Please appraise a site, not just domain

Hi,

I would like to have an idea of what my proxy blog would go for:

URL : orkutproxytricks.com

Adsense Revenue = 3-4$ daily

Kontera = ~0.5$ daily

Feedburner Subscribers : ~5,000 Increasing at a rate of 40/day

Traffic : 400 Uniques/day = 800 Pageviews/day

I put the blog for auction in DP's sites section. And so far I got a highest bid of 200$. How much BIN price should expect? Should I consider pricing it like

(monthly revenue * 6) + (subscribers * ??) = BIN

 

Well subscribers don't mean much at least not for advertising purposes. I mean of course they are nice and they can help bring in a little money, however, most of yoru subscribers are the peopel that are coming to your site alot and hence are not the ones clicking on your ads.

I would say 200 dollars is about the most you should hope for, so take it before the person changes their mind.

Just my opinion, I could be wrong

 

Thanks for the appraisal mystickcal.

My monthly revenue = ~120$

Do you really think 200$ is the maximum i can get with it.? Also, subscribers mean a lot for blogs, especially if you want to start a proxy newsletter service.

 

If your monthly income has been $120 consistently for two - three months then i think you can easily get in the range of high $xxx - low $xxxx

 

Yes it has been consistent for some months now.

 

Just like anything else a site is only worth what people are willing to pay.

I disagree with dman_2007 because his advice cannot be applied to all websites. No advice can be universally applied to all situations.

The site in question is essentially a proxy news service. The subscribers and uniques are seeking fresh proxies and ways to get around firewalls. This type of traffic is the low-hanging fruit of the webmaster world.

Not all traffic is equal. Getting 400 uniques per day on a proxy site is child's play but getting 400 uniques for a tech blog is much more difficult. Getting 400 uniques for an adult site might be relatively easy while getting 400 daily uniques for a "free auto insurance quote" affiliate site is quite a bit trickier.

Using the above examples, the proxy traffic is cheap but traffic to an auto insurance site is golden. A smart webmaster probably would never buy a proxy site but might dish out a nice check for the auto insurance site.

The same goes for the adsense pay. A proxy site can easily make $120 per month. Proxies are basically "made for ad" sites which Google has somehow allowed to remain under the radar for Adsense banning.

The unique attribute of your site is the high number of subscribers. Many proxy owners have create their own email subscriber lists to retain traffic. As with traffic on a proxy site, subscribers are easy to get. I am able to get 20 subscribers per day on just one proxy site. I have seen other people get hundreds of subscribers per day.

The best that your site has to offer is that it can save a proxy webmaster a bit of time. A webmaster has to weigh the costs of buying your site against creating a new one from scratch. For instance, there is no way I would buy your site for high XXX or low XXXX. I could duplicate that site for less than $500 and probably much less. The traffic is almost a given just for being a proxy related site, the subscriber list could be built rapidly through various promotions.

I believe the site is worth more than $200 because of the resources needed to build the subscriber list but worth much less than $500 because the same could be done with less than that price from advertising and promotions. The happy medium would be around $350 but the thread seems to have stalled at $240.

 

I think if an investor is looking to buy your website, he would expect a return within approx 6 months. I would therefore value your website at around $700.

 

You guys are giving one sentence unsophisticated assessments that you are pulling out of your @$$'s.

Nowhere is there a rule that a site is worth six months of revenue. Proxy sites are not evaluated the same as other sites. The description of this site is a proxy blog but it still belongs in the proxy family and should be treated the same. Users are not going to that site (which is rarely updated) because of its superior content. They are going there because they want new proxies.

Lets use a regular proxy site as an example of how the six months of revenue idea does not hold up. One of my proxies made $40 in one month. The total cost to create and market this proxy was $8.50 because it is a .info domain. How much should this site really be worth?

Only an idiot would pay $240 for that domain ($40 per month X 6 months.) Paying $240 for one proxy would immediately put you in the hole and you would have to wait for 6 months to break even. Alternatively you could spend that $240 on 24 new proxies and potentially make $480 in profit in addition to getting your initial investment of $240 back in just one month. Which is the smarter deal?

The same could be done with this proxy blog. The daily traffic is easy to duplicate because of the nature of the site. As I mentioned earlier, proxy traffic is like adult material traffic, it is easy to get but not worth as much as many other types of traffic (adult traffic is great but hard to convert.) The daily traffic numbers (and the adsense generated from that) is worth little.

The subscriber list is the strongest asset because a list of that size takes a little bit of time and money. I could generate a 5,000 member subscriber list in around two months but with a $700 budget I could probably do that in just one month. The benefit of building the site from scratch and paying the $700 in promotions is that I could arbitrage that traffic and likely make even more than $700 in the process of building the subscriber list.

You also have to take into account that a proxy related site is somewhat seasonal. Students in the U.S. are a great source of traffic and they are only in school for under 75% of the year.

As you can see, overpaying on a proxy related site does nothing but tie up money that can otherwise be used to get a much better ROI. Why would you pay for a site that requires six months to break even when you could double or triple your money in just one month or less?

Of course not all schemes can do this. Proxies are great up to a point but eventually you have to break off and diversify your revenue streams. Proxies are easy money and traffic but probably among the worst ideas for long term prospects. I would much rather make a dollar from an affiliate site than a proxy site.

 

Id value it at $750 if your income is consistant.

 

Ugh, and it continues. I don't think anyone is even looking at the site or putting any sort of thought into this.

As a rule of thumb, a one line appraisal is not an appraisal. But the appraisals here are free and you get what you pay for.