your information
Jeff Schneider
Hello Rick,
Most of the people who own original issue .COM addresses realize their value as being an irreplaceable commodity. Those who are lucky enough to hold exceptional ones and do not see the value, are the targets of choice, for ones who lust for their enviable position. Isnt it nice to be on the right side of the equation?
Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)
Wilner
An astute observation and even better analogy between offline and virtual real estate.
An underlying theme in your posts is about opportunities unapparent to the masses, and how the majority is always late or asleep.
Curious if you’re aware of the artist Banksy and how he sold his valuable art for $60.00 in central park yesterday.
here -> http://www.cnn.com/2013/10/14/living/banksy-street-art-sale/
Reminds me of the late 90’s when domains were unknown to the masses.
UFO
@Wilner
Not sure if you’re from the UK or not, but don’t get too carried away with ‘Banksy’ I’ve read about a French street artist Blek le rat that was doing the same stencil impressions 20 years earlier. So I personally don’t attribute anything to him other than having a good marketing PR orientation.
“When I see Banksy making a man with a child or Banksy making rats, of course I see immediately where he takes the idea. I do feel angry. When you’re an artist you use your own techniques. It’s difficult to find a technique and style in art so when you have a style and you see someone else is taking it and reproducing it, you don’t like that. I’m not sure about his integrity.”
http://en.wikipedia.org/wiki/Blek_le_Rat
NEIL
Internet is miracle. Zuck.iwanteverything makes more money than Honda Factories, without using a single screw…
Come to my attractive wantable domains, Mr. Z.wantneeddesire, and I will pull the right value trigger for u…come to papa…
M Altaf Hossain
IMO all ideas are guess . He got huge wealth like lottery money. Money is very little value to him, Too much money to be thrown for too little goods and services is the norms of human nature. This is called ”Giffen’s Paradox”- opposed to demand & supply..rules.