Morning Folks!!
Well well, what seems to be a solid formula for independent evaluation of "Exact Match Domains".
Not only a solid formula, but the article appearing in Forbes gives domain valuation a lot more street cred. Domainers now have something to point to. Something to base your price on and it's not from any of the phony valuators out there.
"Present Domain Value = Number Of Global Monthly Average Searches x $1 Cost Per Click (CPC) / Number Of Years Required To Be No. 1 In Search Engines From Today
Essentially, you are valuing the EMD on global search volume provided by Google Keyword Planner and factoring in the amount of time it will take you to grow the domain to the No. 1 position in search engines.
For example, in 2016, the global monthly average of “VPN” was about 8,800,000. At $1 per search and four years to become No. 1 in Google Search results, this still indicated that $976,730 was a great deal.
Example Formula = 8,800,000 Monthly Searches x $1 CPC / Four Years = $2,200,000"
This formula comes from the CEO of VPN.com and the article appears here.
It's a GREAT article and ALL domainers should read and re-read.
Also remember that after you achieve your #1 seo spot, the domain itself will still be paying dividends and the value still rising. If you want to invest in domain names, you should be targeting these type domains.
So put your EMD domain to the test. Remember, it MUST BE AN EXACT MATCH DOMAIN! Close is only good in Horse Shoes and Darts! And it mainly, if not exclusively, applies to .com domains.
Now I also think there are other factors that weigh into the exact value of any specific domain. Lots of considerations and factors. But this formula is a serious baseline.
Rick Schwartz
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